April 18, 2007*Business IntelligencePresented By: Stephanie Schwartz, Khairil Fahrvrrazi, Kevin Ruzicka, Ashley Stead

April 18, 2007*Session ObjectiveTo Understand: The meaning of Business Intelligence (BI)Why BI is important to General ManagersThe promised benefits and challenges of BI

To Visualize:Continental AirlinesTyneside NHS Trust

April 18, 2007*Priority Status of Business Intelligence*Annual Revenues $1.0Bhttp://www.networkworld.com/news/2007/011207-business-intelligence.html, viewed April 6, 2007Guptill, B., User Executives Raise Business Intelligence Prioritization Saugatuck Technology, January 2006, pp. 1-2Top IT Spending Priorities Item 05 06 Application Integration 2 1 Security SW & Svcs. 1 2 Bus. Intelligence 5 3 BPM 19 4 SOA 13 5

Source: Saugatuck Technology. Results based on web survey of over 200 senior business and IT executives, November, 2005. Business intelligence will be the top spending priority for IT executives in 2007

April 18, 2007*Cost of Business Intelligence

Data: InformationWeek Research business intelligence survey of 230 business technology professionals, March 2006http://www.financetech.com/showArticle.jhtml?articleID=181501564, viewed April 6, 2007

Chart2

10

44

46

BI Spending On The RiseHow will your organization's spending on BI tools change this year?

Sheet1

Decrease10

Increase44

Remain the Same46

Sheet1

BI Spending On The RiseHow will your organization's spending on BI tools change this year?

Sheet1 (2)

About the Same49

Larger35

Smaller16

Sheet1 (2)

BI Spending as a Percentage of Total IT BudgetIn 2006, will BI spending account for a larger or smaller percentage of your total IT budget compared to last year?

Sheet2

Sheet3

April 18, 2007*Cost of Business Intelligence

Data: InformationWeek Research business intelligence survey of 230 business technology professionals, March 2006

Chart3

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35

16

BI Spending as a Percentage of Total IT BudgetIn 2006, will BI spending account for a larger or smaller percentage of your total IT budget compared to last year?

Sheet1

Decrease10

Increase44

Remain the Same46

Sheet1

BI Spending On The RiseHow will your organization's spending on BI tools change this year?

Sheet1 (2)

About the Same49

Larger35

Smaller16

Sheet1 (2)

BI Spending as a Percentage of Total IT BudgetIn 2006, will BI spending account for a larger or smaller percentage of your total IT budget compared to last year?

Sheet2

Sheet3

April 18, 2007*Cost of Business Intelligence

Data: InformationWeek Research business intelligence survey of 230 business technology professionals, March 2006

Chart4

7

67

26

Increase in BI SpendingTo what degree will your company's spending on BI tools increase this year?

Dramatically, by 50% or More7%

Moderately, between 26% and 50%26%

Slightly, by less than 25%67%

Sheet1

Decrease10

Increase44

Remain the Same46

Sheet1

0

0

0

BI Spending On The RiseHow will your organization's spending on BI tools change this year?

Sheet1 (2)

About the Same49

Larger35

Smaller16

Sheet1 (2)

0

0

0

BI Spending as a Percentage of Total IT BudgetIn 2006, will BI spending account for a larger or smaller percentage of your total IT budget compared to last year?

Sheet1 (3)

Dramatically, by 50% or More7

Slightly, by less than 25%67

Moderately, between 26% and 50%26

Sheet1 (3)

0

0

0

Increase in BI SpendingTo what degree will your company's spending on BI tools increase this year?

Slightly, by less than 25%67%

Moderately, between 26% and 50%26%

Dramatically, by 50% or More7%

Sheet2

Sheet3

April 18, 2007*What is Business Intelligence?Business Intelligence Gathers important dataConsolidates the data into one locationEasily accessed and analyzed for decision makingServes as one version of truth

Turning data into information that is useful to make decisions

BI essentially supports a corporations transition from being data rich and information poor, to becoming information rich and capable of better fact-based decision making

Burns, M., Accounting for Business CA Magazine, Vol. 136, 3, Apr 2003, pp. 37-38Abukari, K. and Job, V., Business Intelligence In Action CMA Management, Vol. 77,1, Mar 2003, pp. 15

April 18, 2007*Best Practices of Business IntelligenceSix Steps for Successful BIBurns, M., Accounting for Business CA Magazine, Vol. 136, 3, Apr 2003, pp. 37-38http://www.businessintelligence.com/print_news.asp?id=2171, viewed April 6, 2007

1.) Pinpoint the organizations key factors to focus on using Business Intelligence2.) Find the various data resources from which information will be extracted3.)Extract, Load, & Transfer Data (ELT)4.)Choose a method for reporting5.)Establish reporting that will be considered standard across theOrganization6.) Arrange for deployment across theorganization

April 18, 2007*Visual of Business Intelligencehttp://www.obs3.com/why_olap.shtml, viewed March 29, 2007

April 18, 2007*Visual of Business Intelligence

April 18, 2007*Importance to General ManagersBI is a valuable tool in strengthening the position of stakeholdersImportant information gathered into a one stop shop Important information available at opportune times Important information available for strategic use

In sum, BI is an enterprise-wide strategy that supports reporting, analysis and decision making on multiple levels. It supports organization-wide analysis, which in turn leads to insight, action, and the proper measurement of results.Abukari, K. and Job, V., Business Intelligence In Action CMA Management, Vol. 77,1, Mar 2003, pp. 15

April 18, 2007*Promised Pros of Business IntelligenceBI enhances decision makingMore appropriate information in a timely fashionCan consolidate information typically difficult to use in analysis due to its primary locationDecisions made using these facts may lead to a competitive advantageBI results in time savings and efficiency

http://www.camagazine.com/index.cfm/ci_id/26573/la_id/1/print/true.htm, viewed April 4, 2007Stoller, J., What you dont know can hurt you CMA Management, Vol. 79, 3, 2005pp.46-47

April 18, 2007*Management Report (Dashboard)

Dashboard

LEGEND

UNFAVORABLEFAVORABLE

Company ABC

Dashboard Overview

2005200620072006200707 Plan vs 3+9F2006 6+6F vs 9+3F2007 3+9 F vs 07 Plan

ActualActualPlan3+9F3+9FVarianceUnfavFavUnfavFavNotes:

Medical Membership

Total2,232,5171,835,0211,982,0881,903,7081,824,548(78,380)(79,160)East Region contains lower sales due to delays in product rollout, Small Group initiatives, and Individual pricing actions. West Region driven by sales misses in all Western Region markets offset by GIC (City of Springfield) gain.

East Region472,113451,776460,388428,913428,913(31,475)0.0

West Region717,075767,826763,302751,791672,631(11,511)(79,160)

South Region1,043,329615,419758,398723,004723,004(35,394)0.0

Operating Revenue

(000's)

Total2,144,4462,218,8402,392,6372,254,3942,233,999(138,243)(20,395)East variance primarily volume driven. Volume = $58M. West Region variance driven by lower than expected insured membership. Volume =$90M. South Region decline due to business decision to retire a segment of the business model ($3.5M)

East Region834,460878,251966,733909,478909,478(57,256)0.0

West Region1,203,7741,267,8971,348,0701,272,8481,252,453(75,222)(20,395)

South Region106,21372,69277,83472,06972,069(5,765)0.0

Gross U/W Margin00

(000's)

Total541,512528,913521,816498,021477,626(23,795)(20,395)East Region unfavorable due to volume shortfall and worsening MCR. Value shortfall in segments. PPO MCR improvement with IL HMO worsening. West Region Plan included $6.2M Cost of Care savings which are expected to be 3M in 2007. South Region unfavorab

East Region176,700171,723208,742192,539192,539(16,202)0.0

West Region258,606284,851235,240233,285212,890(1,955)(20,395)

South Region106,20672,34077,83472,19772,197(5,637)0.0

Operating Gain/(Loss)

(000's)

Total55,40234,84957,42136,91442,503(20,507)5,589

East Region(9,402)(24,970)20,5912,8852,885(17,706)0.0

West Region31,14941,1994,1936,41112,0012,2195,589

South Region33,65518,62132,63727,61727,617(5,020)0.0

&R&D &T

&LUniCare Finance - Grund&R&P of &N

April 18, 2007*Online Analytical Processing (OLAP)

Actuals2

Company

Project

February

Cost Center

Variances Vs.

2007 Actual2007 Plan2006 6+6 Approved Forecast2007 Plan2006 6+6 Approved Forecast

620010 Advertising-Collateral Prntng15,12522,1006,975(15,125)

620020 Advertising-Other0.02,5002,5000.0

620030 Advertising-Media Purchases2,8048,0005,196(2,804)

620040 Advertising-Branding4,22320,80016,577(4,223)

620050 Marketing Research0.00.00.00.0

620060 Marketing-Sales Promotion899,0698,980(89)

620065 Marketing - Sales Sponsorships0.00.00.00.0

620070 Marketing-Production0.00.00.00.0

620080 Marketing-Direct Response4940.0(494)(494)

620090 Advertising-PR Programs1,00010,0009,000(1,000)

620100 Marketing - Gifts to Clients (Inact Jan07)0.00.00.00.0

Advertising Expense23,73472,46948,735(23,734)

630010 EDP-Interest Exp Cap Lease (Inact Jan07)0.00.00.00.0

630011 EDP-Leased Rented HW Mainframe0.00.00.00.0

630012 EDP-Leased Rented HW Open Sys390.0(39)(39)

630020 EDP-Maintenance0.00.00.00.0

630021 EDP-Maintenance HW Mainframe0.00.00.00.0

630022 EDP-Maintenance SW Mainframe0.00.00.00.0

630023 EDP-Maintenance HW under 1K0.00.00.00.0

630024 EDP-Maintenance HW Open Sys0.00.00.00.0

630025 EDP-Maintenance SW Open Sys0.0(3,459)(3,459)0.0

630030 EDP-Software3150.0(315)(315)

630031 EDP-SW Licenses Fees Mainframe0.00.00.00.0

630032 EDP-SW Licenses Fees Open Sys32(17,200)(17,232)(32)

EDP Equipment Operation Exp386(20,659)(21,045)(386)

631010 EDP-Deprec Equipment0.00.00.00.0

631020 EDP-Deprec Software0.00.00.00.0

631021 EDP Depr Operating Systems0.00.00.00.0

631025 EDP-Deprec Internally Developed Softwa0.00.00.00.0

631026 EDP Depr IDS Operating Systems0.00.00.00.0

631030 EDP-Deprec Open Sys Hardware0.00.00.00.0

631040 EDP-Deprec Mainframe Hardware0.00.00.00.0

631130 EDP-Deprec Open Sys Software1721720.0(172)

631140 EDP-Deprec Mainframe Software0.00.00.00.0

631330 Capital Lease Depr Open Sys (Inact Jan07)0.00.00.00.0

631340 Capital Lease Depr Mainframe0.00.00.00.0

631900 EDP Deprec Multi Phase (Plan Only)0.00.00.00.0

631910 EDP Equip Retirement Offset (Inact Jan07)0.00.00.00.0

EDP Equipment Deprec1721720.0(172)

684010 Technology Refresh-PCs2,7042,639(65)(2,704)

684020 PC-Maintenance0.020200.0

684030 PC-Short Term Rental0.00.00.00.0

686010 PC-Depreciation6461,005359(646)

PC Expense3,3503,664314(3,350)

EDP Equipment3,908(16,823)(20,731)(3,908)

640020 Space-Leased Facilities Alloc18,61717,696(921)(18,617)

640030 Allocation To Pool Centers0.00.00.00.0

Space Expense18,61717,696(921)(18,617)

645010 Space-Other Building Expe0.00.00.00.0

645020 Bldg Exp-Sublease Income0.00.00.00.0

645030 Bldg Exp-Broker Commission0.00.00.00.0

645040 Space Tenants Improvmt0.00.00.00.0

645050 Bldg Exp-Lease Payment0.00.00.00.0

645060 Bldg Exp-Vacant Sites Alloc0.00.00.00.0

645070 Bldg Exp-Contract Service0.00.00.00.0

645080 Bldg Exp-Maint &Inspectin0.00.00.00.0

645090 Bldg Exp-Parking Lot0.00.00.00.0

645100 Bldg Exp-Srvcs Rentl Supp0.00.00.00.0

645110 Bldg Exp-Fire Code0.00.00.00.0

645120 Bldg Exp-Equip Replacemnt0.00.00.00.0

645130 Bldg Exp-Utilities0.00.00.00.0

645140 Bldg Exp-Clean & Restortn0.040400.0

645150 Bldg Exp-Electrical0.06006000.0

645160 Bldg Exp-Heat & Air Conditn0.00.00.00.0

645170 Bldg Exp-Plumbing0.00.00.00.0

645180 Bldg Exp-Elevators0.00.00.00.0

645190 Bldg Exp-Security & Crime0.00.00.00.0

645200 Bldg Exp-General Expense0.00.00.00.0

645210 Bldg Exp-Mechanical Repair0.00.00.00.0

645220 Bldg Exp-Insurance Expense (Inact Jan07)0.00.00.00.0

645230 Bldg Exp-Tax Real & Personal0.06006000.0

645240 Bldg Exp-Paint & Decoratio0.00.00.00.0

645250 Bldg Exp-Janitorial0.00.00.00.0

645260 Bldg Exp-Bldg Engineers0.00.00.00.0

645270 Bldg Exp-Associate Safety (Inact Jan07)0.00.00.00.0

Building Operation Exp0.01,2401,2400.0

646010 Bldg Exp-Amort LHI4,6834,6830.0(4,683)

646020 Bldg Exp-Depreciation0.00.00.00.0

646030 Bldg Exp-Dep-CMS Valuation Adj (Inact Jan07)0.00.00.00.0

646040 Capital Lease Building Amortzn0.00.00.00.0

646150 Land Improvements - Deprec0.00.00.00.0

Building Deprec Expense4,6834,6830.0(4,683)

Building Expense4,6835,9231,240(4,683)

650010 Employee-Advert0.00.00.00.0

650020 Employee-Agency0.00.00.00.0

650030 Employee-Moving5,4010.0(5,401)(5,401)

650040 Employee-Othr Hiring840.0(84)(84)

650050 Employee-Tuition Reimburse (Inact Jan07)0.00.00.00.0

650060 Employee-Training & Meetings0.01,7831,7830.0

650070 Employee-Service Awards (Inact Jan07)0.00.00.00.0

650080 Employee-Membership4271,300873(427)

650090 Employee-Persnnl Rltd Legal (Inact Jan07)0.00.00.00.0

650100 Employee-Relations7114,2953,584(711)

650110 Employee-Celebrations & Appreciation(1,010)3001,3101,010

650120 Employee Meetings0.01001000.0

Employee Expense5,6137,7782,166(5,613)

660010 Furn & Eq-Maint Cntrct0.05005000.0

660020 Furn & Eq-Maint & Repair0.00.00.00.0

660030 Furn & Eq-Rental Equip2111,8251,614(211)

660040 Furn & Eq-Moving97,8700.0(97,870)(97,870)

660050 Furn & Eq-Expensed Furn & Eq6140.0(614)(614)

Furn & Equip Maint Expense98,6952,325(96,370)(98,695)

661010 Furn & Eq-Deprec29,12527,509(1,615)(29,125)

661020 Furn & Eq-Deprec-Vehicles0.00.00.00.0

Furn & Equip Deprec29,12527,509(1,615)(29,125)

Furn & Equip Expense127,82029,834(97,985)(127,820)

670010 Office-Supplies3,7315,8252,094(3,731)

670020 Office-Forms24,67025,7741,104(24,670)

670030 Office-Photocopy0.01001000.0

670040 Office-Printing0.00.00.00.0

670050 Office-Directories0.087,41287,4120.0

Office Supplies Expense28,401119,11090,709(28,401)

675010 Postage-Regular2,4724,8002,328(2,472)

675020 Postage-Due & Bus Reply0.00.00.00.0

675030 Postage-Outside Services0.00.00.00.0

675040 Postage-Freight & Express6,96616,4509,484(6,966)

Postage Expense9,43821,25011,812(9,438)

681010 Tel Voice-Lease3,3394,5271,188(3,339)

681020 Tel Voice-Usage & Supply2,5483,067519(2,548)

681030 Tel Voice-Cellular Usage7921,096304(792)

Telecom Voice Carrier Costs6,6798,6902,011(6,679)

682010 Tel Data-Lease1,0421,477434(1,042)

682020 Tel Data-Usage & Supply0.00.00.00.0

Telecom Data Carrier Costs1,0421,477434(1,042)

Telecom Voice & Data Carrier Costs7,72110,1662,445(7,721)

683010 Telecom Equip & Supp-Expensed0.00.00.00.0

683020 Tel Data-Maintenance0.00.00.00.0

683030 Tel Voice-Maintenance (Inact Jan07)0.00.00.00.0

683040 Monthly Maint & Billing Adm3,8554,543687(3,855)

Telecom Maint & Supplies3,8554,543687(3,855)

685010 Telecom Equipment Exp77213136(77)

685020 Original Equipt Leased (Inact Jan07)0.00.00.00.0

685030 Telecom Infrastruct Allocation0.00.00.00.0

685040 Special Project Expense0.01,2061,2060.0

685110 Interest on Cap Lease Telecom (Inact Jan07)0.00.00.00.0

Telecom Network Eq Lease771,4191,343(77)

687010 Tel Data Depreciation0.00.00.00.0

687020 Capital Leases Prior to 1/1/062,1712,1710.0(2,171)

687030 EDP Labor of Leases3,5423,5420.0(3,542)

687040 Tel Voice-Depreciation0.00.00.00.0

Telecom Network Eq Depr5,7135,7130.0(5,713)

Telecommunications Expense17,36621,8414,475(17,366)

691010 Misc-Membrships-Non Indiv1,3312,000669(1,331)

691020 Misc-Books & Periodicals63550487(63)

691030 Boards, Bureaus, & Assoc-WC0.00.00.00.0

691050 Boards, Bureaus & Assoc-CED (Inact Jan07)0.00.00.00.0

Misc-Membership & Publications1,3942,5501,156(1,394)

692010 Misc-Insurance & Bonding0.00.00.00.0

Misc-Insurance0.00.00.00.0

693010 DOI License & Filing Fees704925221(704)

693020 Guarantee Fund Assessment0.00.00.00.0

693025 Guarantee Fund Assessmt Offset (Inact Jan07)0.00.00.00.0

693030 DOI Audit Fees0.00.00.00.0

693040 Misc-Personal Proprty Tax0.09509500.0

693050 Local & City License & Fees1,9361,100(836)(1,936)

693060 Health Assessments-DIR (Inact Jan07)0.00.00.00.0

693065 Assessments-Alloc Offset (Inact Jan07)0.00.00.00.0

693070 Assessments-ASM (Inact Jan07)0.00.00.00.0

693080 Assessments-CED (Inact Jan07)0.00.00.00.0

693085 Guarantee Fund Offset-CED (Inact Jan07)0.00.00.00.0

693090 Residual Market Loads-DIR (Inact Jan07)0.00.00.00.0

693110 Residual Market Loads-CED (Inact Jan07)0.00.00.00.0

Misc-License, Fees & Taxes2,6392,975336(2,639)

694010 Misc-BoD Retainer & Fees(13,500)0.013,50013,500

694020 Misc-BoD Expense: Normal (Inact Jan07)0.00.00.00.0

694030 Misc-BoD Expense Other Comp (Inact Jan07)0.00.00.00.0

694040 Administrative Fee-MPTF (Inact Jan07)0.00.00.00.0

694050 Admin Fee-Wellpoint MPTF (Inact Jan07)0.00.00.00.0

Misc-Management Fees(13,500)0.013,50013,500

695010 Capitalization Software Int0.014,00714,0070.0

695020 Capitalization Sftwr External0.08,6258,6250.0

Misc-Internally Developed Software0.022,63222,6320.0

696010 HIPAA Reclass Internal (Inact Jan07)0.00.00.00.0

696020 HIPAA Reclass External (Inact Jan07)0.00.00.00.0

Misc-HIPAA Reclass0.00.00.00.0

697010 IT Chargeback0.00.00.00.0

697010A0.00.00.00.0

697020 Anthem IT Chargeback (Inact Jan07)0.00.00.00.0

Misc-IT Chargeback0.00.00.00.0

699010 Misc Non-Deductible Char. Contrib0.030300.0

699020 Misc Deductible Char. Contrib0.00.00.00.0

699021 Charitable Contribution United Way0.00.00.00.0

699022 Charitable Events Tickets & Table0.00.00.00.0

699023 Charitable Tix-Tbls Health Related0.00.00.00.0

699024 Charitable Tix-Tbls Community0.00.00.00.0

699025 Charitable Tix-Tbls Education0.00.00.00.0

699026 Sponsorships - Health Related0.00.00.00.0

699027 Sponsorships - Community0.00.00.00.0

699028 Sponsorships - Education0.00.00.00.0

699029 Charitable Contribution - Unallowable0.00.00.00.0

699030 Misc-Contribution Politic0.01,0001,0000.0

Misc-Contributions0.01,0301,0300.0

605060 Litigtion Settle NonClaims CC0.00.00.00.0

699040 Amortization Exp-Org Costs (Inact Jan07)0.00.00.00.0

699050 Misc-Tax Liab-Penalty&Intr0.00.00.00.0

699060 Misc Exp Purch Disc Cn0.00.00.00.0

699065 Cafeteria Sales - Taxable0.00.00.00.0

699066 Cafeteria Sales - Non Taxable0.00.00.00.0

699070 Misc-Adm Cost Reimburseme0.00.00.00.0

699080 Miscellaneous Expense115(53,924)(54,039)(115)

699090 Misc Expense - ASM (Inact Jan07)0.00.00.00.0

699100 Misc Expense - CED (Inact Jan07)0.00.00.00.0

699200 Misc Exp Wellchoice Allocations (Inact Jan07)0.00.00.00.0

699210 Indirect Pool Reclass Internal0.00.00.00.0

699220 G&A Pool Reclass Internal0.00.00.00.0

699230 Fringe Pool Reclass Internal0.00.00.00.0

Misc-Other Expense115(53,924)(54,039)(115)

Miscellaneous Expense(9,352)(24,737)(15,385)9,352

Other Admin Expense286,753333,013333,013

Administrative Expenses612,116624,33712,221(612,116)

Headcount434949

FTE414747

April 18, 2007*Challenges of Business IntelligenceMost businesses still dont use BI strategically

Users will not automatically see the benefits of BI

Users are attached to what they already use SPREADSHEETS

Data quality needs attention

Burns, M., Accounting for Business CA Magazine, Vol. 136, 3, Apr 2003, pp. 37-38

April 18, 2007*Three Generations of Business Intelligence1st Generation Decision Support Systems (DSS)Early 1970sApplication-centric approach2nd GenerationLate 1980sData-centric approach3rd GenerationReal time data warehousingWatson, Wixom, Hoffer, Anderson-Lehman & Reynolds (2006)French & Turoff (2007); Frolick & Brown (2006)

April 18, 2007*What is a Data Warehouse?Warehouses integrate data from various operational systems

Have become standard in most large companies

Businesses are not the only ones using data warehouses, they are also very useful for schools

Proving to be such a great advantage that businesses are willing to pay millions of dollars for themWatson, Wixom, Hoffer, Anderson-Lehman & Reynolds (2006); French & Turoff (2007)Frolick & Brown (2006)

April 18, 2007*Real-Time BIBefore Real-Time BI, data was used to determine what had already happened.

Real time is used for current decisions.

Purpose is to increase revenue and decrease costs.

Companies who can successfully implement Real-Time BI can dramatically improve their costs.Watson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Continental Airlines BackgroundFounded in 1934Fifth largest airline in U.S., seventh largest in the worldEarly 1990s business problemsGo Forward plan is implementedWent from worst to first, goal then becomes first to favorite. Watson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Continental Airlines Role of Information Technology1998 an enterprise data warehouse is developedNot real-timeNot outsourced

Warehouse created significant lift in areas of the Go Forward PlanNeed for real-time became apparentWarehouse team prepared for moveWatson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Continental Airlines How Real-Time BI HelpedFive Categories of ImprovementRevenue and managementCustomer relationship and marketingCrew operations and payrollSecurity and fraudFlight operationsWatson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Continental Airlines Flight Management DashboardExample of how Continental used Real-Time BI to improve their business

Set of interactive graphical displays-Quickly identify issues so that customer satisfaction and airline profitability can be improvedWatson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Continental Airlines Ex: Logistics of the Flight Management DashboardGraphical depiction of a concourse Assesses where high value customers are or soon will be in a particular airport hub

Indicates where there may be potential gate problemsAirport employees able to assist high value customers so that they and their luggage avoid missing flights.Watson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Watson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Continental Airlines More Examples of ImprovementOperations department able to keep flight arrivals and departures on time

Shows the traffic volume between the 3 continental hub stations

Operations can anticipate where services need be expected

All elements can be broken down to show more detailWatson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Watson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Continental Airlines Learnings & Take AwaysClear technical, business, and process changes must be put into place to enable Real-Time BIFind a clear business need for decisions that require real-time dataInvest in an architecture that can scale and automate as much of the environment as possiblePerform a value assessment to support the investment in Real-Time BI

applications that can leverage real-time B.I. by impacting business process to create value to an organization will represent the third generation of decision supportWatson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

April 18, 2007*Continental Airlines Linkage to Best PracticesWatson, Wixom, Hoffer, Anderson-Lehman, and Reynolds (2006)

1.) Pinpoint the organizations key factors to focus on using Business Intelligence Go Forward Plan and then eventually the First to Favorite plan.2.) Find the various data resources from which information will be extracted The Five Categories: -revenue management and accounting -customer relationship management -crew operations and payroll -security and fraud -flight operations3.)Extract, Load, & Transfer Data (ELT) Data warehouse 4.)Choose a method for reporting Flight Management Dashboard5.) Establish reporting that will be considered standard across the organization Flight Management Dashboard6.) Arrange for deployment across the organization 1998 enterprise data warehouse created for all employees

April 18, 2007*Tyneside NHS TrustOverviewEstablished in 1993

Provides community and hospital services

Region of South Tyneside which is in northeastern England and surrounding areas

http://www.sthct.nhs.uk/

April 18, 2007*Tyneside NHS TrustKey Corporate FactsStaff of 2,500 employees spread among five sites19 IT staff13 dedicated to IT6 dedicated to information

All staff now have access to e-mail

1900 PCs available throughout the Trust

The Trust has a modern high speed network capable of supporting the latest technology such as Radiology Digital Images. Di Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 58 http://www.sthct.nhs.uk/TrustReports/boardvisits06/Information%20Services%20jan%2006.pd

April 18, 2007*Tyneside NHS TrustTotal Revenue Vs. IT BudgetTotal Revenues for 2006 were 90,094,000 ($176,689,546 USD)(annual report & summary financial statement 2005-2006, page 22)

IT Capital budget for 2006 was 530,000($1,039,419 USD)

Dedicated to new information technologyPharmacy computer systemPurchase of additional pacs equipmentPhysiotherapy/occupational therapy coridor. (in conjunction with the kings fund)(annual report & summary financial statement 2005-2006, page 23)

IT Capital budget as a percent of total revenue is 0.59%http://www.sthct.nhs.uk/largedocs/STFT05-06.pdf

April 18, 2007*Tyneside NHS TrustBusiness Intelligence RationalizationHealthcare information can literally be a case of life or death if treated improperly

Performance Management has become a key issue for National Health Service (NHS)

British government introduced the idea of foundation hospitals as part of a payment by result scheme

Best performing trusts receive a three-star status and can then aspire to achieve foundation hospital status and greater autonomy

South Tyneside Healthcare NHS Trust still relied on spreadsheets to collect data = time consuming and mistakes easily madeDi Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 58

April 18, 2007*Tyneside NHS TrustBusiness Intelligence RationalizationTyneside had a need to:

Ensure an accurate, real-time view of activity within the hospital

Provide up-to-date patient records 24/7-includes critical information, such as all drugs prescribed to the patient at the hospital.

Combine patients hospital records with their GP records

Supply the number of babies born in the hospital

Feed accurate information to the Key Performance Indicators set out as a measure of success by the governmentDi Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 59

April 18, 2007*Tyneside NHS TrustBusiness Intelligence ImplementationTyneside wanted a single, unquestionable method of producing all of the data its management needs in order to ensure the best possible service for all of its patients.

South Tyneside Healthcare NHS Trust decided to invest in business intelligence (BI) tools to provide a clearer view of its performance and to help with complex amounts of data that it gathers and holds.Di Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 58

April 18, 2007*Tyneside NHS TrustBenefit of Business Intelligence ImplementationImplemented a real time analysis of key patient data

South Tyneside Healthcare NHS Trust can now obtain a comprehensive overview of performance of its crucial departments

Trust managers receive an instant warning message on their desktops if departments are under-performing Gives them the ability to know to contact hospital consultants for immediate actionDi Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 58

April 18, 2007*Tyneside NHS TrustExecutive ImpressionsHealthcare intelligence is not simply about managing medical records and patients address, but also measuring performance quality and reviewing essential business function. It allows managers and consultants to ensure that each and every patient has accurate records and receive follow-up treatment when necessary.-Martin Alexander, Head of Information Service, South Tynside Healthcare NHS Trust

It is this breadth of access to management information, and the resulting ability to change information into knowledge that supports the decision-making process, that is so impressive.Cognos Metrics Manager gives us the corporate view of our operations, while Power Play and Impromptu provide direct drill through to operational data that managers need to deliver effective service.-Mike Robson, Executive Director of Corporate Governance, South Tyneside Healthcare NHS Trust

Di Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 59-60

April 18, 2007*Tyneside NHS TrustPlan for the Future of Business IntelligenceMeet technological challengesNational Information ManagementTechnology Strategy Information for HealthImplementation of Electronic Patient RecordImplementation of electronic appointment booking

Tyneside with Bide TimeCreate NHS Cognos user groupsEnable user groups to share their information centrallyhttp://www.sthct.nhs.uk/aboutSTHCT/about_sthct.htmDi Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 61

April 18, 2007*Tyneside NHS TrustKey Learning PointsOrganizations are still attempting to manage increasingly complex businesses and service

Historically, systems keep vital data in information silosIn the worst cases, bits of dataheld in different formatsby different peopleon incompatible softwareSo whenever any cross-over between the data sets is sought, it becomes a major and costly exercise to carry out.There is a need to centralize data and make available to all users

A growing trend towards the sort of sweeping up data

If it is to be successful needs to be about far more than feeding all the data into one systemDi Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 61-62

April 18, 2007*Tyneside NHS TrustKey Learning PointsSuccess Depends On

Process

System

Discipline

Management understandingImportance of DataData IntegrityData Maintenance

Di Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 61-62

April 18, 2007*Tyneside NHS TrustKey Learning PointsTyneside adopted technical featuresCentral web-enabled databaseGood reporting capabilitiesAbility to interface with other packages

Two caveatsCase study written from the technological side-Perhaps a red flag for the future: however good the technology, without equal emphasis on and investment in the underlying systems and processes, there is a very real chance of long-term failureToo many eggs are being placed in one basket-By pulling so much information together, the organization seem to be crossing information that is literally life and death, with the more mundane car parking statistics for the hospital car park, possibly. Di Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 61-62

April 18, 2007*Tyneside NHS TrustLinkage to Best PracticesDi Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P.58-62

1.) Pinpoint the organizations key factors to focus on using Business IntelligenceSingle, unquestionable method of producing data management needs to service customers2.) Find the various data resources from which information will be extractedActivity database, patient records database3.)Extract, Load, & Transfer Data (ELT)Realized that success depends on data integrity and data maintenance4.)Choose a method for reportingAccurate real-time analysis generated from one system5.) Establish reporting that will be considered standard across the organizationDashboard and Management reporting implemented for better manager awareness and efficiency6.) Arrange for deployment across the organizationAdopted a central web-based system that users across the organization can access

April 18, 2007*Business Intelligence - ConclusionIn sum, BI is an enterprise-wide strategy that supports reporting, analysis and decision making on multiple levels. It supports organization-wide analysis, which in turn leads to insight, action, and the proper measurement of results.Abukari, K. and Job, V., Business Intelligence In Action CMA Management, Vol. 77,1, Mar 2003, pp. 15http://www.obs3.com/why_olap.shtml, viewed March 29, 2007

April 18, 2007*References Peer ReviewedAbukari, K. and Job, V., Business Intelligence In Action CMA Management, Vol. 77,1, Mar 2003, pp. 15Brown, Justine (2006). Too Much Information. T H E Journal,33, 40-46.Burns, M., Accounting for Business CA Magazine, Vol. 136, 3, Apr 2003, pp. 37-38Di Bernardo, L., The 2003 Information Management Project Awards Database Marketing & Customer Strategy Management Vol. 12, 1, P. 58-62French, Simon & Turoff, Murray (2007). Decision Support Systems. Communications of the ACM,3, 39-40.Frolick, Mark N & Brown, Carol V (2006). From the Editors. Information Systems Management,23, 5-6.Jukie, Nenad (2006). Modeling Strategies and Alternatives for Data Warehousing Projects. Communications of the ACM, 49, 83-88.Stoller, J., What you dont know can hurt you CMA Management, Vol. 79, 3, 2005pp.46-47Watson, Hugh; Wixom, Barbara; Hoffer, Jeffery; Anderson-Lehman, Ron & Reynolds, Ann Marie (2006). Real-Time Business Intelligence: Best practices at Continental Airlines. Information Systems Management, 23, 7-18.http://www.camagazine.com/index.cfm/ci_id/26573/la_id/1/print/true.htm, viewed April 4, 2007

April 18, 2007*References OtherGuptill, B., User Executives Raise Business Intelligence Prioritization Saugatuck Technology, January 2006, pp. 1-2http://www.networkworld.com/news/2007/011207-business-intelligence.html, viewed April 6, 2007InformationWeek Research business intelligence survey of 230 business technology professionals, March 2006http://www.businessintelligence.com/print_news.asp?id=2171, viewed April 6, 2007http://www.obs3.com/why_olap.shtml, viewed March 29, 2007http://www.sthct.nhs.uk/http://www.sthct.nhs.uk/TrustReports/boardvisits06/Information%20Services%20jan%2006.pdhttp://www.sthct.nhs.uk/largedocs/STFT05-06.pdfhttp://www.sthct.nhs.uk/aboutSTHCT/about_sthct.htmhttp://www.financetech.com/showArticle.jhtml?articleID=181501564, viewed April 6, 2007

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