The increasing amount of information and data being produced is almost unfathomable. Understandably, many companies struggle with the amount of information they have and are unable to produce any meaningful findings. As a result of this difficulty, ‘business intelligence’ has emerged. Business intelligence refers to the process of collating, analysing and interpreting data to better understand your business.
Where to Begin
Before creating business intelligence, it’s important to know which data should be collated and how.
The first type of data that should be collected is from internal sources. It includes transactional information such as dates and times of actions, as well as payments and scheduling information. When using ERP systems, collecting internal data is far more streamlined. In order to corroborate any internal data, external data from government, news or information sources can be helpful.
Unlike internal sources, collecting data from external sources can be considerably harder. One issue with data from multiple sources is that it can often come in different formats. In order to effectively compare data, it is important to make sure all data is converted into one unit of measurement and that they are all imported into a single database.
Data needs to be funnelled in a way that is meaningful, in a way that demonstrates the relationship between each type and form of data. Through the interconnected nature of data, the model can effectively highlight how business processes are impacted.
Once the model has been applied to understand the relationship between data and processes, the importance of business intelligence becomes obvious. In order to best understand business intelligence, visual representations are usually the most effective. This being said, there are a variety of ways in which data can be presented.
Why Use Business Intelligence?
The main benefit of business intelligence is to make quick, reliable decisions. As in any industry, it is important that business intelligence is actually relevant. For instance, when choosing software features, it is most important that the features are functional rather than aesthetic. Genuine tools such as cost calculators would be far more useful than eye-catching visuals for a construction company.
When the specific parameters of the construction industry are understood, it becomes far easier to ensure correct business intelligence is generated. In doing so, business profit and efficiency increase. If you are unsure how to create relevant business intelligence within your company, reach out to us today to take your first step towards more effective and streamlined decision-making within your business.