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Hvordan sikres (mere) værdi af
Business Intelligence projekter? JORGEN.STEINES@PLATON.NET
● A leading Independent Information Management consulting company
● Headquarters in Copenhagen, Denmark
● 220+ employees in 9 offices
● 300+ clients in 8 countries
● Founded in 1999
● Employee-owned company
Platon – The Company
“Platon received good feedback in our satisfaction survey. Clients cited the following strengths: experience and skill of consultants, business focus and the ability to remain focused on the needs of
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• Fokus på Business Intelligence og Master Data Management
• Unikke internationale eksperter
• Netværksreception med underholdning af Jonatan Spang
• Afsluttende netværksmiddag
Vi glæder os til at se dig og dine kollegaer d. 12. oktober 2011.
Nordens største Information Management konference: Keynote:
JAMES TAYLOR
Vi er stolte over at annoncere årets keynote-taler: én af de største Business Intelligence-guruer hele vejen fra San Francisco i USA. James er en ledende ekspert og forfatter indenfor regelbaseret beslutningsstøtte (Decision Management & Predective Analytics) og en anderkendt keynote-taler ved diverse globale konferencer.
28 unikke præsentationer, bl.a:
Book allerede datoen i din kalender i dag!
Du kan følge udviklingen af programmet på www.IM2011.net.
Agenda ● What is BI ● BI Governance ● BI Adoption ● BI requirement specification ● Summing up
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Data Warehouse & Business Intelligence Page 5 Analytical applications OLAP Data Mining Enterprise reporting
Business Intelligence
?!?
Data WarehouseThe term Business Intelligence (BI) covers the use of information to drive business
insight.
Basically it‟s about providing a better foundation for decision makers by providing
information in the right form, in the right quality, at the right time.
The term Data Warehouse covers the management of data
Data is extracted from operational systems and integrated in the Data Warehouse environment in order to provide an
Drivers for Business Intelligence
Procurement Production and logistics Sales
Service HR
Many types of employees High employee turnover Bad employee satisfaction Decreasing competencies
Need for collaboration . . .
Marketing
Decreasing market share Missing cross/up-sales Bad campaign response
Slow time to market CRM aspirations
. . .
IT
Heterogeneous infrastructure Data quality issues Reporting back-log Project delivery issues
. . .
Finance
Cash flow problems Low profitability Losses on debts receivable
Inflexible planning process CPM aspirations
. . .
CEO
Low profitability Decreasing market share
Slow reaction to threats and opportunities Challenges implementing business strategy
Challenges with mergers . . .
Falling revenue Missing cross/up sales
Increasing COGS Missed opportunities Bad forecasting Decreasing prices Complex markets . . .
Bad customer satisfaction Increasing response time
More complaints Random service levels
. . . Quality issues
Falling service levels Increasing lead time Rising inventory levels
Resource bottlenecks Increasing distribution costs
Inefficient processes Extended value chain aspirations
Process outsourcing Just-in-time aspirations
. . . Unattractive prices
Bad service levels Lack of supplier insight Lack of market insight
Rising stock levels . . .
The Multidimensional
Manager: ”24 Ways to Impact your
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An example
●
It is estimated that 10% of all insurance claims are attempts to fraud●
For Codan this equals 400 mill. DKR per year Predictive analyticsCodan - Fraud
Insurance claim
- collect information
Standard case Loss consultant
investigates
??
Insurance claim - collect information Standard case Loss consultantRisk of fraud is predicted through a
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Predictive analytics Codan - Pricing
Old model – postal codes New model – 100 x 100 meter cells
Low risk High risk
• Several parameters to determine the risk • Only a few from the customer
• The rest is based on data
Agenda ● What is BI ● BI Governance ● BI Adoption ● BI requirement specification ● Summing up
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IT Governance
11
IT Governance:
Specifying the
decision rights and
accountability framework
to encourage desirable
behavior in the use of IT
Governance
Corporate governance● The opposite of Governance: Anarchy (from Greek: ἀναρχίᾱ anarchíā, "without ruler“)
● "No rulership or enforced authority.”
● "Absence or non-recognition of authority and order in any given sphere.”
● "Act[ing] without waiting for instructions or official permission... The root of anarchism is the single impulse to do it yourself: everything else follows from this.”
BI Governance
BI Governance is the
framework and processes
for
determining the priorities, deployment practices, and
business value of enterprise business intelligence initiatives.
How do we get exe-cutive level awareness
and support? How do we resolve
conflicting interests? Who decides what to
work on next?
How can we be more proactive and anticipate changing
business needs?
How do we quantify and track the values of
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BI Governance
- Business and IT standpoints
13 Business Innovation Flexibility Responsiveness Train Users Recommend Actions Analyze information DBA Develop ETL Data modelling Requirement Specs Design
Front end Develop reports User support Execute Bus. Proc. Standards for reporting IT Cost effectiveness Operational efficiency Reliability Scalability BICC IT DW Business unit Business unit Business unit
BI Governance - Organisational structure Program Board Coordinate & prioritize Coordinate & prioritize Program level Project C Steering Committee Project B Steering Committee Project A Steering Committee Project level Operation level BICC DW
© Platon Page 15 IT Governance Infrastructure and operational applications BI Governance Business performance
and decision support Governance relationships
Data Governance Information quality
and processes
IT Governance Infrastructure
and operational applications
Information quality
and processes Business performance and decision support
Business strategy alignment
Legal compliance Knowledge management
Project portfolio management
Service Level Agreements
Governance relationships
Business value tracking
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Step 1: Define the governance level of the BI Program
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BI Methodology
BI Policies
BI Organisation
Common Data Definitions
BI Tools & Systems
One way
Ad hoc
Degree of federation
BI Architectures
BI Project prioritization
Step 1: Define the governance level of the BI Program Step 2: Identify decision making ‟bodies‟
Step 3: Define decision areas and decision rights Step 4: Design and implement governance processes
Agenda ● What is BI ● BI Governance ● BI Adoption ● BI requirement specification ● Summing up
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What can drive better deployment and adoption
Better BI
adoption
Strategy clarification Focus on usage Organisational Change Management Communication, marketing and branding Other 19Change Management
I can not live without my Excel sheets. Let‟s build it and they will come. We earn money anyway. The users The managers I need my own definitions. I don‟t want my results to be visible for all.
We know what they
need.
Similar to ERP implementations?
The successful companies focuses 70 % of the implementation resources on processes, education and other soft aspects and only 30 % on technology
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● Branding…
● Provides a single identity when communicating about your BI Program
● Differentiates your „product‟ from other choices
● Create a logo
● Use it on reports, the intranet and all communications like newsletters, status reports, presentations etc.
● Extend your brand through report certification
● A process of promoting a report to a mass audience
● Further drives the data integrity of your BI program and builds user confidence
● Creates a adoption effect as management only wants to view reports that have been branded and/or certified
Communication, marketing and branding
Agenda ● What is BI ● BI Governance ● BI Adoption ● BI requirement specification ● Summing up
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Does this look familiar?
23
Analysis Design Development Implementation
Increasing costs to fix defects discovered later due to
BI solution types
Dashboards / cockpits
Predictive analytics / data mining
Ad hoc analytics / OLAP
Reporting
Alerts and exception
GIS and other visualization Balanced scorecard
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Types of (BI) requirements
● Business requirements
● Information requirements
● Functional requirements
● Detailed report / usage requirements
● Other requirements
● How about defining the business processes that apply the new information to managerial actions?
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What is the business need, pain or problem? What business questions do we need to answer?
What data is necessary to answer those questions?
How do we need to use the resulting information to answer those questions?
All the other stuff – AKA non functional requirements Detailed layout etc
David McCandless: The beauty of data visualization
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The requirement specification document – The simple version
27
● Introduction
● Business requirements
● Business process requirements
● Information requirements
● Functional requirements
● Detailed report / usage req.
The requirement specification
document – The really simple
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The requirement specification
document – The expanded version
29
● Executive summary
● Introduction
● Business requirements
● Business process requirements
● Information requirements
● Functional requirements
● Detailed report / usage req.
● Security requirements
● Performance requirements
● Operational requirements
● Migration requirements
● User doc. and training requirements
Business process requirements
● “Change” is the keyword
● Textual description is ok
● Or use a swim lane design where the workflow or supporting instructions, procedures or use cases are changed
Procedure
–Prioritize order based on customer rating by…
Use Case
–When the sales rep enters… The system shows…
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Cover all information requirements
● Ask, ask, ask…
● Explain and exemplify - with all stakeholders
● Facts
● Business rules
● Dimensions and hierarchies
● Value sets
● Timeliness
● How „fresh‟ should the data be (update frequency)
● Specific dates the new data is needed
● History
● How much calendar time should be covered
● How about changes in hierarchies - program requirement could be type 2 SCD and project requirement could be type 1 SCD
Does this look familiar?
Perhaps some more structured
techniques are needed?
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The process & methods
33 Identify stakeholders Clarify method of collecting requirements
Plan and invite for meetings Prepare and send material or mindset at meeting Conduct / collect Consolidate / document Validate/ prioritize Update requirement spec. Send for review Verify and sign off
● The sub activities for specification process is outlined in the figure below.
The process & methods
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The effect of initial roll-out times on project success
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BI Requirements
- Business and IT standpoints
37 Innovation Flexibility Ease of use Reliability Scalability Accuracy Correctness Speed User Experience
BICC ?
Pay attention to data quality
●
Poor data quality is the second most common reason for BI
failure
●
Data quality is a big risk
●
Get a clear picture on data quality issues as early as
possible - during analysis or even before
© Platon Agenda ● What is BI ● BI Governance ● BI Adoption ● BI requirement specification ● Summing up 39
Summing up
