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Meaning
Business Intelligence is a conceptual framework
Significant Characteristic
Analytical process
Real-time information
Competitive advantage
consideration
DATA WAREHOUSE (DW)
Definition and concept
DW Process
DW Architecture
Extracted, Transformation, Load (ETL)
DW Development
DW Administration and Security
DEFINITION AND CONCEPT
DW is a pool of data produced to support
decision making; it is a repository of current and
historical data of potential interest to managers
throughout the organization.
Data Mart is a pool of data consisting of single
subject.
Dependent : direct to DW
Independent: serve strategic business unit
DEFINITION
Data Warehouse:
A subject-oriented, integrated, time-variant, non-updatable
collection of data used in support of management decision-
making processes
Subject-oriented: e.g. customers, patients, students, products
Integrated: Consistent naming conventions, formats,
encoding structures; from multiple data sources
Time-variant: Can study trends and changes
Nonupdatable: Read-only, periodically refreshed
Data Mart:
A data warehouse that is limited in scope
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DEFINITION AND CONCEPT
Operating Data Storage (ODS) is a type of data
warehouse often used for as an interim staging
area of data warehouse or short-term memory for
storing only recent information.
oper mart: data comes from ODS
Enterprise Data Warehouse is a large-scale data
that is used across organization for decision
support.
DEFINITION AND CONCEPT
Metadata are data about data.
Primary purpose of metadata is provides enrich
information that leads to the creation knowledge.
METADATA (DATA CATALOG)
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DW PROCESS
As shown in Figure 5.1 p.213
DW ARCHITECTURE
Three-tier architecture
T
E Simpler data access
Single ETL for
enterprise data warehouse Dependent data marts
(EDW) loaded from EDW
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DW ARCHITECTURE
Two-tier architecture
Data
.
Acquisition
Data warehouse
EDW
Data/software
Application
DSS
Data mining
Figure 11-2: Generic two-level data warehousing architecture
L
One,
company-
wide
T warehouse
15
Figure 11-3 Independent data mart Data marts:
data warehousing architecture Mini-warehouses, limited in scope
T
E
16
DW OF WEB-BASED ARCHITECTURE
.
Web
Web Web
browser
pages Application
Web Web DW
browser server
ETL PROCESS
The purpose of ETL process is to load the
warehouse with integrated and cleaned data.
THE ETL PROCESS
Capture/Extract
Scrub or data cleansing
Transform
Load and Index
ETL = Extract, transform, and load
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Capture/Extract…obtaining a snapshot of a chosen subset of the
source data for loading into the data warehouse
Figure 11-10:
Steps in data
reconciliation
Record-level: Field-level:
Selection–data partitioning single-field–from one field to one field
Joining–data combining multi-field–from many fields to one, or one
Aggregation–data summarization field to many
22
Load/Index= place transformed data into
the warehouse and create indexes
Figure 11-10:
Steps in data
reconciliation
(cont.)
23
ETL
After ETL, data should be:
Detailed–not summarized yet
Historical–periodic
Normalized–3rd normal form or higher
Comprehensive–enterprise-wide perspective
Timely–data should be current enough to assist decision-making
Quality controlled–accurate with full integrity
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DW DEVELOPMENT APPROACH
EDW approach
Emphasize top-down, exclude data marts
Data Mart approach
Emphasize bottom-up, “plan big, build small”
DW IMPLEMENT ISSUES
Best practices
Fit with corporate strategy and objective
Management support; executive, managers, users
Commitment and user expectation
Built incrementally
Adaptability
Incorporate of both IT and professional
Quality data
Political awareness
DW IMPLEMENT ISSUES
Don’t
Starting with wrong sponsorship
Setting expectation that does meet users needed
Engaging in political naïve behavior
Loading information because of it available
Focus on technology oriented rather than user
oriented
Delivery data with overlap and confusing definitions
DW ADMINISTRATION AND SECURITY
Establish effective corporate and security policies
and procedures
Implement logical security procedure and
technique to restrict access
Limit physical access to data center environment
Establish internal control focusing on security
and privacy
BUSINESS ANALYTICAL AND VISUALIZATION
32
OLAP CHARACTERISTICS
Categorical analysis: allow to predict future
based on historical data
Drill-down analysis: allows to determine detail
data
Contemplative analysis: allows user to change a
single variable to see its impact
Formulaic analysis: allows to change multiple
variables
REPORT AND QUERY
Reports
Routine report: generated and distributes
several languages
REPORT AND QUERY
Query
Ad hoc query: allows user to request information
Excellent for ad-hoc queries, but bad for online transaction processing
36
MULTIDIMENSIONALITY
Data cube represents some attributes of database.
It can be two-dimensional, three-dimensional, or
higher-dimensional.
Figure 11-23 Slicing a data cube
38
Summary report
Figure 11-24
Example of drill-down
39
DATA VISUALIZATION
Spreadsheet
Dashboard and scorecard
Financial data visualization
DATA MINING AND VISUALIZATION
Knowledge discovery using a blend of statistical, AI, and computer graphics
techniques
Goals:
Explain observed events or conditions
Confirm hypotheses
Explore data for new or unexpected relationships
Techniques
Statistical regression
Decision tree induction
Clustering and signal processing
Affinity
Sequence association
Case-based reasoning
Rule discovery
Neural nets
Fractals
Data visualization–representing data in graphical/multimedia formats for analysis
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USAGE, BENEFIT, AND SUCCESS BA
Organization need analytical tools
System is useless if it does not provide useful
information
Technology adoption involve culture, people,
procedures, and so on.
BUSINESS PERFORMANCE MANAGEMENT: BPM
Overview
Strategies-where do we want to go?
Plan-how do we go there?
Monitoring-how are we doing?
Act and Adjust-what do we need to do
differently?
Measurements
OVERVIEW
BPM is a framework for organizing, analyzing
business methodology, process, and system to
drive the overall enterprise performance.
STRATEGY
Long-term planning
Directional
Bible of all participants
PLAN
Operational planning
Financial planning and budgeting
MONITORING
Diagnostic the system
Variation of operation and performance from
planning
ACT & ADJUST
Keep the good thing done
Get rid of the bad thing
Improve for the better
Keep on development
MEASUREMENT
Balanced scorecard
Six sigma
DAMIC
Define
Analyze
Measure
Improve
Control
CONCLUSION
Important of BI: strategy, process, performance
The most component of BI is data warehouse.
BA and visualization allows users to access,
utilize, and exploit data.
BI concern both tangible and intangible cost and
benefit which is measured by business
performance.