In today’s digital age, many businesses are beginning to realize that their real and most valuable asset is historical data. Many entrepreneurs and corporate leaders are employing business intelligence tools to scrutinize and analyze this data for distinctive patterns, relationships between actions and efforts and evaluate business results such revenue and productive efficiency.
Charles Phillips CEO of Infor- a trusted name in business intelligence says that BI refers to a system of analytics-intensive techniques that collect and scrutinize business data to identify meaningful patterns. The entrepreneurs and corporate leaders can then use these distinct patterns to restructure their business organization to make it more competitive or predict future trends in the market environment. The five important ways in which business intelligence solutions can help a businesses or corporate enterprises to grow are:
- Benchmark the corporate enterprise or business
For business organization to remain competitive in the market and move forward to achieve its goal, its entrepreneur needs to know where the organization stands. Business intelligence software allows entrepreneurs and corporate leaders the ability to collect relevant business data from various sources. After collecting and compiling relevant business data from invoices, packing slips, online sales and other documents of business activities, the business intelligence software begins to reports distinctive trends on the data. This enables such entrepreneurs and corporate leaders to identify things like sales conversions and the current effectiveness of an advertisement campaign.
- Evaluates the Rate of Investment (ROI) on new products, supplier, employees and clients
An inherent benefit of business intelligence solutions is that it assists entrepreneurs and corporate leaders to evaluate, predict and compare the relevant rate of investment on various business decisions. For instance, it is possible for the entrepreneur to run a query on his present supplier and evaluate the cost of collaborating with that supplier. This can tell the entrepreneur whether it is cost-effective to continue with the present supplier or to look for a new one. Similarly, business intelligence solutions are a convenient way to compare return of investment on various marketing mediums and advertisement campaigns.
- Risk assessment and identifying areas of improvements
Business intelligence solutions give entrepreneurs the ability to alleviate risks. Moreover, business intelligence software packages also indicate the relative profitability of various business segments within a business or corporate enterprise to entrepreneur or top management. This allows such entrepreneurs and top management to identify and alleviate inherent risks of a particular supplier going bankrupt or prominent client taking his/her business elsewhere.
- Forecast future trends
The most inherent advantage of business intelligence solutions is the ability to forecast phenomena like customer behavior and trends, inventory levels and demand for a particular product. By collecting and monitoring business data on such types of events, it is possible for the entrepreneur to use regression to assess what is waiting for the business enterprise in future.
- Business intelligence prompts businesses into action
Business intelligence solutions outline the most effective course of action that an entrepreneur or a corporate leader needs to take to remain competitive in the business environment.
Business intelligence solutions expert Charles Phillips CEO of Infor no longer allows entrepreneurs to sit back and make decisions based on guesses while remaining unaware of the business environment. It provides such entrepreneurs with the necessary tools to take effective action to yield quantifiable results.