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10 Greatest Reasons to Use Business Intelligence for your Firm

It comes as no surprise that customer experience is one of the leading factors for companies to compete. No matter which era of customers we talk about- the radio, computer, cell phone, or the ones belonging to the digital era, they form the core of how businesses operate.

A good number of modern businesses have been using tools from the digital age to enhance the growth of their business. Amongst those which have not yet, either lack awareness of the technology or the resources to be able to use the right tool.

In order to provide a better experience to the end-users, a firm needs to make better decisions. While leaders may want to implement solutions they consider necessary for the firm, using a huge range of data to do so can be time-consuming and draining.

business intelligence benefits

This may lead to average decisions or confused teams, especially when the CX (customer experience) solutions don’t seem to work.

What is BI?

Business Intelligence or BI combines business analytics, data mining, data visualization, data tools, and infrastructure to help organizations make data-driven decisions.

To cut it short, you equip your business with a comprehensive view of the organization’s data to use for making decisions. These decisions help the business grow by eliminating inefficiencies and quickly adapting to industry trends.

How has BI evolved to help firms grow?

Traditionally, business intelligence emerged in the 1960s as a then-modern way of sharing information in a cross-functional team set up, or across organizations.

It further developed two decades later alongside computer models for decision-making and turning data into insights.

In the mid-2000’s, data segregation, using it to create visualizations, and eventually, decision-making became a special offering from IT-reliant service solutions.

Modern-day BI solutions prioritize flexible self-service analysis empowering firms with accessibility and speed to aid their decision-making.

Over the past few years, more processes and activities have been included for BI to evolve and provide better performance. Some of these processes include…

– Data preparation:

Extracting data from various resources, organising them in a structured format, identifying dimensions and measures to prepare for data analysis.

– Data mining:

Using databases, statistics, and machine learning to discover trends in large datasets.

– Querying:

Asking data-specific questions in normal language and pulling answers from datasets.

– Track analytics:

Using data analysis to find out what happened in the past.

business intelligence processes

– Diagnostic Analysis:

Extracting results from tracked analytics, and exploring what caused the trend.

– Monitoring performance:

Analysing data from current performance to historical data, to benchmark goals and increase productivity.

– Creating and sharing reports:

Sharing data analysis with those concerned so they can draw conclusions and decide.

– Data visualization:

Converting reports into visual representations that are interactive, such as charts, graphs, and histograms.

– Visual Analysis:

Exploring data through visual storytelling to communicate insights.

For the firms or industries which have trouble understanding the way BI works, business intelligence consultants come to the rescue.

Connect with a BI Professional

How have firms accepted BI as an integral part of their business?

Making use of modern-day technology, many disparate industries have adopted BI ahead of their curve; healthcare, information technology, and education.

All organizations can use data to enhance operations and promote growth.

In a case where businesses do not have a high-priority tech environment such as the airline, education or retail industry, business intelligence consulting services are utilized to help them in daily operations.

This is how BI largely affects firms to grow by enhancing decision-making.

1. ROI

In a world where digital transformation is driving the course of businesses, social media campaigns and consecutive analytics like PPC campaigns are an essential part of marketing.

Business Intelligence can translate analytics reports where businesses can base decisions on concrete research, data, and facts rather than intuitions or assumptions.

To have evidence on what’s working and what’s not in your favour is a good way to analyse the return on investment for any marketing activity.

2. Get to know your customers better

When you get accustomed to working with BI solutions, collecting and analysing customer-experience data becomes easier. You get a knack for customer behavior by spotting patterns that wouldn’t have been possible earlier.

It is imperative that businesses work hard to understand their customers better because you never know what your competition is using to get to know the customers.

The buying experience today is way different from what it was a decade ago.

Consumers are more resistant to being sold to since they can access all the information available online for a specific product.

To be able to know who is your end-user, what drives their decisions, and the reason they go for some other product instead of yours is always an advantage.

That is why understanding what drives revenue for your business is important, and BI helps you achieve that without much hassle.

3. Knowledgeable data

More than half the data available online today was created in the past three years alone. In the coming years, this rate of data creation is only expected to increase. One of the major contributing factors for that is the exponential rise of social media channels and increasing number of users.

In order to derive meaningful insights from an iota of data, businesses have begun to implement business intelligence to handle and organize all that data floating around.

This also helps in improving performance and building long-term relationships.

For those companies which do not have an in-house BI expert to avail of this benefit, outsourcing it to a BI services firm is recommended.

4. Personalize sales strategies

When it comes to sales, business intelligence understands more about the other business you may be trying to work with.

Sales teams are often observed to use this information for research and get prepared for related-objections specific to a company’s situation.

It is particularly useful to know whether the firm you are trying to partner with, is cutting budgets or having an increased turnover, showing a decline in sales, or outsourcing with your competitors at lower prices.

At this point, the role of a BI consultant is to provide such information in the form of visually interactive graphics, so the Sales team can analyse and rethink their strategies.

5. Avoid bottleneck problems in a fragile market

A profit and loss statement does not provide information about the workings or health of an organization. A firm constitutes both, the executives and the leaders.

Using a BI application to analyse and derive decisions is a good way to improve the health of an organization.

When looking for the best BI application to suit your business, there would be a number of options to choose from.

But the key here is to understand their pros and cons, while also figuring out whether or not will a particular BI application help in avoiding bottlenecks.

Business intelligence consultants can help you identify a BI application that suits your organization.

Apart from tracking KPIs once in a quarter or month, BI also helps in forecasting to analyse the trends and provide time for decision-making.

business intelligence for your firm

6. Breaking organizational silos

Organizational silos refer to business divisions or departments that operate independently and cannot share information because of system limitations. Silos have made teams insular and focus only on achieving their objectives, rather than the company’s.

Often some rivalry or tribalism within teams is observed, worsening the situations. With BI tools’ easy information sharing feature, you get to break silos and get more team members to collaborate.

This not only helps in achieving business objectives, but also promotes better inter-team bonding, and workplace environment.

That apart, the ultimate aim of breaking down silos is to acquire information on customer experience to launch newer ways of marketing and selling a product.

7. Create a better business model

Users who introduced BI to their organization a couple of months back, have observed decent growth as compared to the ones who have not yet. BI has genuinely become more important now than ever before owing to saturated use of the internet.

Digital transformation has led to internet ruling every industry, especially e-commerce.

From clothing, to furniture, even food, there are dozens of options around the block or just a click away.

For business owners, this means making smart decisions and trying to know where to increase one’s marketing efforts. BI gives businesses the platform to do that.

8. Track inventory

Analytics has become inexplicably important in a world that runs digitally. Consumers from the retail industry wish to track their orders that are expected to be delivered to their doorsteps.

Retailers and brands need to be aware of where their inventory is, and how well has it been selling.

Analytics provides important insight to buyers and executives so they can capitalize on buying trends. BI tools can also help in improving customer experiences in a customer-support set up.

BI tools are used to display dashboards and report on the efficiency of a particular product or service in real-time.

This helps managers monitor and acknowledge when customer support executives need more help or attention.

9. Building a brand

As far as consumer-packaged goods or CPG marketing is concerned, it is important to learn about the data that helps in an efficient process.

The data from a good BI system enables marketers to plan and react faster while figuring out creative ways of growing the business.

These creative ways may include cross-promotional strategies, and product categories. Until a few decades back, when digitalization was still a dream, businesses were dependent on the brick-and-mortar model of their presence across all locations.

Orders were placed by customers either in-person or through telephone. With the internet age penetrating all industries, the retail landscape has evolved and probably biased towards online channels, getting brands in the industry to compete with each other even more.

In such situation brands that work on evident insights rather than assumptions, get to understand consumer behaviour and eventually gain loyal customers.

10. Better employee performance

BI dashboards enable employees to take a look at their performance instantly. A couple of years back, managers or immediate bosses would sit in a room holding a sheet with valuable data picked from every quarter.

With an evolved technology like business intelligence, data can be procured and analysed from the time the employee joined, helping in better employee review and boosting employee performance.

While a number of employees may not like the BI tool as it helps monitor all the data for their performance, big organizations use it to enhance their productivity and empower the teammates in their role.

Business Intelligence is continually evolving. Mingled with new-age technologies like ML or Machine Learning, BI makes data visualization even more essential to work together in a cross-functional team.

A collaborative approach to gain more customers and turn existing ones into brand evangelists is perhaps one of the greatest advantages firms gain from using business intelligence.

Real-time sales tracking, customer behaviour, buying trends, revenue insights, and any field that requires data analysis uses BI to enhance growth.

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