Introduction to Business Intelligence and Data Analytics
This article will inform the reader about business intelligence substances that include database management system, data warehouse, and data visualizations as well as provides brief introduction to data analytics and its advantages.
Why Database Management System is Important?
Database Management System (DBMS) is a system that enables organization to manage collection of computerized data files and ensure good quality data structure. DBMS allows users to define, store, retrieve, and update information in database on demand. There are several reasons that make DBMS becomes very essential for organizations which will be discussed in the following. First, centralizing control of the data helps in permitting the administrator to define integrity regarding to the data in the database so it can result a more comprehensive information. Then, through a centralized database in a database system, the unnecessary duplication of data or data redundancy can be avoided. After that, removing data redundancy will greatly reduce the opportunities for data inconsistency. Lastly, database administrator can define authorization checks to be carried out whenever access to sensitive data in a database is attempted.
Main Benefits of Data Warehouse
DBMS and data warehouse are both systems that store data, but they serve very different purposes. Data warehouse is a type of data management system that pulls data from many different sources within an organization to support business intelligence activities that is widely used by many organizations because of its benefits.
Data warehouse results a faster decision making that enables organization to do real time data analysis. Then, it enhances data quality and consistency by standardizing and storing large amounts of data in the same format, so it is easier to perform data analysis. After that, data warehouse also enables quick access to data in one centralized location as well as uplift business intelligence by eliminating problems of limited data and improves business intelligence insights.
Getting into Data Visualizations
Data visualization is very crucial for the organizations, it gives insights for organizations to enhance their business analytics. Data visualizations are simpler to take in as a study conducted by SHIFT Disruptive learning stated that human typically process images 60,000 times faster than a table or a text and the visualization process of data itself consists of filtering & processing, transition & visual representation, and perception & interpretation.
In data visualization, presentation and exploratory graphics are the two types of visualization. Presentation graphic is generally static, drawn to summarize information while exploratory is used for looking for results, fast and informative where the details are unnecessary. Moreover, choosing graphical form is usually depends on the type of data to be displayed and on what is to be shown and the way of using data to communicate the insights is called data storytelling which consists of data, visualization, and narration.
Key Advantages of Data Analytics
Data analytics is a science that turns raw data into valuable insights and consists data analytics programming, statistical analytics, and data visualization, and applied data science as its substances. Data analytics help organization to discover hidden and useful insights that will drastically improve the decision making. It also provides an insight for organization on what future will be and make the plan to anticipate the future needs. Furthermore, data analytics helps to boost customer relationship by providing insights on customers behaviours and needs as well as ensure the operational needs of organization are done effectively and efficiently.
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Conclusion
Business Intelligence and Data Analytics follow similar processes of collect and analyze data, as well as provide insights that will benefit the organization. However, business intelligence deals with the present, while data analytics focused both on present and future. In addition, the substance of business intelligence includes database management system, data warehouse, and data visualizations meanwhile the substance of data analytics are data analytics programming, statistical analytics, and data visualization, and applied data science.
References
Ahmad, Y. (2018) 5 Big Benefits of Data and Analytics for Positive Business Outcomes (https://id.teradata.com/Blogs/5-Big-Benefits-of-Data-and-Analytics-for-Positive-Business-Outcomes)
Gardner, A. (2018) Five benefits of data and analytics for business (https://insidesmallbusiness.com.au/planning-management/five-benefits-of-data-and-analytics-for-business)
Spotfire Blogging Team. (2015) Top Five Benefits of a Data Warehouse (https://www.tibco.com/blog/2011/08/10/how-to-sell-the-business-on-a-data-warehousing-project/#:~:text=A%20Data%20Warehouse%20Saves%20Time,retrieving%20data%20from%20multiple%20sources)
Takur, D. What is Data Warehouse? Benefits & Problems of Data Warehousing. (https://ecomputernotes.com/database-system/adv-database/data-warehouse)
What Is Data Analytics?. Retrieved from: https://www.lotame.com/what-is-data-analytics/
Benefits of a Data Warehouse. Retrieved from: https://datawarehouseinfo.com/data-warehouse/benefits-of-a-data-warehouse/
The Benefits of Data Warehousing and ETL https://www.glowtouch.com/the-benefits-of-data-warehousing-and-etl/
Business Intelligence vs Data Analytics https://www.import.io/post/business-intelligence-vs-data-analytics/#:~:text=While%20both%20BI%20and%20data,more%20focused%20on%20the%20future
