There are three main components of the business intelligence infrastructure. They are the reporting scheme, the set of extraction processes and the integrated analyses, all of which are included in OOTB with the application. The main components of business intelligence are the data warehouse, business analysis and business performance management, and the user interface. In recent years, business intelligence has evolved to include more processes and activities that help improve performance. Previously, it was in the domain of IT staff, but now the business team is also responsible for business intelligence independently.
Business intelligence was created to help companies avoid the problem of garbage in and out, which results from inaccurate or insufficient data analysis. Much more than a specific “thing”, business intelligence is a generic term that encompasses the processes and methods of collecting, storing, and analyzing data from business operations or activities to optimize performance. For example, financial services firm Charles Schwab used business intelligence to obtain a comprehensive view of all its branches in the United States to understand performance metrics and identify areas of opportunity. In practice, you know you have modern business intelligence when you have a comprehensive view of your organization's data and use it to drive change, eliminate inefficiencies, and adapt quickly to changes in the market or supply.
The main objective of business intelligence is to close the gap between the current state of the organization and the desired position. This was a top-down approach in which the IT organization was driving business intelligence and most, if not all, of the analysis questions were answered through static reports. All of these elements combine to create a comprehensive vision of a company that helps people make better, practical decisions. In short, organizations carry out business analysis as part of their broader business intelligence strategy. The use of business intelligence can be optimized by identifying the key projects that the company wants to focus on.
Some of the many advantages that companies can obtain after adopting business intelligence in their business models include faster and more accurate reporting and analysis, improved data quality, greater employee satisfaction, reduced costs and increased revenues, and the ability to make better business decisions. Business intelligence (BI) refers to the technical and procedural infrastructure that collects, stores, and analyzes the data produced by a company's activities. BI is more than just software, it's a way to maintain a holistic, real-time view of all relevant business data. Once stored, users can access the data and begin the analysis process to answer business questions.
