Transform your data into the answers you need and increase the profitability of your business!

Mar 9, 2023

In an increasingly digital world, companies generate a large amount of data. Data is everywhere; every business process in your company generates data that is stored and isolated in different systems. Your systems record information with every click, sale, purchase or interaction with a customer.

This data is a fundamental business asset. However, many companies do not exploit the full potential of their data in the decision making process, so they are lagging behind their competitors who do take advantage of their data. The key is to transform data into useful, actionable information that enables informed operational and strategic decisions.

In today’s competitive world, having a data analytics solution in your business that allows you to transform information into actionable insights can mean the difference between losing or making money.

Data is not only indispensable for designing a growth plan, but it is your best ally in any decision-making process. Data can help you understand your business better, make better decisions and make them faster, avoiding costly trial and error.

 

How well do you know your business?

Transactional systems, such as ERP or WMS, can answer basic business questions, but are not useful for answering critical questions that require the integration of information from different systems and areas of the business. Thus, answering critical business questions, such as the following, can be a major challenge, or simply impossible:

  1. Am I managing my inventory correctly? Do I know my over or under stocking based on average daily sales of each product? What if sales are seasonal?
  2. Am I accurately forecasting demand and how much inventory I need to meet it? Do I have major deviations or inefficiencies in different products or channels?
  3. Am I wasting money by having excess inventory? In which products and in which locations and/or warehouses do I have the largest surpluses?
  4. Am I missing sales opportunities due to inventory shortages? How much sales potential am I losing at each location?
  5. Do I know the 20% of my products that generate 80% of my sales (ABC analysis)?
  6. Which products drive the sale of other products (cross-selling)? Does this vary depending on my locations or outlets?
  7. What is the gross margin of each of my products? How has the evolution of each one been?
  8. Do I know the segmentation of my customer base according to their buying behavior (RFM analysis) so that my marketing team can generate customized messages for each segment?
  9. Which customers considered valuable in the past have stopped buying from me?
  10. Which customers are more likely to use promotions? Can I discriminate my promotional communication so as not to offer promotions to those customers who are less sensitive to promotions?

 

Business intelligence systems

A business intelligence (BI) system will allow you to answer these and other complex questions and reveal patterns and opportunities that otherwise remain hidden and inaccessible. The most effective way to take care of your company’s health is to make decisions based on accurate and up-to-date data. Especially, considering that more and more of your competitors are turning to data analytics solutions.

More and more companies are implementing business intelligence systems to answer these critical questions that require a deep understanding and a broader view of the business.

A business intelligence system allows to analyze large volumes of data and transform them into relevant and useful information and present the information in a clear and consistent way. It also facilitates the detection of patterns and trends normally hidden in the data that can be used to make strategic decisions.

 

Why is a business intelligence system necessary?

A quick way to lose money is to make decisions based on “hunches”, or following patterns that have been repeated over time. The most effective way to take care of your company’s health is to make decisions based on accurate and up-to-date data. Especially, considering that more and more of your competitors are turning to data analytics solutions.

In summary, the main benefits of a BI or business intelligence solution for a company are:

  • Improve sales performance: track sales trends, identify best-selling products and identify growth opportunities.
  • Increased customer retention: understand customer churn, identify common reasons for customer churn, and take steps to improve customer satisfaction and retention.
  • Improved customer insight: gain a deeper understanding of your customers, including demographics, buying patterns and preferences. This can inform personalized marketing campaigns and improve customer loyalty.
  • Inventory optimization: track inventory levels and sales projections to make informed decisions on what products to stock and when to replenish.
  • Increased operational efficiency: automate manual processes and optimize operations, reducing costs and increasing efficiency.
  • Improved decision making: analyze data from multiple sources and make data-driven decisions, improving overall performance and profitability.
  • Improved supply chain management: provide complete visibility into supply chain operations, allowing the identification of bottlenecks, tracking of delivery times and optimization of logistics.
  • Improve your collection management: analyze the payment behavior of your customers, identify those with better and worse payment history and increase your collection management efficiency.

By harnessing the power of business intelligence, companies can gain a competitive advantage over their competitors, improve their performance and drive growth. Below, we describe two typical success stories of the use of a business intelligence system.

 

Example 1 – Inventory Management: Reducing Costs and Increasing Profits

Inventory management is crucial in a company because it ensures that products are available when and where customers want them, thus enabling a sale to be made, and because it avoids excess tied-up capital.

In our article“Optimizing Inventory Management through Business Intelligence Solutions: Reducing Costs and Increasing Profits”, we wrote about the benefits of using business intelligence solutions to optimize inventory management.”We discussed the main problems suffered by a company that does not have an efficient inventory management, such as higher storage and transportation costs, higher losses or product shrinkage, the non-realization of potential sales and the consequent dissatisfaction and possible loss of customers, among many others.

However, managing inventory properly can be a challenge due to the amount of data and factors that must be taken into account. A business intelligence solution helps to improve inventory management by providing accurate, integrated and timely information to support informed decision making, allowing to collect, analyze and present not only relevant inventory data, but also sales data to facilitate the identification of improvement opportunities and process optimization.

Using a business intelligence tool is an important step in achieving effective inventory management and improving the company’s bottom line. By improving inventory management, a company can reduce costs, increase sales, improve customer satisfaction and increase overall efficiency.

 

Example 2 – Get to know your customers in detail

The application of business intelligence in the analysis of customer behavior (or Customer Analytics) is essential today for any company that wants to make well-informed decisions and improve its performance. Among other benefits related to customer analysis, a business intelligence solution allows:

  • Improve customer understanding: analyze large amounts of customer data to gain a deep understanding of customer behavior and needs. This helps companies to better customize their products and services to meet specific customer needs.
  • Personalize the customer experience: personalize the customer experience based on customer preferences, purchase history and behavior. This can help the company retain existing customers and attract new ones.
  • Identify cross-selling and upselling opportunities: identify opportunities to sell more products or services to current customers by identifying buying patterns and offering related or higher value products.
  • Increase customer retention: retain existing customers by providing information on customer preferences and historical behavior. Companies can use this information to create loyalty and rewards programs that encourage customer loyalty.
  • Improve operational efficiency: optimize operational processes related to customer service, inventory management and production planning, enabling strategy and operations to be adjusted to better meet customer needs.

Not all BI solutions are equal

So far we have discussed how a business intelligence, or BI, solution provides a competitive advantage in terms of access to reliable data, advanced analytics, efficiency and productivity, visibility and transparency, and speed of decision making. But only a complete BI solution ensures that you have accurate data about your organization. Without a BI solution, or with a BI solution that does not automate all processes, companies are more likely to face challenges in data collection, integration and analysis, which can result in uninformed decisions and costly mistakes.

It is estimated that 9 out of 10 BI solution implementations fail and are never used due to incomplete and/or inconsistent definitions or the lack of any of these fundamental characteristics. Thus, complete BI solutions have been something reserved only for large corporations.

A solution that automatically solves all BI processes simplifies the path and greatly increases the chances of success.

bintelligenz is an all-in-one BI solution that automatically integrates all your data sources, validates the data and presents it in more than 150 dashboards with metrics and KPIs for your different business areas, ready to use.

bintelligenz is “No-Code”, and does not require you to program a single line of code; you just need to know your current transactional systems. bintelligenz has an accompanying on-boarding process, which guarantees that you will have a complete BI solution for your organization in as little as 1 month.

 

Conclusion

In short, data is a fundamental asset of any business. Properly used, they allow you to better serve your customers, differentiate yourself from the competition and increase profitability. Having a business intelligence system makes it possible to transform data into useful information and obtain the necessary answers to make decisions that lead to improved business profitability.

Learn how bintelligenz can help you on your journey to a complete, automated and easy-to-use BI solution so you can achieve a data-driven business culture.

 

What is bintelligenz?

Bintelligenz, the only business intelligence solution on the market that is:

✔ All-in-one: bintelligenz covers all processes of a comprehensive BI solution:

  • Data Scoping: understanding existing data and its origin
  • Data Integration: validate and transform your data into an integrated model of your organization’s processes.
  • DataWarehouse: enterprise cloud data warehouse with built-in security
  • Data Visualization: world-class visualization tool
  • Data Use: more than 150 pre-assembled dashboards with metrics and KPIs about your business.

✔ No-code: none of the processes require you to program a single line of code; you just need to know your current transactional systems.

✔ Economical: most economical BI solution on the market. Subscription scheme without the need for additional licenses, consultancies or additional technical staff.

✔ Fast implementation: in as little as 1 month.

✔ With guaranteed success: with our accompanied on-boarding process we guarantee that you will have a complete BI solution for your organization.

 

Learn more about bintelligenz at www.bintelligenz.com.

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