Chapter Business Intelligence Systems “Data analysis, where you don’t know the second question to ask until you see the answer to the first one.” • Tracking race competitors from each of event, and having unbelievable success selling products to them • Want to match competitors to personal trainers in same locale • Earn referral fee • How to track them? Mailing address? IP address? Copyright © 2016 Pearson Education, Inc 9-2 Study Questions Q1: How organizations use business intelligence (BI) systems? Q2: What are the three primary activities in the BI process? Q3: How organizations use data warehouses and data marts to acquire data? Q4: How organizations use reporting applications? Q5: How organizations use data mining applications? Q6: How organizations use BigData applications? Q7: What is the role of knowledge management systems? Q8: What are the alternatives for publishing BI? Q9: 2025? Copyright © 2016 Pearson Education, Inc 9-3 Q1: How Do Organizations Use Business Intelligence (BI) Systems? Components of Business Intelligence System Copyright © 2016 Pearson Education, Inc 9-4 How Do Organizations Use BI? Copyright © 2016 Pearson Education, Inc 9-5 What Are Typical Uses for BI? • Identifying changes in purchasing patterns – Important life events cause customers to change what they buy • BI for entertainment – Netflix has data on watching, listening, and rental habits, however, determines what people actually want, not what they say • Predictive policing – Analyze data on past crimes, including location, date, time, day of week, type of crime, and related data, to predict where crimes are likely to occur Copyright © 2016 Pearson Education, Inc 9-6 Q2: What Are the Three Primary Activities in the BI Process? Copyright © 2016 Pearson Education, Inc 9-7 Using Business Intelligence to Find Candidate Parts at AllRoad • Identified criteria for parts customers might want to print – Provided by vendors who already agree to make part design files available for sale – Purchased by larger customers – Frequently ordered parts – Ordered in small quantities • Simple in design (part weight and price as surrogates) Copyright © 2016 Pearson Education, Inc 9-8 Acquire Data: Extracted Order Data Copyright © 2016 Pearson Education, Inc 9-9 Sample Extracted Data: Part Data Table Copyright © 2016 Pearson Education, Inc 9-10 Hyper-Social KM Alternative Media Copyright © 2016 Pearson Education, Inc 9-53 Resistance to Hyper-Social Knowledge Sharing • Employees can be reluctant to exhibit their ignorance • Employee competition • Remedy – Strong management endorsement – Strong positive feedback – “Nothing wrong with praise or cash especially cash” Copyright © 2016 Pearson Education, Inc 9-54 Q8: What Are the Alternatives for Publishing BI? Copyright © 2016 Pearson Education, Inc 9-55 What Are the Two Functions of a BI Server? Copyright © 2016 Pearson Education, Inc 9-56 Q9: 2025? • World generating and storing exponentially more information about customers, and data mining techniques are better • Companies know more about your purchasing habits and psyche • Social singularity – Machines build their own information systems • Will machines possess and create information for themselves? Copyright © 2016 Pearson Education, Inc 9-57 Guide: Semantic Security Unauthorized access to protected data and information • Physical security  Passwords and permissions  Delivery system must be secure Unintended release of protected information through reports and documents What, if anything, can be done to prevent what Megan did? Copyright © 2016 Pearson Education, Inc 9-58 Guide: Data Mining in the Real World • Problems: – Dirty data – Missing values – Lack of knowledge at start of project – Over fitting – Probabilistic – Seasonality – High risk – unknown outcome Copyright © 2016 Pearson Education, Inc 9-59 Active Review Q1: How organizations use business intelligence (BI) systems? Q2: What are the three primary activities in the BI process? Q3: How organizations use data warehouses and data marts to acquire data? Q4: How organizations use reporting applications? Q5: How organizations use data mining applications? Q6: How organizations use BigData applications? Q7: What is the role of knowledge management systems? Q8: What are the alternatives for publishing BI? Q9: 2025? Copyright © 2016 Pearson Education, Inc 9-60 Case Study 9: Hadoop the Cookie Cutter • Third-party cookie created by a site other than one you visited • Generated in several ways, most common occurs when a Web page includes content from multiple sources • DoubleClick – IP address where content was delivered – Records data in cookie log Copyright © 2016 Pearson Education, Inc 9-61 Case Study 9: Hadoop the Cookie Cutter (cont'd) • Third-party cookie owner has history of what was shown, what ads clicked, and intervals between interactions • Cookie log contains data to show how you respond to ads and your pattern of visiting various Web sites where ads placed Copyright © 2016 Pearson Education, Inc 9-62 FireFox Lightbeam: Display on Start Up No Cookies Copyright © 2016 Pearson Education, Inc 9-63 After Visiting MSN.com Copyright © 2016 Pearson Education, Inc 9-64 Sites Visited Yields 27 Third Parties Copyright © 2016 Pearson Education, Inc 9-65 Sites Connected to Doubleclick Copyright © 2016 Pearson Education, Inc 9-66 Copyright © 2016 Pearson Education, Inc 9-67 ... criteria for parts customers might want to print – Provided by vendors who already agree to make part design files available for sale – Purchased by larger customers – Frequently ordered parts – Ordered... Sales OLAP Report http://dwreview.com/OLAP/ http://www.tableausoftware.com OLAP Product Family by Store Type Copyright © 2016 Pearson Education, Inc 9-29 Example of Expanded Grocery Sales OLAP