The Death of Business Intelligence

How to avoid the pitfalls of BI

Posted in Business Intelligence by TheLondonEconomic on August 15, 2013

Business Intelligence (BI) technology has become more and more common in the world of fast-paced business as a way to make sure that owners, managers and other decision makers can carry out the correct course of action at all times by making use of all the data and analysis available to them, ensuring a degree of safety in what they decide to do.

However, while it has become something that is more and more prevalent throughout the world, the complex array of tools and platforms on offer has meant that there are often pitfalls that companies need to make sure they avoid, with some being common problems experienced time and again across the market.

Exercising best practice is always a way to ensure the greatest chance of success, but even the top companies make mistakes from time to time, so what are the most common errors seen in BI?

The assumption of user knowledge

Perhaps the most oft-seen is the failure to take people’s skills and technical nous into consideration when deciding what BI tools to use at a company.

It is often the decision makers, and not the actual users who are at fault in this case because they choose tools that they believe will be most effective without considering the skills of those who will be using them in the end, leading to problems down the line.

One of the easiest ways to sidestep this pitfall is to look at bringing a non-technical person into the tool selection committee, where they can give their views and air their concerns about the skill and time required to utilise certain technology, which will be valuable input in the time ahead.

Over reliance on a data warehouse

According to IT News Africa, one of the most common failings can be to assume that data warehouses will solve all problems that come to the fore in the field of BI.

It said that issues arise when it is assumed the data warehouse can iron out all of the creases that arrive, as well as believing that the availability of them will drive customers towards the required information.

In fact, many solutions do not need data warehouses, and can rely on integration and portal technology that allows data to sit where it is and be brought up as and when it is needed. Using data warehouses without actually taking time to find out if they are needed can add an extra expense without anything having actually been solved along the way.

Choosing tools which have no specific need

Another issue that can rear its head in the process of selecting tools is that some can be chosen almost for the sake of it, rather than with any specific need or use in mind.

Without a solid strategy and a mapped out list of requirements, the purchase of certain parts of BI software can represent one of the biggest expenditures businesses will face, as well as the lowest level of return on investment (ROI).

While companies will often recognise the fact that BI can have a positive effect on business, a failure to actually set out what they want from it before they start can end up leaving them spending a lot of money and actually receiving very little in return.

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One Response

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  1. analyzerhakan said, on August 18, 2013 at 6:34 pm

    Reblogged this on analyzerhakan and commented:
    Death of BI! Wasn’t it already dead? Serious arguments here! Worth reading


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