This assignment requires you apply your knowledge of Business Intelligence and COBIT to analyze the SYSCO case. Step 1: Locate the topic on the COBIT map. Evaluate the IT process used by SYSCO to implement BI Step 2a: Zoom-out to the big picture (e. g. COBIT) and distinguish important ideas/issues from less important ones). Enter these ideas in column 2 of the table below. Step 2b: Zoom-in to distinguish relevant parts/details for each theme. Enter these ideas in column 3 of the table below. |Zoom-out and distinguish key ideas (Step 2a) |Zoom in and identify relevant parts for each theme | | | |(Step 2b) | |Key Idea/Theme 1: |Business Requirements |Management Information | |Key Idea/Theme 2: |IT Resources |Information Quality | |Key Idea/Theme 3: |IT Process |Choosing the best approach: purchasing the software| |Key Idea/Theme 4: |Enterprise Information |Business Intelligence | Step 3: Visualize linkages between issues (Relate issues/ideas) Draw a picture that highlights the critical linkages in your story. Step 4: Outline your story (Take perspectives on issues/ideas) Connect the topic and key ideas identified in question 1 above and outline your story.
You can write 4-5 sentences or a paragraph. Look at the ideas from the required perspective (users, designers, managers, or evaluators) while developing your story. Day focus on the two main questions to plan and organized the implementation of BI at SYSCO. By focusing on the questions, Day was able to identity the IT Process needed to answer to these questions. Concentrating on these concerns (questions) Day’s center of attention was choosing the right software and training. The big impact of a successful implementation and the one that would take the most of the project being needs the training since SYSCO had run as a decentralized organization.
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At the same time Day provided 3 different scenarios to choose the right software, which gave the Directors opportunities to better allocated the cost. Step 5: Develop Detailed Response Integrate the ideas from steps 1 and 2 into your own perspective. Develop a 3-5 page response based on your responses to questions 1 and 2. Follow the ideas and strategies discussed in class to enhance the quality of your analysis. Integrate ideas from your own experience or from situations discussed in cases. Introduction Understanding what are the capabilities and the maximum utilization can provide Business Intelligence is very important for an organization before deciding to implement such software. SYSCO concentrated on their two main questions before deciding BI. What additional products could we be selling to each of our customers” and “Which of our current customers are we most likely to loose” Focusing on this two questions Ms. Day was able to draw a complete analysis as to how BI would help management at different level answer to their concern. At SYSCO, data redundancy and data integrity that has arisen due to the decentralized operational structure are their biggest issues. The value of BI increases as the delivery of information is embedded in the processes and the system. But changing the predominantly decentralized organization is imperative since the nature of BI calls for a more centralized approach to facilitate better results. Organization Structure The business model that SYSCO follows is of a predominantly decentralized nature.
SYSCO has decided to purchase Business Intelligence software (BI) from the firm Business Objects. Before implanting BI, SYSCO focus on their two main questions and found that data redundancy and data integrity are an issue. These problems have arisen due to the decentralized operational structure of the company. The IT initiatives in this regards have been 1) ERP development and deployment and 2) Data warehousing effort. But even with such initiative from SYSCO, management still had problems with monitoring and comparing performance across the organization. The lack of knowledge from employees has been a big setback to act as well as having the right information for decision-making.
Although, SYSCO had made efforts for data warehousing, the organization lack of expertise to extract this data from the data warehouse. Although Ms. Day had Directors approval, user resistance is one big barrier to BI success. Other barriers include having irrelevant data and poor data quality. Another issue was that each operating companies already has their own BI application but now they are being force to share such data. As for personal experience, if a company has worked for so many years in a decentralized process, users are reluctant to share full information. This share “attitude” needs to be brought out as a main focus to be able to acquire the data and to answer the main problems of the organization. Information Quality
The value of Business Intelligence increases as the delivery of information is embedded in the processes and systems of the enterprise which results from all data being store for end users. The BI software seems to be very efficient in its role of helping SYSCO to address their two main questions. First of all, the software helps the organization compare a given client’s activity what is typical for a customer of it size, type, geography then generate a analysis bases all the data gather. Executives have to ensure that the data feeding BI application is clean and consistence so that users trust it. Data quality is the most fundamental component of any BI effort. To ensure all data is capture, Ms. Day has to evaluate all business process and analyze each data that passes thought each process is being capture and store.
Although, SYSCO had all their data from different operations business into one data warehouse, the need to ensure that this data is clean is a must. Using this data SYSCO can put in place an effective predictive analysis taking data from internal and external environment. SYSCO can gain performance by analyzing internal environment from their customer analysis, relationship management and supply chain management information. Understanding how data is passed between business users and understanding how data flow between each process is important to value the extracted data. One of the major implications of BI implementation is the lack of understanding of the business processes.
Of course all this can’t be accomplish with out an excellent plan of action for implementation and controlling the daily processes of the organization at the same time and most importanly is choosing the right BI software. Choosing the Software Choosing the right modules for BI plays an important role in SYSCO services. SYSCO has 3 approaches under consideration to determine the quantity of software to purchase. Adopting the “bare bones” approach would minimize upfront investment and will enable SYSCO to learn before committing to additional software. The centralization of data analytic functions is relatively unknown territory for SYSCO. It would be ideal, in such a scenario to restrict access to the data, which is facilitated by the bare bones approach. It also minimizes training expenses.
But the drawback of this approach is that will not allow licensing of the customer intelligence analytical module. This limitation would ultimately result in an increase of developmental cost. Although, the “middle of the road” approach seems appropriate to choose since it seems that works well throughout SYSCO and it will find new, relevant information for many of the companies involved, eventually paying for itself. On the other hand, the cost difference between this approach and the volume discount approach is not significant. I find that “Volume discount” approach is the best options. Business Objects is bound to give a discount on licenses purchased if SYSCO buys everything up front.
A larger group of people will be able to view business intelligence data. Also, this approach will give SYSCO the opportunity to use supply chain module along with the customer intelligence analytical module. Having the right package doesn’t ensure success of any software and BI is not any difference. Like any implementation planning and control of the implementation is imperative. Enterprise Information BI can have a direct positive impact on SYSCO business performance, dramatically improving its ability to accomplish its mission by making smarter decisions at every level of the organization. By focusing on SYSCO two main questions, SYSCO has a solid business case as to why they want BI, and Ms.
Day has carefully considering requirements and strategically aligning BI with their big idea (main questions). Too often, BI systems are built for the power user and thus only a handful of employees use it although this is probably an area where Ms. Day and management would have to spend much of their time. BI systems should appeal to the mass majority of users and once these users have what they are looking for to make their lives simpler, the power user capabilities should be considered. Based on my work experience most of the requirements that drive the implementation of the BI project will change within a year. BI systems evolve and as users adopt it more readily, new requirements will surface. Ms.
Day has full support from the executive and management, which is a good start for any implementation. Also, by purchasing the right package Ms. Day is ensuring BI will be flexible enough to handle any organization change foreseen in the future so she is well prepared. Conclusion By giving a demonstration with real data to the Board of Directors, Ms. Day was able to gain their support as to why BI is the best solution for SYSCO business strategy and be able to evolved and act faster to the continue change of environment. She also was able to demonstrate that changing their business structure to a more centralized data the results are beneficial throughout all levels of management.
At the same time, no only the centralized structure needed to be change but also the importance that data quality is a must for users to be able to trust the extracted data. Choosing the right software licenses to buy is never easy for an organization, and Ms. Day was able to go give options to the Directors. Again implementing BI is never an easy task but understating the main reason why a change is need and keeping that reason, as a focus throughout an implementation would help everyone for success of the project. ———————– Business Intelligences Information Quality Management Information Plan and Organized Enterprise Information