axug - are you really ready for bi - final version
TRANSCRIPT
#AXUGSummit | #INreno15
#AXUGSummit
ARE YOU REALLY READY FOR BI?
Brandon Kirby, Vice President Technology
Jeremy Kingry, BI Practice Lead
#AXUGSummit | #INreno15 3
Gain a competitive advantage by making better decisions– Increase Revenue– Reduce Cost – Reduce Risk
Employee satisfaction = more productive employees – Reduction of pointless data manipulation – Millennial expectations – Recruiting from larger organizations
WHY BI?
#AXUGSummit | #INreno15 4
20% of your customers generate 80% of your profit. – Who are they?– What are they buying? Unique products?
What customers aren’t worth keeping? Create a competitive sales team! Cross Sales Analysis – Shopping Basket Analysis
HOW DO YOU INCREASE SALES WITH BI?
#AXUGSummit | #INreno15 5
#AXUGSummit | #INreno15 6
SHOPPING BASKET ANALYSIS
#AXUGSummit | #INreno15 7
SALES REP RANKING
#AXUGSummit | #INreno15 8
DIRTY 30 LIST
#AXUGSummit | #INreno15 9
Better utilization of time Shutting down legacy systems Reducing inventory Effective negotiation with your vendors Identifying inefficiencies in your supply chain Being proactive vs. reactive with scheduled alerts
REDUCE COST
#AXUGSummit | #INreno15 10
ALERTING
#AXUGSummit | #INreno15
Extract Data “Blend” any Data Types
QAD / Progress
Query/Analysis Get Information Out “Bind” New Data Quickly
Budget / Excel
E-Commerce
Production / Access
EDWWeb Users
SUNSET LEGACY SYSTEMS
#AXUGSummit | #INreno15 12
M&A Analysis Regulatory / Audit Reporting Data Quality Controls Predictive Problem Analysis Fraud Detection Automate Documentation
DECREASE RISK
#AXUGSummit | #INreno15
DEFINING A PROJECT
#AXUGSummit | #INreno15
GOAL: Document processes, gaps and provide transparency Executive Management Interviews Mid-Level Interviews Develop Questionnaire
– Which reports do you look at first thing in the morning?– What information would you use frequently if it was easier to get to it?
STAFF INTERVIEWS
#AXUGSummit | #INreno15 15
#AXUGSummit | #INreno15
Identify Executive Sponsor – C-Level – Consider their former role/job– Tenure at the company– What’s the personal win?
Develop departmental coaches Identify key influencers
BUY IN – INTERVIEW PROCESS
#AXUGSummit | #INreno15 17
ROI = $ Process Improvement + $Cost Avoidance$Labor (IT, Bus) + $Cap (HD,SW)
ROI
#AXUGSummit | #INreno15 18
INTERVIEW QUESTIONING TECHNIQUES
#AXUGSummit | #INreno15
BUSINESS PROBLEM/OPPORTUNITY
“We have too many missed orders.”
19
What factors contribute to missing orders? Supply Chain Disruptions Price influxes Urgent demands from key customers
#AXUGSummit | #INreno15 20
We need better supply chain visibility Reduce loss sales and orders by detecting risks earlier Take preventative action early
CONCLUSION
#AXUGSummit | #INreno15
ESTIMATING VALUE PROPOSITION How many total orders do we have? What’s the average order value? Total value Orders lost/late (%) Lost sales exposure ($) Total customers % Lost customer exposure (defections) Customer total (#) Average customer lifetime value Lost customer exposure ($)
100,000 orders / year $10,000 $1,000,000,000 12% $120,000,000 1500 3%-5% 45-75 $250,000 $11,250,000 to $18,750,000
22
Overall risk exposure: $120 M lost deals and $18 M in lost customers
#AXUGSummit | #INreno15
DEVELOP REQUIREMENTS
#AXUGSummit | #INreno15
DISSEMINATIONSilo Eco-System
Siloed Users
Departmental Enterprise Supply Chain
Customers Who needs to have access to the information?
ANALYTICSHistoric
Future
Reporting(historic)
Analysis(historic)
Monitoring(current)
Predictive(future)
Prescriptive(future) How do they need to see it?
DATASimple Complex
SingleSource
Multi-Source
Data Cleansing
Real-time Big Data Where does the data came from?
COLLABORATIONNone Complete
Individual(on
demand)
Team/Group(ad-hoc)
E-mail(scheduled)
Alerts(eventsdriven)
IntegratedCollaboration(continuous) When do they need access to it?
What Business Problem is trying to be solved? Why is it important to the company? (expected outcome)
DEFINING THE SOLUTION TO THE PROBLEM
#AXUGSummit | #INreno15
MORE BI VALUELESS BI VALUE
DATASimple
Complex
SingleSource
Multi-Source Data Cleansing
Real-time Big Data
ANALYTICSHistoric Future
Reporting(historic)
Analysis(historic)
Monitoring(current)
Predictive(future)
Prescriptive(future)
COLLABORATIONNone Complete
Individual(on demand)
Team/Group
(ad-hoc)
E-mail(scheduled)
Alerts(events driven)
IntegratedCollaboration(continuous)
DISSEMINATIONSilo Eco-System
Siloed Users Departmental Enterprise Supply Chain Customers
HALO Maturity Model ™Measure results from Marketing Automation Campaign
Predict next most likely product to purchase and optimize inventory levels
Provide insights into Financials
Improve and monitor Manufacturing processes
Assessing employee training programs
USING BI COMPONENTS TO SOLVE BUSINESS PROBLEMS
#AXUGSummit | #INreno15
TYING DATA TO GOALS
Corporate Goals
Data Sources Data Sources
Has the problem been solved?Or did we exacerbate it?
#AXUGSummit | #INreno15
Business Level Metrics (PI’s and RI’s)
Improve Customer Cervice
Increase Customer Retention Rate
• Faster problem solving• More Information online• Less Phone wait
Monthly Customer Churn Rate
• Target 24 hrs for resolution• 20% per month for 5 months• 2 minute average wait time
• Calculation from the CRM• Requires an inventory and plan• Intercept Phone System data
Corporate Goals
Critical Success Factors
Corporate KPIs and KRI’s
Business Processes
Data Sources
#AXUGSummit | #INreno15
FINDING A SOLUTION“BUILD OR BUY?”
#AXUGSummit | #INreno15
DIDN’T AX COME WITH BI?
#AXUGSummit | #INreno15
OUT OF THE BOX AX CUBES
Pro’s– You already paid for it!– Several standard industry
KPI’s out of the box
Con’s – Poor for analytics – Reports are clustered/hard to navigate – Not user friendly – Challenging to modify
#AXUGSummit | #INreno15Microsoft Dynamics AX 2012 + AX 2012 R3 Microsoft Dynamics
20 PRE-DEFINED SSAS CUBES
Accounts Payable
Accounts Receivable
Environmental Sustainability
Expense Management
GeneralLedger Production
Purchase Sales and Marketing Sales
ProjectAccounting
Workflow
Budget Control
Budget Plan
InventoryValue
Retail
Human Resources
Payroll
Profit Tax Totals
Demand Forecast
Demand Forecast Accuracy
#AXUGSummit | #INreno15
PUBLIC SECTOR
MANUFACTURING
ROLE CENTERS FOR PUBLIC SECTOR & COMMERCIAL
Operations Manager
Purchasing Manager
Purchasing Agent
Environmental MGR.
Production Manager
Shop Supervisor
Warehouse Manager
Shipping & Receiving
Warehouse Worker
Customer Service Operations Manager
EXECUTIVE FINANCE SALES & MARKETING
RETAIL SERVICES SECTOR
CEO
HUMAN RESOURCES
HR Manager
Staffing and Recruiting manager
Training and Development MGR.
CFO
Accountant
Accounting Manager
Accounts Payables Coordinator
Accounts Receivables Administrator
Budget Manager
Controller
Credit and Collections Manager
Treasurer
Sales and Marketing Executive
Account Manager
Dedicated Sales Representative
Marketing Manager
Marketing Staffer
Order Processor
Sales Manager
Super Sales Representative
Customer Service Representative
IT Manager
Merchandising MGR.
Operations MGR.
Store Inventory Clerk
Store Manager
Accountant
Practice Manager
Project Manager
Project Member
TEMPLATES
Role Center Template
Customer Self Service
Employee Self Service
Vendor Self ServiceAccounting Manager
Accounts Receivables Administrator
Finance Director
#AXUGSummit | #INreno15
Improved insights with end-to-end support for key performance indicators (KPIs) and measurements
EXPLORE AND VISUALIZE DATA
Analyze dataon role center
Ad-hoc analysisfrom list pages
#AXUGSummit | #INreno15
OData Provider Improvements provide Microsoft Dynamics AX data
EXPLORE DATA FROM VIRTUALLY ANYWHERE
Windows Azure™ Marketplace data sets
Powerful data mash up scenarios
#AXUGSummit | #INreno15
CustomizeMicrosoft Dynamics AX 2012 R2
Configurable
Easy
Powerful
TAILOR TO YOUR NEEDS
#AXUGSummit | #INreno15
EFFORTS TO GO LIVE
Requires investment into SQL BI or SQL Enterprise edition to use all the features
Many hours can be spent modifying and customizing the perspectives and cubes to reflect AX environment
Requires very disciplined deployment and customization to keep it clean
#AXUGSummit | #INreno15
WHERE THE STANDARD CONTENT FALLS SHORT
Does not provide a single conformed view of company performance
Does not scale without custom development and intervention
Requires developers to perform most tasks Does not work with modern BI tools without rewrite
(Power BI)
#AXUGSummit | #INreno15
WHERE THE STANDARD CONTENT FALLS SHORT
High levels of customization to default cubes becomes complex and failure prone
No clear roadmap for next AX version (poor investment)
Very complicated to modify 20 Cubes leads to confusion for end users
#AXUGSummit | #INreno15
WHERE THE STANDARD CONTENT FAILS
High levels of AX customization AX Add-ons not included in AX cubes and role centers High levels of customization to default cubes becomes
complex and failure prone If you have multiple sources of data (Legacy apps, CRM) Predictive Analytics and Forecasting is weak to non-
existent
#AXUGSummit | #INreno15
LET’S JUST BUILD IT!
41
#AXUGSummit | #INreno15
LET’S JUST BUILD IT
Pro’s– It’s custom, you build it the
way you want.– You ‘think’ it will be cheaper.
Con’s – Do you really know what you want?– Do you have the skillsets? (Nah, we are
going to just figure it out!”)– What if you lose that skillset? Do they
have time? – How are you handling documentation?
Compliance? – How are you addressing data quality?
#AXUGSummit | #INreno15 43
#AXUGSummit | #INreno15
Pro’s – Proven solutions with customers – Deeper integration (you would hope) – Dedicated Support
Con’s – “Another ISV” – “Perception of being more expensive”
LET’S BUY IT
#AXUGSummit | #INreno15 45
RFP / Document Requirements and Vendor Responses Record demonstrations and key discussions Proof-of-Concept | “Try before you buy” References
– What were their goals? – Who’d they consider? – What would they do differently?– Do they really use every component of the solution?– If they didn’t buy this vendor, who would have been next?
VENDOR EVALUATION
#AXUGSummit | #INreno15 46
#AXUGSummit | #INreno15 48
Initiating
Planning
ExecutingMonitoring & Controlling
Closing
#AXUGSummit | #INreno15 54
Formerly put the project to bed. Celebrate success
CLOSURE
#AXUGSummit | #INreno15
LIVE FROM THE HOME OFFICE IN RENO…. TOP 10 REASONS BI IMPLEMENTATIONS FAIL10. Lack of Executive Sponsorship 9. No Commitment from Business Owners 8. Silo’ed Teams 7. No Communication 6. Trying to Boil the Ocean 5. Not Being on the Same Page from Day 1 4. Only Reproducing What You Have 3. Waiting for it to be Perfect 2. No Data Validation 1. Lack of User Adoption
New processes and tools take time and effort. Without commitment of time, project will stall and
ultimately fail
The business must define the questions it needs answered. You don’t want to end up
with a lot of data that doesn’t help the business
One group can’t finish the task. The technical side must
understand what the business needs, and the
business must review what is implemented
Communication is vital. If issues aren’t brought up and
addressed early they will only get worse
Monolithic projects fail. Define phases and demonstrate
ROI quickly
If everyone thinks you’re building something different, no one gets what they want. Get everyone
together to review the project goals at the start of the project. Have periodic
review meetings.
What’s the value in doing the same thing? BI can provide
valuable insights, and requires thought. Start with what you have, but expand
on it.
Everyone is anxious to see…. something. Get an initial version complete and in front of users. Get their
feedback and iterate.
First impressions are important. Enlist the help of “friendly”
people from other departments to help you
validate data. It takes some time, but it’s vital to get this
right. And having people from other departments helps
avoid…
If you build it, they will come… you hope. Make the
information relevant, and consider a beta group to
help spread the word.
#AXUGSummit | #INreno15
CONTACT US
Brandon KirbyVice President
BrandKirby
Jeremy KingryBI Practice [email protected]
Jeremy_Kingry