Key Points
Tips to make better decisions with Business Intelligence
En este artículo aprenderemos:
By DataKnow Editorial Staff
The power to convert data into useful knowledge in business decision making, that defines business intelligence or Business Intelligence. However, it’s not as simple as paying a subscription and accessing a panel; strategic decisions and results based on business intelligence obey a plan.
From defining business requirements or expectations, formulating objectives and goals, validating key sources of data and tools, to displaying and interpreting information, there is a whole methodology for a successful business intelligence strategy.
In this installment we address a series of preparations and points of attention so that business intelligence achieves its goal; But first, for a better context, let’s review the concept of business intelligence and its scope.
To enter a little more into context: Business Intelligence and Data Science: Synonyms, friends or enemies?
Business intelligence and its scope
Tips to make the best decisions with business intelligence
With a little more argument, now let’s see the key points for the business intelligence strategy to be effective.
Number 1: Goodbye to subjectivity
As owners of small businesses, managers or directors of already consolidated companies, we let ourselves be carried away by previous conceptions, instincts and even prejudices.
It is something typical of our human nature, but we must appeal to reflective judgment and know that these kinds of beliefs or preconceptions cloud our vision of reality.
If you invest a budget, even a modest one, in business analysis tools, it is clear that you cannot continue to guide your decisions by beliefs and underestimate the results, facts and data.
If, even with a real-time information board, you have doubts, it is important that you rely on a team so that the interpretation of the information is not subject to personal biases.
Get involved from the validation and implementation process, empower key personnel, the more team members know how to interpret the data and draw conclusions, the more informed and objective the decisions will be.
Explore some data analytics tools.
Number 2: Clarity regarding requirements and objectives
Number 3: Be selective with your data sources
Inadequate data sources can lead to misleading conclusions.
Chris Hagans COO of WCI Consulting, a Texas-based company specializing in BI, in an interview for CIO Magazine:
“It is better to have fewer things to trust than many to suspect.”
And this points to the need to be selective with the sources from which BI tools will be connected.
Generating reliable and quality information can be complicated if the data sources are dispersed and disconnected from each other.
The breadth, security and reliability of the data sources will be another point of validation with your team and BI provider.
Take an inventory of the sources and databases that you could count on, give priority to massive sources of structured data and ask your provider what data integration tools they have.
Number 4: An iterative approach
business intelligence implementation should be progressive.
Based on the objectives that are sought, it begins with a specific source and some basic key performance indicators (KPIs) to carry out the implementation, tests and adjustments are carried out and a new cycle begins, including other variables, sources and indicators. .
As progress is made, processes are incorporated into the business intelligence solution, so that the BI tool is iteratively improved and expanded to the extent that it is known which expectations are met and which are not.
Once again, the provider of data analytics solutions will play a leading role with their support, advice and shared experience.
Number 5: Familiarity with visuals
As we mentioned in the first section, the summary and visualization of information is an important part of business intelligence tools.
An extensive dashboard, dense at the level of indicators and graphs can cause you to lose focus or end up underestimating an important part of the information displayed.
Consider some aspects that could influence effective analysis and compression:
- Charts, graphs and maps must go hand in hand with the goals or objectives.
- Group some KPIs by categories.
- Lean on few graphic resources, the priority ones.
- A dashboard must be dynamic enough to access information in the background if required.
- Not all information should be presented to all users in the same way.
- Trains staff on graphs and other information visualization elements (bars, trends, scatter, control charts).
Number 6: Train and empower
You don’t have to be a mathematician or a code developer to understand the operation and applicability of Business Intelligence tools, but it is important that the staff is familiar with the graphical resources and the interface offered by the solutions.
Your team, your collaborators must know how to exploit the information provided by BI tools to “tell the story” and help others understand “what the data is trying to say”.
They will be your analysts, the people who create the unbiased narrative that helps maximize the value of analytics.
There are all sorts of internal and external data that can be leveraged for insights with the right staff training and expertise, again your analytics consulting provider can guide you through the first steps.
