MGS 8020 Business Intelligence Overview of Business Intelligence Jun 10, 2017

1. MGS 8020Business IntelligenceOverview of Business IntelligenceJun 10, 2017

2. Business Intelligence Agenda Six Sigma & Business Intelligence Business Objects, Cognos, and Minitab

3. What is Decision Sciences Grocery Industry • Kroger Travel Industry • Delta SkyMiles • Marriott Rewards Gambling Industry • MGM Mirage Players Club • The Mirage • Treasure Island • Bellagio • New York New York • MGM Grand Retail Business • Best Buy • Circuit City • Macy

4. Overview Business Intelligence “Encompassing all aspects of collecting, deriving, analyzing, presenting and disseminating relevant business information to enable better business decisions and/or drive business processes" Why Business Intelligence? • Improve consistency and accuracy of reporting • Reduce stress on operational systems for reporting and analysis • Faster access to information • BI tools provide increased analytical capabilities • Empowering the Business User • Companies are realizing that data is a company’s most underutilized asset

5. What is Business Intelligence? Business intelligence (BI) has been referred to as the process of making better decisions through the use of people, processes, data and related tools and methodologies. The roots of business intelligence are found in relational databases, data warehouses and data marts that help organize historical information in the hands of business analysts to generate reporting that informs executives and senior departmental managers of strategic and tactical trends and opportunities. In recent years, business intelligence has also come to rely on near real-time operational data found in systems including enterprise resource planning (ERP), customer relationship management (CRM), supply chain, marketing and other databases. “Operational” BI is meant to provision many more functions in the organization with role-specific dashboards and scorecards and is increasingly tied to the topics of performance management and business process management. Inherent to any form of BI is the notion of data quality, consistent and dependable data and the processes involved in its creation and maintenance. Source: Teradata

6. External Data Sources • Executive Information System • Dashboard (Tableau ) • KPI • Financial Metrics Business Intelligence & Data Warehouse Internal Source Systems Data Warehouse Data Mart Extract, Transformation and Load Business Intelligence Business Objects Cognos Microsoft Excel Microsoft SQL Server Oracle BI Microsoft Access Etc. Advanced Analytics SAS Minitab SPSS

7. Broad User Base Microsoft Access Data Warehouse Data Mart BI Query & Analysis Tools Ex: Business Objects, Cognos, Microstrategy, Brios, etc. OLAP Cubes EIS / Dashboards Data Mining Tools (SAS, Minitab) Narrow User Base Business Intelligence Environment Microsoft Excel

8. Examples Revenue Profit Expenses Number of Customer Calls Number of Customer Complaints Product Defects Gross Margin Percent Accidents per Mile Driven Cost of Sales Overhead Percent Customer Churn Employee Turnover Return on Investment Income per Capita Capacity Utilization Average Bill Rate Management Ratio Metrics A quantifiable measure of performance Allows for assessment and comparison Allows for assessment and comparison

9. Examples Customer Geographic Area Time (Year, Quarter, Month, etc.) SalesPerson Sales Organization Business Unit Competitors Season Division / Department Business Sector Sales Channel SIC Code Special Customer Group Brand Market Segment Product Color Marketing Campaign Dimensions Textual, qualitative descriptors of the business used to focus and aggregate the view of metrics

10. Business Intelligence Agenda Six Sigma & Business Intelligence Business Objects, Cognos, and Minitab

11. Balanced Scorecard for Yum Brands Balanced Scorecard is a concept helping you translate strategy into action via corporate performance management. The Balanced Scorecard describes the strategy for creating value and it realigns resources to ensure the strategy is successfully executed. Six Sigma executes the strategy by using data, business intelligence, and process improvement tools. Financial Market share Revenue Profit margin

12. Balanced Scorecard for Yum Brands Customer Customer centricity Acquisition and Retention Pricing strategy (CI) Process Value proposition Quality control Customer experience Growth Market penetration Employee turnover Distribution channels

13. Business Intelligence Agenda Six Sigma and Business Intelligence Business Objects, Cognos, and Minitab

14. What is Business Objects? • BUSINESS OBJECTS is an integrated query, reporting and analysis solution for business professionals that allows you to access the data in your corporate databases directly from your desktop and present and analyze this information in a BUSINESS OBJECTS document. • BUSINESS OBJECTS makes it easy to access this data, because you work with it in business terms that are familiar to you, not technical database terms like SQL. You don’t need any knowledge of the database structure or technology. Once you’ve used BUSINESS OBJECTS to access the data you need, you can present

15. Six Sigma provides a systematic way of improving business processes based on customer needs and factual analysis of company processes. Organizations like General Electric are combining these two technologies in the form of Six Sigma intelligence, a framework for using information technology to pick Six Sigma projects, get results more efficiently, and ensure their long-term success. • BI systems from companies such as Business Objects help organization-wide implementation of Six Sigma. • Source: http://www.businessobjects.com/solutions/enterprise_solutions/sixsigma.asp

16. Organizations use Cognos business intelligence software to visualize the data that drives their quality initiatives - Six Sigma, ISO, EFQM, SPC, TQM and others. • The Cognos solution supports GE's Six Sigma quality initiative. Six Sigma enables organizations like GE to measure how many "defects" there are in a given process, in order to systematically determine how to eliminate them and get as close to "zero defects" as possible. • Source: http://www.cognos.com/solutions/projects/six-sigma-quality/

18. Minitab • Minitab is a computer program designed to perform basic and advanced statistical functions. It combines the user-friendliness of Microsoft Excel with the ability to perform complex statistical analysis • Today, Minitab is often used in conjunction with the implementation of Six Sigma and other statistics-based process improvement methods. Thousands of companies in more than 80 countries use it, including over half the companies in the Fortune 500.