Many people, when thinking about the application of business intelligence to their business, tend to think about financial or tactical issues and analyses—How are we doing compared to budget or last period? Which sales groups are generating the most revenue on upsell opportunities to existing clients? What is the cause of the decrease in product A’s margin over the last 24 months?
But a BI solution will give you deep insight into strategic issues as well. Traditionally, executives spend a week or two a year discussing strategy and create a strategic plan that gathers dust until the next round of strategy discussions start. But your BI solution can give you a vehicle to communicate strategy as well as to measure and monitor it. You can create strategic dashboards that use key performance indicators (KPIs) that are aligned with the strategic objectives of the company to encourage activity that contributes to the overall strategic success of the organization. And you can provide analytical capabilities that will help your company develop processes to stay on track.
For example, if your company’s three strategic goals are to:
- increase market share of X market from 2% to 10%,
- grow revenue by 15%, and
- increase customer satisfaction from a ranking of 2.3 to 4.0,
you’ll want to keep a constant eye on those measures. Additionally, you’ll want to support those objectives with strategies based on cause-and-effect that you discover and confirm through data-backed analysis. For instance, suppose you did some analysis on that customer satisfaction objective above and you learned the following:
- Customers are willing to wait on “hold” for customer support for 20 seconds, but at 21 seconds, their patience wears thin.
- Providing free samples is costly and has no impact on customer satisfaction.
- Sending one email per week with a great offer is perceived by your customers as a service, but sending one per day is perceived as a nuisance.
You will then be able to communicate these findings with your customer satisfaction group and implement processes that reinforce strategies that will enable you to meet that strategic objective.
So don’t waste those two very expensive weeks of executive time. Use BIO business intelligence to support strategic objectives—to analyze the chosen strategies and monitor the company’s progress in achieving them. BIO enables you to provide strategic, financial, and operations dashboards as well as advanced reporting and ad hoc analysis.
Join BIO for a free business intelligence webinar to get to see how BIO business intelligence software can help you meet all of your business objectives. And please contact me at 203.705.4648 or by email at firstname.lastname@example.org if you have any questions about BIO or business intelligence in general.
By Sandi Richards Forman of BIO Analytics Corp., Microsoft Dynamics Business Intelligence (BI) Solution Provider