With so many business intelligence tools available, learn which one is best for you.
Business intelligence tools can be a great resource to improve your business.
With the rise of data in today’s digital age, business intelligence tools have exploded, making data and analytics assessable for more than just analysts. What is business intelligence? Business intelligence technology is a tool used to analyze and present information to help decision makers make more informed and smart business decisions and strategies. This has created a surplus of business intelligence tools available to use, as well as, its influence upon the business world. Companies are no longer asking why they should use business intelligence tools but how can they leverage it to improve their businesses instead.
Reports show that the global BI software market is projected to grow at a CAGR of around 7.1% and become a $32.4 billion industry by 2020. Business intelligence has proven to the world that it is an essential tool for growth and development. Here are some of the top business intelligence tools and techniques that you should look out for:
Artificial Intelligence and Machine Learning
Once a concept that lives in fiction, artificial intelligence has grown to become a potentially essential aspect of the business world, especially machine learning. In the past, in order to perform analysis, analysts had to perform very manual and tedious tasks that were very time-consuming. With machine learning, we can now see and understand linear regressions and product consumption within minutes, allowing us to perform deeper dives. Machine learning allows analysts to dig deeper into analysis and find trends and patterns in a more efficient manner.
However, it is worth noting that due to today’s technology, machine learning still has some limitations. Machine learning is only applicable to analysis with defined and quantifiable outcomes, meaning that it won’t be as effective in understanding subjective data in situations such as surveys. It’s also important that analysts need to understand what key performance metrics to look for to make the data analyzed actionable, meaning that analysts still need to understand and analyze the data. Though there are some limitations, there is no doubt that machine learning is a great tool and asset for analysts and has the potential to grow and become so much more.
Predictive Analytics Tools
Philosopher George Santayana had once said, “those who cannot learn from history are doomed to repeat it,” suggesting that the past can hold the key for the future’s success. Business intelligence tools are used to tell us what will happen in the future. Predictive analytics is the forerunner of this idea. Predictive analytics is about leveraging historical data, algorithms, and machine learning techniques to identify the possible future outcomes.
Applied in a business aspect, predictive analysis can be used to better understand customer behavior, product and partners performance, and risk. Different industries leverage this tool in different ways. For example, the financial industry could use it to calculate investment risks and see where the market can go while marketers use it to try to understand consumers’ buyer’s journeys and where the most optimal location is to set up call to actions. Predictive analytics tools can help you understand the future by learning from the past.
Cloud-based technology has developed significantly in recent years and has greatly impacted the business world. Today, many companies are moving towards it due to its accessibility and easy to use attributes. Gartner forecasted that by 2019, cloud-based strategies will become the primary strategy for about 70% of companies. Cloud-based technology offers reduced risk and more flexibility that can allow your teams to collaborate easily. If you haven’t yet, consider levering a cloud-based strategy this year.