What Drives the Best BI TCO?
June 30, 2010 9:11 pm Analyst Reports, BI Program, BI StrategyI always look forward to the reports on BI from the Aberdeen Group to get a global perspective of how BI projects are being deployed and how well users are engaging with BI tools. The latest April 2010 report focused on TCO, in particular the cost per BI user. According to the report, during the previous 12 months, the average total expenditure per BI User*:
- Best in Class – $357
- Industry Average – $968
- Laggard $ 3,321
So just what is behind this significant variance in expenditure, what is it that best in class are doing at a lesser cost than other BI initiatives. According to other findings in the report Best in class BI teams:
- Had a clearly defined BI strategy – including a strategy for BI data management
- Had standard processes for gathering end user BI requirements
- Were 2.9 times more likely to formally develop BI knowledge and skills amongst users
- Were 1.8 times more likely to track BI project costs to budget
- Were 1.7 times more likely to automate the creation of reports.
The overall message is that BI TCO is not only about the technology. It is largely impacted by the transformational efforts made to define a BI strategy, manage BI project roadmap iterations, and to educate users on how to extract more value from their BI tools.
* The TCO View of Business Intelligence – How to Get the Most Bang for Your Analytical Buck. Michael Lock. April 2010.
You can find copies of this report on the aberdeen.com website.
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