Recently, while reading an article discussing the most prevalent challenges businesses encounter in their Business Intelligence (BI) journey, it occurred to me that the underlying issue often stems from a fundamental misunderstanding between what businesses perceive the BI process to be and what it truly entails. Below are some of my insights on this topic.
The assumption is often that the process is straightforward: simply choose a cloud service, host the data, and upload everything with minimal effort.
While this might seem simple in theory, the reality is far more complex. Each cloud ecosystem is constrained by its specific infrastructure, backup mechanisms, tool capabilities, and the overall maturity of its environment. Architecting a comprehensive solution is a complex task requiring specialized expertise. The planning, creation, governance, and maintenance of an entire ecosystem demand significant time, effort, and financial investment. Furthermore, security considerations must be meticulously applied at every stage to ensure the integrity of the system.
Businesses often believe that by using specialized software, they already possess all the data required to generate reports and insights.
In reality, every business system is designed differently, and the way each one stores data can vary significantly. When integrating data across systems, it is common to encounter gaps, null values, inconsistencies in formats, data types, and sizes—regardless of how sophisticated the systems may be. Data professionals frequently have to start from scratch to ensure data is consolidated and usable for reporting. In rare cases, data integration can be seamless, but more often than not, it is one of the most complex and overlooked stages in the BI journey.
Many businesses assume that existing reports in Excel or other systems can simply be replicated in a new BI tool by their developers.
Tools alone are akin to a blank canvas—without the right creative expertise, they serve little purpose. Just as a painter transforms a blank canvas into a work of art using colors, brushes, and creativity, a developer must combine data with a deep understanding of business requirements to create valuable reports.
Without a clear understanding of the underlying questions that the business seeks to answer, it is virtually impossible for any developer to produce meaningful reports. It is critical to focus on the “Why” (the business needs), the “Who” (who will use the report), and the “How often” (the frequency of use). These details should be communicated effectively, even to the most junior developers, to ensure that they comprehend the objectives and context of the reports they are creating.
There is often the assumption that analysts, proficient in tools like Excel or other specialized software, can quickly develop the necessary reports.
In truth, individuals require proper training, time for exploration, and an in-depth understanding of their specific areas of expertise. It is unrealistic to expect a financial analyst to seamlessly build reports for operations or marketing without additional training and context. Furthermore, it is crucial to consider whether your team has the capability to maintain data integrations, manage technologies, and resolve data issues in reports on an ongoing basis.
Many businesses believe that hiring external consultants will automatically solve their BI challenges, with the expectation that these consultants will efficiently complete the job.
While consultants undoubtedly possess valuable expertise, businesses must acknowledge that external consultants are typically unfamiliar with the inner workings of their organization. Although consultants may be experienced within the industry and may have worked with similar competitors, no two businesses are identical. Even seasoned consultants require time to understand your unique processes and ways of operation. Additionally, all of the previously mentioned factors—such as data integration, system architecture, and reporting requirements—will play a role in how effectively the consultant can deliver results for your business.