MISY 5355

Architecture of BI:

- Data Warehouse - Business Analytics Environment used by user - Dashboard

Business Analytics

- Descriptive - retrospective analysis of historical data - Predictive - determination of what will happen in the future - Prescriptive - determination of the best possible decision

3Vs:

- Volume - Variety - Velocity

True or False: Information systems that support such transactions as ATM withdrawals, bank deposits, and cash register scans at the grocery store represent transaction processing, a critical branch of BI.

False

True or False: BI represents a bold new paradigm in which the company's business strategy must be aligned to its business intelligence analysis initiatives.

False Even though analytics is not new, the explosion in its popularity is very new. Thanks to the recent explosion in Big Data, ways to collect and store this data, and intuitive software tools, data-driven insights are more accessible to business professionals than ever before.

True or False: Data generation is a precursor, and is not included in the analytics ecosystem.

False It is one of the exterior petals.

True or False: Due to industry consolidation, the analytics ecosystem consists of only a handful of players across several functional areas.

False There are 11 broad categories

OLAP

Online Analytical Processing (O L A P) o Data warehouses o Goal: decision support

OLTP

Online Transaction Processing (O L T P) o Operational databases o ERP, SCM, CRM, ... o Goal: data capture

True or False: In the 2000s, the DW-driven DSSs began to be called BI systems.

True

True or False: Managing data warehouses requires special methods, including parallel computing and/or Hadoop/Spark.

True

True or False: Many business users in the 1980s referred to their mainframes as "the black hole," because all the information went into it, but little ever came back and ad hoc real-time querying was virtually impossible.

True

analytics ecosystem

can be first viewed as a collection of providers, users, and facilitators. It can be broken into 11 clusters

Big Data

is data that cannot be stored or processed easily using traditional tools/means

BI method

using DW: - Enables efficient data mining - BPM - Data Visualization

Analytics

• process of developing actionable decisions or recommendations for actions based on insights generated from historical data • According to the Institute for Operations Research and Management Science (I N F O R M S) • Analytics represents the combination of computer technology, management science techniques, and statistics to solve real problems.

A framework for Business Intelligence

• → 1970s DSS - Decision Support Systems • → 1980s EIS - Enterprise/Executive IS • → 1990s BI - Business Intelligence