Professional Documents
Culture Documents
Ibm Assigment 15
Ibm Assigment 15
Predictive analytics needs knowledge for initial analysis, model development, model
testing, and model maintenance. This knowledge usually must be raw and careful.
several corporations have an information warehouse in situ and its existence
facilitates prognostic analytics. However, providing a robust knowledge infrastructure
is obtaining a lot of complicated. metal administrators ought to rely on the role and
use of appliances, the cloud, software package as a service, columnar databases, in-
memory analytics, in-data base analytics, grid computing, knowledge federation, and
more. a number of the advanced analytics area unit best served by analytical
sandboxes that permit knowledge to be analysed on the desktop or in physical or
logical knowledge repositories. Then there's the requirement to accommodate huge
knowledge and new technologies like Hadoop and MapReduce. the image is of
Yahoo's Hadoop cluster. The International Institute for Analytics predicts that huge
knowledge analytics can prime all different areas of growth in analytics throughout
2012 because of the speedy growth of social, mobile, location and transaction-based
knowledge. there's a shortage of individuals UN agency have the abilities for
operating with and analysing huge knowledge. whereas we tend to ordinarily suppose
that prognostic analytics and knowledge warehouses go along, this is not invariably
the case. Scientific researchers have developed strong prognostic models for years
victimization terribly specific knowledge sets. This use may be a little bit of AN
outlier, however. A 2011 Bloomberg BusinessWeek study found that knowledge is
that the preferred challenge within the adoption of analytics.
3.EXAMPLES AND TYPES OF BI
In OLTP system dealing with customer demographic data bases data that could be fed
would be
1.increase customer credit limit
2.change in customer salary level
Correspondingly in the OLAP system query that could be executed would be can
customer profile changes support higher product price
Example 2:
A hotel owner uses BI analytical applications to gather statistical information
regarding average occupancy and room rate. It helps to find aggregate revenue
generated per room.
It also collects statistics on market share and data from customer surveys from each
hotel to decides its competitive position in various markets.
By analysing these trends year by year, month by month and day by day helps
management to offer discounts on room rentals.
Example 3:
A bank gives branch managers access to BI applications. It helps branch manager to
determine who are the most profitable customers and which customers they should
work on.
The use of BI tools frees information technology staff from the task of generating
analytical reports for the departments. It also gives department personnel access to a
richer data source.
3.2 TYPES OF BI:-
Data and what businesses do with it has become a popular science. Many take some
steps to track and analyze important data, and from that make decisions or changes to
their current strategies. The use of data to make better decisions is commonly referred
to as Business Intelligence (BI). But, did you know that there are more types of BI
you could be using?
Business Intelligence is generally divided into four different categories which are
comprised of different types of BI that businesses working with data should be aware
of.
Reporting
Reporting focuses on developing documents with valuable information, telling the
reader what happened. They usually cover a time span that is determined by the writer
of the report and can provide information on the whole company’s activities, or be as
simple as a weekly report which looks at your Facebook campaign.
Many BI professionals will call the reports generated from BI efforts Standard
Reports – a record of past activities and data.
Analysis
Analysis looks at why something happened. This is an important part of BI, because
data by itself is useless. It only become useful when it has been analyzed and turned
into something that we can interpret and understand. There are three common types of
analysis:
Monitoring
One of the more useful functions of BI is that you can often monitor data and
information in real-time, or close to it anyway. This can be interesting for getting
snapshots between reporting periods or when making decisions. The three main types
of monitoring are:
1.Dashboard – A central location where all useful and actionable metrics and data are
contained. They are usually represented graphically to make it easier for users to read.
E.g., the new Google+ dashboards which can be accessed by logging into your
business Google+ page and selecting Dashboard from the drop-down menu on the
left.
Prediction
The reason many businesses employ BI methodologies is to try and predict what will
happen based on the data currently available and other trends. Prediction can be an
incredibly complex form of BI, so many companies often contract this out to firms, or
rely on software that automates much of the process. There are two main types of
prediction:
1. Data Mining – Is the act of finding patterns and relations in and between large
sets of data. The main goal of data mining is to extract or transform data into
something we can understand and further use.
2. Predictive Modelling – Any modeling that sets out to predict the outcome of
an action, or the probability of an outcome.
While Business Intelligence is important and popular among many companies, it can
be complex. If you would like to learn more about BI and how we can help you get
the most out of your data, contact us today.
4.BI TOOLS ,DATA SOURCES AND STRATEGIES
4.1 BI TOOLS:-
1.ETL tools - ETL tools and processes square measure accountable for the extraction
of information from one or several supply systems, as they remodel information from
many various formats into a typical format so load that information into an
information warehouse. (Schinke, 2009). the method involves extract, remodel and
cargo (ETL) procedures in coordination with an information warehouse (database) so
victimisation reportage tools (software).
3.Query tools and reporting - A querying and reporting tool helps to run regular
reports, create organized listings and perform cross tabular reporting and querying. The
query and reporting tools are meant to allow it users to interact directly with the
organization's data
Databases
Databases are the foremost ancient quite knowledge supply in bismuth. There are
many various forms of databases, and lots of vendors providing databases with totally
different completely different} architectures and different options. Common databases
used these days embody MS Access, Oracle, DB2, Informix, SQL, MySQL, Amazon
Simple DB and a bunch of others.
In some cases, corporations use associate ETL tool to gather knowledge from their
transactional databases, rework them to be optimized for bismuth and cargo them into
{a knowledge a knowledge an information} warehouse or alternative data sales outlet.
the most drawback of this approach is that an information warehouse could be a
complicated and high-priced design, that is why several alternative corporations like
better to report directly against their transactional databases.
Flat Files
Few corporations these days haven't used Microsoft surpass spreadsheets. Their easy
use and widespread use make them as well-liked as ever.
4.3 STRATEGIES OF BI:-
Business Intelligence even wherever it's been enforced, largely seen as another tool
within the hands of the IT department. this can be fully out of the mark and defeats
the terribly purpose of multinational of the bismuth system. So, the bismuth strategy
of the corporate ought to be driven by the Business Strategy of the corporate The
Strategic intent, if absent in bismuth roll out can cause waste of investments and time
spent because the selections either aren't taken supported the Bl output or periodically
used. a reasonably small Humber of executives and corporations, in distinction, have
discovered that true business intelligence is that the key to running a performance-
oriented organization. They use their systems to point on chosen cluster of key
performance indicators, usually custom-crafted, that facilitate them outline company
strategy and drive profitableness. they need found that the info they receive offers
them the flexibility to form sense of markets; to spot strengths and weaknesses, to live
the progress of the corporate against its goals; and to use the talents, processes,
technologies, applications, and practices that support sensible a choice creating
Business Intelligence allows organizations to form well knowing business selections
and therefore will be the supply of competitive benefits. this can be very true once
companies square measure ready to extrapolate info from indicators within the
external atmosphere and build correct forecasts concerning future trends or economic
conditions. Once business intelligence is gathered effectively and used proactively
then the companies will build selections that profit the companies. the final word
objective of business intelligence is to boost the timeliness and quality of knowledge.
Timely and sensible quality info is like having a ball which will provide a sign of
what is the simplest course to require. Business indigence reveals:The position of
the firm as compared to its competitors. Change in client behaviour and disbursal
patterns, The capabilities of the firm, market conditions, future trends, demographic
and economic info. The social ,regulatory, and political surroundings Journal of
Theoretical and Applied info Technology. What the opposite corporations within the
market do Businesses notice that during these terribly competitive, quick paced and
dynamic business surroundings, a key competitive amount is however quickly they
respond and adapt to change,Business intelligence allows them to use info gathered
to quickly and perpetually reply to adapt to changes. the basic ideology of a Bl
strategy is that the varied business units or departments don't act in silos information
is to be maximized and shared across the organization, not hoarded and used for
singular functions solely it's vital to seem into key areas like atomic number 83 Scope,
Technical design which might outline the B surroundings and reportage surroundings.
Addressing {the info the knowledge the data} wants of AN non-depository financial
institution involves development of a comprehensive strategy moreover as AN
implementation arrange for Bl initiatives to deliver a atomic number 83 answer that:
Acts as one purpose of access to any or all vital business information. as an example,
a Bl system ought to be answer that able to give through single access, info on
policies, claims, renewals and grievances of the insured. Provide core insight to the
highest management to help deciding. Provides a platform for performance activity
across all business functions .Provides a foundation to watch day to day activities and
intelligence for fast course correction at numerous levels.
5.HOW ORGANIZATION USE BI
Many business decisions need to be made on the spot, and to ensure sure you’re
making the right one, you need access to information. Information isn’t just numbers
in a column, but also what those numbers mean for your organization. Using BI
software gives you this information at the click of a button to help you gain a
competitive advantage.
When companies focus on doing tasks that are not aligned with their strategy, this
leads to both time and money wasted. To avoid this, you need to establish metrics that
come with performance indicators that are aligned with your company strategies. BI
tools can help you in this regard by providing the metrics so you can focus on
improving performance where it really matters.
Manual data entry is prone to human error, even when it’s copied and pasted from
another source. Not only that, it also takes a lot of time to do properly. By using a
well-configured BI system, you eliminate time spent on data entry and decrease the
amount of time spent on performing calculations. BI tools also allow for quick report
generation and data visualization where you can see all the information you need in
one place. By saving time on creating reports, you can see how your business is doing
and make profitable decisions quickly.
Meeting customers’ needs is what drives businesses forward, which is why it’s
important that you are able to discover patterns in customer behavior. Without BI
tools, it is difficult to know what customers really want without spending hours upon
hours poring over past reports. BI software allows you to identify which customers
should be prioritized in order to increase customer satisfaction and improve your
market reputation.
6.SHOW IMPORTANT INFORMATION ABOUT YOUR SALES
BI software allows you to see which areas of your business you can save money on,
such as inventory. There may be an excess in your inventory, which translates to extra
costs not only in terms of acquisition, but also maintenance. Once you know where
you can increase productivity and cut costs, you can take the necessary action to
increase your savings.
With BI tools, you can monitor the tasks, output and overall performance of your
team. This enables you to identify where you can streamline work processes and make
your operations more efficient, therefore increasing the productivity of your
workforce.
Organizations leverage social media to connect with existing and potential customers.
You can use BI software to gain insights on consumer behavior and identify avenues
for actively connecting with people to expand your customer base.
EXAMPLES OF ORGANIZATION USING BI:-
This system lets Starbucks draw existing customers into its stores more frequently and
increase its volume of sales. In this capacity, BI has a use similar to traditional CRM
systems. In fact, many businesses choose to combine BI and CRM systems to get the
most out of their data.
Last but not least among the companies that use BI is the online retail giant Amazon.
From optimizing shipping routes to allocating inventory among warehouses, data and
BI tools influence practically every step of Amazon’s supply process.
6.The benefits and challenges of BI
It is essential to have a carefully designed Bl strategy for combining the common busi
ness intelligence needs of all units and departments of an insurer under one group. It
is also vital to study the existing technology infrastructure to determine its suitability
to support strategic Bl and recommend changes only if required. The long standing
benefits of implementing a Bl strategy include:
—Understanding strategic business initiatives and increasing visibility for BI to
provide a high ROI in these initiatives. For instance, an insurer may be planning to
enter new lines of business. The Bl strategy could provide cross sell capability,
tapping the existing customer base to position the new products successfully
6.2 Challenges of BI:-
7. REFERENCES:
INTERNET:-
1. https://dzone.com/articles/the-5-biggest-business-intelligence-
challenges-fac
2. https://dataconomy.com/2017/12/10-ways-use-business-intelligence-
software-organization/
3. https://www.apex.com/four-main-types-bi/
4. https://www.guru99.com/business-intelligence-definition-example.html
5. https://www.logianalytics.com/resources/bi-encyclopedia/data-source-types/
6. https://www.ccstechnologygroup.com/real-world-examples-of-
business-intelligence/
BOOK:-
1. Steve Willams , Naricy Willams(2007 JUN)”The Impact of Business
Intelligence” MK(Morgan Kaufmann Publishers)
2. Efraim Turban , Ramesh Sharda , Dursun Delen , David King(2008
March)”Business Intelligence: A Managerial Approach”PEARSON
3. IBM(2016 May)”Innovation Centre for Education:Business Intelligence”IBM
4.IBM(2017 Jan)”Innovation Centre for Education:Introduction to Business
Analytics”IBM