Business Intelligence: The Executive’s Magic 8 Ball
In the 1950’s, Mattel developed a toy called the Magic 8 Ball. The idea was to ask the ball a “yes” or “no” question, shake it up, and watch as the answer appeared through a little window. While a smart business owner would never rely on the Magic 8 Ball to make a business decision, they can rely on something much more accurate—business intelligence or BI. According to Sean Gallahar, writer for 17 Marketing, BI gathers data from such sources as “internal rate of return (IRR), net present value (NPV), payback period, and return on investment (ROI)” and analyzes the data to give companies the competitive advantage in product placement, pricing, hiring, advertising, and many other areas of business. Predictions are so valuable that companies that invest in BI made and average of $13.01 for every dollar spent according to a 2014 study done by Nucleus Research. The following are some areas where BI can help your business:
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