ECONOMIC AND BUSINESS INTELLIGENCE INTRODUCTION: Business intelligence (BI) refers to computer-based techniques used in spotting, digging-out, and

analyzing business data, such as sales revenue by products and/or departments or associated costs and incomes.BI technologies provide historical, current, and predictive views of business operations. Common functions of Business Intelligence technologies are reporting, online analytical processing, analytics, data mining, business performance management, benchmarking, text mining, and predictive analytics.Business Intelligence often aims to support better business decision-making. Thus a BI system can be called a decision support system (DSS).

BI AND DATA WAREHOUSING Often BI applications use data gathered from a data warehouse or a data mart

A data warehouse is a repository (collection of resources that can be accessed to retrieve information) of an organization's electronically stored data, design to facilitate reporting and analysis.

A data mart is a subset of an organizational data store, usually oriented to a specific purpose or major data subject, that may be distributed to support business needs. Data marts are analytical data stores designed to focus on specific business functions for a specific community within an organization.

STAGES OF BUSINESS INTELLIGENCE: 1. DATA SOURCING Business Intelligence is about extracting information from multiple sources of data. The data might be: text documents - e.g. memos or reports or email messages; photographs and images.The key to data sourcing is to obtain the information in electronic form. So typical sources of data might include: scanners; digital cameras; database queries 2. Data analysis Business Intelligence is about synthesizing useful knowledge from collections of data. It is about estimating current trends, integrating and summarizing disparate informationTypical analysis tools might include statistical methods - e.g. regression; operations research - e.g. queuing and scheduling 3. Situation awareness Business Intelligence is about filtering out irrelevant information, and setting the remaining information in the context of the business and its environment. 4. Risk assessment Business Intelligence is about discovering what reasonable actions might be taken, or decisions made, at different times. It is about helping you evaluate up the current and future risk, cost or benefit of taking one action over another

TOOLS OF BUSINESS INTELLIGENCE: 1. Excel Excel as a business intelligence tool is useful because of several reasons. Some of them are its reasonability, easy accessibility and comprising most of the functions that user can use to demonstrate information. One can easily deliver an excel sheet to another user without being bothered whether the user knows how to interpret the data or not. Excel is best utilized for business functions treatment and objectives tracking and is popular than all OLAP equipments that have an "export to Excel" application. Even for domestic clarifications, the competence to export numbers to Excel usually requires to be created.

2. Reporting tool Both personalized reporting tools and the business reporting tools provide some suppleness in contexts of the aptitude for each client to generate, program, and operate their own accounts. The standard applications for a reporting tool are dashboard and commercial operations reporting. The various functionalities of reporting tools are information source link competence, programming and distribution capacity, security feature such as "single sign-on" policy and other inhouse verification, personalization, export competence and incorporation with the Microsoft Office surroundings. Popular Reporting tools are Business Objects, Actuate and Cognos.

3. OLAP tool Generally used by highly developed users, OLAP tools make information simpler for them so that they can interpret it from manifold dimensions. In other words, OLAP tools are utilized for multidimensional study. The various functionality of OLAP equipments are aptitude to control parallelism delivered by hardware and RDBMS, personalization endeavors, performance, security applications and Metadata assistance.There are two kinds of OLAP tools. They are: a) MOLAP (Multidimensional OLAP): When user creates an account request, the MOLAP tool speedily create all information because all the information is before handedly arranged within the dice. b) ROLAP (Relational OLAP): The ROLAP tool classically comes with a 'Designer' part, where the information stockroom manager can identify the association between the relational desks, along with the measurements, characteristics, and chain of command map to the fundamental catalog tables.

4. Data mining tool Data mining is the technique of removing patterns from information and is becoming a progressively more significant equipment to alter this data into information. It is normally used in a diverse range of outlining processes, such as

advertising,

supervision,

fraud

finding

and

scientific

invention.

Data mining tools are generally for particular users. In a firm, whether small or large, only few expert professionals use data mining equipment. These tools are used for identifying association between various factors.

SIGNIFICANCE OF BUSINESS INTELLIGENCE: 1. To know about CompetitorsMarket BI applications can also help managers to be better informed about actions that a company's competitors are taking.BI systems can also be designed to provide managers with information on the state of economic trends or marketplace factors, or to provide managers with in depth knowledge about the internal operations of a business.

2. To know about customers Having access to timely and accurate information is an important resource for a company, which can expedite decision-making and improve customers' experience.In the competitive customer-service sector, companies need to have accurate, up-to-date information on customer preferences, so that the company can quickly adapt to their changing demands. BI enables companies to gather information on the trends in the marketplace and come up with innovative products or services in anticipation of customer's changing demands.

3. For avoiding guess works BI can be used to help analysts and managers determine which adjustments are most likely to respond to changing trends. BI systems can help companies develop a more consistent, data-based decision making process for business decisions, which can produce better results than making business decisions by "guesswork."

4. For sharing information BI can help companies share selected strategic information with business partners. Some businesses use BI systems to share information with their suppliers like.. inventory levels performance metrics other supply chain data

5. For improving performance BI applications can enhance communication among departments, coordinate activities, and enable companies to respond more quickly to changes (e.g., in financial conditions, customer preferences, supply chain operations, etc.).When a BI system is well-designed and properly integrated into a company's

processes and decision-making process, it may be able to improve a company's performance.

ADVANTAGES OF BUSINESS INTELLIGENCE: 1) Authorize employees: If an organization allows uncomplicated data access to the user which is easy to understand and evaluative, the employees can execute in various ways that can indirectly improve performance and back the entire business plan. Business Intelligence comprises healthy, lively business score registering, investigation, and reporting equipments so that every employee across the firm can make faster and enhanced decisions.

2) Unite people to access data competently and successfully: The initiation of business intelligence has made decision making a lot simpler. Opinion leaders can access and evaluate data at any given point of time and place. The latest information is accessible on the users' desktop or over the internet.

3) Simplify teamwork and allocation: Business intelligence and partnership expertise enhances managerial efficiency. Firm incorporation of BI enables the employee to share data in a security improved,

administered web ambiance with the team members, clients, and associates. They even have a centralized site to supervise their KPIs, access accounts, evaluate information as well as share texts, and connect to pertinent subject matter.

4) Convey business intelligence to the entire firm: BI backs the width of the firm's business intelligence requirements. Premeditated planning is uncomplicated when familiar equipments are used, data supervision is easier and expansion is more lucrative

5) Minimize training requirements: With Business Intelligence people can interconnect with information they desire to access to. Using business tools that are common, easily accessible, and extensively backed, reduce the training costs of the firm.

DISADVANTAGES OF BUSINESS INTELLIGENCE: 1.Piling of Historical Data The major objective of Business intelligence system is to stockpile past data about a firm's deals and reveal it in such a way that it permits professionals in decision making. On the flip side, this information generally amounts to a small portion of what the firms actually require to function, besides its restrained worth.

2.Cost Business intelligence at times can be a little too much for small as well as for medium sized enterprises. The use of such system can be expensive for basic business transactions.

3.Complexity Another disadvantage of BI could be its complexity in implementation of data. It can be so intricate that it can make business techniques rigid to deal with. In the view of such premise, many business experts have predicted that these intricacies can ultimately smother any business

5.LimitedUse Like all improved technologies, business intelligence was first established keeping in consideration the buying competence of affluent firms. Even today BI system cannot be afforded by most of the companies. Although, traders in the past few years have started modifying their services towards medium and small sized industries, but the fact is that many of such firms does not consider them to be highly essential, for its complexity

6.Time Consuming Implementation Many firms in today's fast paced industrial scenario are not patient enough to wait for the execution of Business intelligence in their organization. It takes around 18 months for data warehousing system to completely implement the system.

CONCLUSION: Business Intelligence solutions make it possible for groups within organizations to gain actionable insight from business data, and to leverage these insights to meet critical goals.Business intelligence solutions offer business-focused analysis at a scale, complexity, and speed that is not achievable with basic operational systems reporting or spreadsheet analysis, thereby delivering significant value