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Operational Business Intelligence: Spot Problems Sooner

Nancy Drew's got nothing on operational business intelligence (BI). This valuable sleuthing tool helps business teams identify and fix problems earlier in manufacturing and business processes.

 

November 07, 2007CIO

It's a frustration every CIO has experienced: Business users complain that they're not getting the performance or results they expect from their enterprise applications, yet IT's investigations continue to show that systems are working within specifications. At Freescale Semiconductor, CIO Sam Coursen faced this issue when he joined the chip manufacturer a year ago: During the expensive fabrication process, some wafers containing microcircuits had defects that couldn't be traced. Those defects became visible only after the wafers had passed through several systems or factories. "Until we could bring all the systems together for analysis, we couldn't see the pattern end to end," he recalls, "So as a bad process went on, it damaged more and more product. But the causes were not obvious, so we couldn't fix it quickly."

Student loan provider SLM Corp. (better known as Sallie Mae) faced a similar problem, recalls Jo Lee Hayes, VP of enterprise technology. Some loan applications didn't get completed, but IT couldn't see what was causing applicants to give up. Each system along the way checked out fine, but only when her IT staff could analyze the end-to-end process did it realize the aggregate state was flawed. Essentially, the underlying business processes weren't meshing well or delivering as expected. A portion of customers would abandon loans being processed and some percentage of those customers would call for support, increasing the cost of loans. The current fix: "With TealeafTechnology and Coral8 [analytics software], we can identify specifically which Web page the customer was on prior to calling," Hayes says. Her team gives that data to support agents and analyzes spots where the Web drop-offs occur frequently.

One way CIOs can gain operational analytics capability is to use a single application suite that can monitor the relevant data in the right context as it flows through the system. But that's not realistic for enterprises. "Processes don't fit into single systems anymore," Hayes notes. And although Coursen is consolidating many applications into an ERP system, he still expects to have at least a half dozen other key systems, such as manufacturing execution , product data management and customer relationship management systems,, across which processes will run. "SAP's BI tools are only good for what's in SAP," he notes, so such application-specific analytics won't help.

Both IT leaders say they had a revelation: While operational BI requires a common platform on which to do its analysis, that platform need not be an application suite like ERP or CRM. For Coursen, that common platform is his data warehouse; for Hayes, it's her Web-based transaction environment.

 
 
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WHITE PAPERS

Investing in Business Analytics Technology

Find the answers to your questions about business anyalytics initiatives.
 

BI Best Practices Exposed

CIOs share best practices for business intelligence technolog.
 

A New Model of Business Intelligence

Organizations have struggled with the complexity and limitations of legacy business intelligence solutions. But new BI applications offer agility, ease of use and scalability. Read this paper to see how.
 

Classic Report Generation & Production is Overlooked

Read this whitepaper to learn the latest best practices & innovations in production reporting.
 

The Reality of Open Source Business Intelligence Options

Lower your business intelligence (BI) operational costs with open source BI. Find the right platform for your organization today.
 

The Power of Pervasive Performance Management Explained

Strengthen your competitive advantage and bolster your bottom line with a successful migration to a pervasive performance management model.
 

WEBCASTS

Managing Client Systems in the Enterprise

Keeping client systems costs under control is just one of the many initiatives IT must address when trying to manag...
 

Webcast with Dan Vesset: Investing in Business Analytics Technology

What exactly is business analytics and why should you care? Dan Vesset of IDC and Gaurav Verma of SAS answer this a...
 

Enterprise Cloud Computing: Ready for Primetime?

The progression toward enterprise cloud computing is happening today, as industry leaders deploy technologies that ...
 

Preparing Your Business Services for the Future

Would you trust your network monitoring tools enough to know when something is truly halting a business service? Wh...
 

Enterprise System Management Challenges in Big Organizations with Eli Almog

In this Podcast with Eli Almog, Corporate Architect in BMC's CTO Office, discusses how IT managers can know when it...
 

A Down-to-Earth look at Cloud Computing

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