5 Common Misconceptions about Business Intelligence

5 Common Misconceptions about Business Intelligence

Why is business intelligence important?

Business intelligence (BI) is a key focus for the leaders of many organizations. Smart BI solutions help businesses understand the data they have while also ensuring they get the right answers to their business questions. For modern businesses, BI should play a key role in becoming a data-driven organization.

As important as it will be for the future success of many businesses, so many decision-makers still carry misconceptions about the technology fueling modern BI tools – the ways it can benefit an organization and common use cases.

Let’s look at five of the most common misconceptions about business intelligence.

Business Intelligence is Just Reports

Many leaders believe they already use business intelligence because they get data reports covering a range of key metrics. While business intelligence reporting is part of the picture, there is more to it than that. Reports and dashboards are an important component of BI, but true business intelligence empowers people by making data more accessible and easier to use to drive actual decision making.

You Just Need the Right BI Tools

Finding the right BI solution will be a significant part of having success, however, its just the beginning. Organizations should have a complete business intelligence strategy, to assess goals and determine the ways BI can be used to help reach those goals. Beyond that, training employees in the ways the tools should be used, while promoting the benefits of the BI platform you choose, both from a top down and bottoms up approach with a clear communication strategy, is imperative for success.  

BI Belongs to the IT Department

How is business intelligence used at your organization? Many would assume that this question is solely the concern of the IT department. While previous models for BI were heavily dependent on IT professionals, that has changed. Organizations still need specialists to oversee the operation of BI, particularly data governance, harmonization and connectivity, but platforms offering Augmented Analytics and Natural Language Processing are making BI more accessible to people of all skill levels, across the organization. This means, all stakeholders and decision makers are responsible to drive the adoption and usage of the BI solution.

Effective BI is Out of Reach for Smaller Organizations 

Under conventional models, small businesses face significant hurdles as it concerns implementing a business intelligence strategy. The tools can be expensive and the analytics talent can be unaffordable. With cloud-based SaaS solutions now coming on the market, organizations of all sizes can benefit from data-driven insights.

More Reports and Analysis Means More Effective BI

Another common misconception is that the more data you process, analyze and create reports against, the more the organization is benefiting from BI. In reality, its best to identify the types of data and analysis that are most relevant and will have the greatest impact on the business. By focusing on what matters, you can get more from business intelligence.

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