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Web-Based BI - BI on the Fly

BI Analyst Take

With general software trends such as Web 2.0, service-oriented architecture (SOA), software as a service (SaaS) and the like, organizations are increasingly considering Web-based approaches to their business intelligence (BI) solutions. The standardization of IT architectures across the organization and the centralization of software platforms amplify the benefits of Web-based applications to IT departments. Ease of use and general familiarity also make end-user adoption more likely. Similarly, the ability to utilize Web-based platforms to create a centralized environment for reporting and analysis make the implementation of Web-based BI attractive to many organizations. These considerations give organizations additional options when considering BI.

BI deployed over the Web is neither new nor revolutionary. Organizations have been using portals for the past decade to deliver reports and OLAP cubes within intranets enabling end users to view reports and to conduct analyses within a centralized structure. The ability to share information and to collaborate on tasks across geographic boundaries with minimal efforts increases BI's Web-based use to include performance management processes. These include the use of scorecards and dashboards to manage sales performance, the completion of budgeting activities and the processing of month-end closes. The extension of end-user access to include Web-based architecture and development environments permits vendors and organizations to expand their view of how to implement and manage BI tools. Additionally, BI tool use can be extended to the small and midsized (SMB) market opening the market for new competitive arenas due to more flexible pricing structures.

What Vendors Offer

Web-based BI enables organizations additional flexibility when considering alternatives to implementing BI solutions. Organizations can implement Web-based BI without initial IT involvement, manage that process, and create reporting and analysis environments without a strong IT infrastructure. For the IT department, choosing Web-based BI lessens the need for intense integration activities as a full- scale BI implementation. Additionally, Web-based BI is more feasible for organizations wanting to conduct a trial before deciding on full implementation. Basically, one key advantage to vendors' newer focus on delivering Web-based BI solutions is the ability to reach more organizations that might be sitting on the fence regarding potential deployment of BI within their organizations. Web-based solutions provide the basis for cost-benefit analysis and ROI justifications without the high initial overhead.

Generally, BI vendors deliver Web-based products that include the ability to deploy, view and manage reporting and OLAP environments across the Web. The key advantages of a Web-based environment are development and deployment environments that do not involve integration with the current organizational IT infrastructure. Generally, organizations become attached to their current environment and adopt that solution vendor since they already have the general foundation in place for a full-scale implementation as a natural extension of the initial environment. Consequently, organizations could choose to implement these products, not because they provide the best solution, but because it is the easiest solution based on current infrastructure and time invested in developing that environment.

The cost of infrastructure, licenses and maintenance may make large-scale BI deployments an unrealistic consideration for SMB organizations. Web-based offerings provide an alternative for SMBs, offering BI capabilities with a potential trade-off of future viability based on lack of infrastructure. Lower pricing structures, quicker implementation times and lower maintenance costs offer a significant advantage to SMB organizations looking to implement BI solutions. Additionally, the move toward SaaS-based offerings allow organizations to take advantage of BI tools and keep the control of BI within the business units, eliminating the need for in-house IT support thereby reducing support costs. These new alternatives to BI deployments will give organizations more flexibility in the way they choose to manage performance.

Implications for End Users

Web-based BI is more accessible to both the business and IT because of its low-cost, low-maintenance infrastructure. User organizations should consider data volumes and future growth to make sure the benefits outweigh the potential frustrations involved with any new implementation. End users may develop their own applications without IT involvement and without intense efforts to integrate with the current IT architecture. Business units that lack strong IT infrastructures should consider a SaaS model where data warehousing and data management are outsourced as a good alternative to the typical BI infrastructure. Alternatively, organizations should consider the depth and breadth of Web-based solutions to identify if they meet the requirements of the organization to bridge BI with the management of performance. The bottom line is that Web-based BI offers advantages based on deployment times and low maintenance. However, investing more money in the beginning to develop a strong BI infrastructure aligned with that of the overall organization may provide a better long-term solution for organizations that see BI as a main component to drive organizational success.


Lyndsay Wise is an industry analyst for business intelligence. For more than seven years, she has assisted clients in business systems analysis, software selection and implementation of enterprise applications. Wise also conducts research of leading technologies, products and vendors in business intelligence, marketing performance management, master data management, and unstructured data. Check out her blog at myblog.wiseanalytics.com.

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