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What is Business Intelligence?

 A brief history of Business Intelligence
Where have we been?
Where are we now?
Where are we going?
Why should you care?
What is Business Intelligence?
According to
The Definition of
                 Business Intelligence is…

Skills, knowledge, technologies, applications, quality, risks, security issues and
  practices used to help a business to acquire a better understanding of market
 behavior and commercial context. For this purpose it undertakes the collection,
integration, analysis, interpretation and presentation of business information. By
extension, quot;business intelligencequot; may refer to the collected information itself or
             the explicit knowledge developed from the information.
WHAT?
The Definition of
                  Business Intelligence is…

Skills, knowledge, technologies, applications, quality, risks, security issues and
   practices used to help a business to acquire a better understanding of market
  behavior and commercial context. For this purpose it undertakes the collection,
 integration, analysis, interpretation and presentation of business information. By
 extension, quot;business intelligencequot; may refer to the collected information itself or
              the explicit knowledge developed from the information.
Still confused?
BI seems hard
Is that what it took
for a business to be intelligent?
What is intelligence?
Knowledge and understanding?
Meaning and context?
Foresight?
Solve complex problems
to make decisions?
Who makes decisions?
How do people make decisions?
We make decisions all the time
Go all-in or fold?
Hold, sell, or buy?
Sometimes people make poor decisions
Intelligence = decisions
Decisions = people
What makes a good decision?
How about information?
Intelligence + information


            = the right decision?
What is information?
Throughout history information was used
To share stories
To learn
Johannes Gutenberg
Printing Press, 1439
And discover things
Christopher Columbus
Use this
North America, 1492
It kept track of things
In these situations

(jail cell, chalk count)
Or here

(castaway)
Over time
Information helped provide answers
To unlock secrets




E=                       MC
                              2
Which allowed for innovation
From something big
To small
To smaller
To help build
something big again
Information provided answers
Answers allowed people
To make decisions.
How did business people get answers?
They had something called data
Business data
about people
about products
And about places
And they had questions
Which products are best?
How are my sales?
How are my people?
But before they could get answers
They needed insight into the data
Otherwise it was guess work
Except you’re the Donkey
Data had value
It was precious
Where do you put something precious?
It needed to be stored.
Before the 1960s
Data was stored here
When computers arrived
It went places
Like here
And then here
But storing something precious that way was
Risky Business
And difficult to manage
Eventually data would be stored
In something like this
called a database




Invented by Edgar Codd, 1969
The database provided
A way to store
Business data
about the people
about products
And places
But it wasn’t that straight forward
To get the data in here
required a lot of expertise
The business needed a way
To enter data
1970s
Business applications were created




  founded in 1972    founded in 1977
And improve business process
Why business applications?
Business applications provided a better way
to collect data
Database = data storage
Business applications + Database

               =

       Ease of data entry
And more data.
What about access?
Data + Access = Answers?
access wasn’t easy
For example
Can I have some data? Please?
It wasn’t that easy
Data was coming
from multiple locations
from business applications
And in the database
Why not access one-at-a-time?
They tried with Reports
But they were one-dimensional
And could only provide access in
Silos
Which meant the data was
Fragmented
They needed more insightful access
Across multiple locations
So they moved the data
Into a data warehouse
Which was made popular in the early 1980s



                 Ralph Kimball




                  Bill Inmon
Now the data could be organized
And could come from multiple locations
To be managed
and accessed
Now data could be served
Data access + management = consumption
Business Intelligence 1.0
BI tools could
Report   Analyze
In 1989 term BI was born




Howard Dresner, coined the term 'business intelligence' in 1989
BI vendors started to pop up




          1990
                          1993



   1985
                   1989
BI vendors promised more access
Across multiple locations
To report and analyze the data
Why?
more data = more demand
The business wanted
Data faster
BI was about performance.
What happened next?
The data didn’t stop
Things began to move quickly
The business needed more answers, fast
The 90s brought more BI tools
And there were lots
BI tools were everywhere
But it still didn’t work
The data usually wound up here
Which became
Which eventually became
There was no
single
version
of the
Truth
In summary
BI tools created more access
More access = Multiple versions of the truth
New challenge of data management.
What about cost?
Hard to maintain
BI vendors needed a way
To offer more functionality
The first BI platforms emerged
Acquisitions
Business Intelligence 2.0
More BI tools
More BI functionality
Offline and online
Market consolidation
At this point
BI was a top priority

(top priority for CIOs)
It was Bigtime
Bigger than Lebron James
But it still didn’t work
Something was broken
Business people were still
CONFUSED
Business Intelligence has not changed

                   The definition of BI is…

Skills, knowledge, technologies, applications, quality, risks, security issues and
   practices used to help a business to acquire a better understanding of market
  behavior and commercial context. For this purpose it undertakes the collection,
 integration, analysis, interpretation and presentation of business information. By
 extension, quot;business intelligencequot; may refer to the collected information itself or
              the explicit knowledge developed from the information.
What wasn’t working?
The business still couldn’t get the answers




         Access to BI (20%)



                              No access to BI (80%)
It wasn’t about people
It was still about
Systems
What wrong with that?
It required access
Who provided access?
Typically it was IT
What happens when
80% of the people call IT for data
Why not go around IT?
BI tools were not
intuitive
Business people didn’t have
Time
It was about
Intuitive access
And timeliness of data
BI was about usability
To turn data
Into the right format
And be easily consumed by more people
And be easily managed by IT.
But it wasn’t just about the data in here
There was unstructured data
What’s the difference?
Unstructured came from places
Like blogs
Wiki’s
emails
Documents
Presentations
Videos
And there was lots




“80 percent of business is conducted
   on unstructured information.“
BI = Right Data + Right Time + Right Person
BI needed to be people centric
Oldschool BI didn’t work
Because people make decisions
Not systems
It was time for a change
The BI of the 90s
was “Iced” out
The business needed to do more
To collaborate
Search
And communicate
About their questions
and their answers
To drive innovation.
Today, there are new pressures
An economic crisis
But times are changing
BI can work the way you do
To provide better insight
and better decisions
for more people
and drive innovation
How can you get it?
You already have it.
Follow the new BI conversation

  http://blogs.msdn.com/bi
Follow the conversation
http://blogs.msdn.com/bi

 Get updates on Twitter
http://twitter.com/nicfish


              This presentation style was influenced by
              Dick Hardt

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History of Business Intelligence