Notes accompany this presentation. Please select Notes Page view. These materials can be reproduced only with written approval from Gartner. Such approvals must be requested via Gartner is a registered trademark of Gartner, Inc. or its affiliates. The BI(g) Discrepancy: Too Much Technology and Not Enough Intelligence James Richardson

BI Defined: Information Driving Organizational Performance Business intelligence is an umbrella term for Applications Infrastructure, platforms, tools Best practices which enable the analysis of information in order to optimize decisions and manage performance. Information Performance Decisions Analysis

Key Issues 1. What is the BI(g) discrepancy? 2.How are organizations getting value from BI? 3.What are the fatal flaws to avoid?

Credit Crunch Squeezed the Real Economy Loan restrictions & rate hikes Must slash costs & pressure suppliers Must slash costs & pressure suppliers U.S. home loan crisis Global interbank trust loss Consumer credit restrictions Operating capital squeeze Tax Revenue softening “Executive spending cuts of £370m are needed in the coming year the NI finance minister Sammy Wilson has said.” Source: BBC NI, 29 Sept 2009

BI Should Be Playing a Key Role Improving transparency Enabling fact-based decision making Understanding what and why we should cut Identifying opportunities for growth, or at least which parts of the organization to protect But…

Does this Look Familiar?

Architecture is not a Strategy slide

Key Issues 1. What is the BI(g) discrepancy? 2.How are organizations getting value from BI? 3.What are the fatal flaws to avoid?

Survey: Top Drivers of BI Investments Value to Business Enabling Value to CIO/IT Technology Contributing Lower TCOHigher Business Agility and Scale Strategic Business Transformation Operational Efficiency Information 48%: To better align with and track against corporate strategy and objectives 21%: To increase the organization's revenue 71%: To speed up and improve decision- making ability Source: "Survey of BI Purchase Drivers Shows Need for New Approach to BI," G %: To respond to needs for data on a timely basis 45%: To decrease costs of supporting decisions 28%: To move users toward a self-service model of information delivery

Case Studies: Realizing BI Business Value ¹Gartner BI Excellence Award Finalists ²BusinessWeek Top 50 Performers and company SEC filings Value to Business Enabling Value to CIO/IT Technology Contributing Lower TCOHigher Business Agility and Scale Strategic Business Transformation Operational Efficiency Information Cummins¹ WellPoint² UniCredit¹ Euro Disney¹ Continental Airlines¹ Best Buy² Chicago Mercantile Exchange¹ Pfizer¹ AstraZeneca¹ Absa Bank¹ City of Richmond¹

Business Strategy Performance Management Optimizing Business Value: Integration and Alignment of Value Chain 'Cornerstones' "Gartner's Business Intelligence and Performance Management Framework," G Value to CIO/IT Value to Business PeopleProcesses Analytic Applications BI Platforms Information Management Infrastructure Value to Business Enabling Value to CIO/IT Technology Contributing Lower TCO Higher Business Agility and Scale Strategic Business Transformation Operational Efficiency Information

Enterprise strategy: Defined aspirations, plans, objectives Alignment with strategic business objectives and sponsors Cornerstones of Optimizing Business Value Business Strategy The right metrics within an overall performance management framework Performance Management Business Units Enterprise Business Functions Business Process Strategic Metrics Process Performance Metrics Management Performance Metrics

Cornerstones of Optimizing Business Value (Continued) ITAnalysts Business Business Intelligence Competency Center Shift focus to business and analytic competency Establish cross-process, cross-enterprise BI -Break down politics and silos -Define reusable standards, methods and policies -Provide BI program management Skills of process managers and developers People Linked: Integrated plans and analysis Active: Informed decisions made quickly at point of work Networked and collaborative: Cross- process, cross-enterprise Faster deployment and process fit Strategy- Driven Management- Driven Process- Driven Analytic Continuum Analytic Applications Process

Cornerstones of Optimizing Business Value (Continued) Information analysis and delivery Delivery Integration Analysis Metadata Management Development and Administration Workflow and Collaboration Reporting Ad Hoc Query Microsoft Office Integration Dashboards OLAP Scorecarding Visualization Predictive Modeling and Data Mining Build on the basics -Reporting, dashboards and flexible querying Focus on integration Set standards -Eliminate redundancy Information Management Infrastructure Move, Transform and Enrich Data Services Governance, Stewardship and Quality Integrate Data and Content StandardsRepositoriesOntologyTaxonomy Metadata Management and Semantics RulesModels Data Management Access, Monitor and Secure Availability, transparency and data quality Using data effectively: -Knowing it exists -Knowing where it is located -Having access to it -Knowing how to use it BI Platforms Data WarehousingXML DocumentsMaster Data Management

Key Issues 1. What is the BI(g) discrepancy? 2.How are organizations getting value from BI? 3.What are the fatal flaws to avoid?

Flaw #1 Believing that "If you build it, they will come"

Flaw #2 Managers Needing to "Dance with the Numbers"

Flaw #3 "Data quality problem? What data quality problem?"

Flaw #4 "Evaluate other BI platforms? Why bother?"

Flaw #5 "It's perfect as it is! Don't ever change..."

Flaw #6 "Let's just outsource the whole darn BI thing"

Flaw #7 "Just give me a dashboard. NOW!"

Flaw #8 "Err … X + Y = Z, doesn't it?"

Flaw #9 "BI strategy? No thanks, we'll just follow our nose."

Recommendations... What you can do tomorrowBottom line, and... Assess your BI value, risks and failure points The information infra- structure is the foundation BI tools and applications are not "one size fits all" Without the right skills, organization and processes, BI cannot succeed BI exists to fuel business strategy Judge your situation against case studies, BI framework, cornerstones and fatal flaws Strive for consolidation, standardization and flexibility Evaluate your user segments, and define a portfolio that addresses the range Establish a BI competency center to ensure BI is embedded in business processes Align BI efforts with critical business initiatives

Business and IT Need to Come Together

Notes accompany this presentation. Please select Notes Page view. These materials can be reproduced only with written approval from Gartner. Such approvals must be requested via Gartner is a registered trademark of Gartner, Inc. or its affiliates. The BI(g) Discrepancy: Too Much Technology and Not Enough Intelligence James Richardson