Beyond BI True Enterprise Business Intelligence

Transcription

1 Beyond BI True Enterprise Business Intelligence Allan Russell, Thomas Nielsen, Mike Silva, Stephan Haux Strategy Group SAS International Headquarters - Heidelberg

2 Topics for Today Issues for CIOs Today Underlying Reasons for Today s Situation The Way Forward - 3 Steps to True Enterprise Intelligence Establish an Enterprise Intelligence Platform Ensure Complete Application Functionality Reduce Delivery Risk by Deploying Standard Solutions Summary

3 Challenges for Today s CIO Two-Thirds of CIOs Consider Themselves "At Risk" Two-thirds of chief information officers see themselves "at risk" based on the chief executive officer's view of IT, according to a survey of 1,300 CIOs by Gartner Inc, which also suggests that IT budgets are set to increase by just 2.5% in The relationship between the CIO and the CEO The relationship between the CIO and the CEO is one of three critical challenges faced by CIOs in 2005, according to the survey, which was carried out by Gartner Executive Programs with CIOs representing $57bn in IT spending.

4 Challenges for Today s CIO Nine Out of Ten US Executives Unhappy with Their BI A recent survey by global technology consulting firm Accenture highlights a growing discontentment among senior US executives with their business intelligence initiatives and could preclude a new wave of investment in Over 90% of the 150 senior executives surveyed across Fortune 1,000 firms believe they need to significantly strengthen their analytic and BI capabilities in order to drive business growth in the coming year. February 2005

5 The BI Silos Are Failing Companies! Why? Number 1 Inconsistency: Amongst diverse technologies that require different data and metadata Within one vendors offering that require different data and metadata Which report holds the truth?

6 The BI Silos Are Failing Companies! Why? Number 2 Complexity Several tools to manage several disparate environments Several data extractions to prepare data for several different front end technologies even from one vendor Interim data extractions required to get to a form the tool supports Main Cost = Integration + Support!

7 The BI Silos Are Failing Companies! Why? Number 3 Time Delivery of new versions and releases Access to new data sources Reports and KPIs taking too long or not being delivered at all! BI not matching expectations of the business IT seen as bottleneck!

8 The BI Silos Are Failing Companies! Why? Number 4 Reliability and Flexibility New data sources not easily added to the reporting mix No room to grow without complex and timely integration work and increasing your vendor portfolio Where is the value? IT seen as unresponsive!

9 What is True Enterprise Intelligence? Plenty BI Offerings on the Market Today Do These Offerings :- Equate Business Intelligence only with Reporting? Assume Business Intelligence is all about the number of Terabytes in your Database? Concentrate Primarily only on Financial Reporting? Assume Analytics for All is a fancy word for Reporting? Talk about Standardisation then redefine the Standard with a narrow set of functionality?

10 The Way Forward Step 1 Establish an Enterprise Intelligence Platform

11 SAS Intelligence Solutions Intelligence Functionality Intelligence Infrastructure Shared Metadata Services Intelligence Applications SAS 9 Intelligence Platform Analytic Services Query & Reporting Services Data Management Services Data Integration Services Risk Financial Customer Platform Management Services Open Standards Extensible Applications Rapid ROI. To Provide Rapid ROI and the Quickest Time to Intelligence Any Source Operational Inputs ERP CRM SCM Legacy

12 Common Issues 1 Enterprise Wide Software Standardisation Too Many Tools 10 s up to 20 s Result of Project Based BI in the Past Complex Landscape No Consistent Data Quality

13 Enterprise Wide Issues EIP Drives Standardisation Enterprise Intelligence Platform one vendor supplies all of BI Needs Platform Covers Data Integration and Storage, Standard Reporting and Analytics Data Quality Embedded Operational and BI

14 Common Issues 2 Enterprise Wide Practice Standardisation Departments go their Own Way IT has no control over unsupported strategic applications in BU s IT Reputation Suffers Costs Rise Failure to Deliver

15 Enterprise Wide Issues EIP Drives Standardisation Enables the Establishment of an Business Intelligence Competency Centre Best Practice Available from SAS

16 Common Issues 3 Enterprise Wide Corporate Alignment No Common Understanding of Values/Measures Applications don t Interact Difficult to get Common Strategy Implemented Inefficient Business

17 Enterprise Wide EIP Drives Corporate Alignment Industry Frameworks and Intelligence Solutions provide. Common Platform with Definitions and Practices with shared business and technical meta data

18 Common Issues 4 Enterprise Wide Compliance and Traceability Regulatory Requirements Understanding the Numbers Governance of the Business - Transparency - Auditability Business Continuity Staff Turnover Tracking Origin of Results end to end

19 Enterprise Wide EIP Drives Compliance and Traceability Basel 2, SOX, AML and other Applications One Metadata Repository Contains all Knowledge about processes and Results

20 Thursday Technology Plenary 12:00 The Foundations of an Intelligent Enterprise! The SAS Intelligence Value Chain From Data to Intelligence Increasing Organizational Value End to End Metadata Lowest Cost Option Fastest Time to Intelligence

21 The Way Forward Step 2 Ensure Complete Application Functionality

22 True Enterprise Intelligence The Components of Applications Strategy and Planning What Should we be Doing? How Much of it Should we be Doing and When? Monitoring Process Execution Are our KPI s where they Should be? How is Individual Process Performance? Modelling, Improvement and Deployment What Drives our Business? Can we make Better Decisions? Can we Build Intelligence into Workflows?

23 True Enterprise Intelligence Links between the Application Components Strategy And Planning Process Execution And Monitoring Modeling, Improvement And Deployment

24 True Enterprise Intelligence Links between the Application Components Strategy and Planning Deliver Targets for Determining whether we are Doing Well Strategy And Planning Process Execution And Monitoring Modeling, Improvement And Deployment

25 True Enterprise Intelligence Links between the Application Components Process Monitoring Delivers KPI s for an Overall View of Performance Strategy And Planning Process Execution And Monitoring Modeling, Improvement And Deployment

26 True Enterprise Intelligence Links between the Application Components Better Forecasting, Understanding of Behaviour Leads to More Realistic Planning Strategy And Planning Process Execution And Monitoring Modeling, Improvement And Deployment

27 True Enterprise Intelligence Links between the Application Components A Well Defined Strategy helps us know what are the Goals of Improvement Strategy And Planning Process Execution And Monitoring Modeling, Improvement And Deployment

28 True Enterprise Intelligence Links between the Application Components Monitoring will Tell us which Processes may need Improvement Strategy And Planning Process Execution And Monitoring Modeling, Improvement And Deployment

29 True Enterprise Intelligence Links between the Application Components Improvement of Processes Should Result in Better Execution and Should be Reflected in Monitoring Results Strategy And Planning Process Execution And Monitoring Modeling, Improvement And Deployment

30 All Applications will Need a Mix of these Components to Deliver Maximum Value

31 A Scenario Caesar Credit Cards

32 Long Term Process View Create and Disseminate Strategy Learn and Refine Planning and Budgeting Execute and Monitor

33 Create and Disseminate Strategy Create and Disseminate Strategy Learn and Refine Planning and Budgeting Execute and Monitor

34 Strategy Map Documents and Gives Context SAS Strategic Performance Management: The Key to Dissemination Display by Organisational Hierarchy Strategy Maps Show the Actual Strategy Navigation of Large Complex Strategy Diagrams Now have an Overview of Complete Strategy

35 Planning and Budgeting Create and Disseminate Strategy Learn and Refine Planning and Budgeting Execute and Monitor

36 Planning and Budgeting Target Set based on Strategy: Platinum Cards in 2005 Global Sales Director Level

37 Planning process Caesar Global Americas Asia Europe South America USA Canada Singapore Australia Japan France Germany Italy Portugal UK

38 Planning and Budgeting Performance So Far this Year Combines Power of SAS with Usability of Excel Drill Down into Regions Multi Currency Support Consolidation on Request Always up to Date

39 Planning and Budgeting Actuals for 2004 Forecast for 2005 Forecast Based on Detailed Analysis (Forecast Server)

40 Caesar Global Americas Asia Europe South America USA Canada Singapore Australia Japan France Germany Italy Portugal UK

41 Caesar Global Americas Asia Europe South America USA Canada Singapore Australia Japan France Germany Italy Portugal UK

42 Planning and Budgeting Top Down Distribute Required Number across Regions Use Actuals 2004 for Basic Allocation Manual Adjustment also Possible Various Levels of Allocation by Country

43 Planning and Budgeting Bottom Up Allocate Numbers for Each Country by Time Period done by Local Sales Manager

44 Bottom up sales budgeting Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec UK

45 Planning and Budgeting Bottom Up Allocate Numbers for Each Country by Time Period done by Local Sales Manager Once again Excel and SAS Best of Both Worlds Specific FM Functions in Excel Use Top Down Allocation as Starting Point Cut/paste to Finalise Allocations Sales Budget Now Ready for 2005

46 The Sales Year Runs we are Selling Cards Create and Disseminate Strategy Learn and Refine Planning and Budgeting Execute and Monitor

47 Some Time Later KPI Report Number out of Bounds What Caused this? Investigating the Details See Tomorrow s Plenary for Report Building Competitor Arrived on the Scene Better Price Perception in the Market

48 Card is Failing to Gain Market Share Need to Gain New Customers in the Target Segments for this Card Defend Existing Customers Action Must Be Taken!

49 Start Corrective Action Cycle Create and Disseminate Strategy Learn and Refine Adjust (Deploy) Planning and Budgeting Improve Re- Monitor Execute and Monitor

50 Start Corrective Action Cycle Create and Disseminate Strategy Learn and Refine Adjust (Deploy) Planning and Budgeting Improve Re- Monitor Execute and Monitor

51 SAS Marketing Automation Create Campaign to Drive up Number of Cards Select Target Audience Visual Drag and Drop to Design Campaign Choose Customer who we know but who Don t have a Card Group in this Selection is too Large Higher Quality Selection using Analytics to determine Profitability

52 Model Deployment Process Model Development Environment SAS Enterprise Miner SAS Forecast Studio SAS Score Code Model Translation Code Compilation Executable Validation Production Environment Cobol PL/1 Java Change Management Development Environment Production Environment

53 SAS Marketing Automation Details of Model Deployment in Tomorrow s Plenary Select Group who will have a High Value Use UI to Set the Count we Want Allocate Communications to Channels Select Target for Expensive Channel Fact Based Allocation rather than Rule of Thumb Execute Campaign

54 Adding Value to Business Processes

55 In Depth Reporting And Modelling Long Term View Create and Disseminate Strategy Forecasting Scenario Planning Learn and Refine Planning and Budgeting Execute and Monitor KPI and In Depth Reporting

56 Start Corrective Action Cycle Create and Disseminate Strategy Model Deployment Behaviour Modelling Learn and Refine Adjust (Deploy) Planning and Budgeting Improve Re- Monitor Execute and Monitor In Depth Reporting

57 Complete Application Coverage True Enterprise Business Inteligence BI is More than Just Reporting

58 True Enterprise Intelligence Strategy And Planning Process Execution And Monitoring Modeling, Improvement And Deployment True Analytics

59 True Enterprise Intelligence Strategy And Planning Process Execution And Monitoring True Reporting Modeling, Improvement And Deployment

60 True Enterprise Intelligence Strategy And Planning True Planning Process Execution And Monitoring Modeling, Improvement And Deployment

61 Strategy And True Enterprise Planning Business Intelligence! Execution Process Modeling, Improvement And And Monitoring Deployment

62 The Way Forward Step 3 Reduce Delivery Risk by Deploying Standard Solutions

63 Standard Industry Solutions Focus on Business Value every CIO s holy grail Time versus Consistency how to do both?

64 Standard Industry Solutions Industry Frameworks

65 What is Beyond BI? Delivering Beyond BI Focus on Business Value every CIO s holy grail Time versus Consistency how to do both? Only real decision is what order does the business want these applications delivered? Time to Intelligence

66 Rewarding Excellence with Business Solutions

67 Solutions Intelligence Awards Risk Intelligence Lloyds TSB UK

68 Solutions Intelligence Awards Risk Intelligence Lloyds TSB UK Customer Intelligence A-lehdet Finland

69 Solutions Intelligence Awards Risk Intelligence Lloyds TSB UK Customer Intelligence A-lehdet Finland Financial Intelligence CTT Portugal

70 Solutions Intelligence Awards Industry Solutions MTS Russia

71 Summary Failure to Deliver Value (Information) to the Business is a Major Cause of Dissatisfaction with IT Function It is Time for IT to Take Business Intelligence Seriously A Solid Enterprise Intelligence Platform is a must to achieve Standardisation

72 Summary BI Functions must Link up Detect Suboptimal Performance and Improve it SAS Business Intelligence adds Value to both Long Term and Short Term Business Processes Standard Solutions/Applications will Reduce Costs and Delivery Risks