Why is Business Intelligence BI important?

BI isn’t just about analyzing data; it’s also about creating business strategies and solving real-world business problems with that data. For that reason, being able to come up with creative solutions to particular business scenarios with the help of your data is arguably one of the most important skills on this list. You should be able to go further from what the numbers are telling you and put those insights into perspective to generate successful strategies.

In fact, we are producing so much data that 90% of the data out there has been collected in the past few years. Although adopting new technology may seem like a daunting task, BI software usually has a good pay off even if the benefits aren’t seen immediately. Business intelligence tools are helpful for companies to stay competitive and maximize revenue streams. Organizations at every size and stage use BI software to analyze, manage, and visualize business data.

Front-end analytical and business intelligence skills are geared more toward presenting and communicating data to others. Regardless of the choice you make, you can always switch directions as your career progresses. You might also end up taking on all of these roles if you work at a smaller company. Although, these impeding consequences can be minimized by accepting embedded BI for a data driven culture.

We have outlined our recommendations for evaluating modern BI platforms so you can choose the right one for your organization. One of the more common ways to present business intelligence is through data visualization. Business Intelligence develops methods, techniques and tools with which you collect and analyze data about your organization, goals and processes. The ultimate goal is to consistently make data-driven decisions at operational, tactical and strategic levels. You easily create (new) KPI dashboards, reports and data analyses with BI tools.

A clear and practical definition of Business Intelligence

A BI solution can analyze data to advance a company’s internal business processes, such as order management, scheduling, staffing, inventory management, and supply chain management. Starbucks’ mobile app with more than 16 million active users presents the wealth of data on customers’ purchasing habits. Through providing such personalized experience for customers, the company boosts both customer loyalty and sales. It’s a data-discovery app that provides an intuitive approach to data exploration. It offers a web-based interface that business users can utilize to tap into the expertise of their data analytics team.

  • As a part of a BI solution, benchmarking delivers practical insights on how to outperform competitors.
  • But ProRail has also been experimenting with artificial intelligence to predict, for example, where track walkers are active, and with success.
  • With this, we do not mean that you need to know how to use every tool in the market, but understanding how these technologies can work to your advantage.
  • Big data and business intelligence (BI) belong to the bigger analytics umbrella, but they’re not one and the same.
  • And alongside a great business intelligence resume, success will be yours sooner than you think.

This can be an important consideration especially if you want many people actively using the software – including those who may not have much technical or analytical experience. Check to see what resources each BI tool has for using their product, like documentation, tutorials, and FAQs. Certain providers may also offer active support lines to provide direct help on specific customer questions.

Easy access to metrics and KPIs also frees up time and energy to execute on the tasks that will impact the company’s performance. Tools for business intelligence for brokers assist brokerage firms in gathering, analyzing, and presenting business data. These technologies assist the development of advanced strategic solutions while handling vast amounts of unstructured information from multiple sources. As a result, the tools are essential for any BI brokers who want to succeed in their industry.

Each one is worth your time

But as we all know, for most modern businesses, every day is a new day, with data originating from a host of channels including social media, besides the usual data repositories. Combined with an optimistic outlook for job growth and solid compensation, these factors all mix to make a business intelligence career path worth exploring. Over time, you will undoubtedly find that your newfound network is your greatest professional asset.

This type of analysis is concerned with predicting what will happen next, or what a company should be doing next. Performing BA tends to be a more specialized pursuit, since it requires a good descriptive and diagnostic foundation that comes from BI. In order to execute these steps, multiple tools and products need to be employed. Qlik Sense’s Business license is $30 per user/month and the Enterprise license is 40$/user/month. In contrast, the Power BI Pro license starts at $9.99 per user per month and the basic version is even free.

For example, you could be the one to extract actionable insights from specific retail KPIs that need to be visualized and presented during a meeting. Paired with the previous skill, it is also necessary to have knowledge about the entire data management process. This involves knowing how to collect, clean, store, and manipulate data from multiple sources in a way that is accurate and secure.

With the amount of data stored by companies growing exponentially, it is no surprise that finding the right data management solution continues to show up on the priority list of Chief Information Officers (CIO). Data has to be secure and distributed efficiently for important up-to-date business decisions. Having a great business intelligence system is quite essential for every business these days. Having an active vigilance upon the company’s internal processes and its external health is critical for today’s fast-paced businesses.

Data analytics can help companies describe their businesses, look at reasons why positive or negative things have happened, generate information they may not have, and advise on possible action plans to take. Business intelligence tools can help companies perform these types of analyses, monitor key performance indicators (KPIs), and generate accurate reports. When analysts use these tools to communicate their findings to stakeholders, they can turn their insights into action. Power BI according to Microsoft is basically a robust business analytics solution that helps the user to visualize your data and share insights all through the organization. The solution involves multiple products and services, and their versatility comes from tapping into the individual elements and leveraging how they work together. The most important thing while taking any business decision is to have enough data to back the decision.

BI is widely applicable; there aren’t many industries where it’s irrelevant. Arguably one of the most useful tools in BI are dashboards, which allow complex data to be aggregated and viewed all in one place. These dashboards can have different purposes, such as for complex analysis or stakeholder buy-in. Great BI helps businesses and organizations ask and answer questions of their data. It’s increasingly important for businesses to have a clear view of all their data to stay competitive, which is where business intelligence (BI) tools come in. After all, nearly 50% of all businesses already use BI tools, and projections show continued growth in coming years.