Historians used two approaches to apply the past to the future: reasoning by analogy and projection of trends. The 1970’s saw the emergence of ERP systems in the form of Inventory Control Packages and Manufacturing Resources Planning (MRP II). Then came the integration of Finance, which was followed by the integration of various functional areas like Customer relationship, HR etc.
The evolution of Business Intelligence traces a trajectory similar to this. From a time of specialized tools and long multi-year customized solutions, we are seeing a convergence of enterprise applications, Data warehouse tools and analytic solutions. This is reinforced even further by the takeover and consolidation of BI vendors leaving few large players with capabilities across the value chain.
‘No one can whistle a symphony. It takes a whole orchestra to play it.’ ~H.E. Luccock
The age of integration in Business Intelligence, lead by Packaged BI Applications, has created a disruption in the way organizations can expect to manage their Enterprise Information initiatives. Packaged BI Apps include pre-built extract, transform and load (ETL) adapters and business logic to tap into a multitude of common operational applications and data sources including SAP, Oracle EBS, Siebel CRM, JD Edwards, Web logs and a host of other systems. Designed for both homogeneous and heterogeneous environments, they provide a viable alternative to data residing in multiple data warehouses (and potentially multiple applications) and significantly lower the total cost of ownership.
Moreover the very foundation for this concept was an integrated cross functional view without the constraint of disconnected systems. These complete, pre built solutions provide all necessary technology and business logic to transform enterprise data into actionable insight for all users to drive better performance.
This poses a dilemma for companies which had already invested heavily in a BI infrastructure and often face the following concerns:
· Would packaged BI work with the existing heterogeneous systems?
· Would the BI investments till date be a sunk cost?
· Why should packaged BI be implemented
· When and how should packaged BI Apps be implemented?
Would it work with the existing heterogeneous systems?
Packaged BI Apps include pre-built extract, transform and load (ETL) adapters and business logic to tap into a multitude of common operational applications and data sources including SAP, Oracle EBS, Siebel CRM, JD Edwards, Web logs and a host of other systems. Moreover the underlying ETL tools and technologies are the same which organizations have used for existing custom Data Warehouses.
Would the BI investments till date be a sunk cost?
The existing BI investments cannot be treated as a sunk cost, because it catered to the requirements of the organization till this period and hence the worth from the investment has been leveraged already. Moreover, this data can as well be archived.
Why should packaged BI Apps be implemented?
Packaged BI Applications have the following advantages:
· Tight integration with Oracle EBS, PeopleSoft, Siebel, SAP and others
· Pre-defined Role-based dashboards and thousands of pre-defined metrics
· Easy to adapt and extend to add insight to CRM and ERP applications
· Fast time to implementation, Low TCO
· Works with existing IT environment
· Assured business value
· Pre-built DW design
The next blog in this series we will talk about other key aspects of Packaged BI implementation