Examples of Defining Business Value for BI and Analytics Initiatives

Key Issues At NAF, delivering value with IT is about more than delivering projects on time and on budget or having a good IT development shop. They have all this but theres still not enough value getting delivered. This case explores the questions of who is responsible for delivering value with IT and when IT value is delivered. It emphasizes that value delivery should be a business-IT partnership responsibility and will require change in the business over time. The first part of this case looks at the relationship between business strategy and IT development projects. It makes it clear that enterprise business strategies need enterprise solutions and a procedure for matching these. It also introduces the concept that investing in IT

For example, if Greggs carry out a questionnaire, most of the questions should be designed to gather quantitative information. An example of a quantitative question is “Would you buy this product?” or “How many times do you visit Greggs per week?”. This information is designed to be gathered on a large scale. Due to the quantitative nature of the questions, it needs to be carried out on a huge scale to get an accurate respresentation of the market. This can be difficult and expensive for Greggs, but if they want valid primary information this is what they must do.

Core Benefit: The perceived benefit of this idea is that innovation that can impact the

| |collection of data, the evaluation of projects, and the reevaluation of prior decisions. |

In the market today, business is showing growing interest to partner with IT to make sure they get the value for investing huge in technology. But, still there is a gap between the two departments and the IT folks think that they do not have enough support from the business to ensure the value is realized for the organization. A good example of deep integration of IT and business is the recent firing of the Apple maps chief. The ill-fated Apple maps was the failure of both the IT folks who couldn’t develop an efficient app for maps and also the business who couldn’t gather all the requirements and couldn’t manage the project to achieve the desired output. As a result, the Apple exec Richard Williamson was blamed and fired for the disastrous project and humiliation for the organization.

Both Maggie and Reuben agree that measuring the value of IT is a difficult task, however, they also agree that IT does add value by generating core capabilities that provide the firm with competitive advantage and business agility. Reuben also mentions that sometimes investment in IT is necessary to stay in business, for regulatory requirements or for strategic positioning and that the returns from such investments aren’t necessarily direct.

Smith and her IT leadership team recommended an annual budget, which made decisions on the operating projects. In addition, the team was also dedicated to delivery a comprehensive project status report to each business unit and the WestJet leadership team (Marrone, 2015). Any work that was not up to the standard was not performed and through this Smith tried to achieve and deliver maximum value for WestJet. Hence, “it makes it possible to infer that … organizations’ IT governance efforts contribute to business value” (Prasad et al., 2012, p.

This paper highlights viability of having a new product offering by Medstreaming Company namely a Business Intelligence Balanced Scorecard specifically designed for the healthcare sector. Focus of the study is on identifying the appropriate measurement metrics for the balanced scorecard. The project has added knowledge to the critical issues which need to be addressed by the healthcare organizations in implementing the Business Intelligence Balanced Scorecard product within the system. This project also discusses the benefits which the proposed business intelligence tool once implemented in a healthcare organization can provide for all hierarchical levels of the organization.

As most business they knew that proper investment in the Information systems and Information Technology is the best way to go but they dropped the ball when it came to proper investing, they either didn’t realize or ignored the problems

Information Technology (IT) is a foundation for conducting business today. It plays a critical role in increasing productivity of firms and entire nation. It is proven that firms who invested in IT have experienced continued growth in productivity and efficiency. Many companies' survival and even existence without use of IT is unimaginable. IT has become the largest component of capital investment for companies in the United States and many other countries.

The article by Chandler (2015) “The Business Intelligence and Analytics Leader 's First 100 Days” hit a cord with me after a talk with a friend of mine who was just added to the BI team at his company. The new BI director at my friend’s company could have used this article to help him with his new role of BI director. My friend’s boss came in with prebaked ideas and thought he knew what the company needed from the BI department, but after 380 days the department is still feeling its way around in the dark.

Business analytics, in a nutshell, is usage of the type of data that can help one analyze a particular business situation and decide how to improve it. Instruments used for such an assessment include statistics, and both quantitative and qualitative analysis, as well as predictive and explanatory modeling.

For instance, organizations can now understand how business models, strategies and resource allocation affect financial, human, intellectual, manufacturing and social capital. In a certain engineering company in South Africa, the use of integrated reporting helped in understanding how customer loyalty transforms finances in the long term (IIRC, 2013). The increased understanding on how organizations create or destroy value has enabled many organizations to change their business management model in order to create maximum value (Eccles & Krzus, 2010).

“After the determination of how and under what conditions of measuring the firm’s value, the next step is the gathering of relevant data and information that impacts the firm value.” (Howard, 97). Such data include; steady earnings above the industry norm, good marketing plans, skilled and motivated staff, and well documented financial and accounting statements and well detailed business procedures that are written down.

13. What is the most important reason to consider all levels in building a BI business case? Mark for Review