The following post will explain three of the main categories
in which a wide variety of benefits provided by Business Intelligence (BI) have
been grouped, which are: 👉 Increase in Revenues,
improvement in decision-making, and optimization in internal management.
Increase in Income
• Selling
information to consumers, partners and suppliers : Leading companies use BI to
differentiate their products and services from those of their competitors,
adding value and web services.
In the past, many departments did not generate revenue , but
now, thanks to Business Intelligence , they allow obtaining benefits thanks to
the sale of information to consumers, partners and suppliers.
• Improved
strategies with better marketing analysis : Better access to orders,
production, shipping, customer service, and external databases, would allow the
marketing department to find answers to specific questions, such as " What
was the success rate of my mailing campaign? " o What was the increase in
my revenue after the advertising campaign launched on television? " or
"What were the most popular items in our stores over the last two
weeks?"
Thanks to this information, experts can launch new
promotions and campaigns to the target audience, micro-segmenting their market
and obtaining a competitive advantage over the competition.
• Strengthening
sales : It is possible to obtain better sales margins by analyzing sales
patterns: comparing the results with the objectives, with the records of
previous years, or with the results provided by various sources, and proposing
improvements.
In addition, sales efforts can be focused on customers and
the most profitable products. Finally, BI can be used to analyze information
about specific brands, customers, or distributors.
Decision making improvement
• Providing
customers with the means to make better decisions : By accessing information,
users can make better decisions, in a faster way, without the need to refer
daily problems to higher levels within the management hierarchy of the company.
This fact guarantees pragmatic and effective solutions,
since the people who are directly involved in the operations can make the
opportune decisions for their improvement. To this must be added the
improvement in user satisfaction, who feel that they can control their own
processes and their own work.
Globalization and the constant appearance of new products
have caused customers to demand a service of the highest quality and adapted to
their needs. For this reason it is more important than ever to be able to react
proactively to new market demands.
• Quick
responses to user questions : One of the most important benefits BI offers is
the fact that it dramatically decreases the time it takes for internal and
external users to get their answers.
With fewer delays and faster responses, users can act
faster, based on the information they receive.
• Error
reduction : Research states that 20% to 40% of all spreadsheets contain errors
and therefore it has become more complex to multiply the error rates. If
mistakes go unnoticed, companies will end up making decisions based on
misinformation.
• Knowledge
management : Knowledge discovery is a process that involves data processing.
One of the main functions of business intelligence is to better organize and
manage these resources to allow instant access to company records from almost
any date, from sales efficiency to profit to loss.
Access to this information is crucial to help a company
avoid past mistakes and learn from past strategies.
Optimization in internal management
The business intelligence allows you to find and analyze
errors in the strategy of a company.
• BI can
help measure business progress : Business intelligence applications can be used
to create a performance and performance metric linked to goals, which analyzes
how a business performs across several key industries. Metrics are important to
shareholders, executives, employees and customers, and to ensure that the
company maintains strategic objectives efficiently and profitably.
On the other hand, if the company is not meeting any of the
metrics, the problem can be diagnosed and treated before the impact is
irreversible.
