draft – for discussion purposes only 1 strategic business intelligence (sbi) prepared and...

Draft – For Discussion Purposes Only 1

Strategic Business Intelligence (SBI)

Prepared and Presented By:

Susan Romeo-Gilbert

Practice Director

Web Applications and Solutions Operations Group

TELUS Communications Inc.

TDWI Vancouver Chapter

July 2009

Developing A Corporate Strategic Intelligence Framework (SIF) and Roadmap

(Short Form)


Business Intelligence (BI) Defined

“The processes, technologies and tools needed to turn data into information, information into knowledge and knowledge into plans that drive profitable business actions. BI encompasses data warehousing, business analytic tools and content knowledge management” (David Loshin, Business Intelligence: The Savvy Manager’s Guide, Addison Wesley, 2004)

■ A Strategic BI FRAMEWORK:

√ Supports Decision Making at the Senior Executive level√ Provides 360o, Highly Integrated Views, of the Business√ Designs for Efficiencies and Effectiveness√ Adapts Technology to the Business Needs√ Aides with Anticipation & Prediction of Events√ Increases Corporate Agility√ Facilitates Knowledge Capture, Exchange and Management√ Associates Individuals with required skills √ Provisions Education & Training to the Business


SBI Key Themes

SBI Key Themes:

■ SBI viewed as a Corporate Asset

■ Identification of the VALUE of information to the business

■ SBI initiatives driven by Corporate KPIs needs

■ Provision of Analytic Services for Predictive, Prescriptive and Descriptive Analytics and Insight:

– ability to uncover threats/opportunities,

– root-cause analysis

– complete customer views

■ Allow executives the means to measure success and report against their Service and Strategic Plans

INFRASTRUCTURE

OPERATIONAL DATABASES(Data Sources)

OPERATIONAL DATAWAREHOUSEWith Data Marts

(Integration & Analysis)

TACTICAL & OPERATIONAL MANAGEMENT SYSTEM

STRATEGIC REPORTS MANAGEMENTSYSTEMS

BUSINESS INTELLIGENCE

SYSTEM(Scorecard/

Business Rules/Alerts/Work Flow)

Visual Presentation

CorporateBusiness Intelligence

Corporate InformationManagement

Each Layer represents a grouping of tools, technologies and processes that cohesively provide a subset of

functionality

The fundamental purpose for the establishment of a SBI Framework is to allow the Business to work smarter and provide the ability to anticipate events, so that on a daily basis, there is proactive rather than reactive reasoning and action.


SBI = Continuous Improvement

■ Most Organizations have the technological foundation. (Cost of Ownership) ■ What then is next for the Business? (Business Benefits)

Moving toward SBI Maturity - From what Organizations have, to where they want to be, has been brought about by: increasing system complexity, rising business expectations, cost-consciousness, and recent advances in technology.

■ Today’s Questions usually raised by the by the Business are:

What does SBI mean to me? What can SBI do for me? What is the problem? Why do we care? We have the data, so why can we not get the results today? Why are some complex questions difficult to answer today and

What are we as an corporation doing about it? Can you re-create the query in a timely manner? What about lost-time dimension?


What Strategic Business Intelligence IS and IS NOT

■ A SBI SYSTEM IS:

– Support for Decision Making– Designed for Efficiencies– Adapts to the Business– Anticipates & Predicts Events– Optimizes Query & Response– Increases Corporate Agility

■SBI DATA (From a Data Warehouse) IS:

– Historical– Agreed-to Period Snapshots– Highly Integrated: 360o Views – Subject or Needs Oriented– Detailed AND Summarized AND

Derived

■ A SBI SYSTEM IS NOT:

– A Daily Transactional System– An Automated or Batched Systems– Designed for Efficiency– To Impose Structure to the Business– To React to Events– Optimized For Transactions

■ SBI DATA (from a Data Warehouse) IS NOT:

– Real Time Current– Continuously updated– Source Specific– Application Oriented– Detailed Only

The fundamental purpose for the establishment of a Strategic BI (SBI) Framework is to allow the Business to work smarter , gain a competitive advantage and provide the ability to anticipate events, so that on a daily basis, there is proactive rather than reactive reasoning and action.


Executive Requirements Gathering Approach

Facilitated Individual Interview Sessions

Steering Committee Approval

Business Area Heads

Business Cases

Multi-Phase, Multi-Year Strategy & Roadmap

Analysis &Outcomes

Needs Analysis Starts Here

■Discuss:

– What needs are being met– What needs are not currently being met.– Vision/future needs .

• position for future state

■Identify:

– Goals and Objectives– Most important issues– Priorities, as they are to be set with respect to:

• Short term strategies in view of business change drivers – 3 months to 1 year

• Long term strategies in view of business change drivers – 1 to 2 Years– Strategic Operation Control (SOC) - Daily View– Management Reports - Weekly, Monthly View– Trend/Strategic/Forecasting View – Months, Years


SBI Strategy Development Project Scope & Objectives

Alignment of the Strategic Business Intelligence Framework

The introduction of a large corporate System usually acts as the main catalyst to the establishment of a dedicated SBI Framework. The framework will create an umbrella for effective integration of various projects to allow extraction of pertinent information for executive level decision making, reporting and support.

BUSINESS INTELLIGENCE FRAMEWORK(People, Process, Technology)

GOVERNANCE&

STANDARDS&

QUALITY

APPLICATIONARCHITECTURE

INFORMATION(Hard & Soft Data)ARCHITECTURE

TECHNOLOGY(Infrastructure)

ARCHITECTURE

CORPORATE SERVICE DELIVERY

LEGAL OTHER SERVICESFINANCEHUMAN

RELATIONS

INFORMATION SYSTEMS

MANAGEMENT SOLUTIONS

CORPORATE OPERATIONAL DIVISIONS

Intelligent Solutions Communication Training Increased Consumption

SBI has four PILLARS for Success:

Seamless Integration of Technology

Simplified Data Delivery

On-Demand Use

Closed Loop Feedback


Proposed Approach

Step 1

Current Inventory

Step 2

Value Definition

Step 3

Deployment map

Step 4

Measurement Criteria

Step 5

Enhancement Targets

Follow Forrester’s Best Practices and interrelated 5-step approach to creating a Business Intelligence Strategic Plan

To provide the details about what SBI solutions exists today, how used, where located, how many business areas use these solutions.

It is intended to demonstrate the complexity of the current data environment, as well as articulate the challenges that analysts have with providing integrated Strategic Business

Intelligence.

End-user assessment of and agreement on, the value related to specific functions associated with BI Solutions. To be used in calculations on ROI to access the Total Economic Impact (TEI) of the BI Solution

To link BI functionality to corporate user usage mix (constituencies), rather than by individual departments, to determine overlaps and redundancies.

Quantify the success of individual BI Solutions:

It will form the starting point for determining the viability of current BI Solutions. These criteria will be subject to constant refinement.

Comprehensive Look at BI Components:

To outline the go-forward Project Management Plan with timelines for next-phase projects, technology, consolidation and new BI initiatives for the next 18 to 36 months.

NOTE: Steps 1,2 & 3 will represent snapshots in time, whereas steps 4 & 5 will represent the roadmap and project plan for all aspects of SBI at the corporate level


Pulling it all together

■ Develop A Cohesive SBI Strategy:

Phase 1: Development of the SBI Strategy (6 months)• Roadmap, staging and prioritizing of the implementation of the BI Framework• Identification of how to efficiently consolidate access databases & spreadsheet silos

created by operational level spin-offs and drifts• Identification of Follow-on Projects, Project Quick Hits & Prototypes• Governance Model Definition

Phase 2: Building the Supporting Structure (3- 6 Months)• Governance Business Processes Detailed• Corporate KPI’s Creation & Maintenance Processes Identification• Standards, Policy & Procedures Definition

Phase 3: Delivery of Services ( 9-12 Months)• Expanded Operational Data Warehouse• SBI Tools – Integration Engines• Business Users Communication & Education, Building Understanding and Feedback

Loops• Critical Analytical Services Groups Well Defined


Key Principles of the SBI Roadmap

Solid Foundation• First build a solid Governance, Education & Communication foundation and

incrementally build business capabilities on top of that foundation

• Build on existing main information system/application

• Do not reduce or compromise existing capabilities during the implementation timeframe

Over time, the Business Benefits increases as Costs and Delivery Times decrease.

Cost

Benefits

DeliveryTime

Information Management Cost of Ownership

WAVE 1 – Foundation Build: BI Governance, Education & Communication Models

WAVE 2 – Solution Design, Build & Implementation

WAVE 3 – Solutions & Services Expansion

NOTE:

•Building the foundation will take the most time and cost•Increasingly powerful business capabilities are built onto this foundation at a significantly lower cost•The potential for benefits, significantly increases, as business capabilities continue to be built and layered on the foundation


Tomorrow’s SBI Vision

Vision

Get the C-Suite and Sponsors on Board

Better Strategies & Plans

Better Tactics & Decisions

More Efficient Processes

Greater Customer Satisfaction

Greater Employee Satisfaction

Greater Stakeholder Value

draft – for discussion purposes only 1 strategic business intelligence (sbi) prepared and...

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