Business Information

Some of the latest thinking in

Business Information Analysis

By
Jeff Popova-Clark BA, PGDipCogSci, MBA, AIMM
Senior Partner
Data Analytics Management Consulting
3/4 Bushmead Street
NERANG QLD 4211
Phone: +61 7 5527 2063
Mobile: +61 0412 553 952
Email: JeffP@dataanalytics.com
www: www.dataanalytics.com

 Data Analytics Management Consulting,1999

This document or any part of this document may be freely quoted or distributed either
electronically or in hard copy format, provided the identity and contact details of the author (ie
Jeff Popova-Clark) and this sentence are included and that none of the contents of the document
are altered.

Further articles are freely available at the Data Analytics web site: www.dataanalytics.com
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• Develop Form Templates (e.g. Timesheet, Leave

form)
• Design research methodology
• Design survey forms, interview plan
• Review Internet or Academic Literature
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• Complete/Fill-out Forms
• Undertake experiment, survey, or interview
• Extract data from literature review
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• ERP Data Entry

• Enter data into spreadsheet or Survey Support
Application
• Generate data (e.g. during a pay run)
• Audit data
• RDBMS with Active Data
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• Data Staging
• Integrate from multiple sources
• RDBMS for static data
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• Datawarehouse
• Datamarts
• MDBMS
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• OLAP
• Ad-hoc Query
• Standard Reporting
• Forecasting
• Benchmarking
• Data Mining
• Statistical Analysis
• ROI/NPV/EVA
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• Verbal Presentation
• Graphical Presentation
• Annual or Regular Report
• Special or Project Report
• Inter- or Intra-net
• Meeting Agenda Item
• Business Case
• Hallway Discussion
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• Change Corporate Strategy

• Change Business Behaviour
• Change Policy
• Undertake Training
• Decide on a more detailed analysis
• Media Release
• Modify Budget Allocation
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences

• Develop • Complete • ERP Data • Data • Dataware- • OLAP • Verbal Presentation • Change
Form Forms Entry Staging house • Ad-hoc Query • Graphical Corporate
Templates • Undertake • Enter data • Integrate • Datamarts • Standard Presentation Strategy
(e.g. experiment, into from • MDBMS Reporting • Annual or Regular • Change
Timesheet, survey, or spreadsheet or multiple • Forecasting Report Business
Leave form) interview Survey sources • Benchmarking • Special or Project Behaviour
• Design • Extract Support • RDBMS • Data Mining Report • Change
research data from Application for static • Statistical • Inter- or Intra-net Policy
methodology literature • Generate data Analysis • Meeting Agenda • Undertake
• Design review data (e.g. • ROI/NPV/ Item Training
survey forms, during a pay EVA • Business Case • Decide on a
interview plan run) • Hallway Discussion more detailed
• Review • Audit data analysis
Internet or • RDBMS • Media
Academic with Active Release
Literature Data • Modify
Budget
Allocation
 Business Information Value Chain
Plan to Collect Validate, Extract & Transform, Analyse, Determine &
Collect the Enter & Transfer Cleanse Interpret Communicate Action
Data Data Store Data Data Data Data Consequences
 Business Information Continuum

Standard Ad-hoc Surveys, Business

OLAP Large Scale
Reporting Reporting Research
Interviewing
 Business Information Focus

Standard Ad-hoc Surveys, Business

OLAP Large Scale
Reporting Reporting Research
Interviewing

Speed, Convenience Accuracy, Reliability

Focus Focus
 Business Information Investment

Standard Ad-hoc Surveys, Business

OLAP Large Scale
Reporting Reporting Research
Interviewing

Low Effort, Resource Intensive,

Relatively Cheap Expensive
 Business Information Flexibility

Standard Ad-hoc Surveys, Business

OLAP Large Scale
Reporting Reporting Research
Interviewing

Completely standard,
Completely flexible
No flexibility
 Business Information Drivers

Standard Ad-hoc Surveys, Business

OLAP Large Scale
Reporting Reporting Research
Interviewing

Opportunistic Deliberate
 Business Information Timeframes

Standard Ad-hoc Surveys, Business

OLAP Large Scale
Reporting Reporting Research
Interviewing

Short time frame, Long time frame,

Even instant Even years
 Business Information Complexity

Standard Ad-hoc Surveys, Business

OLAP Large Scale
Reporting Reporting Research
Interviewing

Simple, Complex, Interpretation

Interpretation obvious requires explanation of
assumptions & definitions
 Business Information Verification

Standard Ad-hoc Surveys, Business

OLAP Large Scale
Reporting Reporting Research
Interviewing

Little independent Peer reviewed

verification
 Effect of Technology
- Before

Standard OLAP Business

Reporting Research
 Effect of Technology
- After

Standard OLAP Business

Reporting Research
 Information Source Dimensions

External

Internal

Quantitative Qualitative
Business Analysis Audience
• Function’s clients
• Senior Executive group
• Government Statisitcal Entities
• Central Office or Department (e.g. audit)
• Other function’s staff
• Other corporate peers (e.g. Finance)
• Benchmark partners
• Media/students/interested external parties
• Your direct supervisor
• Yourself (or at least your unit)
Monitor vs Investigate
• Monitoring
– Performance
– Service Level Agreements
– Budgetary or Tax purposes
– Proactive (detect issues before they become an issue)
• Investigating
– Find opportunities to make a larger impact
– Better allocate resources
– Test an hypothesis (do we really need Performance
Pay?)
– Reactive
 Business Measures
• Dollars • Contacts
• Products • Invoices
• Sales • Deliveries
• Days, Years • Assets
• Customers • Errors
• Advertisements/ • Returns
Promotions • Complaints
• Contracts • Share of Wallet
• Patents • Market Share
Or any mathematical combination of the above
People-Related Business Measures
• Dollars • Qualification Level
• Employees • Experience Level
• FTE • Competencies
• Days, Years (absence, • Injuries
accruals) • Participations/
• Incidents Attendances
• Transactions (workshops, doctor)
• Job Titles/Positions • Errors
• Locations • Grievances/Claims
• Vacancies
Or any mathematical combination of the above
 Comparisons
External
Past

Gold
Standard
Internal
 Refinement Continuum

Raw Datamart, Suite of Detailed One Page

Production Data Extract Report Analysis Summary
Data Tables Report
 Trust of Analyst

Raw Datamart, Suite of Detailed One Page

Production Data Extract Report Analysis Summary
Data Tables Report

Analyst Must
Little Trust of
be Fully Trusted
Analyst Required
 Effort of Audience

Raw Datamart, Suite of Detailed One Page

Production Data Extract Report Analysis Summary
Data Tables Report

High Levels of Effort Little Effort or

And Analysis Expertise Analysis Expertise
Required Required
 Risk of Bias

Raw Datamart, Suite of Detailed One Page

Production Data Extract Report Analysis Summary
Data Tables Report

Low Level of Risk High Level of Risk

of Analyst Bias Effecting of Analyst Bias Effecting
Results Results
Reporting Biases
• Overly positive
– Find any good news (irrelevant of cause)
– Excuses
– Justifying previous investments
– Understating risk
– Putting on a positive spin
– Recommend “steady as she goes”
• Overly negative
– Find any bad news
– Assign blame & overstate risk
– Recommend “fixes”
Breadth of Analysis
• Organisation-wide
– Absence, Turnover, OH&S Severity & Frequency
– Revenue, Expenses, Profit
– Return on Shareholder Investment
• Function Wide
– Rec & Sel Efficiency
– T&D Expenditure/Investment
– ROI of entire HR function
• Project/Intervention-Wide
– Return-on-Investment
Types of Analysis
- Summary
• Timeframe Available
• Resources Available
• Source/Type of Information
• Target Audience
• Breadth of Analysis
• Monitor or Investigate
• Comparison Targets
• Bias Tendency