The value of data for an organization is unquestionable. After all, it is through its use that a competitive advantage over the competition can be created.
With the use of less robust tools, such as good old Excel spreadsheets, it is possible to extract this value and manipulate data to a certain extent. However, if your company is at a level where it is necessary to deal with a large amount of information and turn it into insights, this can be a challenge, and these tools become insufficient, hindering the extraction of value. This is where the investment in a BI (Business Intelligence) solution becomes necessary.
Many people confuse data with information and think the two are synonymous. But, the truth is that when it comes to business analysis, there is a big difference between these two concepts. Understand:
Data: part of a record – such as a raw number, for example – that has not yet been processed and has limited value. It can be found in any type of source, and there is no consensus on its usefulness.
Information: structuring, organizing, ordering, or contextualizing data so that they make sense and have meaning.
In this sense, it is very simple to collect data. In practice, basically, all digital actions and interactions that your customers and employees perform within the company make up your data storage. However, these isolated data mean nothing.
When this data becomes a useful context and generates insights, then we have information. Business intelligence (BI) is “smart” precisely because of this conversion capability. After all, it is from it that you can transform your data into valuable information. In this way, it is possible to identify trends and problems in business, have new ideas, and adjust your strategies and operations.
Think of a hypothetical situation (or maybe not so much): daily, you collect various data from your organization’s sectors; however, isolated data do not communicate with each other. If this is part of your reality, you probably already know the end of this story: analysis and report production become a nightmare in your life, as the task becomes arduous and costly.
With sources without integration, data is scattered throughout the company and stored in various formats. In addition, they are under the control of different areas/employees. A BI solution avoids this chaotic scenario, centralizing and polishing data so that you know what is really happening in your organization.
If your company is in a growth phase, then data begins to grow beyond Excel’s capacity. The tool does not support a large volume of data, and you will eventually be unable to add new numbers to your spreadsheet.
When this happens, you will probably work with personal spreadsheets that will give you a great headache to update and share with the team. In this scenario, a BI solution solves your problems. Business Intelligence is capable of making detailed analyses of any volume of data, providing a unified view of the data to the decision-maker.
If you’ve ever lost yourself in your data at some point and made the wrong decision, unable to firmly explain the origin of such data, it’s time to seriously consider adopting a BI solution. That’s because the wrong decisions usually occur in a scenario where the data is dispersed and raw. If you’ve experienced this, you’ve probably identified with items 1 and 2 on this list too.
If the data is not analyzed correctly, it is possible that the presented results are incomplete or distorted, which can lead to erroneous conclusions. Furthermore, if the data are interpreted in a biased way, based on prejudices or preconceived ideas, this can also lead to misinterpretations. With the adoption of a tool, it will be possible not only to convert your data into information and generate reports more easily but also with great credibility.
If your company’s data is concentrated in the hands of the IT department or another sector, all other sectors will become completely dependent on getting reports. With the constant requests for reassessment and adjustments to reports and analysis, this will create a huge backlog of work.
A BI solution will be able to democratize access and use of data in the company, making everyone benefit from data analysis to achieve goals.
With the help of a BI solution, the data that indicate the progress of your business can be used for future planning, which can be carried out through predictive analytics. In this way, you will be able to clearly see the performance of the company and the market in a certain period of time, and thus have a more strategic vision to carry out your operations and planning.
If you identified yourself with one or more of the items mentioned above, it’s time to consider investing in a BI solution. But you don’t have to worry!
BIX Tech is a data consultancy that operates from end to end in the analytical journey – and that includes the search for the best BI solution for your business. We can help. To do so, click here and get in touch with us!