bi maturity - home - northern california oaug...presenter: faun dehenry president & ceo, fmtsi...

BI Maturity

How Mature Is Your Organization?

Presented by Faun deHenryPresident & [email protected]

Welcome Introductions BI maturity definition Trends Different views of BI maturity BI maturity assessment Summary Q&A

Agenda

18-Aug-12 ©2001-12, FMT Systems of Texas, Inc. All rights reserved 2

Presenter: Faun deHenry President & CEO, FMTSI since 2001 Involved with BI initiatives since 1995 Variety of technical environments (OADW to EDW

to OBIEE, Cognos, BOBJ, Netezza, Teradata, SAP BW)

Diverse organizations (retail/wholesale, biotech, manufacturing, consumer services)

You?


Introductions


When planning for a year, plant corn. When planning for a decade, plant a tree. When planning for life, train and educate (yourself). Guanzi 管子, 720-645 BCE

It ain’t what you don’t know that gets you in trouble; it’s what you know for sure that ain’t so! Mark Twain

In God we trust; all others bring data.W. Edwards Deming

Characteristics of Business Intelligence MaturityImmature organizationMature organization

Role of analysis in fact-based decision makingUser Types and PerspectivesData Display and ValueUser tools

How Mature is Your Organization?


Immature organizationFocus: Improve business

effectiveness

Involves: Some departments

Usage: < 10% of business users

Managed and funded: IT or business unit

Data sources: 2 to 4

Tools: 2 or 3 types

Data quality: Limited to basic recognition of

importance

Characteristics of BI Maturity


Challenges: Politics Funding Data access Timeliness Ability to evolve and scale


Immature Organization

Mature organizationFocus: Enterprise execution/

effectiveness for customers

Involves: Enterprise data warehouse/ big data ecosystem

Usage: > 90% of business users

Managed and funded: Business executive level

Data sources: All

Tools: Numerous (based upon user categories)

Data quality: Key process component

Characteristics of BI Maturity


Challenges: Cultural Complexity, integration Sponsorship and priority Politics Mission critical


Mature Organization

Role of Analysis

Gartner


Recognition-Primed Decision (RPD) model Adaptive decision making MBE Staggering Exploration Hedging

Newtonian decision making Pareto Principle Rational analysis


Decision making

Executive Perspective: "What should we do?"

Power User Perspective: “Is this a trend?” Middle Management Perspective: "What

is happening?" Operational Perspective: "What

happened?"

User Types and Perspectives


Data Display and Value

Gartner


User Tools

Gartner

Whathappened?

What’shappening? Is it a

trend?

Whatshouldwe do?


User Types and BI Functionality

Occasional Information Consumers

Partners & Customers

TacticalUsers IT

Functional Managers

Power Users Executives

100’s 1,000’s 100-200 Few 30-100 20-25 10-20

Reports Reports ReportsPredefinedad hoc queries

Reports ReportsBAMPredefinedad hoc queries

Ad hoc queriesReportsData miningAdvancedanalysisForecasting

DashboardsBSC reportsCorporate performance

Low Low Low to Medium Medium Medium to

High High High

User Types

IntranetExtranet


Business Intelligence Trends20112012 and going forward



BI maturity levels were still below average (2.75 on a scale of 5) ~ Forrester Research

BI tools adoption by business users has remained static since 2008 ~ Gartner

Data discovery accelerated self-service BI and analytics ~ IDC

Big data generated by social media drove innovation in customer analytics

Text analytics enabled organizations to interpret social media sentiment, trends, and commentary

Organizations starting to use information analysis to become predictive and proactive

BI Trends — 2011


“Multiple BI tool” strategy is here to stay for the foreseeable future.

Mobility is no longer a “nice to have.” Tablets and iPads will dominate new mobile

BI implementations. Expansion of existing data types and sources,

and creation of new ones — Big Data. Shortage of analytics talent.


BI Trends — 2012 and Beyond

Different Views of BI maturityGartner & TDWI (2003)SASGartner & TDWI (2005)Eckerson Model



Gartner 2003

BusinessSkills

AnalyticSkills

ITSkills

Business needsOrganizationalunderstandingand processes

Tools and ApplicationsTools, apps, data

management

Statistical andprocess skillsBusiness needs


BI Maturity Model — TDWI (2003) Opportunistic Tactical Strategic

Business Focused: Increase operational efficiency

Scope: Department

Operational: Improve business effectiveness

Scope: Multi-department

Strategic: Integrated business execution and management

Organization

Single user type – Limited skills required

Managed and funded by IT

2 or 3 user types - Higher skills level

BICC

Managed and funded by IT or business unit

All user types

BICC

Funded at executive level

Infrastructure Functionality

1 or 2 sources

Reporting-centric

Limited data quality

2 or more sources

2 or 3 tool types

Data quality is important

Data mart, data warehouse, OLAP

Multiple sources

Multiple data warehouses

Standards

Multiple tool types

Scalability

Accuracy and quality

Consistency

Inflexibility

Expectations

Skills

Politics, funding

Data access

Timeliness

Ability to evolve

Cultural

Complexity, integration

Sponsorship and priority

Politics

Mission critical

FailureModes


SASB

usi

nes

sV

alu

e

Intelligence

DataAccess

DataManagement

Reporting/OLAP

PredictiveModelling

Forecasting

Optimization

What happened?

How many and how often?

What will happen next?

What is the best thatcan happen?

How much and where?


Gartner BICC Framework 2005

ITSkills

Tools and ApplicationsTools, apps, data

managementAnalytic

Skills

Statistical andprocess skillsBusiness needs

BusinessSkills

Business needsOrganizationalunderstandingand processes

DefineBI vision

ControlFunding Establish

Standards

BuildTechnologyBlueprintOrganize

MethodologyLeadership

DevelopUsers’Skills

ManagePrograms


BI Maturity Model — TDWI (2005)Stage/ Focus

Prenatal Infant Child Teens Adult Sage

Architecture and Scope

Management Reporting/ System

Spreadsheets/ Individual

Data Marts/ Department

Data Warehouse/ Division

Enterprise Data Warehouse/ Enterprise

Analytical Services/ Inter-enterprise

Type of System and Analytics

Financial/ Paper Reports

Executive/ Briefing Book

Analytical/ Interactive Report

Monitoring/ Dashboard

Strategic/ Cascading Scorecards

Business Service/ Embedded BI

User and BI Focus

All/ What happened?

Analyst/ What will happen?

Knowledge Worker/ Why did it happen?

Manager/ What is happening?

Executive/ What should we do?

Customer/ What can we offer?

Executive Perception about the role of BI

Cost Center Inform Executives

Empower Workers

Monitor Processes

Drive the Business

Drive the Market

Business Value and ROI

Costs high/Value low

Costs and value approaching breakeven

Costs decreasing/ Value increasing

Costs continue to decrease/ Value continues to increase

The Cost/ Value gap widens

Achieve ROI


Eckerson Model


BI maturity assessmentAssess framework/methodology appropriatenessDetermine level of analytics understandingIdentify gaps

Technical, analytical, and business skillsBusiness processTechnical architecture and tools

Identify potential/lingering data quality challenges



Gartner BICC SAS Progression TDWI Maturity Model Eckerson Model

Framework/Methodology


Who typically understands analytics? Lack of skills

Analytics Understanding?


Culture — embedded analytics; how decisions are made

Skills — technical, analytical, and business

Business processes Technical architecture and tools

Gap Analysis


IT Business manager BI team

Data Quality Challenges


Select a culturally appropriate framework (model) and stick with it!

BI analysis cycle ends with the decision, not with report submission.

Fact-based decision making isn’t always applicable.

BI maturity is about better processes and suitable tools for better decision making!


Summary


Q & A

BI Maturity

How Mature Is Your Organization?

Presented by Faun deHenryPresident & [email protected]

Thank you!

bi maturity - home - northern california oaug...presenter: faun dehenry president & ceo, fmtsi...

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