Introduction to Business Intelligence Introduction to Business Intelligence

Turban’s Textbook Definition  business intelligence (BI) A conceptual framework for decision support. It combines architecture, databases (or data warehouse), analytical tools and applications

Other Definitions  Wikipedia: Wikipedia Business intelligence (BI) refers to skills, technologies, applications and practices used to help a business acquire a better understanding of its commercial context. Business intelligence may also refer to the collected information itself. Business intelligence (BI) refers to skills, technologies, applications and practices used to help a business acquire a better understanding of its commercial context. Business intelligence may also refer to the collected information itself.  BI for Dummies Business intelligence is essentially timely, accurate, high-value, and actionable business insights, and the work processes and technologies used to obtain them. Business intelligence is essentially timely, accurate, high-value, and actionable business insights, and the work processes and technologies used to obtain them.  Other definitions on the web Other definitions on the web Other definitions on the web

Benefits of BI  Time savings  Single version of truth  Improved strategies and plans  Improved tactical decisions  More efficient processes  Cost savings  Faster, more accurate reporting  Improved decision making  Improved customer service  Increased revenue

Changing Business Environments and Computerized Decision Support

Technologies that Support BI

A Framework for Business Intelligence (BI) This is where our class focuses.

Typical BI Architecture

OLTP Databases vs. OLAP Data Warehouses  OLTP Database Supports day-to-day operations Supports day-to-day operations Organized according to business function Organized according to business function e.g. Adventureworks schemas: human resources, production, purchasing, salese.g. Adventureworks schemas: human resources, production, purchasing, sales Volatile (lots of updates)  normalized Volatile (lots of updates)  normalized Data is real-time (current, based on most recent transactions) Data is real-time (current, based on most recent transactions) Relational database architecture Relational database architecture  OLAP Data Warehouse Supports decision making Supports decision making Organized according to subject areas Organized according to subject areas e.g. Main facts tables in AdventureWorksDW deal with Finance and Salese.g. Main facts tables in AdventureWorksDW deal with Finance and Sales Nonvolatile (read-only)  non-normalized Nonvolatile (read-only)  non-normalized Data is historical (not current) Data is historical (not current) Multidimensional database architecture Multidimensional database architecture Historical trends Historical trends e.g. AdventureWorksDW’s facts tables are indexed by timee.g. AdventureWorksDW’s facts tables are indexed by time