tbr bi/analytics & data mgmt study

TBR

T EC H N O LO G Y B U S I N ES S R ES EAR C H , I N C .

Icebergs, Gold, and Foundations:

Insight from TBR’s BI/Analytics and Data

Management Study

Original Webinar Date: April 4, 2012

Presenter: Allan Krans, Senior Analyst, Software Practice ([email protected])

TBR Webinar Series Spring 2012

mailto:[email protected]

TBR

Icebergs, Gold, and Foundations: Insight from TBR’s BI/Analytics Study Webinar ©2012 Technology Business Research, Inc. 2

Allan Krans

Senior Analyst, Software Practice

Technology Business Research, Inc. (TBR)

Email: [email protected]

Today’s Presenter


TBR


BI/Analytics Market Opportunity Summary

The forthcoming surge of BI investment, driven by business growth, will create opportunity from the data foundation up

Executive Summary: TBR Position

Opportunity is the lure of investment

Pressure is growing for laggards to regain competitive ground

2. Business expansion is the most important BI outcome

1. Current adoption is the tip of the iceberg

The data quality foundation is the center of customer success and

vendor opportunity

3. Data quality separates mature from immature users

TBR


TBR’s BI & Analytics Platform Maturity & Purchasing Study Methodology:

• TBR conducted interviews and surveys across two business size segments and six industry categories in N. America between December 2011 and January 2012:

• 350 online surveys with BI & Analytics and Data Management purchase decision-makers (CIO, C-1 and C-2 levels, LOB and Executive IT mgmt)

• 60 in-depth interviews with key BI & Analytics and Data Management purchase decision-makers (CIO, C-1 and C-2 levels, LOB and Executive IT mgmt)

• Business Segments

• Mid-market (500-2,500 employees)

• Large enterprise (2,501+ employees) segments

• Industries

• Communications and Media

• Industrial

• Financial Services

• Life Sciences

• Retail & Distribution

• Public Sector

Study Methodology and Information

TBR surveyed and interviewed 410 end users to create an accurate customer maturity model and provide an intimate look at the opportunity

TBR



The race of immature firms to improve their capabilities will shift and expand the playing field for BI over the next three years

Executive Summary: Current Adoption

20%

Lagging Improving Leading Slipping

35% 25% 20%

BI/Analytics Maturity

Immature & limited plans to

invest

Immature & plans for both

basic & advanced BI

Mature & incremental plans to invest

Mature & limited future investment

plans

Immature – lower current BI investment Mature – larger current BI investment

TBR



Maximizing existing solutions lays the groundwork to move customers forward with additional investments

Executive Summary: Current Adoption

Offering Needs

Squeeze value from existing investments

Extend solutions to encompass new and

emerging technologies

Road mapping, data management, change

management, integration

Consulting, business planning, ROI evaluation

Lagging

Improving

Leading

Slipping

Immature & limited plans to invest

Mature & limited future investment plans

Mature & incremental plans to invest

Maturity Stage

Immature & plans for both basic & advanced BI

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vendor opportunity


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Connecting BI and Analytics directly to customer business growth and opportunity identification opens the door to sales conversations

Executive Summary: Business Expansion

BI enables sales & finance …

… to make better decisions more quickly …

… creating business opportunity and growth.

“…it is very important to locate hidden areas of potential growth ... and to organize the data to trap the future opportunities.” - CIO, MM Communications and Media

Who uses? How? For what?

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The concentration of BI in sales & finance activities highlights the business growth customers expect BI to enable


0%

10%

20%

30%

40%

50%

60%

Functions in which Purchasers are using BI

Sales and finance

functions

TBR

TBR



Vendors can capture business by tuning offers and messaging against specific buyer types, especially “improving” and “leading”


Product & Service Needs & Opportunity

• ROI identification & tracking

• Data quality products & services

• Integration with existing assets


• Shared risk engagements

• Road mapping

• Integration of basic & advanced products

• ROI identification & tracking

• Support & maintenance

• Data quality products & services

• Demonstration of business case & exec buy-in

• Discrete product advancement with clear ROI

• Consulting to increase customer orientation

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vendor opportunity


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Mature BI users must make the leap, moving from a human-centric enterprise to a data-driven enterprise

Executive Summary: Data Quality

Human-centric decision making Data-centric decision making

Intuition leads, data is pulled in over time to support decisions

Data informs and guides decisions more proactively

"The way we worked has changed … management feels more confident

and are taking more calculated risks, and more importantly, we are

expanding rapidly.“ – Senior Director, IT – MM Life Sciences (High BI Maturity Organization)

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To drive the adoption of BI in less mature accounts, vendors can tie the importance of data management and quality to BI success

Executive Summary: Data Quality


4th most important BI

success factor

3rd (tied) most important BI

success factor

1st most important BI success factor

1st most important BI success factor

Data quality programs ranked as the …

Vendor reinforcement of data quality importance

TBR


Questions

Questions?

Allan Krans

Senior Analyst, Software Practice

Technology Business Research, Inc. (TBR)

Email: [email protected]

Twitter: allankrans

Youtube:

http://www.youtube.com/user/TBRIChannel?feature=

mhee


http://www.youtube.com/user/TBRIChannel?feature=mhee

http://www.youtube.com/user/TBRIChannel?feature=mhee

TBR


Associated Research and TBR Contacts

Customer and Business Model Review Research TBR BI & Analytics + Data Management Platforms Study TBR High Performance Adoption Study

Report focuses on four key workloads including BI/Analytics and Data Warehousing

Public Cloud Adoption Study

Report focuses on workload based adoption including cloud based BI

Software Industry Benchmark

• Business Performance Ranking and Benchmarking

• Quarterly Report analyzing the previous quarters performance on metrics like: operating margin, growth rate, go-to-market strategy and more.

Contact James McIlroy at [email protected]

for more information


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Appendix

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Understanding customers’ current BI maturity highlights the opportunity in leading them toward aspirational maturity

Current Maturity:

• What scenario led you to invest?

• What buying criteria helped you to select a vendor?

• Which vendors did you consider? How did you choose your final vendor?

• What professional services were attached to, or led, the implementation?

Future/Aspirational Maturity:

• What are your key business challenges?

• What are the barriers that impact your ability to achieve your business objectives?

• What technologies are you planning to purchase, and when?

• What are the top BI & Analytics + Data Management technologies or capabilities you believe will have most impact on reaching your organization’s business objectives over the next three years?

Research Methodology (North America):

• 350 customer surveys across 6 verticals and 2 customer segments (midmarket and large enterprise)

• 60 customer interviews with BI adopters

Key Research Questions & Methodology

Study Overview: Key Questions

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The survey respondent base provides a broad cross section of different industries and job classifications, looking at …

Survey Respondent Demographics

Study Overview: Demographics

SOURCE: TBR BI & ANALYTICS AND DATA MANAGEMENT PURCHASING BEHAVIOR AND MATURITY STUDY SURVEY N=350; INTERVIEWS N=61

TBR conducted 350 surveys and 61 interviews with large enterprise and mid-market segment respondents, across industries including retail and distribution, life sciences, financial services, communication and media, public sector and industrial sector.

SURVEY RESPONDENTS N=350 SURVEY RESPONDENTS N=350

TBR


… U.S.-based large enterprises and midmarket companies

Survey and Interview Respondent Demographics


SOURCE: TBR BI & ANALYTICS AND DATA MANAGEMENT PURCHASING BEHAVIOR AND MATURITY STUDY SURVEY N=350; INTERVIEWS N=61

SURVEY RESPONDENTS N=350 IN-DEPTH INTERVIEWS N=61

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The breadth of BI platform vendors selected for purchase shows disparity among customer purchasing considerations

Interview Respondent Demographics – BI Vendors Selected


SOURCE: TBR BI & ANALYTICS AND DATA MANAGEMENT PURCHASING BEHAVIOR AND MATURITY STUDY SURVEY INTERVIEWS N=61; TOTAL RESPONSES: 64

TBR

T EC H N O LO G Y B U S I N ES S R ES EAR C H , I N C .

About Us Technology Business Research is a leading independent technology market research and consulting firm specializing in the business and financial analyses of hardware, software, networking equipment, wireless, portal and professional services vendors.

Serving a global clientele, TBR provides timely and accurate market research and business intelligence in formats that are tailored to clients’ needs. Our analysts are available to further address client-specific issues or information needs on an inquiry or proprietary consulting basis. TBR has been empowering corporate decision makers since 1996. To learn how our analysts can address your unique business needs, please visit our website or contact us today.

Contact Us

1.603.929.1166 [email protected] www.tbri.com 11 Merrill Drive Hampton, NH 03842 USA

This report is based on information made available to the public by the vendor and other public sources. No representation is made that this information is accurate or complete. Technology Business Research will not be held liable or responsible for any decisions that are made based on this information. The information contained in this report and all other TBR products is not and should not be construed to be investment advice. TBR does not make any recommendations or provide any advice regarding the value, purchase, sale or retention of securities. This report is copyright-protected and supplied for the sole use of the recipient. Contact Technology Business Research, Inc. for permission to reproduce.


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