An integrated business
intelligence solution can also have a positive effect on the employees who use
it. A typical employee doesn’t want to be a “spreadsheet jockey” for his or her
whole life. Deploying new technology that makes basic tasks easier and more rewarding
is a great way to keep people motivated and retained. In addition, their skill
sets will be enhanced as they learn how to use the new technology. An ideal business
intelligence solution constantly evolves as the company and the retail industry
evolves. This creates an exciting environment for the employees who grow and change
with the system, as they will depend on it to meet their analytical needs.
At a top retail
company, it may appear that a CEO or CFO is in complete command of the information
being produced throughout the company, but the reality is often quite different.
Spreadsheets produced within individual business units can easily become islands
of information, creating a lost opportunity to leverage critical reporting and
analysis tasks. Companies don’t need 100 different analysts doing different
things with the data; they need analysts who have access to a single set of
data, and who can base their decision-making and collaboration efforts on a
common platform.
Ultimately, retailers must empower all users of the technology to become
strategic “analysts,” not mere data gatherers and inputters.
Ultimately, retailers
must empower all users of the technology to become strategic “analysts,” not
mere data gatherers and inputters. This does not require reinventing the wheel;
we all know spreadsheets are not going to disappear. But retailers must integrate
spreadsheets into an environment that provides a more secure and complete system
for the data repository, business rules and analytics—the key performance indicators
that govern and drives the company.
Extending BI to the Supply Chain
An integrated approach
to retail BI allows companies to produce critical planning, analysis, and reporting
faster and more accurately. For example, many costs to the retailer are based
on sales figures. Items such as margins, bonuses and commissions may all depend
on sales. In a truly integrated BI approach, planning sales can take hours instead
of days or weeks. Also, an integrated system with seamless interfaces allows
changes in one system to be reflected in other areas in near real time.
For instance, if
merchandising plans change, sophisticated allocations can be used to literally
drive those changes through the retailer’s operating plans, right down to the
store level. Furthermore, depending on the retailer’s size, sales projections
can have a huge impact on the production schedules and capabilities of its suppliers.
Just as the ideal BI solution allows for collaboration and communication within
the enterprise, web-based solutions allow for integrating suppliers and other
external stakeholders into the analysis and planning efforts while utilizing
common front-end and back-end applications.
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