CHAPTER 5Business Intelligence

1. Managers and Decision Making2. What Is Business Intelligence?3. Business Intelligence Applications –

for Data Analysis4. Business Intelligence Applications –

for Presenting Results

Managers and Decision Making

5.1

• The Manager’s Job and Decision Making

• Why Managers Need IT Support?• A Framework for Computerized

Decision Analysis

The Manager’s Job and Decision Making

• Management– a process by which an organization achieves its goals

through the use of resources (people, money, materials, and information)

• Three Basis Roles of Managers (Mintzberg, 1973):– 1. Interpersonal roles (rel-based): figurehead,

leader, liaison 聯繫

– 2. Informational roles (comm-based): monitor, disseminator,, spokesperson 發言人 , analyzer

– 3. Decisional roles (action-based): entrepreneur, disturbance handler 障礙處理 , resource allocator, negotiator 談判者

• Four Phases of Decision Making

Figure 5.1: The Process and Phases in Decision Making

Why Managers Need IT Support?

• The number of alternatives is constantly increasing

• Most decisions are made under time constraints

• Uncertainty in the decision environment

• Group decision making 群體決策required

What IT are Available to Support Managers

– Figure 5.2: Decision Support Framework

Figure 5.2: Decision Support Framework

A Framework for Computerized Decision Analysis• Problem Structure

– decision-making processes fall along a continuum ranging from highly structured to highly unstructured

• The Nature of Decisions 決策的性質– All managerial decisions fall into one of three broad

categories:• Operational Control 經營控制 : executing specific tasks

efficiently and effectively.• Management Control管理控制 : acquiring and using

resources efficiently in accomplishing organizational goals.• Strategic Planning 戰略規劃 : the long-range goals and

policies 長遠目標和策略 for growth and resource allocation 資源分配 .

What Is Business Intelligence?

5.2

• Business Intelligence– is a broad category 廣泛的類別 of

applications, technologies, and processes for gathering, storing, accessing, and analyzing data to help business users make better decisions.

– BI applications enable decision makers to quickly ascertain the status of a business enterprise by examining key information.

Business Intelligence Applications for Data Analysis

5.3

• Multidimensional Analysis or Online Analytical Processing

• Data Mining 數據挖掘• Decision Support Systems

Multidimensional Analysis or Online Analytical Processing

• Online Analytical Processing– (OLAP - also referred to as

multidimensional analysis 多維分析 / 多元分析 ) capabilities. OLAP involves “slicing and dicing” 涉及“切片和切塊” data stored in a dimensional format, drilling down 向下搜索 in the data to greater detail, and aggregating the data.

• Multi-dimensional Analysis

Data Mining

• Data Mining: the process of searching for valuable business information in a large database, data warehouse, or data mart 數據倉庫或數據集市 .

• Two Basic Data Mining Operations– Predicting trends 潮流 / 趨勢 and behaviors– Identifying previously unknown patterns 趨勢

Business Intelligence Applications for Presenting Results

5.4• Dashboards 儀表板

– Provides easy access to timely information and direct access to management reports. They evolved 演變 from executive information systems 高管信息系統 , which were information systems designed specifically for the information needs of top executives

• Data Visualization Technologies 視化數據技術– Data presented to users in visual formats 視覺格式 such as

text, graphics, and tables following data processing. Data Visualization makes IT applications more attractive and understandable to users

• Real-Time BI– Includes the use of real time data for analysis as it is created

rather than using historical data for analysis.

Table 5.1: The Capabilities of Dashboards

Figure 5.3: Sample Performance Dashboard

Figure 5.5: Management Cockpit 管理主控室

Data Visualization Technologies

• Geographic Information Systems 地理信息系統– A computer-based system for capturing, integrating,

manipulating, and displaying data using digitized maps. Its most distinguishing characteristic is that every record or digital object has an identified geographical location.

• Reality Mining: Graphical Information Systems (GIS) and Geographic Positioning Systems 地理定位系統 (GPS) together to produce an interesting new type of technology which allows analysts to extract information from the usage patterns of mobile phones and other wireless devices.

Figure 5.6: Support Center Operations Dashboard