Uncover the Power of Data-Driven – Business Intelligence (BI) is a set of processes, technologies, and tools that organizations use to turn data into actionable insights and make choices based on the data. On the other hand, with the 2 types of business intelligence tools, BI has become more important for companies that want to stay competitive in today’s data-driven world.
Uncover the Power of Data-Driven Decisions with These 2 Types of Business Intelligence Tools
What do business intelligence and analytics mean? Business Intelligence, or BI, is about an important part of current businesses. Also, for companies to make choices based on data, they need to turn data into actionable insights. So, this is where business intelligence (BI) tools come in. There are two main types of BI tools.
There are two main types of BI tools, depending on the kind of BI: detailed analytics tools and predictive analytics tools.
1. Tools for Descriptive Analytics
The first kind is made up of tools for describing statistics. But this type gives a summary of past facts that can be used to answer the question “What has happened?” These tools make reports and dashboards that show patterns, trends, and success from the past.
So, descriptive analytics tools are usually used to look at a lot of data, find patterns and trends, and show information in a visual way. But it also makes it easy for the people who matter to understand and act on.
You can use tools like reports, dashboards, data display tools, and online analytical processing (OLAP) tools to do descriptive analytics.
2. Tools for making predictions
The other two types of business intelligence, on the other hand, are tools for predictive analytics. This type uses statistical models and programs to make predictions about what could happen in the future.
These tools look at data, look for trends, and use those patterns to make predictions about what will happen in the future. But predictive analytics tools try to help people make better decisions by giving them a better idea of what might happen in the future. This knowledge is used by organizations to help them make better Data-Driven decisions.
Tools for predictive analytics can also be used to find possible risks and possibilities. It can also help groups take preventative steps to reduce risks and make the most of opportunities.
You can use tools like data mining, machine learning, and artificial intelligence, which are all examples of business intelligence tools, as examples of predictive analytics tools.
So, these two kinds of business intelligence tools are very important for helping businesses make Data-Driven decisions based on data. Also, detailed analytics tools show how things worked in the past, while predictive analytics tools show how things will work in the future.