Business Intelligence an overview

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Business Intelligencean overview

• Nur Cahyo Wibowo, SKom, Mkom
• Komputer Masyarakat
• Progdi Sistem Informasi UPNVJT

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What is Business?

• An organization that provides goods and services
  to others who want or need them. (Univ. of
  Minnesota)
• An economic system in which goods and services
  are exchanged for one another or money. (Business
  Dictionary)
• Kegiatan usaha yang terorganisasi untuk
  menghasilkan barang atau jasa guna memenuhi
  kebutuhan konsumen dan bertujuan menghasilkan
  profit (laba).

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The Nature of Intelligence

• Learn from experience including by trial error.
• Apply knowledge acquired from experience to
  another situation.
• Handle complex situations.
• Solve problems when important information is
  missing is the essence of decision making.
• Determining what is important.
• The ability to reason and think.
• Reacting quickly and correctly to a new
  situation.
• Understand and interpret visual images.
• Being creative and imaginative.

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What is AI?

• Artificial Intelligence systems include people,
  procedures, hardware, software, data and
  knowledge needed to develop computer systems and
  machines that demonstrate characteristics of
  intelligence
• Ralph Stair.

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So, What is BI?

• IT-enabled business decision making based on
  simple to complex data analysis processes
• (BI) applications are decision support tools that
  enable real-time, interactive access, analysis
  and manipulation of mission-critical corporate
  information.
• Technically
• Database development and administration
• Data mining
• Data queries and report writing
• Data analytics and simulations
• Benchmarking of business performance
• Dashboards
• Decision support systems

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Business Intelligence Systems

• The purpose of a business intelligence (BI)
  system is to provide the right information, to
  the right user, at the right time.
• BI systems help users accomplish their goals and
  objectives by producing insights that lead to
  actions.

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Source www.kairon.com
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Business Intelligence
OLAP
BI
ETL tools
Data Warehouse
Reports
Pivot Table
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Tecnologies Supporting BI

• Database systems and database integration
• Data warehousing, data stores and data marts
• Enterprise resource planning (ERP) systems
• Query and report writing technologies
• Data mining and analytics tools
• Decision support systems
• Customer relation management software
• Product lifecycle and supply chain management
  systems

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Business Intelligence Tools

• Tools for searching business data in an attempt
  to find patterns is called business intelligence
  (BI) tools.
• The processing of data is simple Data are sorted
  and grouped and simple totals and averages are
  calculated.
• Reporting tools are used to address questions
  like
• What has happened in the past?
• What is the current situation?
• How does the current situation compare to the
  past?

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BI Tools Cont.

• Data-mining tools process data using statistical
  techniques, many of which are sophisticated and
  mathematically complex.
• Data mining involves searching for patterns and
  relationships among data.
• In most cases, data-mining tools are used to make
  predictions.
• For example, we can use one form of analysis to
  compute the probability that a customer will
  default on a loan.

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Data, Information, Knowledge

• Data
• Items that are the most elementary descriptions
  of things, events, activities, and transactions
• May be internal or external
• Information
• Organized data that has meaning and value
• Knowledge
• Processed data or information that conveys
  understanding or learning applicable to a problem
  or activity

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Why Data Warehousing?
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Data Warehouses and Data Marts

• Basic reports and simple OLAP analyses can be
  made directly from operational data.
• Many organizations choose to extract operational
  data into facilities called data warehouses and
  data marts, both of which are facilities that
  prepare, store, and manage data specifically for
  data mining and other analyses.
• Programs read operational data and extract,
  clean, and prepare that data for BI processing.
• The prepared data are stored in a data-warehouse
  database using data-warehouse DBMS, which can be
  different from the organizations operational
  DBMS.

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Data Warehouses Versus Data Marts

• A data mart is a data collection, smaller than
  the data warehouse, that addresses a particular
  component or functional area of the business.
• The data warehouse is like the distributor in the
  supply chain and the data mart is like the retail
  store in the supply chain.
• Users in the data mart obtain data that pertain
  to a particular business function from the data
  warehouse.
• It is expensive to create, staff, and operate
  data warehouses and data marts.

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On-Line Analytical Processing (OLAP)

• Literally, On-Line Analytical Processing.
  Designates a category of applications and
  technologies that allow the collection, storage,
  manipulation and reproduction of multidimensional
  data, with the goal of analysis.
• Example http//perso.wanadoo.fr/bernard.lupin/eng
  lish

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OLTP VS OLAP
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Reporting Systems

• The purpose of a reporting system is to create
  meaningful information from disparate data
  sources and to deliver that information to the
  proper user on a timely basis.
• Reporting systems generate information from data
  as a result of four operations
• Filtering data
• Sorting data
• Grouping data
• Making simple calculations on the data

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Digital Dashboard Example
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Dashboard
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Data Mining

• The application of statistical techniques to find
  patterns and relationships among data and to
  classify and predict.
• Data mining represents a convergence of
  disciplines.
• Data-mining techniques emerged from statistics
  and mathematics and from artificial intelligence
  and machine-learning fields in computer science.

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Strategic, Tactical Functional Benefits of
Business Intelligence
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Referensi

• David Kroenke, Business Intelligence and
  Knowledge Management Chapter 9, Prentice Hall
  2007.
• Anonym, Business Intelligence, Bellevue College.
• Turban, dkk, Decision Support Systems and
  Intelligent Systems Chapter 5, Seventh Edition,
  Prentice Hall 2005.
• Henry Yan, Business Intelligence, ISRC Technology
  Briefing October 26, 2006.
• Hanim MA, Intro to Data Warehouse.