| s intelligence refers to a specific class of | | | | data improved with the automation of data |
| computerized information system that supports | | | | collection. Drawbacks still existed as information |
| business and organizational | | | | collected could not be moved between or within |
| decision-makingactivities, technologies, applications | | | | systems. Analysis of information was slow, and |
| and practices for the collection, integration, | | | | often required the use of instinct. |
| analysis and presentation of business information. | | | | Business intelligence was further popularized in |
| The purpose of business intelligence — a | | | | 1989 by Howard Dresner, as an umbrella term to |
| term that dates back to 1958 — is to | | | | describe concepts and methods to improve |
| support better decision making. Thus, business | | | | business decision making using fact based support |
| intelligence if also referred to as decision support | | | | systems. Modern businesses use automation, |
| system (DSS). | | | | specialized software and automation tools to |
| For instance- a self service software that helps | | | | gather information. This allows large volumes of |
| the employees of an organization track their | | | | data to be extracted, transformed and |
| payslips, tax withholdings, personal information, | | | | warehoused. It also helps to increase the speed at |
| leaves and may or may not be integrated with | | | | which information becomes available for decision |
| the Human Resource Information System. (HRIS). | | | | making |
| Another instance is executive dashboards. A | | | | Key Topics in Business Intelligence |
| supply chain management software and clinical | | | | Business intelligence often uses Key Performance |
| diagnostic systems can also be a good example. | | | | Indicators (KPIs) to assess the present state of |
| Clinical or Diagnostic Decision Support System is | | | | business and prescribe a course of action. |
| an interactive computer program that assists | | | | Comparatively, performance data in the early |
| physicians and health professionals with their | | | | days was not available for weeks or months. |
| decision making tasks. | | | | Introduction of computers and web based |
| Business intelligence applications also tackle sales, | | | | applications, have reduced delays. The KPI |
| production, financial and many other sources of | | | | methodology was further expanded with Chief |
| business data. This includes, notably Business | | | | Performance Officer Methodology, which |
| Performance Management. Information may be | | | | incorporated KPIs and root cause analysis into a |
| gathered of comparable companies to produce | | | | single methodology. Some companies facing higher |
| benchmarks. Thus all the decision making | | | | credit risk loading such as credit card companies |
| software may be included in the business | | | | and wealth management services are now able to |
| intelligence information systems. | | | | offer daily analysis of data. The fast pace requires |
| History of Business Intelligence | | | | analysts to use IT systems to process large |
| No business analyst software was available before | | | | volumes of data. |
| the information age and businesses had to rely on | | | | Business intelligence has come a long way since |
| decisions made by numbers collected painstakingly | | | | the time it was first discovered as a tool for |
| by business analysts for months. Collection of | | | | businesses. |