Extending BI with Analytics. Best Practices in Establishing an Analytics Value Chain. Jaime Fitzgerald Founder & Managing Partner Fitzgerald Analytics

Transcription

1 Extending BI with Analytics Best Practices in Establishing an Analytics Value Chain Jaime Fitzgerald Founder & Managing Partner Fitzgerald Analytics

2 Jaime Fitzgerald - Introduction Advisor on: Turning Data into Results Author of: The Data to Dollars Value Chain A Practical Guide to Analytics Projects Driving Principles: 1. Begin with the end in mind 2. Process matters (a lot) 3. Transparency drives re-use 4. Last Mile = The most valuable

3 Agenda 1. Challenges to optimizing ROI on BI investments 2. Overcoming the Challenges: The Data to Dollars Value Chain framework 3. Advice on managing the value chain from raw data to measured results: - Best Practices - Useful Concepts 4. Q&A

4 Executive Summary BI initiatives are high-stakes many fail, while others are game-changing. For best results, I recommend managing BI as a core part of what I call the Data to Dollars Value Chain By managing BI with a value chain perspective, you are able to - Integrate analytic insights into BI solutions more fully, delivering BI products with more of the insights that drive business results - Improve utilization and value creation by tying the contents and format of BI to the business decisions and processes that impact results the most.

5 I Wish BI Tools Were Like ATMs!

6 Too Bad Results Aren t a Click Away

7 Unfortunately, Many BI Initiatives Still Struggle Utilization rates ~25% of target ROI mixed or unknown High rate of failure to launch Most BI not well-integrated at enterprise level

8 Yet When BI is Deployed Well, It Changes the Game Example Case Studies / Illustrative

9 What Do Successful Cases Have in Common?

10 A Direct Link from BI to Results. Great! BI Results

11 It s About the Value Chain Inputs Inputs BI Results Inputs

12 And Especially the Decisions + Actions Inputs Inputs BI Decisions Results Inputs Actions

13 BI in Context: the Data to Results Value Chain 1. Data 2. Analysis 3. BI 4. Results New Data Source Acquisition Data Discovery Data Quality Data Governance Analysis Insight Information & Insights Delivery Format Interactivity Process Integration Decisions Actions Financial Impact New Data New Opportunities

14 There is No ROI Without That Last Inch

15 Investment of Time and Effort The Last Inch Problem Data Analytics Results Technology Time and Progress The Last Inch To Results

16 BI is Key to Solving the Last Inch Problem 1. Data 2. Analysis 3. BI 4. Results New Data Source Acquisition Data Discovery Data Quality Data Governance Analysis Insight Information & Insights Delivery Format Interactivity Process Integration Decisions Actions Financial Impact New Data New Opportunities

17 Yet So Are The Other Phases: It s End-to-End. 1. Data 2. Analysis 3. BI 4. Results New Data Source Acquisition Data Discovery Data Quality Data Governance Analysis Insight Information & Insights Delivery Format Interactivity Process Integration Decisions Actions Financial Impact New Data New Opportunities

18 Data to Results: Navigation Tips 1. Avoid Linearity (loop back often) 2. Stay Agile 3. Keep Oriented ( line of sight / why am I doing this?)

19 Best Practices in Extending BI w/ Analytics 1. Start w/ Causal Clarity (key drivers of results 2. Use key drivers to drive BI contents, features, design 3. Prioritize analytics that enable this vision of BI that is central to key decisions + processes 4. Link analytic and BI priorities with upstream priorities such as data management, governance, human capital, training, and technology portfolio management 5. Emphasize process transparency: avoid black box processes!

20 Useful Concepts on Key Drivers Concept: 1. Causal Clarity Cause Effect 2. Causal Model Price Revenue Txns Meaning: Precise Definition of cause + effect Easy to Explain What drives results? Based on Causal Clarity 3. Point of Opportunity An opportunity for improvement (decision, business process) Impacts Drivers of Results

21 Useful Concept: The Data to Dollars Stack Plan: Decisions, Actions, and Results Dollars Insights Analysis To Data Tools, Platforms, Technology, People, and Processes Data Act:

22 Useful Concept: The Problem w/ Black Boxes SearchBusinessAnalytics SUMMIT TechTarget 22

23 Let s Stay in Touch jfitzgerald@fitzgerald-analytics.com