Many companies believe their enhanced ability to read and predict consumer behavior is the most favorable benefit of business intelligence (BI). Others use it because it helps them to effortlessly access information from a number of different sources. Since business intelligence helps companies align their organizational objectives by using key performance indicators (KPI), it also assists in augmenting their decision-making capabilities. There are many advantages of business intelligence, including increased abilities to target marketing campaigns; some organizations choose to outsource BI activities, while others carry them out internally.
The data stored within a business intelligence warehouse is typically integrated and comes from multiple sources throughout an entire company. Developing this warehouse can be a complicated process, so many businesses find it beneficial to subcontract this task, especially if they are not familiar with business intelligence. Since all information is stored in one single location, the ability to access the data in an almost instantaneous manner is one of the most welcome advantages of business intelligence. It also allows a business to easily perform data mining, which is an analyzing activity performed that exposes different consumer relationships and/or patterns. Since special BI tools are used to perform data mining, proper user training will help increase the advantages of business intelligence.
Companies differ in style and the business strategies that they implement. KPIs help by allowing them to utilize business intelligence as a way to align organizational objectives. Businesses usually discover that the more focused their KPIs are on developing a competitive edge and performance rather than processes, the more advantages of business intelligence they will reap.
Reading and predicting consumer behavior is one of the most valuable things a company can do, and this is one of the many advantages of business intelligence. Many companies use BI software to identify what consumers are or are not buying, which helps enable the companies to consistently meet consumer demands and provide customer satisfaction. Businesses that employ sales representatives often use BI software to up-sell products because the software enables them to identify which customers most prefer upgraded items and/or services.
Almost all companies that use business intelligence testify that it enhances their ability to make sound and profitable decisions. With real-time updates and accurate forecasting and trending, businesses are able to eliminate decisions made on guesswork by making ones that are based on real information. Since the information the decisions are based on is located in a single location, choices can usually be made more quickly than those businesses that do not employ business intelligence tools and systems.