Business intelligence involves taking collected data and transforming it into insights that can be acted upon. This is important in helping companies make strategic and tactical business decisions. This term is often also used to describe the many tools that provide access to insight about a business based on data.
How Are Business Intelligence And ERP Systems Connected?
Enterprise Resource Planning (ERP) systems combine multiple business systems into a unified solution with add-ons to manage different departments. These systems centralize data, providing real-time data visibility into every facet of the business.
To make actionable decisions for your business, however, you should be able to access and understand the data and analytics compiled in your ERP systems. This data needs to, therefore, be stored and organized effectively to be analyzed.
This is where the connection between business intelligence tools and ERP comes in. Business intelligence solutions allow companies to consolidate data and transform it into actionable insights. BI identifies trends and patterns and recognizes shifts in the market to effectively adjust plans and give businesses a competitive advantage. A distribution company, for example, can benefit from Panni’s team who can help you use Sage X3 to identify opportunities for business process efficiencies and inventory optimization.
The Value Of Business Intelligence in ERP Systems.
Business intelligence (BI), designed for ERP software, allows you to manage core business processes while providing extensive data analysis and reporting directly within the software. BI is available for ERP users of all roles and industries and can make a big difference in how you conduct business.
Benefits Of Business Intelligence in ERP
You can gain many business benefits by ensuring you can effectively combine your ERP systems with excellent business intelligence software. These benefits include:
1. Customization Options.
Every department across an entire organization may have unique needs regarding data analysis. Integrated ERP-BI solutions enable teams to create reports and dashboards according to individual and common goals and requirements.
2. Comprehensive Insights.
Integrating these two software applications allows you to access all of your data in one place to accurately and effortlessly evaluate your current business performance. This will enable faster decision-makers to respond and react quickly to situations and to act on business opportunities immediately. This also allows for strategic planning and risk mitigation.
3. Real-Time Decision Making.
With access to predictive analysis, management decisions can be made in real-time. Business growth can occur more efficiently when there is less delay in decision-making. A distribution or retail company, for example, could use Sage X3 to study procurement processes and see how supplier integration can help with reducing their inventory level.
4. Better Customer Service.
The combination of ERP and BI allows for personalizing product and marketing messages and buyer experiences. This encourages customers to be more engaged and builds stronger brand loyalty. BI insights enable better business functions and processes, such as supply chain, and more effective marketing strategies, ultimately increasing company effectiveness.
5. Data Aggregation And Analysis.
Your ERP systems will provide large amounts of data; business intelligence integrations can unlock that data to make it as usable as possible. Without BI solutions, you may have all the data at your fingertips, with no way to interpret and actively use it.
6. Improved Reporting.
BI improves an organization’s reporting capabilities by allowing departments to combine large datasets for simplified deep study. Simple dashboards simplify complex data and make it easy for everyone to understand, no matter their technical knowledge.
Successful BI-ERP integrations aren’t always easy, but they can make a huge difference in how you view and use your data in the long run. By integrating these solutions, you can achieve double the benefits to your business. Want to know more about integrating your ERP system with a BI solution? Contact Panni today to speak to a Sage X3 ERP expert!