SNS College of Engineering UNIT 5 FUTURE OF BUSINESS INTELLIGENCE Emerging Trends & Technology In Business Intelligence Market
Business Intelligence and Data Warehouse Definitions Business Intelligence Capability of collecting and analyzing internal and external data to generate knowledge and value for the organization. This includes business process decision support at the strategic, tactical, and operational levels. Data Warehouse A database populated with data from business transactional systems optimized for retrieval of information providing value in the areas of business projection, market trend analysis, and cost minimization.
Business Intelligence Today Is driven largely by Reporting Data warehouse as foundation for BI is Established Knowledge level of customer in BI expectation, is increasing Tools established in ETL, Reporting, OLAP, Analytics, Data Mining. BI Reporting is viewed different from ERP [SAP, Oracle],Source system reporting and MIS reporting. More IT Professionals are joining BI/DW stream.
Still Untapped Large number of industries are still unaware of BI (Especially in Domestic Market) BI being more than reporting is an opportunity -Upgrading of system Sophisticated BI delivery system like EIS, Analytics, Sensitivity Analysis are yet to be scaled and has a huge impact on business Limited user group implementation. - Mindset from professionals - Cultivate both Top down and Bottom up approach.
Characteristics Of BI Market Closely connected to business Any change in business affects BI ROI. ROI. ROI. Depends on data completeness (Information across the enterprise) Global Changes Local Business Environment BI System Legal & Laws Structure of Company Composition of Manpower
Top 5 Emerging Trends In BI 1. Emergence of BI 2.0 and challenges 2. Market Consolidation of Tools & Technology 3. Offering BI as service opportunity (SAAS Model) and challenges 4. Defining BI Delivery System Analytics, Data Mart 5. Quality of Information Master Data Consolidation KPI Definition for Management /System Business Knowledge & Context Identifying Critical Information
Emerging Trend 1 Business Intelligence 2.0
Characteristics of BI 2.0 Event driven Real time Automated analysis Forward looking Process oriented Scalable
Real Time BI RTBI provides the same functionalities as the traditional business intelligence, but operates on data that is extracted from operational data sources with zero latency, and provides means to propagate actions back into business process in real-time Seamless transition from data into information into action RTBI needs automatic processes and intelligent systems (adding semantic web techniques and advanced analytics)
Contd.. Reduce Cycle time until real time From (extract, transform, load) ETL-Approach to OLAP and high performance analytics to? E.g. Realtime Decisioning, In-Memory Analytics on 64Bit-Hardware, Enterprisewide Realtime CPM, BAM/ Realtime-BI, Advanced Analytics.
Advantage & Disadvantages Action in almost real time. Advantage of operational reporting and analytic reporting. There will emerge new architecture and schema for storing / transmitting data. Challenges? Not so easy. You could end up with messing the entire Information management in the organization. Accuracy could be hit. A wrong decision could emerge. Could just end up replicating operational system reporting. Short-Sighted implementations.
Emerging Trend 2 Consolidation of Tools & Vendors in Market.
Market consolidation Major players in IT IBM, Oracle, MS have been aggressively buying leading BI product firms. SAP bought BO to strengthen BI-front. Cognos bought out by IBM in a Mega deal. Oracle bought Hyperion, Siebel analytics to name few. Microsoft releases BI-Platform. Why? Huge market potential. Oracle not too successful with custom developed products in BI SAP BW had strong architecture but weak concepts. MS had been silently away in the Past.
List Of Major BI Tools No Business Intelligence. Tool Version Currently With 1 Siebel Analytics 10g Oracle 2 Business Objects Enterprise XI r2 SAP 3 Net Weaver BI 7.0 SAP 4 Hyperion HFM & Planning 9.2 Oracle 5 Microsoft BI platform* 2008/2010 Microsoft 6 IBM Cognos Series 8.3 IBM
Contd.. No. Business Intelligence Tool Version Currently With 7 Micro Strategy 9 Micro Strategy 8 Informatica Power Center 8.6 Informatica Corporation 9 Data Stage 8 IBM 10 Ab initio 1.5 Ab Initio Software Corporation
Leaving 3 categories of vendors (Gartner) Vendor Categories Up-and-Comers Pure Plays Megavendors Targeting specific market segments Innovative solutions Disruptive Technologies Open Text Informatica Teradata SAS Microsoft Oracle SAP IBM
Vendors & Products Technologies Vendors MDM Siperian, Initiate Data Quality and Governance Group1, Back Office, Silvercreek, SAP-BOBJ, Informatica, Trillium, IHS-Intermat, Utopia Enterprise Search Endeca Real time ETL Radware Data Archiving SAND Data Visualization AVS Query and Usage Management Applfuent Rules Engines ILOG DW Appliances Netezza DW Infrastructure Egenera Data Mapping and Analysis Exeros Unstructured Data Itemfield Opensource Pentaho, Talend BAM Celequest EII (Enterprise Inf. Integration) Composite, Metamatrix, Sybase Awaki Information Mobility Sybase DW/BI DBMS Sybase IQ Object Oriented Architecture Objectriver Predictive Analytics Tech Labs evaluated KXEN, SPSS, and SAS
Emerging Trend 3 Offering BI as Service
BI as Service The Software as a Service (SaaS) Model is the combination of a Business Model and a Software Delivery Model When does it arise for BI? Small to medium customers requiring BI service Reporting service to analytical service Insight services Service require larger framework than the organization can afford Expert availability: -BI Expert, Statisticians, Data mining expert, Subject matter expert
Emerging Trend 4 Defining BI delivery system
BI Delivery system ----- Analytics You have to bring the same rigor you bring to operations and finance to the analysis. - Rupert Bader, Director - Workforce planning at Microsoft (MSFT)
BI Delivery system ----- Analytics Where does analytics stand? Do you want to give analytic solution to all the key customers? Is there a shape and focus to the analytic system? If analytics is Multi-dimensional analysis, Predictive analysis, data mining and so on. Which is best suited for a particular function? We could possibly classify our offerings.
Defining Analytics Enterprise analytics Functional analytics Workforce analytics Rapid analytics Financial analytics Analytics as a whole solution Analytics as a spearhead solution
Reports. Standard reports. Drill down reports. Alert. Ad-hoc reports Analytics? Statistical analysis Predictive modelling Forecasting. Optimization. Intelligence Grading.
Organizations have the opportunity to employ analytics in a way that drives better value from their system. Optimization (What s the best that can happen?) Forecasting / extrapolation (What if these trends continue?) Competitive Advantage Predictive modeling (What will happen next?) Statistical analysis (Why is this happening?) Reporting Analytics Ad hoc reports (How many, how often, where?) Alerts (What actions are needed?) Query / drill down (Where exactly is the problem?) Standard reports reports (What happened?) 25 Sophistication of Intelligence
Emerging Trend 5 Focus on Information Quality
Data Transformation Net Discrete Data (Not Clean) Cleaned Data Integrated Data S A P Public Domain Budget Ex: Master Data Mgmt Ex: ERP or ODS
Contd.. Meaningful Data Valuable Info Critical Info KPI Facts & Measures Ex: Building DM/DW Ex: Business Consulting IM Consulting Metric Mgmt Ex: Fast Moving Info Sensitive Info High Impact KPI
Talent Management Initiatives have produced a positive impact on business performance Metric % Source Revenue 28% faster growth SuccessFactors Revenue/employee 49% faster growth SuccessFactors Income/employee 13% higher SuccessFactors Valuation/employee 27% higher SuccessFactors Shareholder return 2.5 times higher Hay Group Shareholder return 22% higher McKinsey Shareholder return 22% higher Leadership Excellence Shareholder return 29% higher Fulmer Return on assets 1.7% higher 3 years Fulmer Revenue/employee 27% greater if invested in training Leadership Excellence Revenue 40% greater growth if invested in training Leadership Excellence Income 50% greater growth if invested in training Leadership Excellence Profit 1% increase/employee Whetten 2004 29 Employee Turnover 7% decrease Whetten 2004
Define your key information level. Facts and Measures Key Performance Indicator Metrics External ratios, Perspective Your Models(EBDITA, DOW JONES, FKTM) Scalable factors.
Information Management Specialty Domains & Core Competencies Information Management Specialty Domains Business Intelligence BI Governance BI & DW Architecture Data Integration Reporting & Analysis Strategic Intelligence Analytics & Discovery Performance Management Portal Portal Enterprise Search Collaboration Enterprise Content Management Document Management Web Content Management Transactional Management Data Management & Architecture Data Quality Master Data Management Meta Data Management Data Movement & Replication