IT APPLICATIONS IN MANAGEMENT

Submitted By:Nitin Boratwar

(2013179)Parthajit Sar (2013194)Payal Singh (2013196)

Piyush (2013197)

WHAT IS IT?The gathering, storing, analysis, and dissemination of data/information to facilitate informed business decision-making.

End-users can utilize the BI tools to "drill-down" and "slice and dice" to gain a better understanding of transactional and operational information; for example, Star Schema and OLAP are usually used for provide this functionality.

Simply put, it is using information to succeed!

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HISTORY OF BI•“Business Intelligence” (BI) was coined by Howard J Dresner in 1989 to describe how users could access and analyze company information stored in systems to better understand business and customers.

•First appearance of modern concept of BI came from ex-soviet spy and U.N. delegate Stevan Dedijer in the 1960’s.

•Applied principles of “political intelligence” to business

BI has existed in one form or another since the beginnings of trade.

PREVIOUS NAMES

Decision Support Systems

Executive Information Systems

Online Analytic Processing

RELATED CONCEPTS

Competitive IntelligenceMarket IntelligenceCustomer IntelligenceCompetitor IntelligenceStrategic IntelligenceTechnical IntelligenceKnowledge Management

1960’s – 1980’s

Only IT had access to data stored on computers. End users would request printed reports (usually regarding local needs). Long and tedious process that was used more to retroactively support decisions, not make them.

1990’s

Employees began to think of corporation as a whole, requiring standardization, and resulting in Data Warehousing. “End user computing” also arrived on the scene, allowing each person to customize data analysis.

2000’s

Systems are developed to analyze and present the data to end users (five general categories).

WHY DO COMPANIES NEED BI?

Measurement

• Creates hierarchy of performance metrics.• Sets a benchmark for products.• Inform business leaders about progress towards business goals.

Analytics

• Helps business to arrive at optimal decision.• Perform business knowledge discovery- data mining, process mining, statistical analysis, predictive analytics.

Enterprise reporting

• Infrastructure for strategic management of business – not operational reporting.• Involves data visualization, executive information system and OLAP.

Collaboration Platform

• Different areas work together-data sharing , electronic data exchange.

Knowledge management

• Makes company data driven.• Identify , create, understand insights and experiences carrying business knowledge.• Learning management , Regulatory compliance.

Multiple versions of the truth .

Inability to perform in-depth analysis

Inability to quickly react.

SITUATIONS WHICH REQUIRE THE NEED OF B.I. IN ORGANISATIONS

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A CASE STUDY ON CONTINENTAL AIRLINES

“Continental Airlines is a LEADER in real-time BI and the fifth largest airline in the US

and the seventh in the world!”

BACKGROUND• Established in 1934• Experienced financial problems in 1990• The CEO and the Board developed the “Go Forward

Plan”• Fly to Win, Fund the Future, Make Reliability a

Reality, and Working Together• In 2001, Continental Airlines provided real-time BI in

their organization along with developing a data warehouse

CATEGORIES OF REAL-TIME BI1. Revenue Management2. Customer Relationship

Management3. Crew Operations and

Payroll4. Security and Fraud5. Flight Operation

BI APPROACH•The Process of utilizing real-time BI in their organization…• Focusing on five categories of real-time BI

applications • Developing their data warehouse• The architecture and process of their data

warehouse• Establishing their Flight Management Dashboard

DATA WAREHOUSE ARCHITECTURE

CONCLUSION TO THE CASE STUDY• Continental Airlines saw the problem and found the

best solution• Using real-time BI, Continental Airlines generated

“more than $500 million in revenue and an ROI greater than 1,000 percent”• Went from “first to favorite airline”• Moved to a third generation of decision support and

became an example of success to organizations in this situation