April 18, 20071 Business Intelligence Presented By: Stephanie
Schwartz, Khairil Fahrvrrazi, Kevin Ruzicka, Ashley Stead
Slide 2
April 18, 20072 Session Objective To Understand: The meaning of
Business Intelligence (BI) Why BI is important to General Managers
The promised benefits and challenges of BI To Visualize:
Continental Airlines Tyneside NHS Trust
Slide 3
April 18, 20073 Priority Status of Business Intelligence
*Annual Revenues $1.0B
http://www.networkworld.com/news/2007/011207-business-intelligence.html,
viewed April 6, 2007 Guptill, B., User Executives Raise Business
Intelligence Prioritization Saugatuck Technology, January 2006, pp.
1-2 Top IT Spending Priorities Item 05 06 Application Integration 2
1 Security SW & Svcs. 1 2 Bus. Intelligence 5 3 BPM 19 4 SOA 13
5 Source: Saugatuck Technology. Results based on web survey of over
200 senior business and IT executives, November, 2005. Business
intelligence will be the top spending priority for IT executives in
2007
Slide 4
April 18, 20074 Cost of Business Intelligence Data:
InformationWeek Research business intelligence survey of 230
business technology professionals, March 2006
http://www.financetech.com/showArticle.jhtml?articleID=181501564,
viewed April 6, 2007
Slide 5
April 18, 20075 Cost of Business Intelligence Data:
InformationWeek Research business intelligence survey of 230
business technology professionals, March 2006
Slide 6
April 18, 20076 Cost of Business Intelligence Data:
InformationWeek Research business intelligence survey of 230
business technology professionals, March 2006
Slide 7
April 18, 20077 What is Business Intelligence? Business
Intelligence Gathers important data Consolidates the data into one
location Easily accessed and analyzed for decision making Serves as
one version of truth Turning data into information that is useful
to make decisions BI essentially supports a corporations transition
from being data rich and information poor, to becoming information
rich and capable of better fact-based decision making Burns, M.,
Accounting for Business CA Magazine, Vol. 136, 3, Apr 2003, pp.
37-38 Abukari, K. and Job, V., Business Intelligence In Action CMA
Management, Vol. 77,1, Mar 2003, pp. 15
Slide 8
April 18, 20078 Best Practices of Business Intelligence Six
Steps for Successful BI Burns, M., Accounting for Business CA
Magazine, Vol. 136, 3, Apr 2003, pp. 37-38
http://www.businessintelligence.com/print_news.asp?id=2171, viewed
April 6, 2007 1.) Pinpoint the organizations key factors to focus
on using Business Intelligence 2.) Find the various data resources
from which information will be extracted 3.) Extract, Load, &
Transfer Data (ELT) 4.) Choose a method for reporting 5.) Establish
reporting that will be considered standard across the Organization
6.) Arrange for deployment across theorganization
Slide 9
April 18, 20079 Visual of Business Intelligence OLTP Online
Transaction Processing OLAP Online Analytical Processing
http://www.obs3.com/why_olap.shtml, viewed March 29, 2007
Slide 10
April 18, 200710 Visual of Business Intelligence
Slide 11
April 18, 200711 Importance to General Managers BI is a
valuable tool in strengthening the position of stakeholders
Important information gathered into a one stop shop Important
information available at opportune times Important information
available for strategic use In sum, BI is an enterprise-wide
strategy that supports reporting, analysis and decision making on
multiple levels. It supports organization-wide analysis, which in
turn leads to insight, action, and the proper measurement of
results. Abukari, K. and Job, V., Business Intelligence In Action
CMA Management, Vol. 77,1, Mar 2003, pp. 15
Slide 12
April 18, 200712 Promised Pros of Business Intelligence BI
enhances decision making More appropriate information in a timely
fashion Can consolidate information typically difficult to use in
analysis due to its primary location Decisions made using these
facts may lead to a competitive advantage BI results in time
savings and efficiency
http://www.camagazine.com/index.cfm/ci_id/26573/la_id/1/print/true.htm,
viewed April 4, 2007 Stoller, J., What you dont know can hurt you
CMA Management, Vol. 79, 3, 2005pp.46-47
Slide 13
April 18, 200713 Management Report (Dashboard)
Slide 14
April 18, 200714 Online Analytical Processing (OLAP)
Slide 15
April 18, 200715 Challenges of Business Intelligence Most
businesses still dont use BI strategically Users will not
automatically see the benefits of BI Users are attached to what
they already use SPREADSHEETS Data quality needs attention Burns,
M., Accounting for Business CA Magazine, Vol. 136, 3, Apr 2003, pp.
37-38
Slide 16
April 18, 200716 Three Generations of Business Intelligence 1
st Generation Decision Support Systems (DSS) Early 1970s
Application-centric approach 2 nd Generation Late 1980s
Data-centric approach 3rd Generation Real time data warehousing
Real-Time Data- Centric Application- Centric Watson, Wixom, Hoffer,
Anderson-Lehman & Reynolds (2006) French & Turoff (2007);
Frolick & Brown (2006)
Slide 17
April 18, 200717 What is a Data Warehouse? Warehouses integrate
data from various operational systems Have become standard in most
large companies Businesses are not the only ones using data
warehouses, they are also very useful for schools Proving to be
such a great advantage that businesses are willing to pay millions
of dolla rs for them Watson, Wixom, Hoffer, Anderson-Lehman &
Reynolds (2006); French & Turoff (2007) Frolick & Brown
(2006)
Slide 18
April 18, 200718 Real-Time BI Before Real-Time BI, data was
used to determine what had already happened. Real time is used for
current decisions. Purpose is to increase revenue and decrease
costs. Companies who can successfully implement Real-Time BI can
dramatically improve their costs. Watson, Wixom, Hoffer,
Anderson-Lehman, and Reynolds (2006)
Slide 19
April 18, 200719 Continental Airlines Background Founded in
1934 Fifth largest airline in U.S., seventh largest in the world
Early 1990s business problems Go Forward plan is implemented Went
from worst to first, goal then becomes first to favorite. Watson,
Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)
Slide 20
April 18, 200720 Continental Airlines Role of Information
Technology 1998 an enterprise data warehouse is developed Not
real-time Not outsourced Warehouse created significant lift in
areas of the Go Forward Plan Need for real-time became apparent
Warehouse team prepared for move Watson, Wixom, Hoffer,
Anderson-Lehman, and Reynolds (2006)
Slide 21
April 18, 200721 Continental Airlines How Real-Time BI Helped
Five Categories of Improvement Revenue and management Customer
relationship and marketing Crew operations and payroll Security and
fraud Flight operations Watson, Wixom, Hoffer, Anderson-Lehman, and
Reynolds (2006)
Slide 22
April 18, 200722 Continental Airlines Flight Management
Dashboard Example of how Continental used Real-Time BI to improve
their business Set of interactive graphical displays -Quickly
identify issues so that customer satisfaction and airline
profitability can be improved Watson, Wixom, Hoffer,
Anderson-Lehman, and Reynolds (2006)
Slide 23
April 18, 200723 Continental Airlines Ex: Logistics of the
Flight Management Dashboard Graphical depiction of a concourse
Assesses where high value customers are or soon will be in a
particular airport hub Indicates where there may be potential gate
problems Airport employees able to assist high value customers so
that they and their luggage avoid missing flights. Watson, Wixom,
Hoffer, Anderson-Lehman, and Reynolds (2006)
Slide 24
April 18, 200724 Watson, Wixom, Hoffer, Anderson-Lehman, and
Reynolds (2006)
Slide 25
April 18, 200725 Continental Airlines More Examples of
Improvement Operations department able to keep flight arrivals and
departures on time Shows the traffic volume between the 3
continental hub stations Operations can anticipate where services
need be expected All elements can be broken down to show more
detail Watson, Wixom, Hoffer, Anderson-Lehman, and Reynolds
(2006)
Slide 26
April 18, 200726 Watson, Wixom, Hoffer, Anderson-Lehman, and
Reynolds (2006)
Slide 27
April 18, 200727 Continental Airlines Learnings & Take
Aways Clear technical, business, and process changes must be put
into place to enable Real-Time BI Find a clear business need for
decisions that require real-time data Invest in an architecture
that can scale and automate as much of the environment as possible
Perform a value assessment to support the investment in Real-Time
BI applications that can leverage real-time B.I. by impacting
business process to create value to an organization will represent
the third generation of decision support Watson, Wixom, Hoffer,
Anderson-Lehman, and Reynolds (2006)
Slide 28
April 18, 200728 Continental Airlines Linkage to Best Practices
Watson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006) 1.)
Pinpoint the organizations key factors to focus on using Business
Intelligence Go Forward Plan and then eventually the First to
Favorite plan. 2.) Find the various data resources from which
information will be extracted The Five Categories: -revenue
management and accounting -customer relationship management -crew
operations and payroll -security and fraud -flight operations 3.)
Extract, Load, & Transfer Data (ELT) Data warehouse 4.) Choose
a method for reporting Flight Management Dashboard 5.) Establish
reporting that will be considered standard across the organization
Flight Management Dashboard 6.) Arrange for deployment across the
organization 1998 enterprise data warehouse created for all
employees
Slide 29
April 18, 200729 Tyneside NHS Trust Overview Established in
1993 Provides community and hospital services Region of South
Tyneside which is in northeastern England and surrounding areas
http://www.sthct.nhs.uk/
Slide 30
April 18, 200730 Tyneside NHS Trust Key Corporate Facts Staff
of 2,500 employees spread among five sites 19 IT staff 13 dedicated
to IT 6 dedicated to information All staff now have access to
e-mail 1900 PCs available throughout the Trust The Trust has a
modern high speed network capable of supporting the latest
technology such as Radiology Digital Images. Di Bernardo, L., The
2003 Information Management Project Awards Database Marketing &
Customer Strategy Management Vol. 12, 1, P. 58
http://www.sthct.nhs.uk/TrustReports/boardvisits06/Information%20Services%20jan%2006.pd
Slide 31
April 18, 200731 Tyneside NHS Trust Total Revenue Vs. IT Budget
Total Revenues for 2006 were 90,094,000 ($176,689,546 USD) (annual
report & summary financial statement 2005-2006, page 22) IT
Capital budget for 2006 was 530,000 ($1,039,419 USD) Dedicated to
new information technology Pharmacy computer system Purchase of
additional pacs equipment Physiotherapy/occupational therapy
coridor. (in conjunction with the kings fund) (annual report &
summary financial statement 2005-2006, page 23) IT Capital budget
as a percent of total revenue is 0.59%
http://www.sthct.nhs.uk/largedocs/STFT05-06.pdf
Slide 32
April 18, 200732 Tyneside NHS Trust Business Intelligence
Rationalization Healthcare information can literally be a case of
life or death if treated improperly Performance Management has
become a key issue for National Health Service (NHS) British
government introduced the idea of foundation hospitals as part of a
payment by result scheme Best performing trusts receive a
three-star status and can then aspire to achieve foundation
hospital status and greater autonomy South Tyneside Healthcare NHS
Trust still relied on spreadsheets to collect data = time consuming
and mistakes easily made Di Bernardo, L., The 2003 Information
Management Project Awards Database Marketing & Customer
Strategy Management Vol. 12, 1, P. 58
Slide 33
April 18, 200733 Tyneside NHS Trust Business Intelligence
Rationalization Tyneside had a need to: Ensure an accurate,
real-time view of activity within the hospital Provide up-to-date
patient records 24/7 - includes critical information, such as all
drugs prescribed to the patient at the hospital. Combine patients
hospital records with their GP records Supply the number of babies
born in the hospital Feed accurate information to the Key
Performance Indicators set out as a measure of success by the
government Di Bernardo, L., The 2003 Information Management Project
Awards Database Marketing & Customer Strategy Management Vol.
12, 1, P. 59
Slide 34
April 18, 200734 Tyneside NHS Trust Business Intelligence
Implementation Tyneside wanted a single, unquestionable method of
producing all of the data its management needs in order to ensure
the best possible service for all of its patients. South Tyneside
Healthcare NHS Trust decided to invest in business intelligence
(BI) tools to provide a clearer view of its performance and to help
with complex amounts of data that it gathers and holds. Di
Bernardo, L., The 2003 Information Management Project Awards
Database Marketing & Customer Strategy Management Vol. 12, 1,
P. 58
Slide 35
April 18, 200735 Tyneside NHS Trust Benefit of Business
Intelligence Implementation Implemented a real time analysis of key
patient data South Tyneside Healthcare NHS Trust can now obtain a
comprehensive overview of performance of its crucial departments
Trust managers receive an instant warning message on their desktops
if departments are under-performing Gives them the ability to know
to contact hospital consultants for immediate action Di Bernardo,
L., The 2003 Information Management Project Awards Database
Marketing & Customer Strategy Management Vol. 12, 1, P. 58
Slide 36
April 18, 200736 Tyneside NHS Trust Executive Impressions
Healthcare intelligence is not simply about managing medical
records and patients address, but also measuring performance
quality and reviewing essential business function. It allows
managers and consultants to ensure that each and every patient has
accurate records and receive follow-up treatment when necessary.
-Martin Alexander, Head of Information Service, South Tynside
Healthcare NHS Trust It is this breadth of access to management
information, and the resulting ability to change information into
knowledge that supports the decision-making process, that is so
impressive. Cognos Metrics Manager gives us the corporate view of
our operations, while Power Play and Impromptu provide direct drill
through to operational data that managers need to deliver effective
service. - Mike Robson, Executive Director of Corporate Governance,
South Tyneside Healthcare NHS Trust Di Bernardo, L., The 2003
Information Management Project Awards Database Marketing &
Customer Strategy Management Vol. 12, 1, P. 59-60
Slide 37
April 18, 200737 Tyneside NHS Trust Plan for the Future of
Business Intelligence Meet technological challenges National
Information Management Technology Strategy Information for Health
Implementation of Electronic Patient Record Implementation of
electronic appointment booking Tyneside with Bide Time Create NHS
Cognos user groups Enable user groups to share their information
centrally http://www.sthct.nhs.uk/aboutSTHCT/about_sthct.htm Di
Bernardo, L., The 2003 Information Management Project Awards
Database Marketing & Customer Strategy Management Vol. 12, 1,
P. 61
Slide 38
April 18, 200738 Tyneside NHS Trust Key Learning Points
Organizations are still attempting to manage increasingly complex
businesses and service Historically, systems keep vital data in
information silos In the worst cases, bits of data held in
different formats by different people on incompatible software So
whenever any cross-over between the data sets is sought, it becomes
a major and costly exercise to carry out. There is a need to
centralize data and make available to all users A growing trend
towards the sort of sweeping up data If it is to be successful
needs to be about far more than feeding all the data into one
system Di Bernardo, L., The 2003 Information Management Project
Awards Database Marketing & Customer Strategy Management Vol.
12, 1, P. 61-62
Slide 39
April 18, 200739 Tyneside NHS Trust Key Learning Points Success
Depends On Process System Discipline Management understanding
Importance of Data Data Integrity Data Maintenance Di Bernardo, L.,
The 2003 Information Management Project Awards Database Marketing
& Customer Strategy Management Vol. 12, 1, P. 61-62
Slide 40
April 18, 200740 Tyneside NHS Trust Key Learning Points
Tyneside adopted technical features Central web-enabled database
Good reporting capabilities Ability to interface with other
packages Two caveats Case study written from the technological side
- Perhaps a red flag for the future: however good the technology,
without equal emphasis on and investment in the underlying systems
and processes, there is a very real chance of long-term failure Too
many eggs are being placed in one basket - By pulling so much
information together, the organization seem to be crossing
information that is literally life and death, with the more mundane
car parking statistics for the hospital car park, possibly. Di
Bernardo, L., The 2003 Information Management Project Awards
Database Marketing & Customer Strategy Management Vol. 12, 1,
P. 61-62
Slide 41
April 18, 200741 Tyneside NHS Trust Linkage to Best Practices
1.) Pinpoint the organizations key factors to focus on using
Business Intelligence Single, unquestionable method of producing
data management needs to service customers 2.) Find the various
data resources from which information will be extracted Activity
database, patient records database 3.) Extract, Load, &
Transfer Data (ELT) Realized that success depends on data integrity
and data maintenance 4.) Choose a method for reporting Accurate
real-time analysis generated from one system 5.) Establish
reporting that will be considered standard across the organization
Dashboard and Management reporting implemented for better manager
awareness and efficiency 6.) Arrange for deployment across the
organization Adopted a central web-based system that users across
the organization can access Di Bernardo, L., The 2003 Information
Management Project Awards Database Marketing & Customer
Strategy Management Vol. 12, 1, P.58-62
Slide 42
April 18, 200742 Business Intelligence - Conclusion OLTP Online
Transaction Processing OLAP Online Analytical Processing In sum, BI
is an enterprise-wide strategy that supports reporting, analysis
and decision making on multiple levels. It supports
organization-wide analysis, which in turn leads to insight, action,
and the proper measurement of results. Abukari, K. and Job, V.,
Business Intelligence In Action CMA Management, Vol. 77,1, Mar
2003, pp. 15 http://www.obs3.com/why_olap.shtml, viewed March 29,
2007
Slide 43
April 18, 200743 References Peer Reviewed Abukari, K. and Job,
V., Business Intelligence In Action CMA Management, Vol. 77,1, Mar
2003, pp. 15 Brown, Justine (2006). Too Much Information. T H E
Journal,33, 40-46. Burns, M., Accounting for Business CA Magazine,
Vol. 136, 3, Apr 2003, pp. 37- 38 Di Bernardo, L., The 2003
Information Management Project Awards Database Marketing &
Customer Strategy Management Vol. 12, 1, P. 58-62 French, Simon
& Turoff, Murray (2007). Decision Support Systems.
Communications of the ACM,3, 39-40. Frolick, Mark N & Brown,
Carol V (2006). From the Editors. Information Systems
Management,23, 5-6. Jukie, Nenad (2006). Modeling Strategies and
Alternatives for Data Warehousing Projects. Communications of the
ACM, 49, 83-88. Stoller, J., What you dont know can hurt you CMA
Management, Vol. 79, 3, 2005pp.46-47 Watson, Hugh; Wixom, Barbara;
Hoffer, Jeffery; Anderson-Lehman, Ron & Reynolds, Ann Marie
(2006). Real-Time Business Intelligence: Best practices at
Continental Airlines. Information Systems Management, 23, 7-18.
http://www.camagazine.com/index.cfm/ci_id/26573/la_id/1/print/true.htm,
viewed April 4, 2007
Slide 44
April 18, 200744 References Other Guptill, B., User Executives
Raise Business Intelligence Prioritization Saugatuck Technology,
January 2006, pp. 1-2
http://www.networkworld.com/news/2007/011207-business-intelligence.html,
viewed April 6, 2007 InformationWeek Research business intelligence
survey of 230 business technology professionals, March 2006
http://www.businessintelligence.com/print_news.asp?id=2171, viewed
April 6, 2007 http://www.obs3.com/why_olap.shtml, viewed March 29,
2007 http://www.sthct.nhs.uk/
http://www.sthct.nhs.uk/TrustReports/boardvisits06/Information%20Services%20jan
%2006.pd http://www.sthct.nhs.uk/largedocs/STFT05-06.pdf
http://www.sthct.nhs.uk/aboutSTHCT/about_sthct.htm
http://www.financetech.com/showArticle.jhtml?articleID=181501564,
viewed April 6, 2007
