Cookies help us display personalized product recommendations and ensure you have great shopping experience.

By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
SmartData CollectiveSmartData Collective
  • Analytics
    AnalyticsShow More
    big data analytics in transporation
    Turning Data Into Decisions: How Analytics Improves Transportation Strategy
    3 Min Read
    sales and data analytics
    How Data Analytics Improves Lead Management and Sales Results
    9 Min Read
    data analytics and truck accident claims
    How Data Analytics Reduces Truck Accidents and Speeds Up Claims
    7 Min Read
    predictive analytics for interior designers
    Interior Designers Boost Profits with Predictive Analytics
    8 Min Read
    image fx (67)
    Improving LinkedIn Ad Strategies with Data Analytics
    9 Min Read
  • Big Data
  • BI
  • Exclusive
  • IT
  • Marketing
  • Software
Search
© 2008-25 SmartData Collective. All Rights Reserved.
Reading: BI contribution to the annual plan
Share
Notification
Font ResizerAa
SmartData CollectiveSmartData Collective
Font ResizerAa
Search
  • About
  • Help
  • Privacy
Follow US
© 2008-23 SmartData Collective. All Rights Reserved.
SmartData Collective > Business Intelligence > BI contribution to the annual plan
Business Intelligence

BI contribution to the annual plan

vincentg64
vincentg64
3 Min Read
SHARE

Plans express our expectations about the future. Companies operating on a calendar basis will be in the final stages of the annual operating and capital planning process for next year. Business intelligence teams contribute to the quantitative models underlying these plans.

 

Plans express our expectations about the future. Companies operating on a calendar basis will be in the final stages of the annual operating and capital planning process for next year. Business intelligence teams contribute to the quantitative models underlying these plans.

More Read

SaaS Business Intelligence Solves the Data Silo Problem
Why Add More Features? Because We Can or Because We Should?
Smart Systems for Future Communities
5 Benefits of Managed Cloud Computing
Converting Data into Decisions

 

At a minimum, BI supports trend analysis showing prior periods of activity of various types. More commonly, BI provides the relationships between operating measures, such as customer visits, and financial outcomes, such as sales. In more advanced forms, BI supports simulations of the effects of different external environments, competitor actions and customer feedback.

 

At a CEO roundtable, a president remarked that his board wanted to know the “plan B”. They were presented and approved a recommended plan of action for the year. But, recent waves of uncertainties in consumer demand, interest rates, currencies, taxes, employment, environmental regulations, etc. had lowered their expectations that the assumptions of this plan would hold for a whole twelve months. So, their request: “what’s your plan B?”.

 

This year, consider “stress testing” your company’s annual plan. What happens if demand falls by half? … demand doubles? Will you have access to key components, workers, channels, financing? Stressing each assumption of the plan can reveal vulnerabilities to consider.

 

A better step would be to ask “what can cause … (demand to fall in half, double, etc.)?”. These causal factors provide guidance to the “key risk indicators” that BI should be monitoring continuously.

 

The list of causal factors can also feed a scenario planning exercise which allows management to understand the boundary conditions where the organization does fail. Knowing where the failure edges are allows management to be well aware when they are moving toward one or more of those boundaries.

 

Most plans are expressed as numbers with three significant digits. This year let your plans be expressed in three significant options.

Share This Article
Facebook Pinterest LinkedIn
Share

Follow us on Facebook

Latest News

AI role in medical industry
The Role Of AI In Transforming Medical Manufacturing
Artificial Intelligence Exclusive
b2b sales
Unseen Barriers: Identifying Bottlenecks In B2B Sales
Business Rules Exclusive Infographic
data intelligence in healthcare
How Data Is Powering Real-Time Intelligence in Health Systems
Big Data Exclusive
intersection of data
The Intersection of Data and Empathy in Modern Support Careers
Big Data Exclusive

Stay Connected

1.2kFollowersLike
33.7kFollowersFollow
222FollowersPin

You Might also Like

The emergence of the mega-tech vendor economy

8 Min Read

COSS BI: Open Source, Open Core or Openly Naked?

4 Min Read

#7: Here’s a thought…

7 Min Read

In-Memory Analytics and the Future of Business From Booz & Co.

3 Min Read

SmartData Collective is one of the largest & trusted community covering technical content about Big Data, BI, Cloud, Analytics, Artificial Intelligence, IoT & more.

data-driven web design
5 Great Tips for Using Data Analytics for Website UX
Big Data
AI chatbots
AI Chatbots Can Help Retailers Convert Live Broadcast Viewers into Sales!
Chatbots

Quick Link

  • About
  • Contact
  • Privacy
Follow US
© 2008-25 SmartData Collective. All Rights Reserved.
Go to mobile version
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?