All BI Notes Merged
All BI Notes Merged
Unit I
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73082/Business-Intelligence-concepts
Content
• Introduction to Business Intelligence
• Introduction to Digital Data and Its Types
– Structured,
– Semi-Structured and
– Unstructured,
• Introduction to OLTP and OLAP (MOLAP, ROLAP, HOLAP),
• BI Definitions & Concepts,
– BI Framework,
• Data Warehousing Concepts and
– Its Role in BI;
• BI Infrastructure Components –
– BI Process,
– BI Technology,
• BI Roles & Responsibilities,
• Business Applications of BI,
• BI Best Practices.
Business Intelligence
• The term Business Intelligence (BI) is relatively
new but the it is synonymous with a range of
applications that have been around for years;
– Decision support systems
– Executive Information Systems
– On-line Analytical Processing (E.F Codd early 90’s)
or multi-dimensional modelling
• It is the conversion of data into information in
such a way that the business is able to analyse the
information to gain insight and take action
History of BI
Functional Areas of BI
Where is Business Intelligence applied?
Reports
Data repository
Different
systems
7
7
Exec survey: What Keeps You Up at Night?
1. SC
Fragmentation (31%)
1. Lack of Global
Very High (5)
Project
Resources (12%)
BI
1. Collaboration
& BI (10%)
1. Commodity
Price Increase (10%)
Severity
1. Global
Competition (10%)
1. Developing
SCM Talent (7%)
Low (1)
1. Regulatory
Compliance (7%)
BUSINESS
BUSINESS VALUE
REQUIREMENTS
BUSINESS
LAYER
PROGRAM
DEVELOPMENT
MANAGEMENT
Business Layer
Business requirements: The requirements are a product of three steps of a
process that includes:
BI AND DW
BI ARCHITECTURE (DATA WAREHOUSE)
OPERATIONS
ADMINISTRATION
AND
OPERATION LAYER
DATA RESOURCE
BUSINESS APPLICATIONS
ADMINISTRATION
Administration and Operations Layer
BI Architecture
INFORMATION
DATA DELIVERY
DATA ACQUISITION, DATA
SOURCES CLEANING AND STORES
INTEGRATION
BUSINESS
ANALYTICS
Implementation Layer
Data Warehouse
Clean
Transform Query/
Load Report/
Refresh Analysis
Information services:
• It is not only the process of producing information; rather, it involves
ensuring that the information produced is aligned with business
requirements and can be acted upon to produce value for the company.
Facebook Page
Twitter
Page Customer Sat
Survey
Comments
Call
Center Services
Notes,
Quality Cost Friendliness
Voice
Competitors’
Facebook
Public Web Sites,
Pages
Discussion Boards,
Email
Product Reviews
Blogs Alerts,
Adhoc Real-time
Feedback Action
25
Types of Digital Data
Digital Data
Web pages
Memos
Body of an e-mail
PowerPoint presentations
Chats
Reports
Whitepapers
Surveys
How to Store Unstructured Data?
Sheer volume of unstructured data
and its unprecedented growth
Storage
Space
makes it difficult to store.
Audios, videos, images, etc.
Scalability acquire huge amount of storage
space
Retrieve
Challenges faced information Retrieving and recovering
unstructured data are
Security
cumbersome
Update and
delete
Updating, deleting, etc. are not
Indexing easy due to the unstructured
and
searching form
How to Store Unstructured Data?
Storage
Space
Scalability becomes an issue
Scalability with increase in unstructured
data
Retrieve
information
Challenges faced Ensuring security is
difficult due to varied
Security sources of data (e.g. e-
mail, web pages)
Update and
delete
Indexing Indexing becomes difficult with
and
searching increase in data. Searching is difficult
for non-text data
How to Store Unstructured Data?
Change
formats
Create hardware which support
unstructured data either
New compliment the existing
hardware storage devices or be a stand
alone for unstructured data
CAS
How to Extract Information from Unstructured
Data?
Interpretation
It is not easily interpreted by
conventional search algorithms
Tags
Designing algorithms to
understand the meaning of the
Indexing
Challenges faced document and then tag or
index them accordingly is
Deriving
meaning difficult
Interpretation
Indexing
Challenges faced Computer programs cannot
automatically derive
Deriving meaning/structure from
meaning
unstructured data
File formats
Tags
Text mining
Application
Application platforms like
Possible solutions platforms XOLAP help extract
information from e-mail and
XML based documents
Classification/
Taxonomy
Not sufficient
Metadata
Where does Semi-structured Data Come from?
XML
TCP/IP packets
Zipped files
Semi-structured
data
Binary
executables
Mark-up languages
Graph-based data
Schemas XML
models
Storage cost
It cannot be stored in
RDBMS existing RDBMS as data
cannot be mapped into
Irregular and tables directly
partial structure
Challenges faced In many cases the
structure is implicit.
Implicit structure
Interpreting
relationships and
Evolving schemas correlations is very
difficult
Distinction between
schema and data Vague distinction between
schema and data exists at times
making it difficult to capture data
How to Store Semi-structured Data?
RDBMS
Storage Cost
Storing data with their
schemas increases cost
Irregular and
partial structure Some data elements
Challenges faced may have extra
information while
Implicit structure others none at all
Evolving schemas
XML
RDBMS
Possible solutions
OEM
How to Extract Information from Semi-structured Data?
Conforms to a
data model
Data is stored in
form of rows and
Similar entities columns
are grouped (e.g., relational
database)
Structured
data
Definition, format
& meaning of data
is explicitly
known
Where does Structured Data Come from?
Spreadsheets
Structured Data
SQL
OLTP systems
Structured Data: Everything in its Place
Semi-structured Structured
Name E-mail First Last E-mail Id Alternat
Name Name e E-mail
Patrick Wood [email protected] Id
k, Patrick Wood ptw@dc p.wood
[email protected] s.abc.ac. @ymail.
First name: [email protected] uk uk
Mark .ac.uk Mark Taylor MarkT@
Last name: dcs.ymail
Taylor .ac.uk
Alex Bourdoo AlexBour
Alex AlexBourdoo@dcs doo@dc
Bourdoo .ymail.ac.uk s.ymail.a
c.uk
Ease with Structured Data-Storage
Retrieve
information
branch_key
branch location
location_key
location_key
branch_key
units_sold street
branch_name
city_key
branch_type
dollars_sold city
city_key
avg_sales city
state_or_province
Measures country
Characteristics of snowflake schema
• The snowflake schema uses small disk space.
• It is easy to implement dimension is added to
schema.
• There are multiple tables, so performance is
reduced.
• The dimension table consist of two or more sets
of attributes which define information at different
grains.
• The sets of attributes of the same dimension table
are being populate by different source systems.
Advantages
• There are two main advantages of snowflake
schema given below:
• It provides structured data which reduces the
the problem of data integrity.
• It uses small disk space because data are
highly structured.
Disadvantages
• Snowflaking reduces space consumed by dimension
tables, but compared with the entire data warehouse the
saving is usually insignificant.
• Avoid snowflaking or normalization of a dimension
table, unless required and appropriate.
• Do not snowflake hierarchies of one dimension table
into separate tables. Hierarchies should belong to the
dimension table only and should never be snowfalked.
• Multiple hierarchies can belong to the same dimension
has been designed at the lowest possible detail.
Fact constellations
Ralph Kimball, Margy Ross, The Data Warehouse Toolkit, 2nd Edition, 2002
96
Operational Source Systems
• capture the transactions of the business
• queries against source systems are narrow
stovepipe application
97
Data Staging Area
• a storage area
AND
• a set of ETL processes
(extract-transform-load)
• It is off-limits to business users and does not
provide query and presentation services.
98
Data Staging Area - ETL
• EXTRACTION
– reading and understanding the source data and
copying the data needed for the data warehouse into
the staging area for further manipulation.
• TRANSFORMATION
– cleansing, combining data from multiple sources,
deduplicating data, and assigning warehouse keys
• LOADING
– loading the data into the data warehouse
presentation area
99
Data Presentation Area
• where data is organized, stored and made available for
direct querying by users, report writers, and other
analytical applications
• it is all the business community sees and touches via data
access tools
• dimensional data modeling
– user understandability
– query performance
– resilience to change
• detailed, atomic data
100
Data Access Tools
• tools that query the data in the data
warehouse’s presentation area
• the variety of capabilities that can be provided
to business users to leverage the presentation
area for analytic decision making.
– prebuilt parameter-driven analytic applications
– ad hoc query tools
– data mining, modeling, forecasting
101
Microsoft SQL Server
• SQL Server Integration Services (SSIS)
– tool for the ETL process
102
Data Warehouse Architecture
103
Decision Support
• Information technology to help the
knowledge worker (executive, manager,
analyst) make faster & better decisions
– “What were the sales volumes by region and product category for
the last year?”
– “How did the share price of comp. manufacturers correlate with
quarterly profits over the past 10 years?”
– “Which orders should we fill to maximize revenues?”
105
The Complete Decision Support
System
Information Sources Data Warehouse OLAP Servers Clients
Server (Tier 2) (Tier 3)
(Tier 1)
e.g., MOLAP
Semistructured Analysis
Sources
Data
Warehouse serve
extract Query/Reporting
transform
load serve
refresh
etc. e.g., ROLAP
Operational
DB’s Data Mining
serve
Data Marts
CS 336 106
OLAP
• OLAP databases contain two basic types of
data:
– measures, which are numeric data, the quantities
and averages that you use to make informed
business decisions, and
– dimensions, which are the categories that you use
to organize these measures.
• OLAP databases help organize data by many levels of
detail, using the same categories that you are familiar
with to analyze the data.
Advantages and Challenges of an OLTP System
After Roll up
Example of Roll up
Drill- down
• Drill-down is the reverse of roll-up.
• That means lower level summary to higher
level summary.
• Increases a number of dimensions - adds new
headers
• Drill-down can be performed either by
– Stepping down a concept hierarchy for a
dimension
– By introducing a new dimension.
Example
...
CS 336 145
Dimensional Modeling
CS 336 146
Dimension Hierarchies
Store Dimension Product Dimension
Total Total
Region Manufacturer
District Brand
Stores Products
CS 336 147
Types of OLAP servers
• Three types of OLAP servers are:-
– 1 Relational OLAP (ROLAP)
– 2 Multidimensional OLAP (MOLAP)
– 3 Hybrid OLAP (HOLAP)
ROLAP
• ROLAP servers are placed between the
relational back-end server and client front-end
tools.
• ROLAP servers use RDBMS to store and
manage warehouse data, and OLAP
middleware to support missing pieces.
ROLAP: Dimensional Modeling Using
Relational DBMS
• Special schema design: star, snowflake
• Special indexes: bitmap, multi-table join
• Special tuning: maximize query throughput
• Proven technology (relational model,
DBMS), tend to outperform specialized
MDDB especially on large data sets
• Products
– IBM DB2, Oracle, Sybase IQ, RedBrick,
Informix
CS 336 150
Relational OLAP Architecture
• ROLAP includes the following components −
– Database server
– ROLAP server
– Front-end tool.
Advantages of ROLAP
Dimensional Modeling
• Define complex, multi-dimensional data with
simple model
• Reduces the number of joins a query has to
process
• ROLAP can handle large amounts of data.
• Can be used with data warehouse and OLTP
systems.
• Allows the data warehouse to evolve with rel. low
maintenance
CS 336 152
Disadvantages of ROLAP
• Limited by SQL functionalities.
• Hard to maintain aggregate tables.
MOLAP: Dimensional Modeling
Using the Multi Dimensional Model
• MDDB: a special-purpose data model
• Facts stored in multi-dimensional arrays
• Dimensions used to index array
• Sometimes on top of relational DB
• Products
– Pilot, Arbor Essbase, Gentia
CS 336 154
MOLAP
•The first generation of server-based multidimensional
OLAP (MOLAP) solutions use multidimensional
databases (MDDBs).
• Consistency of information.
• “What if ” analysis.
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BI Roles
• Data Warehouse/Business Intelligence Manager
• Data Modeler/Data Architect
• Business Analyst
• Extract, Transform, and Load (ETL) Developer
• Report Developer
• Data Analyst
• Data Scientist
Data Warehouse/Business Intelligence
Manager
• Description
– The Data Warehouse/Business Intelligence Manager is responsible for
managing and directing the project.
– This person is the tactical leader and not the executive sponsor.
– He or she needs to be able to communicate well with both IT and business staff
for project success.
• Skills Needed
– Data Architecting Background
– Project Management
– Communication and Presentation Skills
– At minimum, working knowledge of all aspects of the BI stack
• Common Tools Used
– SQL Server Management Studio
– Microsoft Excel, Microsoft Project, or some other Project Management Tool
– Data Modeling Software
Data Modeler/Data Architect
• Description
– The Data Modeler/Architect is responsible for developing the marts and
warehouse structures based off of the business and technology
requirements that have been gathered.
– They tend to perform quite a bit of data profiling and define the final
data warehouse/data mart structure.
• Skills Needed
– Data Architecting Background
– Data Profiling Skills
– Advanced Knowledge of SQL and Data Structures
• Common Tools Used
– SQL Server Management Studio
– Microsoft Excel
– Data Modeling Software
– SQL Server Integration Services (SSIS)
Business Analyst
• Description
– The Business Analyst is responsible for defining the business
requirements for the business intelligence solution.
– A business intelligence solution helps solve business problems,
therefore this role is critical to project success.
• Skills Needed
– Industry-specific Business Background is preferred
– General Data Warehouse/Business Intelligence Background
– Communication and Presentation Skills
• Common Tools Used
– Microsoft Excel
– SQL Server Management Studio (depending on the technical
skills of the analyst)
Extract, Transform, and Load (ETL)
Developer
• Description
– The ETL Developer is the programmer who develops the packages that
move data from its source location to the ODS (operational data store)
and the marts or warehouse.
– In Microsoft SQL Server implementations, SSIS (SQL Server
Integration Services) is the tool most often used.
• Skills Needed
– SQL Programming
– Some C#/VB.net Background Preferred
– Knowledge of Data Structures
– ETL/SSIS Development Experience
• Common Tools Used
– SQL Server Integration Services (SSIS)
– SQL Server Management Studio
– Microsoft Excel
Report Developer
• Description
– The Report Developer is the developer responsible for creating reports, dashboards, and
other visualizations that provide clarity to end users.
– Proper data visualization is a key component of a successful business intelligence
implementation, so a capable Report Developer is a must.
• Skills Needed
– SQL Programming
– Some C#/VB.net Background Preferred
– SQL Server Reporting Services (SSRS), Crystal Reports,
– Strong Industry-Specific Business Background Preferred
• Common Tools Used
– SQL Server Reporting Services (SSRS), Tableau, Crystal Reports or Other Data
Visualization Software
– SQL Server Management Studio
– Microsoft Excel
– Microsoft SharePoint (if SharePoint is the BI Portal in your deployment)
– R, SAS, SPSS or some other statistical software package
Data Analyst
• Description
– The Data Analyst role is responsible for assisting business users to analyze and interpret
the data contained in your data warehouse/data mart environment.
– This person often works directly with business users to help them solve specific business
problems using the data contained in the business intelligence solution.
• Skills Needed
– SQL Programming
– SQL Server Reporting Services (SSRS), Crystal Reports, Tableau or other data
visualization tool
– Industry-Specific Business Background
– Statistics or Math Background Preferred
• Common Tools Used
– SQL Server Reporting Services (SSRS), Tableau, Crystal Reports or Other Data
Visualization Software
– SQL Server Management Studio
– Microsoft Excel
– Microsoft SharePoint (if SharePoint is the BI Portal in your deployment)
– Statistical Software Package (R, SAS, SPSS, etc.)
Data Scientist
• Description
– They must be well-versed in statistics and mathematics while also having a
strong background in programming or scripting.
– They perform advanced data-driven statistical modeling to develop predictive
models, clustering analysis & other advanced data mining & statistical models.
• Skills Needed
– Advanced Mathematics/Statistics Background
– SQL Programming
– R, SAS, SPSS, or Other Statistical Software Package Skills
– Data Visualization Development
• Common Tools Used
– SQL Server Reporting Services (SSRS), Tableau, Crystal Reports or Other
Data Visualization Software
– SQL Server Management Studio
– Microsoft Excel
– R, SAS, SPSS, Python, or other statistical software package.
BI Roles and Responsibilities
BI Team Roles
• BI Project Team Roles
• Business Manager
• BI Business Specialist
• BI Project Manager
• Business Requirements Analyst
• Decision Support Analyst
• BI Designer
• ETL Specialist
• Database Administrator
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Application of BI in all industries
• A few examples
– Pro Sports
• Oakland A’s, New England Patriots – recruiting players
• Dallas Cowboys – merchandising
– Gambling
• Harrah’s Caesar’s
• Quote from Intel manager:
– “In God we trust, all others bring data”
- Demming
A sample of Oracle BI Customers
Communications Automotive Finance / Banking Consumer Goods High Tech
Presented by:
Ashutosh Shankhdhar
Assistant Professor
Agenda
• Introduction
• Types of Data Mart
• Comparison Between Data Mart and Data Warehouse
Presented by:
Ashutosh Shankhdhar
Assistant Professor
Conceptual Modeling of Data Warehouses
branch_key
branch location
location_key
location_key
branch_key
units_sold street
branch_name
city_key
branch_type
dollars_sold city
city_key
avg_sales city
state_or_province
Measures country
Fact constellations
1. Clean Data
2. Dirty Data
3. Clean and Dirty Data
4. None of above
Quiz-6
Q. Successful data warehousing requires that a
formal program in total quality management
(TQM) be implemented.
A. True
B. False
Quiz-7
Q. Data in operational systems are typically
fragmented and inconsistent.
A. True
B. False
Dashboard and Report Designing
DASHBOARD
What is dashboard?
Dashboard
• Definition
– A dashboard is a visual display of the most
important information needed to achieve one or
more objectives; consolidated and arranged on a
single screen so the information can be
monitored at a glance
Why should dashboards be used in
the decision making process?
• The ability to receive, process and remember information
can be increased by the use of visual appliances.
• Most of the decision makers have very little time
– they would prefer to get the information in a ready reckoner
kind of presentation.
• Dashboard serves two major purposes for the senior
executives
– present the information relevant to the decision maker at a
consolidated level and graphically or pictorially,
• helps decision maker to grasp, understand and utilize the information
– capability to drill down or create adhoc queries
• Helps the decision maker to dig more into details or for looking a
specific info
Dashboard Types
• We might divide the most common uses and
metrics of strategic dashboards due to a
business unit they're suitable for:
– Strategic Dashboards
– Analytical Dashboards
– Operational Dashboards
Strategic Dashboards
• Used by executives
• Quick overview on the health of the business,
including major high-level measures
• Few information, simple display mechanisms,
static snapshots
Strategic Dashboards
• A strategic dashboard is a reporting tool used to
monitor the status of key performance indicators
(KPIs), and are typically used by executives.
• The data behind a strategic dashboard updates on a
recurring basis, but at less frequent intervals than an
operational dashboard.
• Strategic dashboards may be viewed once a day, and
assist executives in staying on top of KPIs throughout
the business.
• An example of a strategic dashboard is the SaaS CEO
dashboard. It monitor KPIs across the organization
using simple data visualizations.
Examples of strategic dashboards
• In case of manufacturing department of the company, metrics linked to
production seem the most important. Thereupon, with dashboard we
might check product return rate, for instance, and investigate the trends -
whether the rate gets lowered or not, and - if it does - how quickly.
• Dashboards used by a sales department are mainly focused on sales
results and their trends and changes.
• Services department. Good contact with the customers is extremely
important these days, therefore more and more attention is paid to
services by the business. With strategic dashboards it is possible to
measure the number of complaints, for instance.
• HR - Human resources department - all the metrics concerning people
(employees) are extremely important to keep the company's flow.
Employees retention rate is one of the examples.
• Even though the finance department demands often a detailed
operational reporting, strategic dashboards are usually enough for the
general review. Executives get a possibility to check average outstanding
balances, for instance.
Examples of strategic dashboards
• Services department. Good contact with the customers is extremely important
these days, therefore more and more attention is paid to services by the business.
With strategic dashboards it is possible to measure the number of complaints, for
instance.
• HR - Human resources department - all the metrics concerning people
(employees) are extremely important to keep the company's flow. Employees
retention rate is one of the examples.
• Even though m en a det onal
the finance department are us for
demands often a detailed tance.
operational reporting,
strategic dashboards are
usually enough for the
general review.
Executives get a
possibility to check
average outstanding
balances, for instance
Dashboard Types
• Analytical Dashboards
– Used by analysts
– Support interaction with data, e.g. drill-down
– Complex data, sophisticated display mechanisms,
static snapshots
Analytical Dashboard
What is an analytical dashboard?
• An analytical dashboard is a reporting tool that is used to analyze
large volumes of data to allow users to investigate trends, predict
outcomes, and discover insights.
• Analytical dashboards are more common within business
intelligence tools because they are typically developed and
designed by data analysts.
• The data behind an analytical dashboard needs to be accurate and
up-to-date, and may only be updated infrequently.
• Analytical dashboards often include advanced BI features like drill-
down and ad-hoc querying.
• An example of an analytical dashboard is the MRR/Accounts
dashboard. It is, however, important to note this is a very
lightweight version of analytical dashboard.
•
Financial performance dashboard
Help decision-makers to see how efficiently the company’s capital is being spent
and to establish a specific operational task to structure future decision better.
• With the important financial KPIs such as return on assets, return on equity,
working capital, and the overview of the balance sheet, a finance department has
a clear picture of their capital structure. This enables the department to,
consequently, set specific operational activities to improve further.
Operational Dashboards
• Used to monitor operations
• Support alerting for critical events, interaction
with data
• Detailed data, simple and clear display
mechanisms, real-time data
Operational Dashboards
• As the name indicates, operational dashboards are
pretty useful tools for operations teams to monitor and
proactively manage their day-to-day activities.
• They’re all about showing what’s happening now.
• The data is usually near real-time, and may cover a
single day, or up to a week at maximum.
• They don’t contain as much historical information as
strategic or analytical dashboards.
• Operational dashboards are usually projected on large-
screen TVs for the whole organization to view
Operational Dashboards
• Examples of operational dashboards include:
– A web analytics dashboard showing the number of
pageviews, users, sessions, bounce rates, sign-ups, and
purchases over the course of a day.
– A social media dashboard showing Facebook likes being
received, tweets, followers, shares, and more.
– A manufacturing/production dashboard that reflects the
number of products produced, defects observed, goods
packaging, and goods shipped.
– A help desk dashboard showing the number of tickets
being received by the hour, the number of tickets being
closed, the ones being reopened, the number of calls
being made.
Operational Dashboards
Analytical dashboards vs operational
dashboards
• Analytical • Operational
dashboards are meant dashboards manage
to help an organization intra-daily business
establish targets based processes – frequently
on insights into changing and current
historical data. performance metrics or
key performance
indicators (KPIs).
Choosing dashboards based on
business reporting requirements
• What business problem(s) we are trying to
solve?
– Identify what is driving the need for a dashboard
solution and to define the scope of the project.
• Operational Dashboards
– Data awareness and time sensitive data
• Strategic Dashboards
– Top-line organizational KPIs
• Anayltical Dashboards
– Trends or deeper insights
What gaps exist in our performance?
• The identification of gaps can be used to
develop a set of metrics that will be used as
the basis for the development of the
dashboard.
– Operational Dashboards
• Intra-daily performance
– Strategic Dashboards
• Monthly, quarterly performance
– Anayltical Dashboards
• Performance issues, weekly performance
What are our goals?
• Before developing metrics it becomes important
to identify what you hope to achieve by using
dashboards as well as align those goals to the
department’s or company’s overall strategy.
– Operational Dashboards
• Employee awareness and tracking against goals
– Strategic Dashboards
• Strategic goals, such as achieving KPI targets
– Anayltical Dashboards
• Analytics goals, such as visibility into key process
Who will be using the dashboards?
• Design, features and required training will
change based on the role of the dashboard
user.
• Operational Dashboards
– Line of business managers; business users
• Strategic Dashboards
– Executives; Directors
• Anayltical Dashboards
– Business analysts; data analysts; executives
Differences
• Dashboard versus Portal
– Portal = Focus on the integration of different
contents under one user interface
– Dashboard = Focus on the compression of
important facts and figures on one single screen
• Dashboard versus Scorecard
– A scorecard is a specific dashboard including Key
Performance Indicators (KPIs), usually used on a
strategic level
EVOLUTION OF DASHBOARD
The History of Business Dashboards
• The evolution of business dashboards can be traced back four decades.
• In the early 1970s, businesses were using decision support systems (DSS) to perform business
intelligence tasks.
• They were originally modeled from automobile dashboards, which provide the status of
critical functions, like gasoline levels or speed, to drivers.
• In the 1980s, these systems were modernized in a technology known as Executive
Information Systems (EIS).
• Although EISs were considered a technological advancement, users were plagued with slow
turnaround times for refreshing and managing data.
• When the information age ramped up in the 1990s, concepts such as data warehousing and
online analytical processing propelled quicker dashboard functionality.
• After KPIs became more widely adopted in the late 1990s, business dashboard use soared.
• During this era, Microsoft was a key player in promoting a concept known as the Digital
Nervous System.
• Digital dashboards were deemed a component of the Digital Nervous System.
• Fast-forward to the business intelligence dashboards that are available today:
– dashboard visualization has become an industry standard that is widely adopted by analytics
professionals, students, and directors of global organizations.
• First dashboards were a set of graphs and indicators
• Today dashboards are more versatile, e.g. by integrating strategy maps
and scorecards.
• As can be seen in the table given above the dash boards evolution can be
seen in three generations.
• The first generation dash boards were simple charts helping monitoring of
some business areas. This can be compared to the dashboard of an
automobile, where the first generation dash boards had simple lamps
display doing the function of indication of engine issues.
• The Second generation dash boards were advanced charts, gauges and
indicators, tables carrying on function of advanced monitoring of business
areas, drill down to analyze and monitoring by Key metrics.
• The Third generation dash boards in addition to the above contain score
cards and strategy maps providing additional functions such as monitoring
tactics and strategy of business.
Layers of Information
Layers of Information
• User can peel back layers of information to get
to the root cause of a problem.
• Each successive layer provides additional
details, views and perspectives to understand
a problem and to identify the steps that have
to be addressed.
• Monitor, analyze, examine
Layers of Information
• The three layers of information can be
classified as –
– Summarized Graphical View –
• This is the top layer typically presentation layer to C category of
officials in the organization and decision makers.
• The purpose of this layer is to monitor key performance metrics.
• The display would be graphical indicators, number and text.
• Typical technology are Dash boards, Scorecards and portals.
Layers of Information
• The three layers of information can be
classified as –
– Multidimensional View –
• This is the Middle layer typically presentation layer provided to
power workers, IT workers and decision makers with requirement
to make a detailed analysis.
• The purpose of this layer is to explore information from multiple
dimensions.
• The display would be by way of interactive charts and tables.
• The technology used are OLAP and interactive reporting tools.
Layers of Information
• The three layers of information can be
classified as –
– Detailed Reporting View –
• This is the Bottom layer typically presentation layer provided to all
the operational staff and lower level of decision makers.
• Also used by auditors and risk managers and operational heads of
the organizations.
• The purpose of this layer is to examine the details before taking
action.
• The display would be in Table or report in separate window.
• Technology used are operational reporting tools, data warehouse
queries.
DASHBOARD DESIGN PRINCIPLES
Dashboard Design
• Questions to be asked for Dashboard design
– What type of dashboard should be designed?
– What are the relevant data and KPIs that should
be visualized?
– What are appropriate elements for visualization?
– How should user navigation look like?
– How is the dashboard supplied with data?
Dashboard Design
• Three steps to create a new dashboard:
– Create the spreadsheet model
• Import existing spreadsheet model or
• Create new spreadsheet model with Excel functionality
– Build the visualization
• Select suitable components from the visualization
library
• Data binding
– Publish the dashboard
• Export to PPT, Word, Adobe, SWF, Business Objects
Dashboard Design Principles
• Reduce the non-data pixels, by eliminating
unnecessary non-data pixels and de-
emphasizing the remaining non-data pixels.
– Graphics that are just for decoration
– Borders to separate sections when white space
would suffice
– Use of gradient colors when solid colors would do
– Grid lines in bar graphs when white space would
suffice
Dashboard Design Principles
• Enhance data pixels by eliminating unnecessary
data pixels and highlighting most important data
pixels
– Remove data that is less relevant
– Condense data by summaries and exceptions
– Emphasize important data by visual attributes like
color intensity, size, line width
– Emphasize important data by its position on the
dashboard: top-left and center are sections with
greatest emphasis
Dashboard Design Principles
• Group KPIs Logically
– For example, by component or KPI type, such as
availability or performance.
– Spatially separate different groups if they are in
one panel.
INTERNAL BUSINESS
CUSTOMER
Vision PROCESS
To achieve our vision, how
and To satisfy our shareholders and
should we appear to our
customers? Strategy customers, at which businesses
must we excel?
Source: Kaplan, Robert S. and David P. Norton. 1996. Using the Balanced Scorecard as a Strategic Management System. Harvard Business Review 74 (January-February): 76.
Kaplan-Norton Balanced Scorecard
• Financial Metrics
– Revenue, revenue growth, gross margins,
operating income, net margin, earnings per
share, cashflow
– Reflect recent planning period , to some degree
all previous planning periods
Kaplan-Norton Balanced Scorecard
• Customer Metrics
– Management relationship of customers by the firm
– Market share
– Customer acquisition
– Customer satisfaction
– Customer profitability
– Customized by the target segment
Kaplan-Norton Balanced Scorecard
• Learning and Growth Metrics
– Employee
• Selection
• Training
• Retention
• Satisfaction
– Motivation
• Empowerment
• Alignment of company and personal goals
Kaplan-Norton Balanced Scorecard
• Internal Business Process Metrics
– Information Systems
• Quality of infrastructure
• Timeliness, accuracy, and utility of data
– Operations – quality of entire supply
– Post-sale service – quality being offered to customer
Kaplan-Norton Balanced Scorecard
• Vision and Strategy Metrics
– Vision – understanding across the organization
– Strategy – creation of and mapping of business to
the strategic goals
– Tactics – Mapping of tactics to strategic goals
– Innovation - Innovation includes customer’s
perception of innovativeness of the company
Kaplan-Norton Balanced Scorecard
• Limitations
– No clear definition of strategy or business
models
– Unclear location of organizational capabilities or
resources in framework
– Unclear where partnerships reside in framework
The Rayport-Jaworski Performance
Dashboard and Strategy Framework
• The terms ‘dashboards’ and ‘scorecards’ are often
used interchangeably, although they are indeed
different things.
– Scorecards are designed to measure progress towards
meeting strategic business goals,
– dashboards are only designed for ongoing monitoring
of specific activities.
– Dashboards are not meant to convey information
about how close, operations match the intent of the
business and associated targets.
– A scorecard focuses on a given metric and compares it
to a forecast or target.
The Rayport-Jaworski Performance
Dashboard and Strategy Framework
• The Performance Dashboard - intended to reflect the
health of the business.
• The Strategy Framework Drives the Necessary Metrics
• Strategic scorecards contain metrics from four key areas
that drive the success of a business (people, customers,
financial, operations)
• Six critical steps
– Opportunity assessment
– business-model metrics
– customer-interface design
– Market communications and branding
– Implementations
– Financial
Introducing the R-J Performance Dashboard
Steps of Strategy:
Performance
Dashboard:
Implementation Customer
Opportunity Business Model Financial
& Branding Interface &
Metrics Metrics Metrics
Metrics Outcome Metrics
Areas
Addressed:
Size of market Uniqueness of value Branding Customer acquisition Revenue
opportunity proposition
Technology Changes in customer Profit
Attractiveness of Attractiveness of infrastructure behavior
Cost
target segments offering
Internal organization Site experience and
Balance sheet
Competitive Firm capabilities usability
Relationship with
landscape relative to
suppliers and
competition
partners
Sustainability of
Fulfillment capability
competitive position
Components of the R-J Performance
Dashboard
• R-J Performance Dash board
– RJ Performance dash board differing from Kalpan Norton balance score card takes the
measurement of the organization performance against the strategic steps taken.
– First the dashboard captures the steps of strategy and then performance metrics against those
steps of strategy, thus allowing the business to have a dashboard that clearly shows the impact
or otherwise of the strategy.
– Opportunity Metrics
• Ability to discern unfulfilled needs in the market place is critical
• Market-opportunity metrics asses the degree to which the firm can accurately gauge
the market opportunity
– Business-model Metrics
• Capture subcomponents of the business model: egg diagram, resource systems,
financial metrics
• Value Proposition or Cluster Benefits Metrics
– target segments, benefits offered, capabiliti4s that drive benefits
– focus on customer’s perceptions
– performance relative to the competitor’s benefits
What are the Steps to Implement the R-J
Performance Dashboard?
•Capabilities vs. competition? •Exclusive partnerships •For each metric, •For each metric,
Define goals and value proposition
Financial Financial
•Financial consequences in •Revenue
terms of revenue, profit, cost •Profit
and balance sheet? •Earnings per share
•Debt to Equity ratio
Building Reports
Building Reports
• The Report authoring task flow –
– Review available reports
– Customize Sample reports
– Author new reports
– Manage reports and report views
– Make custom reports available
Building Reports
• Reports are used to create view charts, dashboards, documents
that effectively support different roles and responsibilities
• They are of two types
• Development intelligence report
– They are graphical in nature (example: pie charts, graphs, scorecards
etc.)
– They communicate status, monitor problems, diagnose problems,
identify corrective actions etc.
– They are a decision support tools for managing projects / programs.
• Report documents.
– They are document-style.
– Specifications may have to comply with standards/requirement in
both structure and styling
– Document often form the basis of a contractual relationship.
Creating a Basic report
• Specifying the data package (meta-model)
• Choosing a basic report layout
• Adding data
• Inserting a single data item
• Validating the report
• Saving the report
• Running the report
• Setting ‘pdf’ page options
Report Style
• Relational Reporting Style
– This style is recommended for relational data sources.
– Relational data is best represented by lists.
– In relational reporting, you summarize data by using headers and
footers in lists, summary functions. You focus data in relational
reporting with summary or detail filter.
• Dimensional Reporting Style-
– This style is recommended for dimensionally modeled relational
(DMR) and OLAP data sources. Dimensional data is best represented
by crosstabs, maps and charts.
– In dimensional reporting, you summarize data by using member
summaries and within set aggregates. You focus data in dimensional
reporting by adding only the relevant members to the edge of a
crosstab or to the context filter.
– You can also enable drilling up and drilling down in dimensional
reports.
List report
• A List report is similar to a table report with rows and
columns of data.
• Each row is one record and each column is a Field.
• Used when you want to see more number of records at a
time.
• display any columns you want and in the required order.
• You can sort, search, filter and group data in a list report.
Crosstab report
• A crosstab report provides a different view of
data by showing values at the intersection
points of rows and columns.