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business intelligence (BI) systems
are information systems that process operational and other data to analyze past performance and to make predictions
business intelligence
the patterns, relationships, and trends identified by BI systems. Can be used for problem solving and during project management. PRIDE can be used to support a project to reduce medical costs by reducing office visits. (p.228)
five standard components
hardware, software, data, procedures, and people
BI application
the software component of a BI system
decision support systems
synonym for decision-making BI systems
difference between what is and what ought to be
AllRoad’s competitive strategy
maintain a huge inventory selection so that it has the parts customers want. AllRoad might use BI to buy smarter, reducing its inventory but still maintaining its strategy
What are typical uses for BI?
Identifying Changes in Purchasing Patterns
BI for Entertainment & Predictive Policing
Predictive Policing
police departments analyze data on past crimes, including location, date, time, day of week, type of crime, and related date, to predict where crimes are likely to occur.
What are the three primary activities in the BI process?
(p.230) acquire data, perform analysis, and publish results
data acquisition
the process of obtaining, cleaning, organizing, relating, and cataloging source data
BI analysis
is the process of creating business intelligence
three fundamental categories of BI analysis
reporting, data mining, and BigData
publish results
is the process of delivering business intelligence to the knowledge workers who need it
push publishing
delivers business intelligence to users without any request from the users, the BI results are delivered according to a schedule or as a result of an event or particular data condition
pull publishing
requires the user to request BI results. Publishing media include print as well as online content delivered via Web servers, specialized Web servers known as report servers, and BI results that are sent via automation to other programs
Addison and Drew identified criteria to find parts
Acquire Data, Analyze Data
publish results
last activity in the BI process (P.235)
How do organizations use data warehouses and data marts to acquire data?
data warehouse
facility for managing an organization’s BI data. The functions of a data warehouse are to obtain, cleanse, organize & relate, & catalog data
components of a data warehouse
problems with operational data
dirty data
problematic data
source & inconsistent data
the level of detail represented by the data. It can be too fine or too coarse.
curse of dimensionality
data mart
a data collection, smaller than the data warehouse, that addresses the needs of a particular department or functional area of the businesses
What are three techniques for processing BI data?
240 reporting, data mining, & big data
reporting analysis
the process of sorting, grouping, summing, filtering, and formatting structured data
structured data
data in the form of rows and columns. It also means tables in a relational database, but it can refer to spreadsheet data as well
exception reports
reports produced when something out of predefined bounds occurs
data mining
the application of statistical techniques to find patterns and relationships among data for classification and prediction. (p.240)
unsupervised data mining
analysts do not create a model or hypothesis before running the analysis. Instead, they apply the data mining technique to the data and observe the results
cluster analysis
one common unsupervised technique. Statistical techniques identify groups of entities that have similar characteristics (p.241)
Supervised data mining
data miners develop a model prior to the analysis and apply statistical techniques to data to estimate parameters of the model
regression analysis
one such analysis, which measures the impact of a set of variables on another variable
a term used to describe data collections that are characterized by huge volume, rapid velocity, and great variety (p.241-242)
a technique for harnessing the power of thousands of computers working in parallel (p.242)
open source program supported by the Apache Foundation that manages thousands of computers and that implements MapReduce. Hadoop includes a query language entitled Pig. (p.243)
What are the alternatives for publishing BI?
(243-244) Email or collaboration tool, web server, SharePoint or BI server
Static reports
BI documents that are fixed at the time of creation and do not change
What are the two functions of a BI server?
BI server
Web server application that is purpose-built for the publishing of business intelligence
Founder of SAS
Jim Goodnight

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