BUSINESS INTELLIGENCE IN MANAGEMENT

1-BUSINESS INTELLIGENCE IN THE ROLE OF

DECISION MAKING
INTRODUCTION

 Business Intelligence (BI) is a data driven process and place where it combined relevant data, applications, tools,
incrustations and Annalise those and input knowledge into business decision making process
 BI is widely used among organizations to make informed or knowledgeable business decisions.
 Simplifying the same, one may state that BI is a combination of technologies and strategies that are used by
organizations for conducting effective data analysis.
IMPORTANCE OF BUSINESS INTELLIGENCE AND ITS ROLE IN
THE DECISION-MAKING PROCESS

 Business Intelligence is being implemented by several organisations in order to improve its productivity, for
accessing vital information, generating a significantly better ROI or Return on Investment as well as making
educated and informed decisions in various matters of the business operations.
 The implementation of Enterprise Resource Planning software, commonly known as ERP software,
 by many organisations such as Maidenform, Plantronics, ANZ and so on, have resulted in consequential improvements in
sales growth
 It is to be noted that ERP, such as SAP ERP systems, are software in business process management that aids in the
business management and automation of the back office functions that are relevant to HR, technology or services.
 There are various aspects in a business that may involve making notable decisions.
 Sales decisions
 Devising marketing strategy
 Inventory management
 Financial decision-making
 Executive decision-making
SALES DECISIONS

 With the aid of BI, organizations are able to explore

 the detailed sales trends, which are dependent on the customer choices or preferences, online shopping experiences,
purchasing habits and reaction to promotions.
 By leveraging customer buying behaviour, an organization may attain comprehensive insight to make decisions regarding to
explore certain link-sell opportunities to enhance the sale of particular products.
 by identifying the customers in decline, a company may enable repositioning a specific product to boost the sales for the
organization.
DEVISING MARKETING STRATEGY

 In order to devise marketing strategies or make strategic decisions, monitoring the trends in customer buying
behavior may provide an insight into determining the preferences of the customers.
 The implementation of BI helps an enterprise decide tailoring the
 promotions,
 prioritizing campaigns and
 engage effectively in order to maximize the marketing activities
INVENTORY MANAGEMENT

 Inventory management is a component involved in supply chain management that focuses on supervising the
inventory or the non-capitalised items.
 Making decisions regarding reducing the exorbitant inventory to manage cost-effectiveness is another benefit of
using BI.
 Gaining an idea of the ordering pattern of a product, would allow managers to modulate the pricing tiers to
generate a larger profit margin
FINANCIAL DECISION-MAKING

 The use of BI enables a manager to view and evaluate the financial structure, such as
 balance sheet figures,
 profit and loss, and
 general ledgers.

 The investigation into the past and current outgoing and incoming finances of an organization, the managers and
executives may be able to make decisions with respect to the financial status of the company.
EXECUTIVE DECISION-MAKING

 The statistical facts obtained with the help of BI, may prove fruitful for executives to make future decisions with
regards to organizational growth.
 Evaluation of the long-term competition and market may guide the executives to establish future decisions
regarding organizational productivity and growth.
 Visualisations for identifying productivity, such as employee management can be helpful for executives.
 The managers may benefit from identifying functional insights to determine the most effective strategies for
reducing employee turnover, improving productivity and much more