Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

Advantages and disadvantages of "Business Intelligence" as a way of designing

intelligence in the small and medium business.

Silvana AS Quintanilha (UFF) silvanaquintanilha@gmail.com

Tricia Karla Lacerda Moraes (UFF) triciamoraes@gmail.com
Advisor: Hector M Quintela, DSc UERJ hquintel@unisys.com.br

summary

With the fall of the exchange rate in the last three years, the market of small and medium enterprises in Brazil is
growing, with consequent impact on their business, emerging new demands for technology focused on
competitiveness and strategy. Small and medium enterprises have begun to adopt business intelligence tools such as
Business Intelligence, among others, in order to boost its new business model. This work was born to explore this
new reality on the still existing gap in the Brazilian market, as the use of BI for small and medium enterprises.
Research is studied through literature and field research. Finally, it presents an analysis proposed by the SWOT
methodology, allowing point and explain the advantages and disadvantages of BI used as Competitive Intelligence in
business these organizations.

Keywords: Competitiveness, Strategy, Business Intelligence, SWOT.

Abstract

With the dollar devaluation in the last three years, the market of small and medium companies Have Been Increasing
in Brazil, with consequent impact in Their business, bringing new demands for technologies allied to Their
competitiveness and strategy. Small and medium business started Adopting intelligent tools like the Business
Intelligence ones, Among others, with the purpose to streamline Their new business model. This research originated
in order to explore the new reality Within the existing gap que still exists in Brazilian market, Considering the use of BI
by small and medium companies. The investigation is through Analyzed the bibliographical and field research. Finally
it presents an analysis Proposed by SWOT methodology,

Keywords: Business Intelligence, Data Warehouse, Data Mining.

1. Introduction

Technological advancement has given rise to new scenarios in commercial companies seeking rampant, practical
solutions and dynamics that can drive business and achieve results and alternatives that allow profit.
According Bolieiro (2008), in the world of information storm, it becomes necessary to obtain filter information, and Business

Intelligence ( BI) can help in two key things: reduce costs and increase revenue. This can be done by optimizing
processes through data analysis, improving products or creating new ones. Thus, companies, regardless of size, can
win new customers.

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

Today there are several offers, where competitive advantage is the primary option of the companies tend to set the
direction and strategy to be applied in the setting in which they are. The companies will be forced to seek this
technological advancement in order to maintain a more advanced position than the competition. Viewing its
competitiveness, the company will find a solution to your problem and at this stage, services and solutions can be
studied through a well structured project, with the view of well-defined costs and benefits, allowing complete and
define what is best for your business.

Referring to new products and services, the use of tools to meet more and more customers and their needs
(especially the best way to meet these needs), has been used by large companies in Brazil and the tools:

Data Warehouse ( DW) Data Mining ( DM) and Business Intelligence ( BI). Based on the publication Business
Intelligence - Learn how BI tools allow you to gather, store and analyze the data of all sizes companies (PC World
Extra, 2008), BI tools help businesses devise the profile of its customers, provide adequate support to each one of
them, conduct research and market segmentation, do statistical analysis and inventories, among countless other
applications. This information is available through reports to the board and senior management, to determine trends,
meet needs and better scale their decision making in order to generate beneficial changes that reflect directly in the
results.

2. Theoretical Framework

The theoretical framework used for development and analysis of this study were

Business Intelligence, implementation of key factors and BI in small and medium Brazilian companies market.

2.1 Business Intelligence

The term " Business Intelligence "Was created by Howard Dresner in 1989, when he was an analyst at Gartner. At the
time, according to China Martens (2006), the industry software He spoke in acronyms like Decision Support System ( DSS)
and Executive Information System ( EIS), and Dresner was looking for a phrase that would raise the debate on those
terms and define the best tools that allowed access to quantitative information and analysis thereof by a wide variety
of users.
Howard Dresner himself explains that coined the term without pretense of a technological focus only, and it is clear
that organizations really want to be successful, the focus is to be in business, not the technology, according to his
thinking. Bring people and processes together and align them with the organization's processes. Much more
important to check what the business is doing; the discussion about technology comes later (Eden, 2006). The
concept of Business Intelligence, according to Carlos Barbieri (2001), it can be understood as the use of various
sources of information to define competitiveness strategies in the business of a company.

Currently, globalization is transforming the corporate business model, and consequently has increased considerably
the demand for BI tools to meet the demand to manage the increasing mass of information, search and retrieval of
data, items that directly impact the process of decision making. The evolution of BI is promising, the growth of this
innovative technology platforms

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

consolidated, can further promote their availability anywhere, may be present on mobile devices, from a static point of
view in its initial performance for predictive analytics. Despite all stunning scenery that the concept of BI draws,
companies still have very careful with long-term projects, high investment and human capital used, creating barriers in
the tool development process.

According to Alexandre Alcntara (2003), you need to take care of the balance between employees investments
(usually high) and the results obtained. In addition, the implementation strategy must be aligned with organizational
goals.
Currently, according Horward Dresner, the concept of BI is a little different than originally intended when they talk
about how to deliver information to users without having to be an expert in operations research. Initially, some
companies have tried to make the most comprehensive term, including unstructured content. But it is clear that
structured information bring more value to the business (Eden,
2006). BI is in the middle, structured data is at one end and the users are in the other.

2.2 Key Factors for Implementation

A BI project must have good planning with the defined goal. In addition, there are other factors that should be
considered to provide success in environmental change with the adoption of the tool; for it is consistent manage the
activities carefully to ensure the return on investment. The question of the key factors goes beyond every time may
change depending on the related environment, there a number of variables that must be considered and managed,
thus avoiding the pitfalls that prevent the implementation and success of the project. For Miller, Brautigam, Gerlach
(2006) alone tool does not guarantee the success of the implementation, but the interaction of four business critical
dimensions (Figure 1):

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

Human capital

3
2
1
Infrastructure

54321

Knowledge Process
1234545
12

34

5
Culture
Source: (Adapted from Business Intelligence Competency Centers: A Team Approach to Maximizing Competitive Advantage, 2006)

Figure 1 - The four dimensions of the Evolution of Information Model

2.2.1 Dimension 1 - Human Capital:

Human capital consists of the skills of information of individuals within the organization and aspects of their
capabilities, recruitment, training, assessment, and alignment in accordance with the company's goals. This
dimension includes skills, critical and commitment to decisions on current events, training and improvement of skills
developed; gives the management the responsibility to support and direct the use of information in the organization.

Human capital includes the following elements:

- skills;
- Training;
- Alignment of individual and company objectives;
- Evolution of individual performance.
2.2.2 Dimension 2 - Knowledge Processes:
The processes of knowledge are where you provide as the related information must be performed and which describe
the processes in order to improve the flow and use of information, including governance. Also shows that the use of
information is tied directly, the performance objectives of a reward system and describes how the organization
supports its commitment for the strategic use of information in their business processes. Access to information is a
necessity, and

feedback Strategic is given to the use of information. The size of processes

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

knowledge includes the following elements:

- Role of information in decision making;
- Role of information in the sharing of corporate knowledge;
- Improved accuracy and quality of information.

2.2.3 Dimension 3 - Culture:

Culture refers to organizational and human influence on the flow of information. That is, the culture includes moral
standards, social, and conduct the organization, evidenced in attitudes, beliefs, priorities of its members, and is
related to the use and value of information as a corporate strategic asset over time. The characteristics of a
fact-based decision-culture include:

- Results - behavior and focus;

- Monitoring and rapid response to environmental changes;
- risk location;
- Knowledge of information for decision making;
- Creating an integrated environment, coordinated, collaborative and interdependent. Culture includes the
following elements:

- Level of cooperation;
- Responsibility for change;
- individual empowerment;
- continuous business improvement;

- Improve the management process;

- Relationships with customers;

- Evaluation of corporate performance;
- risk tolerance.
2.2.4 Dimension 4 - Infrastructure:
The infrastructure includes hardware, software, tools networking and technologies that create, manage, store,
disseminate and apply the information. What are the technologies and related information tools? What standards and
policies need to be implemented? It is in this dimension, which covers the tools and technologies; as well as related
standards, policies and best practices to support the use of information for decision making. The infrastructure
includes the following elements:

- hardware and software;

- Business Funding and technical metadata;

- Integration of data source;

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

- Maturity in the intelligence architecture.

These four critical dimensions business need to move cooperatively to be effective. If there is any significant
difference in the level of maturity shown by the human capital, the process knowledge, culture, and the dimensions of
the business infrastructure, organizational tension is evident as soon as the performance and use of the information
will be compromised.

3. BI in the small and medium Brazilian companies

In Brazil, from the 70, data processing begins to gain importance on a larger scale, attracting attention of "computer
professionals" to the important market that was born on the need for organizations to produce intelligence for
processing of this information for decision of management decisions as well as the control and modeling. Of course,
new technological means have emerged as elements of competitiveness, increasing competition between
technologies as well as the development of the IT market in Brazil. Thus begins the adoption of BI for large
companies, creating development tool in Brazil. Over time, the market for small and medium adhering shaft
incrementally Business Intelligence. The changes in the BI market for this sector companies in Brazil, show that
globalization was a determining factor for these organizations adhere to the new market model. For Jansen et al.
(2005), with globalization, it has become a worldwide trend the emergence of small and medium-sized companies
active internationally. But despite these companies are becoming critical participants in national economies and the
global business, to date, little is known about how they operate and thrive on this scenario [...] globalization, the
acceleration of technological change and innovation create opportunities for small and medium-sized enterprises, but
also involve costs and new challenges [...].

Faced with the question of the cost of the product, many companies have certain shyness for investment initiatives,
and in order to exploit this potential market for new clients, many BI tool providers invest in features to hook small and
medium Brazilian companies. They seek to engage in competitive advantage tool to meet some customers in this
segment, for example, provide modular licenses without minimal number of licenses and / or integration with
applications. According to Habermann (2007), pressured by costs, a number of small and medium enterprises seek
insufficient technological solutions, without being able to invest effort to the initiative of the business intelligence
focused strategy, taking risks of not having the expected return.

Many small businesses do not have a definite reference to information technology strategy. Quintella and Costa
(1997), in "The Information Technology and Change of Paradigm Competitive" suggests a way of classification of
information in business enterprises, proving to be possible to identify the strategic objectives of an organization
observing the form of use of resources Computing. In the Brazilian scenario, there are companies whose processes
are initially incomplete, informal and unsophisticated need to align yourself with the right strategies according to the
market demand. According to Rezende (2003), the concept of strategic planning at the moment is paramount.
Strategic planning is a dynamic and interactive process to determine objectives, policies and strategies (current and

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

future) the business or organizational functions and procedures of organizations. [...] Adopting a strategic planning,
small and medium-sized enterprises can clearly define its position in the market through the analysis of items such as:
competition, buyers and suppliers, trends, competitive moves, mapping groups strategic and own scenario in which
they operate. [...] Data and information should be available to the right people, in the expected format, the desired
time and place. From there, the information becomes a strategic value feature to generate competitive advantages
and market advantages.

Another concept that has been changing over the tool in Brazil is its progressive expansion within the corporate
environment. According Abelln (2007), formerly with the emergence of BI in the Brazilian market, companies the
they adopted for the directors, executives, decision makers, have numerical data and graphics resources to chart the
best strategies and decide for better decision making. The sharing of knowledge was restricted to a small group of the
corporation. However, the picture has changed significantly. Currently, companies are beginning to use BI to support
the entire business process, ie, the BI becomes a commonly used tool in corporations, becoming massiveness.

In addition, the proper use of a BI system has the potential to provide new ways of understanding the data that the
company has, therefore new information, capable of generating a new understanding or knowledge, to the end user.
BI has a strong connection with the technological part of knowledge management (PARREIRA; MATHEUS, 2004).
According Abelln (2007), this change in the way of using BI in companies, was singled out long ago by one of the
research directors International Data Corporation ( IDC), which is becoming reality. "BI does not mean only give
information to people, but generate support for any corporate decision, from all departments and levels. You can
generate revenue even used externally," said Dan Vesset, research director of Analytics & Data Warehousing, IDC

Corp.

recently published research indicate that companies tend to invest in BI. According to Gartner, the global market for
Business Intelligence Platforms grew 13% in 2007 compared to 2006 (CIO, 2008). Investments are expected to
increase 11 percent in 2008 to 5.8 billion dollars and by 2012, the global market for BI must be worth 7.7 billion
dollars, said the Gartner (Reuters, 2008). This leveraged BI will reach in Brazil the market for small and medium-sized
companies, from the perspective of Gartner Dataquest (2008); this will cause the emergence of new non-traditional
suppliers, who are entering the BI tools market in order to win these new customers by offering very low prices or a
great discount on their products. Based on Cunha (2008),

3. Formulation of the problem

With globalization, the current situation of the world market boosted competitiveness, boosting corporate society to
seek solutions to the competitive demand, promoting the adoption of strategic tools. O Business Intelligence It is one of
them. Currently in Brazil, most of the BI market belongs to big business; small and medium-sized companies still
resist the implementation of BI for different reasons, either

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

for lack of knowledge of technology for financial reasons or credibility. Thus, given the still existing gap in the market
of small and medium enterprises as the non adoption of the tool Business Intelligence, the question arises of the
research is to point out and explain advantages and disadvantages of BI as a way to design the competitive
intelligence business in this sector.

4. Methodology

This paper presents the study through field research, forming an exploratory research through interviews and
questionnaires. It conducted two types of application forms: a questionnaire for users of Business Intelligence It
belongs to the small and medium enterprise sector and an interview aimed at tool consultants.

The questionnaire aimed at small and medium-sized enterprises aimed to interpret the scene through the unique
vision of the researchers. This survey gathered important data professionals working in this sector from key users to
executives directly linked to decision-making and / or dependents of intelligent information from a BI system; It was
possible to analyze the performance of BI in various scenarios in order to verify the questioning of the needs required
for the project, objective implementation, tool acceptance, identification of current users, the benefits, advantages and
application of disadvantages.

The interview focused professionals who act as consultants Business Intelligence,

aimed to reap the following data: time acting as a tool consultant, professional experience regarding the number of
companies who served with BI, your opinion on the BI market outlook in Brazil relating to the small sector and
medium-sized enterprises, appointment of the critical factors for the success of the project, the reasons that can
stimulate or retract the adoption of the tool by companies, the ERP is a driving force for adoption of BI and finally the
advantages and disadvantages of the application. No objective of this study was to determine concepts about the
problem in question, for this reason were included in the questionnaire and the interview aimed at analysis and
interpretation in order to contribute to the theme of improvement. There is the possibility of the answers are distorted
by possible reasons as: tendency to not register a negative view of your company, inadequacy of the questionnaire
itself related to excess questions or the method used and other factors that may influence the participant's responses.
Finally, we present an analysis proposed by the SWOT methodology, allowing point and explain the advantages and
disadvantages of BI used as Competitive Intelligence in business these organizations.

5. results
Data analysis was done separately for the questionnaire, interviews and a comparison between the two structures.
The sample obtained from 7 BI users is grouped by users from different corporate areas such as: Insurance Analyst,
Materials Analyst, Project Manager, Data Analyst, IT Specialist, BI analysts and systems.
All companies have one thing in common: the participation only of executives and

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

Key users as tool users.

From the results shown in Table 1, it is found that 71.4% of companies use Business Intelligence There are more than
one and less than three; only 28.6% use more than three years.
It found that 85.7% of companies using a BI solution to streamline their business, consider that the item of greatest
emphasis to determine the choice of adoption of the tool is the product adherence to management needs. The item
value of the product comes second with the weight of 14.3%, demonstrating that certain economic environments of
small and medium Brazilian companies have financial investment initiatives demanded by BI projects, focusing on the
foreground the management needs and better quality in decisions, aiming to return and productivity. The results
reported that 85.7% of companies had additional costs for environmental adaptation for the installation of BI; This
point increases project costs and it is assumed that for small and medium enterprises is a disadvantage.

An interesting factor is that all companies that had acceptance of its users regarding the use of BI, there are promising
expectations of future implementation of system modules in other areas of the company, demonstrating the success
and return achieved by the tool.
The table and graph below show the main results of the questionnaire:
Item

Amount

Using BI for more than 3 years

Adoption emphasizing the management needs

Additional costs for environmental adaptation

post-implementation acceptance

Expected future implementation in other areas

Users are executives and key users

final product reached goal

Source: (Authors, 2007)

Table 1 - Main results of the questionnaire

The question of the dissemination tool for other users who are not in the group of executives and key users, as shown
in Table 2, the answers were "no" (57.1%). The view of the professionals, the other users are not prepared to handle
the tool, making it unfeasible because it is information at a strategic level of business; the degree of access
agreement should remain the decision makers level with the success factor of criticality.

Item

Amount

Approved the use of the tool

Disapprove the use of the tool

Source: (Authors, 2007)

Table 2 - approval level using the BI by non-core users

Regarding the major benefits brought to the company with the use of BI to decision-making, Table 3 points by
classifying the most important item

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

is appointed Agility (100%). According to the responses, the BI is a fast and practical tool, showing a characteristic
that should prevail for the market of small and medium-sized enterprises for ease of use.

major benefits
100.0%

100.0%

90.0%

85.7%

85.7%
71.4%

80.0%
70.0%

Practicality

60.0%

Security

50.0%

Agility

40.0%
percentage

Quickness

30.0%
20.0%
10.0%

0.0%

surveyed items
Source: (Authors, 2007)

Figure 4 - More Benefits

The question of the main benefits generated by BI, the distribution shown in Figure
1, indicates that making more effective decision and business improvement (100%) are the main points considered as
competitive advantages. The management reports (85.7%) are also tools that add values in decision making.

Advantages of BI
100.0%

100.0%

Flexibility

100.0%
85.7%

90.0%

business knowledge

80.0%

more effective decision

70.0%
57.1%

60.0%
50.0%

making
Competitiveness

42.9%

40.0%
percentage
30.0%

Improving Management
reports Business

20.0%
10.0%
0.0%

surveyed items
Source: (Authors, 2007)

57.1%

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

Figure 5 - BI Benefits

Regarding the disadvantages of the BI application, as shown in Figure 6, we find that the cost (85.7%) is a factor of
greater emphasis on downside question.

Disadvantages of BI

90.0%

85.7%

Cost

80.0%

Support

70.0%
60.0%
50.0%

57.1%

Extra expenses hardware

and software ROI

42.9%

40.0%

percentage
30.0%

Restriction of users
14.3%

20.0%

14.3%

10.0%

0.0%

surveyed items
Source: (Authors, 2007)

Figure 6 - BI Disadvantages

The second group is evaluated by consultants from BI tool. All have in their upper profile training time working with BI
tools ranging from 1-14 years, the number of companies worked with BI project ranging from 1-20 companies.
Respondents have different activities within the functions they perform with the tool, such as: Analysis, Study and
Generation Campaigns Marketing, System Architecture, Implementation, Maintenance, Migration, Support, Database
Projects for BI applications.

Reaping the views of respondents on the BI market in Brazil, the highlight was the sector of large enterprises but also
the largest market tool and we can see a bullish trend for the sector of small and medium-sized enterprises, but
adoption is still small despite significant progress in recent years verified by market research. It is a recent trend that
is not yet fully consolidated due to the financial situation of small and medium-sized Brazilian companies. Table 1
below summarizes the extent of adoption of BI in the Brazilian market and the reason for this ratio recorded,
according to the vision and experience of respondents:

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

Degree of Adoption

Sector

General Comments

- Take growth;
- Adoption depends on the market segment;

Small and Medium Enterprises Low

- Costs and possible risks generate barriers to investments

in competitive intelligence.
- heated and constant market rise;

Big companies

High

- fundamental tool for their business and competitiveness.

Source: (Authors, 2007)

Table 1 - Business Intelligence Market in Brazil

It was observed that the value of BI is the major impediment to adoption factor tool. In the current Brazilian market, small and medium
enterprises walk protecting themselves from high investments and losses; to have a budget available, tend to invest according to their
priority in other systems, such as the adoption of an ERP system. Respondents reported, based on the scenario of their knowledge, that
the highest proportion of adoption of BI in this sector occurs mainly in companies that have adopted an ERP system. During use of the
system begin to realize what is the real aim of the ERP and that alone can not work the data to provide relevant strategic information;
making it a matter of no return to business: either invest more or not have what want. It all depends on the degree of the company's
management maturity. When companies adopt an ERP knowing their objectivity, they tend to adopt BI because obviously there is the
strong need for a competitive intelligence tool for the end user. Then there arose a new question: Small and medium-sized enterprises to
adopt an ERP really aware of their pontecialidade? The sure ERP was the fuel of many BI deployments in Brazil, but it is not the
determining factor companies with a vision of long-term market looking for all the analytical tools available as BI, whether or not linked to
an ERP - yet ERP provides easy integration and therefore a lower initial cost, but this reality is more geared to big business. Another
problem identified in this item for adoption of a BI tool for competitive intelligence in small business and medium-sized enterprises is that
this sector is still in the process of continuous improvement for the organization as it is lacking in strategic and organizational planning;
This alignment is essential for the mentality of management changes and better understand their processes in order to value the need for
investment in intelligence tools that can provide strategic information to corroborate the decision making process of their business and
leverage their competitiveness. When asked about the investment of some BI vendors to hook the small and medium business market by
creating intuitive features generating facilities in the use of user-tool, modular solutions to customer choice, no minimum number of
licenses or integration with applications already used by the company, for example, to value the need for investment in intelligence tools
that can provide strategic information to corroborate the decision making process of their business and leverage their competitiveness.
When asked about the investment of some BI vendors to hook the small and medium business market by creating intuitive features
generating facilities in the use of user-tool, modular solutions to customer choice, no minimum number of licenses or integration with
applications already used by the company, for example, to value the need for investment in intelligence tools that can provide strategic
information to corroborate the decision making process of their business and leverage their competitiveness. When asked about the
investment of some BI vendors to hook the small and medium business market by creating intuitive features generating facilities in the
use of user-tool, modular solutions to customer choice, no minimum number of licenses or integration with applications already used by
the company, for example, MS-Office; opinion is divided: 50% believe it is a big draw, but the market is lacking in BI consultants who know
this potential in order to disseminate the product and deliver more affordable and accessible designs for this type of customer, besides
the record that applications predesigned are less flexible and as a result of information extraction becomes limited, however can serve
this sector. The other 50% are emphatic: Do not believe this trend; for not having knowledge of the subject or to believe that the
objectivity of the product is to be considered in adopting

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

tool for this sector.

Table 2 identifies, according to the market experience of the respondents, the main critical factors of a BI project as
far as that can prevent the adoption of the tool by small and medium enterprises as well as those who can provide
success to those who adopt the solution .

BI project

Offside Adoption

Successfully Adoption

- Cost X benefit;
- Cost;
- Lack of priority on IT investments;
Critical factors

- Lack of necessary infrastructure;

- Fame of unsuccessful projects;
- Lack of vision and knowledge tool.

- Efficient Schedule;
- Focus;

- Type of methodology used;

- Requirements gathering and
mapping;
- Company have knowledge of your business
process;
- Involvement of all participants.

Source: (Authors, 2007)

Table 2 - Critical Factors that prevent the adoption or promote a successful BI project

On the main drawback of the application of BI in small and medium enterprises, the high cost of the tool is the most pointed. As
previously reported, the industry these companies often lack the capital needed to make the project viable. In addition, there may be the
need to adapt the operating environment for implentao BI, generating hardware costs and probably software; besides expenses with
labor, skilled labor can arise, for example, hiring programmers, etc. Support is also pointed out as an expensive item due to maintenance
and necessary update the system version. There is a large index of unsuccessful projects for lack of business focus and involved in the
process, according to respondents. Lack also, in many cases, maturity management to work with windows and many details that can
confuse or hinder the strategic analysis. Therefore, in many cases the learning curve on the use tool is considered slow and detrimental
to the success of BI in the organization. This scenario shows the importance of a BI project to work training of users, emphasizing its
pontencialidade and thus overcome the difficulties in the use of the system. ROI is also a significant factor, because the small and
medium enterprises tend to avoid This scenario shows the importance of a BI project to work training of users, emphasizing its
pontencialidade and thus overcome the difficulties in the use of the system. ROI is also a significant factor, because the small and
medium enterprises tend to avoid This scenario shows the importance of a BI project to work training of users, emphasizing its
pontencialidade and thus overcome the difficulties in the use of the system. ROI is also a significant factor, because the small and
medium enterprises tend to avoid payback long, and how the Brazilian market today is in the stabilization phase, few companies want to
run the risk of adopting a long and expensive project, because any change in the market can lead small and medium enterprises face
significant difficulties if they are not prepared to crisis.

Within the application of the advantages of BI, cited by respondents in the setting of small and medium-sized
enterprises, agility is seen as a significant advantage, therefore decision-making is fast and efficient, which directly
impacts the strategic management, allowing greater capacity identify new potential scenarios of business in smaller
spaces of time than companies that do not have a BI tool. The information that can be used to corroborate the
company's results are endless, with reliability and security. The business knowledge is also considered important due
to the fact the record established history of the business and can map previous errors and generate predictive
analytics market situations.

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

human, material, etc. You can apply it to any task that requires management. Table 3 shows the advantages and
disadvantages according to respondents:

BI application

Advantages

Disadvantages

- Agility;

- Cost;

- business knowledge;

- Additional spending on infrastructure;

- effective decision making;

- Reliability and security;

- Failure after implentao generated by lack

Small and Medium

- operational resources

of focus;

Business

management;

- Turn slow learning by users;

- Competitiveness;
- predictive analytics;

- Support;

- Better strategic management.

- ROI.

Source: (Authors, 2007)

Table 3 - Advantages and Disadvantages of BI application in Small and Medium Enterprises

4. Conclusion

The presented analysis, BI stands out in today's global society where information is strategic and competitive factor.
For large companies it is essential to adopt an intelligence tool; It is this layer that BI has its peak regarding the
adoption. As for small and medium enterprises, the gap in the Brazilian market related to the non-adoption of BI is
immense, despite the sector being appointed by the research as promising. Analyzing the environment in which small
and medium-sized enterprises are currently podese out, based on the SWOT model ( strenghts, Weaknesses,

Opportunities, Threats) the opportunities and threats, strengths and weaknesses that inhibit or accelerate the growth
of investments in technology for better management of business strategies and decision making, achieving greater
development in all its activities. opportunities:

- The business knowledge : Creates foundation for the company regarding the making
decision, the operation of markets, security of its processes.
- The Business Intelligence Gera skills and competencies to achieve results.
- Competitiveness : Increases the chance of improving business. threats:

- Marketplace : You can oscillate and generate a insesperada crisis for the company.

- Competition : It is the largest device that provides market loss.

- other priorities : Unleash investments in other areas. Forces:

- Product : It is the biggest incentive to adopt on development improvements

technology of a company, in order to evolve its production processso.
- results : Directly reflect the evolution of the overall investment.
- Add Maturity : It is what generates the power to define the investment direction
strategic organization. weaknesses:

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

- Budget : It is the variable that prevents most of the time, investment in technology,
plus a current trend where companies develop internal cost reduction projects.
- Lack of knowledge about technology : It shows the lack of knowledge about what the
technology can offer as return on investment for the business; this reflects directly on the delay of the business
evolution of this sector.
- Lack of strategic planning : It implies lack of business vision long
period, thereby inhibiting investments.

As Table 4, we can see the model applied:

opportunities:

Forces:

business knowledge; Intelligence

Product; results; Maturity

business; Competitiveness.

management.

threats:

weaknesses:

Marketplace;

Budget;

Competition; Other

Lack of knowledge about technology; Lack of strategic

priorities.

planning.

Source: (Authors, 2007)

Table 4 - SWOT Model

To achieve the objective of this work, the conclusion is provided by the set of data provided by users and tool
consultants, confrotando a real scenario with the initial assumption of work, confirming the essential role of IT in
business by addressing here held on the BI.
Compared disadvantages are absolute: cost, additional expenses in infrastructure, support and ROI. Evidenced the
reality of the sector in Brazil, long projects and bold are still far from the priority of small and medium-sized
enterprises. Majority has not yet reached its organizational maturity, which is critical for the adoption of a strategic
plan in order to exploit their potential, and therefore the accession of investments needed to support the strategy and
market competitiveness.

Obviously for this cited slice, intellectual capital representato by all intagveis company assets, such as knowledge
(knowledge that can be treated on all aspects: product, competition, process, technology, capital human), it is still a
scenario to be explored by this sector and this is also reflected in their organizational maturity.

Analyzing technological and methodological part, it identifies that the use of the tools that support BI, such as a
database, is still a problem for small and medium-sized companies in relation to the budget, because they generate
additional costs. Today there is a market opportunity to acquire free data bank and insurance that can be
professionally used and does not involve large investments in infrastructure, but the problem is that companies do not
have technical knowledge or specialized professionals to develop this type of environment, They have no position to
hire a specialized consulting firm to do a mapping of the scene and indicate a diagnosis. Adding also that the results
of the research,

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

a layer that is still to be explored. Many are unaware solutions with affordable they could offer to the profile of these
companies a usable product, such as a specific package created to users of this sector by offering ease of use and
other benefits.
There is also a grotesque lack of specialized professionals to meet this sector; it was identified that many
professionals are poorly prepared or just serve large companies.
It is concluded that the main advantages of BI are effective decision-making and business improvement. Through the
results it is confirmed that small and medium-sized enterprises adopted the BI changed this scenario occurred and
the actual projection of the business with the adoption of the tool. The business development is a reality (evident that
within a good project implementation).
Other vantangens naturally arise, such as: Good management reports, predictive analytics, agility, resource
management, business knowledge. These become concrete from the moment that there is a tool of stability for user
acceptance; springing another critical factor for competitive advantage take place: the human resource. Professionals
who deal with intelligence solutions such as BI, is presumed to have a good intellectual and professional level,
because this is the professional who will use the information provided by BI and make this decision, what directly
impacts the results. Important to emphasize the need for investment in training and dissiminao of BI user culture in
the company, because it is no use to invest in technology if the users are unprepared.

Finally, strategic management is underpinned by the agility dimensions, reliability and security are other advantages
of BI, ensuring the expected quality that promotes increased competitiveness in an active market.

References:
ABELLN, Mark. Business Intelligence for the masses. System is gaining ground in companies. Available in
<http://www.clientesa.com.br/artigos/?pag=matintegra&matID=28608>. Accessed on 12 August 2007. ALCNTARA Alexander. Business
Intelligence - Producing Results. DataModelling, 2003. Available at
<http://www.datamodelling.com.br/index.php?option=com_docman&task=doc_details&gid=3&Itemid=43>. Accessed on: July 8, 2008.

BARBIERI, Carlos. BI - Business Intelligence - Modeling & Technology. Axcel Books, 2001. p.2-5, p.34-51,
P. 51-66, p.178-179.
Gartner Dataquest, Online Journal - Corporate Info - Have Business Intelligence (BI) is a high priority for CIOs. Gartner Dataquest, 2008. p.3.
Available at: <http://info.abril.com.br/corporate/gartner/terbusiness-intelligence-bi-e-alta-prioridade-para-os-cios.shtml?3>. Accessed on: 09 Oct
2008 CUNHA, Lilian. Magazine TI Inside - The turn. Issue # 37 - Year 8 - May / 2008. Available at:
<http://www.tiinside.com.br/Revista.aspx?ID=92211>. Accessed on: 09 Oct 2008.

Bolieiro, Flavio. Extra PC World Magazine - Business Intelligence - Learn how BI tools allow you to gather, store and analyze the data
companies of all sizes. Writing of PC World,
2008. p.5. Available at: <http://pcworld.uol.com.br/reportagens/2008/01/14/gratis-um-guia-completo-de-bipara-quem-usa-a-inteligencia-em-seus-negocios- 1 />.
Accessed on: January 16, 2008.

PC World Extra - Business Intelligence - Learn how BI tools allow you to gather, store and analyze the data companies of all sizes, Magazine.
PC Writing WORLD, 2008. p.6. Available in:
<http://pcworld.uol.com.br/reportagens/2008/01/14/gratis-um-guia-completo-de-bi-para-quem-usa-aintelligence-in-your-Business-1 />. Accessed on: January 16, 2008.

CIO Magazine. BI market grows 13% in 2007. Writing of Computerworld, 2008. Available at <

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http://cio.uol.com.br/tecnologia/2008/06/19/mercado-de-bi-cresce-13-em-2007/>. Accessed on: 08 July 2008. EDEN,

Scott.

Q & A:

BI

Visionary

Howard

Dresner.

Available

in

<

http://www.intelligententerprise.com/showArticle.jhtml?articleID=181501967&pgno=1>. Accessed on: March 24

2007.
HABERMANN, Renato. Business

Intelligence for small

companies. Available

in <

http://webinsider.uol.com.br/index.php/2006/07/08/business-intelligence-para-pequenas-empresas/>. Accessed on 13 August 2007.

JANSEN, Leila Keiko Canegusuco; ROTONDARO, Roberto Gilioli; JANSEN, Jos Ulysses. Survival strategies for small and medium
enterprises in global environments: a case study of the electronics sector. Magazine Management & Production, v.12, n.3, set-December 2005,
p.405-416. Available in <http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0104-530X2005000300010&lng=en&nrm=iso>. Access 04 in
August 2007. MARTENS,
China.

future

of

BI.

Available

<Http://cio.uol.com.br/tecnologia/2006/09/26/idgnoticia.2006-09-26.2223541607/IDGNoticia_view>.

in
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: 24 March 2007.
MILLER, Gloria J .; BRUTIGAM, Dagmar; GERLACH, Stefanie V. Business Intelligence Competency Centers: A Team Approach to
Maximizing Competitive Advantage. John Wiley & Sons, 2006. Available at <http://www.books24x7.com>. Access on 10 August 2007.

PARREIRA, Fernando S .; MATHEUS, Renato F. Business Intelligence versus Business Intelligence:

complementary approaches to support decision-making in Brazil. Program Graduate Diploma in Information Science (PPCGI), Federal
University of Minas Gerais (UFMG), KMBrasil2004 - Annual Congress of the Brazilian Society of Knowledge Management, 3, 2004. Available at
<
http://www.fernando.parreiras.nom.br/publicacoes/ie_bi.pdf>. Access on 30 October 2008. QUINTELLA Hector LMM; COSTA Sergio G.
Computing and changing the competitive paradigm. Article Magazine Technical Economic Environment, IBRE FGV, v51, March p.34-38,1997.
REUTERS. Gartner sees high of 11% in spending on business intelligence in 2008. UOL Technology, 2008. Available at
<http://tecnologia.uol.com.br/ultnot/reuters/2008/04/01/ult3949u3457.jhtm>. Accessed on: July 9
2008.
REZENDE, DA Methodology for strategic planning project information aligned to strategic planning: the experience of Senac - PR. Ci.-INF.,
Braslia, v.32, n.3, p.147, Sept./Dec. 2003. Available
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<http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0100-

19652003000300017 & lng = en & nrm iso =>. Accessed on: August 4, 2007.

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

APPENDIX A - Questionnaire for BI users

THIS QUIZ IS PART OF A FIELD RESEARCH THAT WILL BE USED IN SILVANA MONOGRAPH A. SILVA
QUINTANILHA And Tricia KARLA LACERDA MORAES, ON THE THEME "ADVANTAGES AND
DISADVANTAGES OF HOW TO DESIGN FASHION BUSINESS INTELLIGENCE COMPETITIVE
INTELLIGENCE IN SMALL AND MEDIUM BUSINESS "Graduate Student MBA IN THE ADMINISTRATION AND
SYSTEMS
INFORMATION OF Fluminense Federal University.

We appreciate COOPERATION YOUR

QUIZ

1. POSITION IN THE COMPANY:

2. HOW MUCH TIME IS YOUR COMPANY USES BI?

0 A 1 YEAR 1 YEAR 2 YEARS
2 TO 3 YEARS MORE THAN
3 YEARS:

3. IN YOUR COMPANY, THE CHOICE FOR SOLUTION (PRODUCT) BI

SAW WITH GREATER EMPHASIS:
GRIP THE NEEDS VALUE MANAGEMENT SOLUTION
OTHER:

4. THE COMPANY HAD ADDITIONAL COSTS FOR ENVIRONMENTAL ADAPTATION TO

INSTALLING BI?
YES

NO
OTHER RESPONSE:
5. BI PRODUCT HAS BEEN WELL ACCEPTED BY THE COMPANY AND USERS?

YES
NO
OTHER RESPONSE:
6. IF THE SOLUTION BI ADOPTED BY YOUR COMPANY WAS BASED ON
MODULES, YOU BELIEVE THAT Facilitated CREATING A TOOL OF THE USE OF CULTURE, AND AN
EXPECTATION OF IMPLENTAO FUTURE IN OTHER AREAS OF THE COMPANY?
YES
NO

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

OTHER RESPONSE:

7. WHO ARE THE USERS BI?

JUST BUSINESS
BUSINESS USERS AND OTHER KEY
RESPONSE:
8. DO YOU THINK THAT OTHER USERS OF THE COMPANY SHOULD HAVE ACCESS TO

TOOL? BECAUSE?
YES. WHY: NO.
BECAUSE:

9. TOOL REACHED THE PURPOSE OF GENERATING decisional information?

YES
NO
OTHER RESPONSE:
10. FOR YOU BROUGHT THE BIGGEST BENEFIT FOR YOUR COMPANY IN USE
BI IN DECISION MAKING IS (ARE):
SAFETY
PRACTICALITY
SPEED AGILITY
ALL
OTHER RESPONSE:

11. Basing IN BI USE OF EXPERIENCE IN YOUR COMPANY FOR

YOU LARGEST BI APPLICATION OF BENEFITS FOR SMALL AND MEDIUM-SIZED ENTERPRISES ARE:
FLEXIBILITY
KNOWLEDGE BUSINESS DECISION MAKING
MORE EFFECTIVE COMPETITIVENESS
IMPROVEMENT OF BUSINESS MANAGEMENT
REPORTS ALL

OTHER RESPONSE:

12. Basing IN BI USE OF EXPERIENCE IN YOUR COMPANY FOR

YOU LARGEST DISADVANTAGES OF BI APPLICATION FOR SMALL AND MEDIUM ENTERPRISES
ARE:
COST
SUPPORT
EXTRA COSTS WITH HARDWARE AND SOFTWARE ROI
RESTRICTION ALL USERS
OTHER RESPONSE:

Thanks.

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

Send the questionnaire to the following e-mails:

silvanna00@hotmail.com , triciamoraes@gmail.com.br

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

ANNEX B - Interview for BI consultants

THIS INTERVIEW IS PART OF A THAT FIELD RESEARCH WILL BE USED IN SILVANA MONOGRAPH SILVA
QUINTANILHA And Tricia KARLA LACERDA MORAES, ON THE THEME "ADVANTAGES AND BUSINESS OF
THE DISADVANTAGES INTELLIGENCE AS A FORM OF DESIGNING A COMPETITIVE INTELLIGENCE IN
SMALL AND MEDIUM BUSINESS" , post-graduate MBA IN THE ADMINISTRATION AND SYSTEMS
INFORMATION OF Fluminense Federal University.

We appreciate COOPERATION YOUR (the company name, the respondent

and the data will be kept confidential)
INTERVIEW WITH CONSULTANT BI
Name:
Formation:
Companies where BI has provided consulting:

Time working as BI Consultant:

1. Describe, in general, on the main activity as BI consultant.

2. In your opinion, how is the BI market in Brazil today? are still the
large companies the main consumer tool? And how is the BI market for the layer of small and medium-sized
enterprises?

3. Today in Brazil, there is still resistance on the adoption of BI for small and
medium-sized enterprises. Based on his professional experience, describe (s) factor (s) critical to prevent
the adoption of a BI project in this market.

4. Our study focuses on the gap in the Brazilian market related to adoption of BI
for small and medium enterprises, then we will direct the interview for this market from this point. Small and
medium-sized enterprises that adopt the solution in your opinion, what is the critical factor for what the
project is successful? Methodology? Deadline?

Advantages and Disadvantages of "Business Intelligence" as a way to design the intelligence in the small and medium business.

5. What common point in evaluating the adoption of BI that small and medium-sized enterprises

different segments have (eg value of the product, additional expenses such as staff allocation and / or
hardware software, technical support, ROI)? Do you believe that these competitive advantages can make
the customer give up the project or put it in " stand-by "? Explain.

6. As a consultant, you have access to multiple scenarios, could say that BI adopted
by small and medium-sized enterprises occurs with a higher proportion in the companies that use an ERP
system? Because?

7. On the market today are already suppliers that invest in intuitive features
to hook medium and small enterprises, such as BI packages that are modular, no minimum number of
licenses and integration with key applications such as MS-Office, making it more transparent environment.
Do you believe that this is attractive in this segment?

8. Point and explain the main disadvantages of applying BI to small and

medium-sized enterprises.

9. Point and explain the main advantages of application of BI for small and medium
companies.

10. I would like to do some comment on the subject?

Thanks.
Send the interview to the following e-mails:
silvanna00@hotmail.com , triciamoraes@gmail.com.br