India is one of the most exciting consumer markets in the world. An expanding middle class population with rising average income and increasing spending power, coupled with rapid urbanization, add to India’s consumption story. Fast-moving consumer goods (FMCG), with a market size of over US$13.1 billion as of 2012, has been identified as the fourth largest sector in India’s economy.
While Marico’s is one the success stories in the BI and data analytics space, BI implementations may often prove to be a failure for many companies, warned Sanchit Gogia, Chief Analyst and CEO, Greyhound Research.
“Many CIOs plan to invest in BI in near future, but most of them fear BI failure,” Vir Gogia said giving an example. Enterprises make large investments during the initial stages of BI deployment and back office analysts do not have the capabilities to utilize those investments. It is preferable to have a step by step approach with the right vendor, apart from appropriate talent and suitable tools to avoid BI project failures.
“While choosing the BI system, it is very critical to evaluate different vendors in the market rather than going in for the current application vendor,” tipped off Vir Gogia. Assessment is critical in the BI adoption strategy, and a proper evaluation will ensure prohibit the encounter BI failure, he said.
“Another common snag is that not enough business value is attached to every investment. Absence of business value in a project is bound to make any technology fail in the long run,” mentioned Vir Gogia, who believes senior managers should work towards attaching business value and communicating the same internally, since in the process they can avert BI failure.
Despite the risk of BI failure, Vir Gogia believes business intelligence can provide significant benefits. “If deployed in the right way, at the right instance, and with the right mapping, it can help improve a company’s bottomline,” he said.
Source: CxO Today