business intelligence performance management

8/13/2019 Business Intelligence Performance Management

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2010 IBM Corporation


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2010 IBM CorporationIT

POLICY

COMMUNICATIONS

CUSTOMER SERVICE

HR

OPERATIONS

RESEARCH

FINANCE

Why? How are we doing ?

Wha t shou ldwe be do ing?


4/28 2010 IBM Corporation

Effectiveness Benefits of Business Insight

Financ e organizat ions w i th s t rong bu siness ins igh t are perform ingbetter

79%

71%

64%

63%

49%

54%

53%

46%

45%

30%

Measuring / m onitoringbusiness performance

Driving en terprise cos t

reduction

Providing inputs intoenterprise strategy

Supporting / man aging /mitigating enterprise risk

Driving integration of informa tion across the

enterprise

Finance organizations with strong business insight All other enterprises

Business Insight Helps theEnterprise Anticipate External Forces

Effectiveness AgainstEnterprise Focused Activities

N = 1,458 to 1,469Note: Defined as those enterprises selecting [5] Very Effective or [4] on a 5-point scale where [5] VeryEffective and [1] IneffectiveSource: IBM Institute for Business Value, The Global CFO Study 2010

N = 1,471Note: Defined as those enterprises selecting [5] Very Well or [4] on a 5-point scale where [5]

Very Well and [1] Very Poorly

46%better

34%better

39%better

40%better

63%better

39%better


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The K ey is Leveragin g Info rm ation and A nalyt ics

Sense and respond

Instinct and intuition

Automated

Skilled analytics experts

Back office

Traditional Approach

Predict and act

Real-time, fact-driven

Optimized

Everyone

Point of impact

Transformation usingInformation &

Analytics

Lack ofInsight

Inabilityto Predict

Inefficient

Access

Variety

Volume

Velocity

Information Challenges

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We want to m inimise the b l ind s po ts

Source: IBM Institute for Business Value, The Global CFO Study 2010

Business Insight

Rear View Forward-Looking View

What happened?

How many, how often?

Where exactly is theproblem?

Why is this happening?

What actions are needed?

What will happen next?

What if these trendscontinue?

What are the risks oropportunities?

Key BusinessQuestions

Examples ofBusinessInsight

Current View

Balance sheet, profit andloss, and cash flowstatements

Program Services and costvariance analysis

Customer, Services andSegment costs

Spend optimization Working capital analysis Segment, customer and

channel costs

Sales and supply chaineffectiveness

Cash forecasting Scenario-based planning

and forecasting Strategic investment

decision support Volatility and risk-based

predictive and behavioralmodeling


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Wou ldn t i t be nice , i f the org anisation from the Execut ive to the co al- face cou ld easi ly access a s ing le so urc e of the t ruth

Scorecard gives alllevel of city decision-

makers access tocritical information

and trends.

Scorecard gives alllevel of city decision-

makers access tocritical information

and trends.


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Drill down capabilitieslet officials get a seespecific views of a

mayors key

performanceindicators.

Drill down capabilitieslet officials get a seespecific views of a

mayors key

performanceindicators.

Wou ldn t i t be nic e , i f m ang ers cou ld se lf service their report ing

needs and q uick ly ident i fy areas o f exc ept ion


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Drilling intoscorecards shows

how one KPI impactsnumerous other KPIs,

allowing a clearerview of overall impact.

Drilling intoscorecards shows

how one KPI impactsnumerous other KPIs,

allowing a clearerview of overall impact.

Wou ldnt i t be n ice, i f the imp act of ind icators cou ld be sho wn , wh at slag o r leading


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VolumeVolume988 exabytes : The amount ofdigital information that willexist in 2010, equal to a stackof books from the sun to Pluto

and back

VarietyVariety80% of new data growth isgenerated largely by email,with increasing contributionby documents, images, and

video and audio.

VelocityVelocityreal-time information tomake key business decisions.

.th e data is th ere, b u t !

Source: Various IBM and Public Studies


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many organisa tions are s t rugg l ing!!!

1 in 3Business leaders frequently makedecisions based on information theydont trust, or dont have

1 in 2Business leaderssay they dont

have access tothe informationthey need to dotheir jobs

Sources: IBM: Break Away with Business Analytics andOptimization Study; IDC

$5.7MLost time reformattinginformation betweenapplications

$5.3MLost time searching for the

right information Annual cost per 1,000 knowledge

workers

?????

were data rich butinformation poor


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Plan the inc rementalimplementat ion

Theres a need to loo k a t Info rm ation as a s t rategic asset of theorg anisa tion and develop an Inform at ion A genda

Establ ish theto-be vis ion

Deploy an agi leinfrastructure

Align p eople , proc ess , &informat ion

1. Define to -beprocesses

2. Define to -besuppor t inginf ras t ructure

3. Validate thro ug hus e cases

4. Prio ritize


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OK , SOLETS

PRETENDTHAT

MATTERS

WILL THEDATA BE

ACCURATE

THAT WAY YOULL HAVE

MORE DATA TO IGNOREWHEN YOU BASE YOURDECISION ON

ORGANISATIONPOLITICS

YOU NEED ADASHBOARD AND

SCORECARD TO TRACKYOUR KEY METRICS


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Data Governance Levels

Strong da ta go vernance he lps top perform ers m ove fas ter andco l labo rate m ore easi ly

42%

14%

25%

32%

33%

54%

Lower performers(i.e., 4th and 5th quintilesrelative to industry peers)

Sophisticated

Processes and managementsystems that are strong withsome supporting automation inplace

Competitive

Defined processes andmanagement systems that areunderstood and adopted by mostpeople

Rudimentary

A few basic processes andthe beginnings of amanagement system

Top performers(i.e., 1 st quintile relative to

industry peers)

3X

Source: Breaking Away with Business Analytics and

Optimization: New intelligence meets enterpriseoperations at www.ibm.com/gbs/intelligent-enterprise .

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http://www.ibm.com/gbs/intelligent-enterprisehttp://www.ibm.com/gbs/intelligent-enterprise


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IB M and abou t 50 oth er leading o rganisat ion s form ed the WWInform at ion Governance Counc i l - i t def ined 11 Inform at ion Governancedisc ip l ines

Governs

Business Transformation

DataQuality

Management

InformationLife-Cycle

Management

InformationSecurity

and Privacy

Core Disciplines

Data Risk Management & Compliance

Business Outcomes / Reporting

Value to the Business

Data Architecture Classification & Metadata Audit InformationLogging & Reporting

Supporting Technical Disciplines

Organizational Structures & Awareness

Enablers

Policy Data Stewardship


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Manage Info rm ation Qu ali ty relentless ly take a TQM app ro ach

1. Lead the effort using a broad, senior group executive sponsorship

2. Formalize management accountabilities for information stewards / custodians

3. Focus on the most important needs of the most important customers.

4. Understand the information process, document it

5. Manage all critical sources of data aim to fix it at the source

6. Measure Information quality do it in business terms.

7. Employ automated controls at many points to detect and fix errors

8. Set and achieve aggressive targets for improvement.

9. Actively manage the needed cultural changes.

10. Establish foundation for continuous improvement.


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Manage the ful l L ifecy cle of Info rm ation

Gertrude Baines (born 6 April 1894)

1. Manage Informationover its its entirelifecycle

Include content

TCO - measure it

2. Set the Privacy andCompliance Policies,

communicate them ,monitor them

The explosive growth of data, compliance requirements and increasingly complex business environments havemade information storage management more critical than ever. Governments need to ensure that they are ableto maintain control over their ability to store and manage this key business asset, having due regard to privacyconcerns . Australia Federal Government Gershon Report 2008

Kama Chinen (born 10 May 1895) from Okinawa, JapanEugnie Blanchard born 16 February 1896


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How m uch m ore can you d o ?


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Top p erform ers are armed w ith s tate-of-the-ar t solu t ions tosupp or t dec i s ions

Above average platforms and toolsets

Analytical andpredictive tools

2.7x

Contentmanagement

Master datamanagement

Dataintegration

tools

2.5x2.0x

2.4x

Business rulesmanagement

2.4x

Dashboards andvisualization

4.4x

Business direction Trusted information

Key: Top performers (i.e., 1st quintile relative to industry peers)

Lower performers (i.e., 4th and 5th quintile relative to industry peers)

Relative difference of top performers to lower performers

Source: Breaking Away with Business Analytics andOptimization: New intelligence meets enterpriseoperations at www.ibm.com/gbs/intelligent-enterprise .

17%

74%

17%

45%

23% 24%27% 27%

55%

65%60%

56%

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http://www.ibm.com/gbs/intelligent-enterprisehttp://www.ibm.com/gbs/intelligent-enterprise


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2010 IBM Corporation24

IBM Governm ent Info rm ation Infras t ructure Fou nd ation Com po nents


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The IB M Info rm ation A gen da Tiger Team


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Roadm ap Worksho p 1 Day workshop to help frame an Information Agenda

Roadmap using a proven five-step approach:

5-Step Ap pro ach

Heres an o ffer fro m us to faci l i tate a fast start with an IB M Info rm ation

Ag enda Worksho p

1. Identify and Document the Opportunities to increase

Business Value2. Conduct an Information Capability Maturity Assessment

3. Align Business Vision with Technology Requirements

4. Identify Opportunities for Improvement People,

Processes and Technology5. Deliver a Roadmap of activities based on priority

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IBM SWG Industry Solutions


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Copyright IBM Corporation 2009

Q and A

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business intelligence performance management

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