Transcript Slides

Business Intelligence &
Analytics
Chandler Wilder, Lida Kruchten & Ngo Szeto
Overview
History
What it is
Why is it important for companies to use?
How do companies use it?
The different kinds
Specific companies
1865
1st usage of the term “business intelligence” in
Richard Devens’ Cyclopaedia of Commercial and
Business Anecdotes
“... he maintained a complete and perfect train of
business intelligence”.
1950’s
1951- 1st commercial computer, Lyons Electronic Office (LEO)
1956- IBM invented the first floppy disk
1958- Hans Peter Luhn, IBM computer scientist, wrote an article about his
findings regarding a business intelligence system
1960’s
Creation of the 1st database
management system, called
decision support system (DSS)
Supports decision making
activities
Analyzes raw business data
1970’s and 1980’s
Developers started creating software for the DSS
1988- International Conference aimed to streamline the data process
Modern phase of BI began immediately after
1990’s and Early 2000’s→ Business Intelligence 1.0
1989- Howard Dresner, Gartner analyst, brought “business intelligence” back into
common vernacular
BI became very common
Vendors started appearing everywhere
Rise in use of the internet
2 basic functions of BI
Now → Business Intelligence 2.0
2005- BI became a requirement for
businesses trying to stay competitive
Social media boom let to a huge increase
in data
BI tools offered through subscription
services- SaaS
The Cloud
What is business intelligence?
Umbrella term
refers to a variety of software applications used to analyze an organization's
raw data
A technology-driven process used to analyze data
Made up of several related activities
data mining, online analytical processing, querying and reporting
Improve decision making, cut costs and identify new business
opportunities
How is BI important to companies?
Improve decision making, cut costs and identify new
business opportunities
Capable of handling large amounts of data
Easier for companies to sift unstructured data into more
intelligent and meaningful reports that can be used in
different ways
Examples of Business Intelligence Tool Providers
A Look into SAP BI Tools...
SAP BusinessObjects Business Intelligence
Available on premise
Allows you to gain real-time business intelligence from any data
Increase user autonomy by exposing data in plain business terms
Make information consumption simple, personalized, and dynamic
Benefit from a flexible and scalable information infrastructure
Ad-hoc reporting and analysis
Answer new and evolving business questions with self-service ad-hoc reporting and analysis – on
the Web, your desktop, or a mobile device.
Multidimensional analysis
Perform analysis of multidimensional data sources in an intuitive Web-based environment
A Look into SAP Con’t…
Functional Capabilities
Ad-hoc reporting and analysis
Answer new and evolving business questions with self-service ad-hoc reporting and analysis – on
the Web, your desktop, or a mobile device.
Multidimensional analysis
Perform analysis of multidimensional data sources in an intuitive Web-based environment
Technical Capabilities
SAP HANA as BI system repository and audit database
SAP HANA data access
Software development kits
Multiple servers running on one or more hosts and/or clusters for high performance, load balancing,
and availability
Single sign-on (SSO) integration with LDAP, Kerberos, eTrust SiteMinder, and Windows AD
Universe semantic layer access to over 40 data sources
Support for SAP BW 7.x, SAP Business Suite, and SAP S/4HANA
A Look into SAP on the Cloud...
SAP BusinessObjects Cloud
Cloud-based authoring
Access, prepare, and blend data directly from your Web browser
Hybrid data access
Access all your data – SAP and non-SAP, on-premise and in the cloud – with data connectors to
SAP Business Warehouse, SAP BusinessObjects universes, SAP HANA, SAP S/4HANA, and
non-SAP sources
Data visualization and storytelling
Data exploration
Real-time business intelligence
Embedded real-time analytics
Built-in social collaboration tools
● cloud BI tools can help you blend
data from different sources,
create compelling data
visualizations, run ad hoc
reporting, etc
Oracle
2nd largest software maker
Founded 39 years ago
Over 100,000 employees
Worldwide company
Revenue in 2016 was over $37 billion
Safra Catz, female CEO
Specializes in developing database software and technology, cloud engineered
systems, and enterprise software products
Products
Some example products:
Oracle Secure Enterprise Search: search for content across multiple locations
Oracle Cloud: has platform services that tools for business analytics
Oracle Social Engagement and Monitoring System: captures relevant brand
conversation from the web to understand commentary on their products
Exalytics In-Memory Machine: hardware/ software with an integrated in-memory
analytics server
Primavera Enterprise: focuses on solutions to support C-level strategic metrics
and results
Oracle Talent Acquisition Cloud (Taleo): enables companies to easily source,
recruit, develop, and retain top talent with data-rich management software
What is business analytics?
Study of data through statistical and operations analysis
Formation of predictive models
Application of optimization techniques
Communication of results to customers, business partners, and
college executives
Requires quantitative methods and evidence-based data for business
modeling and decision making
How is BA important to companies?
Make data-driven decisions
Conduct data mining (explore data to find new patterns and
relationships)
Complete statistical analysis and quantitative analysis to
explain why certain results occur
Test previous decisions using A/B testing and multivariate
testing
Make use of predictive modeling and predictive analytics to
forecast future results
Jobs in the BI/BA Category
Economist
Data Analyst
Data Engineer
BI Engineer
Business Analyst
Customer Insight Analyst
Statistician
BI Developer/Architect
A few BI/BA
jobs in
depth…
Data Analyst
Translate numbers into plain English
*Every business collects data, whether it's sales figures, market research, logistics, or
transportation costs
Takes data and uses it to help companies make better business decisions.
Different fields have data analysts
operations analysts, marketing analysts, financial analysts, etc.
Annual SalaryNational Average: $60,476
Business Analyst
Help businesses implement technology solutions in a cost-effective way by
determining the requirements of a project or program, and communicating
them clearly to stakeholders, facilitators and partners
Determine a project’s requirements by extracting them from business or
government policies, as well as from current and future users, through
interaction and research
Organize a project, set requirement constraints, translate and simplify
requirements, etc
Annual Salary
National Average: $65,973
BI Developer
Spends a lot of time researching and planning solutions for existing problems
within the company
Responsible for building OLAP, or online analytical processing
Also work with databases, both relational and multidimensional
Annual Salary
National Average: $82,126
Oxford, MS Area: $72,985
Business Intelligence Engineer
work closely with customers and BI Analysts to turn data into critical information
and knowledge that can be used to make sound business decisions
provide data that is accurate, congruent and reliable and is easily accessible
responsible for the full life cycle; development, implementation, production
support
performance tuning of the Enterprise Data Warehouse, Data Mart, and
Business Intelligence Reporting environments
support the integration of those systems with other applications
Annual Salary
How Companies Use Business
Intelligence
What is the component of B/I
Outline
1. The core components and the process of turning rata data into meaningful
information
2. How does B/I work in finance
a. Different forms of B/I usage
b. B/I tools usage
3. Application of B/I in Banking and Finance
4. Case Study
a. Banking and Finance
A few core components of a business intelligence deployment in turning raw data into
meaningful information:
Source data
ETL (Extract, Transfer, Load)
Data Warehouse
B/I starts with data, those
come from external source
Prepare accurate and
consistent data for analysis
Contain all the information from
business applications and systems.
ETL process ends with data being
loaded in warehouse
OLAP
Visualizations
Draft a real Dashboard
The Online Analytical
Processing (OLAP)
represents the front end. It
allows grouping,
aggregating, and sorting the
data
By using charts and graphs to
aid understanding the data
becomes more useful and
accessible to all users.
The dashboard presents reports
and visualization for all non-tech
users. Also allows users to
organize the information
How does B/I works in finance
Predict Financial Analytics
Financial Dashboard /
Visualization
Assessing Financial Risk
Stand. Data Infrastructure
Key Financial Performance Indicators
Different forms of B/I usage in finance
B/I usage can be grouped into the following:
1. Business operation reporting
2. Forecasting
3. Dashboard/ Forum
4. Multidimensional analysis
5. Finding the correlation among the factors
http://aberdeenessentials.com/wp-content/uploads/2016/06/iStock_88010939_SMALLe1467127587686.jpg
Different B/I usage (cont’)
Business operation reporting
The most common form of business
intelligence tool
Includes actuals, and how the actuals stack
up against the goals
Manifest in the weekly or monthly reports that
need to be produced
Forecasting
To correctly estimate what the future holds
Extrapolate from historical data, not just
simply guessing.
Different B/I usage (cont’d)
Dashboard
Primary purpose is to convey the information
Audience tend to drill down on the data
Presentation and ease of use are both important
for a dashboard use
Multidimensional analysis
Which is the “slicing and dicing” of the data
Offers good insight into more complex level.
Requires a solid data warehousing/ data mart
backend
Business-savvy analysts also get the important
Different B/I usage (cont’d)
Finding the correlation
Drive very deep into BI/BA
Like “how do different factors correlate to one
another?”
Is there a significant time which can be
anticipated?
B/I tools - Reports and Analysis
● Color charting is a feature in SuperCROSS,
○ illuminate hidden trends such as correlations
● Data aggregation / Manipulation / Dissemination
● Interpretation and analysis of complex, high volume data
B/I tools - Reports and Analysis (cont’d)
● This color charting feature uses color to highlight
potential relationships between variables and to help you
understand ranges and patterns
● Allows ad-hoc data analysis by using ‘drag & drop’
capability. Tables can be created very easily.
● Allows work with hierarchical classifications, includes
direct, acyclic graph hierarchies.
● Most common in non-governmental organizations
but used by many statisticians
B/I tools - Visualisation & API
Dashboard Widgets
Formatted reports published
● Visualization gives a bird eye’s view of the business operating information
● Allows you to create a web-like dashboard with structure reports,that have been constructed
with SuperSTAR Data Access API
B/I tools - Enterprise Data Management
● Makes decisions based on facts, rather than opinions.
● SuperDataHub unifies data management and comprehensively analyzes data in new ways.
● Does not require specialist training for using the program
● Offers:
○ Store, process and analyse
○ Upload in the Cloud
○ Allow the user to access,
○ Perform the ad-hoc queries
○ Export data, produce reports and share online.
Application of B/I in Banking and Finance
● Improved Operational Efficiencies
○ Need to be as lean and efficient as possible
○ Reduce ongoing cost, maximizing existing
resource and enterprise
● Improved Products and Services
○ Track individual revenue stream to better
determine the products
● Improved Marketing
○ Marketer can analyze CRM data based on the
criteria
○ Develop new cross-sell and up-sell opportunities
● Improved customer retention
● Developing new investment strategies
○ Investors gain the insight on sentiment and
developing trading signals by utilizing new data
● Risk Reduction
○ Track customer transaction histories and reduce
the uncertainty, like fraudulent activities.
B/I Case Study in Banking and Securities
● STAC lead to expand the size of big-data, by using big
compute which allowed for more efficiency and low latency
workloads
○ STAC-M3, STAC-A2
● “Big Data” technology in finance
○ Investment banking
○ Retail banking (commercial bank)
● Problems:
○ Too difficult or expensive to handle using traditional
technologies
■ Workload is cumbersome
■ Data scale or complexity
● 3Vs
○ Volume, variety, velocity
B/I Case Study in Banking and Securities (cont’d)
● STAC Benchmark ™ Council
○ STAC-M3 (analytics on large historical market data - trading)
○ STAC-A2 (market risk management - workloads across Wall Streets)
●
Business drive
○ Legal settlement requires improving transaction oversight and avoiding
the recurrence of sanctions
○ SEC’s Regulation SCI
○ Sarbanes-Oxley (SOX)
● Business Strategies
○ Accelerate the response time for analytics
○ Overcome rigidities in data integration
○ Automation of process
B/I Case Study in Banking and Securities (cont’d)
● Key Challenges in Big Data Tech
○ Security and entitlements
○ Multi-tenancy
○ Product and vendor maturity
○ Interop limitations
● Conclusion
○ Pros
■ Capability, improve agility, and reduce costs
○ Cons
■ Must overcome specific hurdles
https://www.youtube.com/watch?v=1RYKgj-QK4I
B/I Case Study (UPS)
●
Minimizing the driving time
●
Technician sought a system plan, called Orion,
to shorten On-Road Integrated Optimization and
Navigation.
●
Used 1,000 pages of code to analyze 200,000
possibilities for each route
●
UPS researched the different routes taken and
identified the best ways for deliveries.
●
The inefficiency of left turns waste money and
time
http://compass.ups.com/UPS-driver-avoid-left-turns/
B/I Case Study (UPS) cont’d
●
To minimize, if possible, eliminate left turns
●
Even though the driver needed to travel a greater distance, it
reduced package delivering time.
●
Between 2004 and 2012, UPS saved 10 million gallons of gas
○
Carbon emissions, includes carbon monoxide etc. were
reduced by 100,000 metric tons
○
Saved 98 million idle minutes / $25 million worth of labor
cost
●
Reduce cost / increase sales /
raise profitability / meet customer demand
https://www.youtube.com/watch?v=ZHqgpVsUfhI
B/I Case Study (LAPD)
●
Examined 13 million crimes over 80 years to predict the
crimes.
●
By using the mathematical model, the higher probability
risk for crime, the more patrol to neighboring regions
●
Uses the algorithm to predict the future crime, called
“mission map”, 500 sq ft in 12 hours watching.
●
Resulted in 12% decrease in property crime,
26% decrease in theft
https://www.youtube.com/watch?v=4NA-uUwabb0
Fun facts!
Business Intelligence market is predicted to be worth:
$20.81 billion by 2018
$26.78 billion by 2020
North America has the largest market of tool and the largest
Estimated 2.7 zetabytes of data exist in the world
The amount of data collected by businesses doubles every 1.2 years
Companies using analytics are 5x more likely to make decisions quicker
Sources
https://www.betterbuys.com/bi/history-of-business-intelligence/
http://www.pyramidanalytics.com/pages/blog/2016/02/brief-history-business-intelligence.aspx
https://www.panorama.com/blog/history-business-intelligence/
http://www.1keydata.com/datawarehousing/business-intelligence-uses.php
https://go.christiansteven.com/3-industries-that-use-business-intelligence-to-support-decision-making
https://www.glassdoor.com/Salaries/data-analyst-salary-SRCH_KO0,12.htm
https://www.betterbuys.com/bi/definitive-guide-bi/
https://spacetimeresearch.com/2014/06/business-intelligence-in-financial-planning-and-management/#.WLH6CjsrKUm
http://compass.ups.com/UPS-driver-avoid-left-turns/
http://businessintelligence.com/big-data-case-studies/lapd-fighting-crime-happens/
https://stacresearch.com/sites/default/files/d5root/BigDataCasesSTAC_may2014.pdf
Thank you!