1

Business Intelligence Report

Student

Institution

Instructor

Course

Date
 2

Table of Contents

Business Intelligence Justification.......................................................................................4

Business Environment.....................................................................................................4

Decision-Making Problems.............................................................................................4

1. Inefficient Data Access or Data...............................................................................4

2. Poor Data Quality....................................................................................................4

3. Inconsistent Departmental Reporting......................................................................5

4. Delays in Generating Actionable Insights...............................................................5

5. Lack of Customer Insights.......................................................................................5

6. Inadequate Predictive Analytics Capability.............................................................5

Organizational Response Using the Business Pressure-Responses-Support Model.......5

Pressures......................................................................................................................5

Responses:...................................................................................................................6

Impact on Decision-Making............................................................................................6

Quantitative Impact.....................................................................................................6

Qualitative Impact.......................................................................................................6

Role of Business Intelligence..........................................................................................6

Business Performance Plan..................................................................................................7

Business Performance Methodologies.................................................................................7

Data Classification and Visualization Assessment..............................................................8

 3

Data-Mining Methods and Processes..................................................................................9

References..........................................................................................................................10
 4

Business Intelligence Justification

Business Environment

The selected organization for which this Business Intelligence (BI) development plan is

targeted is a mid-sized retail corporation that has recently centralized its information

management system. This retail company serves a wide range of customers through a blend of

physical stores and online presence, making the company one of the leading competitors in terms

of offering quality products at very reasonable prices. The retail industry is also a field of fierce

competition and continuous changes in customer expectations, supply chain complexities, and

regulatory imperatives. Its competitors range from large-scale retailers to small, niche players

that strive for market share through price-related competition, customer-related engagement, and

new shopping experiences. There, customers focus on convenience, quality, and sensitive

customer service, which needs to be highly agile in decision-making.

Decision-Making Problems

Other critical issues in the organization facing the decision-making capabilities are the

following:

1. Inefficient Data Access: Information resides in various pockets of different

departments. Finding and using the most valuable insights in time and using them is

challenging for teams. Segmentation around information hinders effective collaboration and

quick decision-making, especially during peak demand periods.

2. Poor Data Quality: Inconsistent and outdated data inputs lead to unreliable reports

affecting managerial insights. This further hampers the planning and forecasting effort since

the organization needs to have a consolidated idea of the operations and customer trends.
 5

3. Inconsistent Departmental Reporting: The company has different standards for data

entry and reporting format; hence, it needs uniform metrics. This inconsistency makes

attempts at judging performance on a company-wide basis and analyzing the effectiveness of

marketing and operational initiatives more difficult.

4. Delays in Generating Actionable Insights: Current systems require extended

processing times for report generation; change events thus require a prolonged response. The

remaining time to act upon insights is minimal. Hence, competitive agility is limited.

5. Lack of Customer Insights: Failure to aggregate data related to customer feedback

and buying behavior limits the company's power to tailor products and marketing strategies.

This, in turn, reduces the effectiveness of initiatives for customer engagement and brand

loyalty.

6. Inadequate Predictive Analytics Capability: The constrained analytics capability in

prediction restricts the organization from mapping the future market trends and needs of

customers. This leads to a lack of proactive planning in the company and, hence, missing

opportunities at different prospects surrounding inventory management and gaining new

customers.

Organizational Response Using the Business Pressure-Responses-Support Model

Given these pressures, the organization also usually conducts its business processes

through the framework of the Business Pressure-Responses-Support model:

Pressures include competitive pressure from established and emerging retailers,

regulatory demands around data privacy and reporting, and rising customer expectations of a

frictionless shopping experience.

 6

Responses: The company has recently invested in centralized technology and plans to

implement BI tools to support data from different departments. It also encourages

standardized policies across the teams, especially regarding how data should be input and

reported.

Impact on Decision-Making

The organization’s responses to these challenges have both quantitative and qualitative

impacts on decision-making:

Quantitative Impact: The investment in new technology has begun to reduce the time

required for data retrieval, while preliminary standardization has improved efficiency in

reporting. For example, early adoption of BI tools has decreased report generation time by

30%, enabling quicker responses to supply chain fluctuations (Maghsoudi & Nezafati, 2023).

Qualitative Impact: These initiatives have also positively influenced employee morale

and department collaboration. Standardized data processes encourage a culture of

accountability, fostering improved communication and shared objectives among teams.

Role of Business Intelligence

Business intelligence tools like dashboards, predictive analytics, and real-time data

processing are vital to addressing the organization's decision-making challenges. BI dashboards

will allow managers to access key metrics at a glance, enhancing visibility into sales trends and

inventory levels. Predictive analytics can offer insights into customer behavior and market

trends, enabling proactive adjustments in marketing and inventory. Data processing in real-time

will reduce delays in providing actionable insights, thus making the organization more agile. BI's

integrative capabilities support problem-solving by providing a unified view of operations and

 7

customer data for decision-makers to make informed strategic decisions based on comprehensive

data (Ibrahim et al., 2023).

Business Performance Plan

This is garnered in the organization's move to adopt Business Intelligence (BI) as a

catalyst for performance improvements through tracking specific KPIs and improved operations

in critical domains in its operational fields. Among such key Key Performance Indicators (KPIs)

would be customer satisfaction scores, average order processing time, inventory turnover rates,

and cost per transaction. It closely tracks all these metrics to understand the customers' needs and

hasten their responses by making data-driven decisions, leading to higher customer satisfaction.

Reduced processing times and better inventory management to avoid overstocking or stockouts

increase operational efficiency. Additionally, cost drivers will be analyzed with BI for effective

cost-reduction strategies regarding supply chain and workforce management. In turn, the BI

platform will provide real-time insight into business operations, thus enabling the teams to make

quicker and better decisions that are in tune with the organizational goals and satisfy its vision

for growth on a sustainable basis with a competitive advantage.

Business Performance Methodologies

The performance optimizations of these departments would be effectively done through

various methodologies such as the Balanced Scorecard and Lean Six Sigma practices, which

would be enhanced through BI. The Balanced Scorecard provides a sequential mechanism that

measures and controls performance in four key dimensions: financial, customer, internal process,

and learning/growth (Yawson, 2023). With BI dashboards, information can be viewed in real-

time; thus, the organization has insights into each area, and managers may easily spot trends,

thereby adjusting strategies when need. These would involve customer satisfaction metrics taken
 8

from the balanced scorecard to drive service improvements and financial performance to guide

decisions regarding budgeting.

Lean Six Sigma practices will enhance quality and reduce inefficiencies across

operations. BI tools will enable data-driven decision-making by providing detailed analytics on

process bottlenecks, error rates, and customer feedback. Through these insights, the organization

can implement quality improvements, streamline workflows, and reduce wasteful activities.

Data-driven Lean Six Sigma initiatives will allow for more precise adjustments, enhancing

product quality and customer satisfaction while minimizing costs. Together, these methodologies

will form a robust, data-supported approach to continuous improvement, aligning with the

organization's strategic goals for efficiency and high-quality service.

Data Classification and Visualization Assessment

Data is systematically classified in the organization based on type and sensitivity level to

ensure security and accessibility. Data types include customer information, sales data, inventory

details, and employee records, each with a designated sensitivity level. Susceptible data, such as

customer financial information, is encrypted and access-restricted to prevent unauthorized usage

(Daalen, 2023). The organization shares less sensitive, operational data more freely, though still

safeguarded to maintain data integrity. Visualization tools such as Tableau and Power BI are

employed to transform raw data into accessible and insightful visuals (Parthe, 2023). Dashboards

are customized for departments, allowing users to interact with relevant data quickly.

Visualization techniques like trend lines, heat maps, and pie charts help communicate complex

data across departments in transparent, digestible formats, making real-time insights available to

decision-makers. This organized data classification and visualization approach enables seamless

interdepartmental data sharing, fostering informed decision-making while ensuring data security.
 9

Data-Mining Methods and Processes

The organization employs advanced data-mining techniques to extract meaningful

patterns from large datasets, enhancing strategic decision-making. Clustering segments of

customers based on buying behavior, allowing for targeted marketing campaigns. Regression

analysis assists in forecasting sales trends by examining the relationships between variables such

as seasonal demand and pricing (Takale et al., 2022). Machine learning algorithms also detect

the repetition of customer preference for certain products and their performance to develop

personalization and improvement in inventory planning, according to Yixuan (2024). Data

mining is carried out in a cycle of collection, preprocessing, analysis, and refinement to ensure

quality and truthful data. The results obtained from such analyses are then periodically reviewed

and updated further for modification, considering the performance feedback. This helps the

organization make necessary changes in its strategies in real time and stay ahead of market

fluctuations. Data mining efforts produce valuable insight for operation efficiencies that support

long-term innovation and competitiveness in dynamic business environments.

 10

References

‌Daalen, O. L. van. (2023). The right to encryption: Privacy as preventing unlawful

access. Computer Law & Security Review, 49, 105804–105804.

https://doi.org/10.1016/j.clsr.2023.105804

Ibrahim, Jamaiah Binti Yahaya, & Hazura Binti Mohamed. (2023). Business Intelligence

Adoption for Small and Medium Enterprises: Conceptual Framework. Applied

Sciences, 13(7), 4121–4121. https://doi.org/10.3390/app13074121

Maghsoudi, M., & Nezafati, N. (2023). Navigating the acceptance of implementing business

intelligence in organizations: A system dynamics approach. Telematics and Informatics

Reports, 11, 100070. https://doi.org/10.1016/j.teler.2023.100070

Parthe, R. M. (2023). Comparative Analysis of Data Visualization Tools: Power BI and

Tableau. INTERNATIONAL JOURNAL of SCIENTIFIC RESEARCH in ENGINEERING

and MANAGEMENT, 07(10), 1–11. https://doi.org/10.55041/ijsrem26272

‌Takale, S., Bhong, T., Dethe, U., & Gandhi, P. (2022). Sales Prediction using Linear

Regression. Journal of Electronics Computer Networking and Applied Mathematics, pp.

25, 62–71. https://doi.org/10.55529/jecnam.25.62.71

‌Yawson, R. M. (2023). Systems Perspective of the Use of the Balanced Scorecard for

Organization Development and Change - Robert M. Yawson, Amy K. B. Paros, 2023.

SAGE Open. https://journals.sagepub.com/doi/10.1177/21582440231218064

‌Yixuan, Z. (2024). Utilizing machine learning algorithms for consumer behavior

analysis. Applied and Computational Engineering, 49(1), 213–219.

https://doi.org/10.54254/2755-2721/49/20241186