All marketers are familiar with the value of monitoring and analyzing web data and analytics. Most of the organizations are using Google Analytics to know the facts and figures of the organization. All extracted data leads to the efficiency, revenue growth and success of a business.
Business Intelligence allows the analysis of the company's raw data and analytics to give actionable insights to take away the business. Data analyzed may include stats of the sales, customer shopping habits or operations costs. With more data at our hands, business intelligence is critical to making informed business decisions and can be a key component of forming predictive analyses for the future of a company.
What is Business Intelligence?
Applications that transform data into meaningful information which helps business make better decisions. The term business intelligence came into use around the 1950s, and it grew out of technology called decision support. Business intelligence system has grown more powerful and comprehensive, mainly due to:
- Increased Data Collection: Companies that can easily collect on their customers and on their own internal processes this is due to the rise in things like smartphones wearable devices the internal general computer usage etc.
- Greater Storage Capacity: Companies can store data cheaper and in greater quantities than ever before. Companies have access to vast troves of data in the form of smart phone metadata internet usage records social media activity etc.
Following are the benefits of business intelligence:
It minimizes the Costs: The oil and gas industry has been using business intelligence from the start many would say it's ingrained in the industry. From geological data to help determine where and how to drill for oil to assessing market conditions and profit advantage opportunities for gas pricing, quantifying value is at the core of how this industry extracts value and raises profits.
Enhance Efficiency and Productivity: The healthcare industry is now leveraging business intelligence to drive efficiency and productivity. One of our clients used business intelligence to pinpoint challenges in their system for patient referrals understood where inefficiencies lived and eventually addressed these problems by incorporating a digitally connected referral network. Business intelligence allowed them to experience a boost in their appointment completions, shortened scheduling time and also decreased appointment lead-times and the average cost per referral.
Support in Decision Making: Amazon is known to leverage business intelligence and predictive analytics to support everything from customer engagement to lead scoring, customer segmentation, lifetime value cross-sell recommendations and win-loss analysis. Business intelligence supports data-driven decision making with the right information at the right time.
Boost the Sales: From monitoring trends to improving sales and even minimizing theft, actionable insights from big data are central to successful retail businesses today. Fashion retailer Charming Charlie used business intelligence to manage and provide insights on 25,000 active SKUs at the brand's 250 stores across the United States. By measuring success, understanding allocations and determining buying patterns, the company is able to improve sales, distribution and inventory management.
Discloses Opportunities: No company wants to miss out on a new opportunity, but how can they ensure they recognize one before it's too late? Careful analysis of your data will help you understand customer behavior and even give you the power to better detect what your customers would like in the future. From predictive analytics to data that reveals service or product gaps, business intelligence findings have the power to help companies stay ahead of the curveball.
Hence, business intelligence comprises the strategies and technologies used by enterprises for the data analysis of business information. And it provides historical, current and predictive views of business operations.