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May 31, 2018
Dresner Advisory Services, LLC
Wisdom of Crowds® Business Intelligence Market Study
2018 Edition
Licensed to Information Builders
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2018 Wisdom of Crowds® Business Intelligence Market Study
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Disclaimer
This report should be used for informational purposes only. Vendor and product selections should be made
based on multiple information sources, face-to-face meetings, customer reference checking, product
demonstrations, and proof-of-concept applications.
The information contained in all Wisdom of Crowds® Market Study Reports reflects the opinions expressed in
the online responses of individuals who chose to respond to our online questionnaire and does not represent
a scientific sampling of any kind. Dresner Advisory Services, LLC shall not be liable for the content of
reports, study results, or for any damages incurred or alleged to be incurred by any of the companies
included in the reports as a result of the content.
Reproduction and distribution of this publication in any form without prior written permission is forbidden.
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Business Intelligence: A Definition Business intelligence (BI) is “knowledge gained through the access and analysis of
business information.
Business intelligence tools and technologies include query and reporting, OLAP (online
analytical processing), data mining and advanced analytics, end-user tools for ad hoc
query and analysis, and dashboards for performance monitoring.”
Howard Dresner, The Performance Management Revolution: Business Results Through
Insight and Action (John Wiley & Sons, 2007).
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Introduction In 2018, we celebrate the 11th anniversary of Dresner Advisory Services! Our thanks to
all of you for your continued support and ongoing encouragement. Since our founding in
2007, we have worked hard to set the “bar” high—challenging ourselves to innovate and
lead the market—offering ever greater value with each successive year.
We are also excited that our second annual conference, Real Business Intelligence, will
be held June 27 and 28, 2018 on the MIT campus in Cambridge, Massachusetts. Unlike
other events, Real Business Intelligence was designed as an immersive thought
leadership event focused on strategies for success with information management,
business intelligence, analytics and performance management.
Our first market report in 2010 set the stage for where we are today. Since that time, we
expanded our agenda and added new research topics every year. For 2018, we plan to
release 16 major reports, including, this, our original BI flagship report—in its ninth year
of publication!
This latest installment of our flagship Business Intelligence Market Study continues to
evolve. This year, we further expanded our section on the Chief Analytics and Chief
Data Officer roles, added an “achievement” question and began tracking additional
technologies and initiatives including IT analytics, sales planning, and GDPR—bringing
the total to 36.
We hope you enjoy this report!
Best,
Howard Dresner Chief Research Officer Dresner Advisory Services
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Contents Business Intelligence: A Definition .................................................................................. 3
Introduction ..................................................................................................................... 4
Benefits of the Study ..................................................................................................... 12
Consumer Guide ........................................................................................................ 12
Supplier Tool .............................................................................................................. 12
External Awareness ................................................................................................ 12
Internal Planning ..................................................................................................... 12
About Howard Dresner and Dresner Advisory Services ................................................ 13
About Jim Ericson ......................................................................................................... 14
Survey Method and Data Collection .............................................................................. 15
Data Quality ............................................................................................................... 15
New for 2018 ................................................................................................................. 15
Executive Summary ...................................................................................................... 17
Study Demographics ..................................................................................................... 19
Geography ................................................................................................................. 19
Functions ................................................................................................................... 20
Vertical Industries ...................................................................................................... 21
Organization Size ....................................................................................................... 22
Analysis and Trends ...................................................................................................... 24
Departments/Functions Driving Business Intelligence ............................................... 24
Functions Driving Business Intelligence 2013-2018 ............................................... 25
Changes in Functions Driving Business Intelligence 2017-2018 ............................ 26
Functions Driving Business Intelligence by Major Geography ................................ 27
Functions Driving Business Intelligence by Vertical Industry .................................. 28
Functions Driving Business Intelligence by Organization Size ............................... 29
User Roles Targeted for Business Intelligence .......................................................... 30
Targeted Users for Business Intelligence 2013-2018 ............................................. 31
Targeted Users for Business Intelligence by Geography ........................................ 32
User Targets for Business Intelligence by Organization Size ................................. 33
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User Targets for Business Intelligence by Vertical Industries ................................. 34
Objectives for Business Intelligence .......................................................................... 35
Business Intelligence Objectives 2014-2018 .......................................................... 36
Percent Change in BI Objectives 2017-2018 .......................................................... 37
Business Intelligence Objectives by Geography ..................................................... 38
Business Intelligence Objectives by Function ......................................................... 39
Business Intelligence Objectives by Vertical Industry ............................................. 40
Business Intelligence Objectives by Organization Size .......................................... 41
Business Intelligence Achievements .......................................................................... 42
Business Intelligence Achievements by Organization Size ..................................... 43
Penetration of Business Intelligence Solutions .......................................................... 44
Change in Penetration of BI Solutions 2017-2018 .................................................. 45
Expansion Plans for Business Intelligence Through 2021 ...................................... 46
Current Business Intelligence Penetration by Geography ...................................... 47
Planned Business Intelligence Penetration by Geography ..................................... 48
Current Business Intelligence Penetration by Function .......................................... 49
Planned Business Intelligence Penetration by Function ......................................... 50
Current Business Intelligence Penetration by Vertical Industry .............................. 51
Planned Business Intelligence Penetration by Vertical Industry ............................. 52
Current Business Intelligence Penetration by Organization Size ............................ 53
Planned Business Intelligence Penetration by Organization Size ........................... 54
Chief Data and Chief Analytics Officers ..................................................................... 55
Enterprises with Chief Data or Chief Analytics Officers .......................................... 55
Plans to Implement Chief Data or Chief Analytics Officers ..................................... 56
Effectiveness of Chief Data or Chief Analytics Officers .......................................... 57
Business Intelligence Achievements by Presence of CDO ..................................... 58
Business Intelligence Achievements by Presence of CAO ..................................... 59
Enterprises with Chief Data or Chief Analytics Officers by Geography ................... 60
Enterprises with Chief Data or Chief Analytics Officers by Industry ........................ 61
Enterprises with Chief Data or Chief Analytics Officers by Organization Size ........ 62
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Enterprises with Chief Data and Chief Analytics Officers Reporting Structure ....... 63
Chief Data and Chief Analytics Officer and Success with BI by Reporting Structure
................................................................................................................................ 64
Number of Business Intelligence Tools in Use ........................................................... 65
Number of Business Intelligence Tools in Use 2013 to 2018 .................................. 65
Number of Business Intelligence Tools by Geography ........................................... 66
Number of Business Intelligence Tools by Function ............................................... 67
Number of Business Intelligence Tools by Vertical Industry ................................... 68
Number of Business Intelligence Tools by Organization Size ................................. 69
Technologies and Initiatives Strategic to Business Intelligence ................................. 70
Technology Priorities 2015-2018 ............................................................................ 71
Technology Priority Changes 2017-2018 ................................................................ 72
Technologies and Initiatives Strategic to Business Intelligence by Geography ...... 73
Technologies and Initiatives Strategic to Business Intelligence by Function .......... 74
Technologies and Initiatives Strategic to Business Intelligence by Vertical Industry
................................................................................................................................ 75
Technologies and Initiatives Strategic to Business Intelligence by Organization Size
................................................................................................................................ 76
Business Intelligence and the State of Data .............................................................. 77
Business Intelligence and the State of Data 2015-2018 ............................................ 78
Business Intelligence and the State of Data by Geography .................................... 79
Business Intelligence and the State of Data by Function ........................................ 80
Business Intelligence and the State of Data by Industry ......................................... 81
Business Intelligence and the State of Data by Organization Size ......................... 82
Business Intelligence and Action on Insight ............................................................... 83
Business Intelligence and Action on Insight by Geography .................................... 84
Business Intelligence and Action on Insight by Function ........................................ 85
Business Intelligence and Action on Insight by Vertical Industry ............................ 86
Business Intelligence and Action on Insight by Organization Size .......................... 87
Success with Business Intelligence ........................................................................... 88
Change in Success with Business Intelligence 2017-2018 ..................................... 89
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How Successful Organizations Measure Success with Business Intelligence ........ 90
How Unsuccessful Organizations Measure Failure with Business Intelligence ...... 91
Success with Business Intelligence by Organization Size ...................................... 92
Success with Business Intelligence by BI Objectives ............................................. 93
Success with Business Intelligence by Targeted Users .......................................... 94
Success with Business Intelligence and Technology Priorities ............................... 95
Success with Business Intelligence and Technology Priorities ............................... 96
Success with Business Intelligence and Number of BI Tools ................................. 97
Success with Business Intelligence and the State of Data ..................................... 98
Success with Business Intelligence and Action on Insight ...................................... 99
Success with Business Intelligence and Penetration of Users .............................. 100
Business Intelligence Achievements by Success with BI ...................................... 101
Technologies and Initiatives Strategic to Business Intelligence by BI Success .... 102
Budget Plans for Business Intelligence .................................................................... 103
Budget Plans for Business Intelligence 2017-2018 ............................................... 104
Budget Plans for Business Intelligence by Geography ......................................... 105
Budget Plans for Business Intelligence by Function ............................................. 106
Budget Plans for Business Intelligence by Vertical Industry ................................. 107
Budget Plans for Business Intelligence by Organization Size ............................... 108
Budget Plans for Business Intelligence by Penetration of BI Solutions ................. 109
Expansion Plans for Business Intelligence through 2021 by BI Budget Plans ...... 110
Budget Plans for Business Intelligence by Success with BI .................................. 111
Business Intelligence Achievements by BI Budget Plans ..................................... 112
Technologies and Initiatives Strategic to Business Intelligence by BI Budget Plans
.............................................................................................................................. 113
Business Intelligence Product Replacements .......................................................... 114
Current Business Intelligence Products Replaced by Another .............................. 114
Reasons BI Products Are Replaced ..................................................................... 115
Industry and Vendor Analysis ...................................................................................... 117
Scoring Criteria ........................................................................................................ 117
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Industry Performance ............................................................................................... 118
Sales/Acquisition Experience................................................................................ 118
Value .................................................................................................................... 119
Quality and Usefulness of Product ........................................................................ 120
Technical Support ................................................................................................. 121
Consulting ............................................................................................................. 122
Integrity ................................................................................................................. 123
Recommended ..................................................................................................... 124
Performance Improvements ................................................................................. 125
Vendor Ratings ........................................................................................................... 127
Business Intelligence Market Models .......................................................................... 128
Customer Experience Model .................................................................................... 128
Vendor Credibility Model .......................................................................................... 130
Detailed Vendor Ratings ............................................................................................. 132
Board Detailed Score ............................................................................................ 133
ClearStory Data Detailed Score ............................................................................ 134
Dimensional Insight Detailed Score ...................................................................... 135
Domo Detailed Score ............................................................................................ 136
Google Detailed Score .......................................................................................... 137
IBM Detailed Score ............................................................................................... 138
Infor Detailed Score .............................................................................................. 139
Information Builders Detailed Score ..................................................................... 140
Jedox Detailed Score ............................................................................................ 141
Klipfolio Detailed Score ......................................................................................... 142
Logi Analytics Detailed Score ............................................................................... 143
Looker Detailed Score .......................................................................................... 144
Microsoft Detailed Score ....................................................................................... 145
MicroStrategy Detailed Score ............................................................................... 146
OpenText Detailed Score ..................................................................................... 147
Oracle Detailed Score ........................................................................................... 148
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Pyramid Analytics Detailed Score ......................................................................... 149
Qlik Detailed Score ............................................................................................... 150
RapidMiner Detailed Score ................................................................................... 151
Salesforce Detailed Score .................................................................................... 152
SAP Detailed Score .............................................................................................. 153
SAS Detailed Score .............................................................................................. 154
Sisense Detailed Score ........................................................................................ 155
Tableau Software Detailed Score ......................................................................... 156
TIBCO Software Detailed Score ........................................................................... 157
Yellowfin Detailed Score ....................................................................................... 158
Zoomdata Detailed Score ..................................................................................... 159
Other Dresner Advisory Services Research Reports .................................................. 160
Dresner Advisory Services - 2018 Wisdom of Crowds Survey Instrument .................. 161
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Benefits of the Study The Wisdom of Crowds® Business Intelligence Market Study provides a wealth of
information and analysis—offering value to both consumers and producers of business
intelligence technology and services.
Consumer Guide
As an objective source of industry research, consumers use the Wisdom of Crowds®
Business Intelligence Market Study to understand how their peers leverage and invest
in business intelligence and related technologies.
Using our trademark 33-criteria vendor performance measurement system, users glean
key insights into BI software supplier performance, enabling:
• Comparisons of current vendor performance to industry norms
• Identification and selection of new vendors
Supplier Tool
Vendor Licensees use the Wisdom of Crowds® Business Intelligence Market Study in
several important ways such as:
External Awareness
- Build awareness for the business intelligence market and supplier brand, citing
Wisdom of Crowds® Business Intelligence Market Study trends and vendor
performance
- Create lead and demand generation for supplier offerings through association with
Wisdom of Crowds® Business Intelligence Market Study brand, findings, webinars,
etc.
Internal Planning
- Refine internal product plans and align with market priorities and realities as
identified in Wisdom of Crowds® Business Intelligence Market Study
- Better understand customer priorities, concerns, and issues
- Identify competitive pressures and opportunities
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About Howard Dresner and Dresner Advisory Services The Wisdom of Crowds® Business Intelligence Market Study was conceived, designed,
and executed by Dresner Advisory Services, LLC—an independent advisory firm—and
Howard Dresner, its President, Founder, and Chief Research Officer.
Howard Dresner is one of the foremost thought leaders in business intelligence and
performance management, having coined the term “Business Intelligence” in 1989. He
published two books on the subject, The Performance
Management Revolution – Business Results through Insight
and Action (John Wiley & Sons, Nov. 2007) and Profiles in
Performance – Business Intelligence Journeys and the
Roadmap for Change (John Wiley & Sons, Nov. 2009). He
lectures at forums around the world and is often cited by the
business and trade press.
Prior to Dresner Advisory Services, Howard served as chief
strategy officer at Hyperion Solutions and was a research fellow at Gartner, where he
led its business intelligence research practice for 13 years.
Howard conducted and directed numerous in-depth primary research studies over the
past two decades and is an expert in analyzing these markets.
Through the Wisdom of Crowds® Business Intelligence Market Study reports, we
engage with a global community to redefine how research is created and shared. Other
research reports include:
- Advanced and Predictive Analytics
- Analytical Data Infrastructure
- Business Intelligence Competency Center
- Cloud Computing and Business Intelligence
- Collective Insights®
- Embedded Business Intelligence
- End User Data Preparation
- IoT Intelligence®
- Location Intelligence
Howard (www.twitter.com/howarddresner) conducts a weekly Twitter “tweetchat” on
Fridays at 1:00 p.m. ET. The hashtag is #BIWisdom. During these live events, the
#BIWisdom community discusses a wide range of business intelligence topics.
You can find more information about Dresner Advisory Services at
www.dresneradvisory.com.
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About Jim Ericson Jim Ericson is a research director with Dresner Advisory Services.
Jim has served as a consultant and journalist who studies end-user management
practices and industry trending in the data and information management fields.
From 2004 to 2013, he was the editorial director at Information Management magazine
(formerly DM Review), where he created architectures for user and
industry coverage for hundreds of contributors across the breadth of
the data and information management industry.
As lead writer he interviewed and profiled more than 100 CIOs,
CTOs, and program directors in a 2010-2012 program called “25
Top Information Managers.” His related feature articles earned
ASBPE national bronze and multiple Mid-Atlantic region gold and
silver awards for Technical Article and for Case History feature
writing.
A panelist, interviewer, blogger, community liaison, conference co-chair, and speaker in
the data-management community, he also sponsored and co-hosted a weekly podcast
in continuous production for more than five years.
Jim’s earlier background as senior morning news producer at NBC/Mutual Radio
Networks and as managing editor of MSNBC’s first Washington, D.C. online news
bureau cemented his understanding of fact-finding, topical reporting, and serving broad
audiences.
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Survey Method and Data Collection As in our original Wisdom of Crowds® Business Intelligence Market Study, we
constructed a survey instrument to collect data and used social media and crowd-
sourcing techniques to recruit participants.
We also include our own research community of over 5,000 organizations as well as
vendors’ customer communities.
Data Quality
We carefully scrutinized and verified all respondent entries to ensure that the study
includes only qualified participants.
New for 2018 For 2018, we again expanded our research objectives substantially. This year’s study
adds:
• Three additional technologies and initiatives strategic to business intelligence (IT
analytics, sales planning, and GDPR), extending our study to 36 areas
• Expanded questions surrounding chief data officers (CDOs) and chief analytics
officers (CAOs)
• New question on business intelligence “achievements”
• New questions related to BI product/tool replacements and rationale
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Executive
Summary
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Executive Summary User Analysis:
- Executive Management, Operations, and Sales are the primary roles driving BI in
2018 (pp. 24-29).
- Executives and middle managers are the most likely targeted users of business
intelligence. Customer targeting increased in 2018 (pp. 30-34).
- "Better decision-making" remains the top BI objective; but efficiency, revenue,
and competitive objectives gained momentum (pp. 35-41). BI objectives are not
always reflected in BI achievements (pp. 42-43).
- Penetration of business intelligence grows year over year and continues to grow
over time. Expansion plans are bullish, particularly in small organizations (pp. 44-
54).
- The ongoing uptake and longevity of chief data and chief analytics officers is
quite modest and growing only slowly over time. Organizations with either title
are more effective at achieving goals. CAOs are viewed as somewhat more
effective in their roles and are more likely to report directly to the CEO (pp. 55-
64).
- The number of BI tools in use has grown slightly over time but remains stable
overall (pp. 65-69).
- Familiar technologies—dashboards, reporting, end-user self-service, advanced
visualization, and data warehousing—remain most strategic to BI users. Several
newer technologies grew strongly in 2018 (pp. 70-76).
- Users’ confidence in their "state of data" grew over time, particularly in small
organizations (pp. 77-82).
- Organizations large and small in most industries are confident of their ability to
take action on BI insights (pp. 83-87).
- Our core measure of "success with BI" declined somewhat in the last three years
(pp. 88-89).
- Organizations that are successful with BI tend to measure results on user
feedback. Unsuccessful BI organizations more often measure adoption and
usage rates. Small organizations are usually more successful with BI.
Organizations with an effective CDO or CAO report more success (pp. 90-102).
- More than half of organizations will increase BI spending, and only 6 percent will
decrease BI spending. Highly penetrated, high achieving, and successful
organizations are more likely to increase BI investment further (pp. 103-113).
- Three-quarters of respondents say they did not replace a BI product with another
product. New products are more often purchased to serve a different audience or
function (pp. 114-115).
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Industry Analysis:
- We observe mostly small declines in measures of industry sales and acquisition
performance (p. 118).
- End users continue to report that they receive high value from industry vendors,
and value performance reached an all-time high in 2018 (p. 119).
- Many measures of industry quality and usefulness touched all-time highs
including “completeness of functionality, “customization/extensibility,” and “ease
of administration” (p. 120).
- All measures of industry technical support declined modestly, and “continuity of
personnel” declined most of all (p. 121).
- BI vendor consulting scores all dropped noticeably between 2017 and 2018 (p.
122).
- Vendor integrity—measured as honesty and truthfulness in all dealings—
continued its slow long-term upward climb to an all-time high in 2018 (p. 123).
- The number of customers willing to recommend a provider grew to another
consecutive all-time high and delivered the highest score in our survey (p. 124).
- A recent peak in overall vendor performance may signal maturity and diminishing
urgency for upgrades (p. 125).
- Perpetual on-premises licensing is offered by 50 percent of vendors in 2018, a
notable decline over 2017. Public cloud perpetual licensing dipped more
modestly (p. 126).
- Concurrent use licensing continues to decline in favor with vendors, reaching an
all-time low (p. 127).
- The number of vendors offering subscription licensing continues to grow for both
on-premises and public cloud models (p. 128).
- Named user and concurrent use licensing models become less available over
time (p. 129).
- Among vendors that still offer perpetual licenses, maintenance fees are now as
likely to be based on discounted price as on list price (p. 130).
- (VENDOR RANKINGS…)
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Study Demographics Our 2018 survey base provides a cross-section of data across geographies, functions,
organization sizes, and vertical industries. We believe that, unlike other industry
research, this supports a more representative sample and better indicator of true market
dynamics. We have constructed cross-tab analyses using these demographics to
identify and illustrate important industry trends.
Geography
Seventy-one percent of respondents work at North America-based organizations
(including the United States, Canada, and Puerto Rico). EMEA accounts for about 20
percent of respondents; the remainder are distributed across Asia Pacific and Latin
America (fig. 1).
Figure 1 – Geographies represented
70.5%
20.3%
5.4%3.7%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
North America Europe, Middle East andAfrica
Asia Pacific Latin America
Geographies Represented
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Functions
Our 2018 sample base includes a mix of functions (fig. 2). IT accounts for the largest
group (28 percent), followed by Executive Management (22 percent), and Finance (19
percent). Sales/Marketing (8 percent) and the BICC (7 percent) are the next most
represented functions.
Tabulating results across functions helps us develop analyses that reflect the
differences and influence of different departments within organizations.
Figure 2 – Functions represented
28.3%
21.7%
18.5%
7.7% 7.3%
4.4% 4.3%
1.5%
6.06%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
Functions Represented
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Vertical Industries
In 2018, technology organizations lead vertical industry distribution (16 percent). Business Services and Healthcare each represent 9 percent of our sample (fig. 3). Manufacturing, Consulting, and Retail/Wholesale are the next most represented. Tabulating results across industries helps us develop analyses that reflect the maturity and direction of different business sectors.
Figure 3 – Vertical industries represented
16%
9% 9%
7%
6% 6%
4% 4%3%
3% 3% 2% 2% 2% 2% 2%
4%
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
Vertical Industries Represented
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Organization Size
Participation in our sample base is balanced across organizations of different sizes in
2018 (based on global headcount). Small organizations (1-100 employees) represent 25
percent of respondents, mid-size organizations (101-1,000 employees) represent 31
percent, and large organizations (>1,000 employees) account for the remaining 43
percent (fig. 4).
Tabulating results by organization size reveals important differences in practices, planning, and maturity.
Figure 4 – Organization sizes represented
25.3%
31.1%
10.0% 10.3%
6.3%
17.0%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
1-100 101-1,000 1,001-2,000 2,001-5,000 5,001-10,000 More than10,000
Organization Sizes Represented
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Analysis and
Trends
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Analysis and Trends
Departments/Functions Driving Business Intelligence
We asked respondents which functional roles drive business intelligence “always,”
“often,” “sometimes,” “rarely,” or “never” (fig. 5). Our results show a breadth of influence,
and in 2018, survey respondents say Executive Management is the leading BI driver.
Operations (which was the leading driver in 2016 and 2017), closely follows as the
second most likely driver of BI, followed by Sales (which moved ahead of Finance) as
the third most likely driver in 2018. Other departments that, at minimum, "often" drive BI
at least 40 percent of the time include Marketing, IT, and Strategic Planning. While
functional influence may roll up to a centralized program or strategy, we observe that BI
tactics and influence are widely distributed in organizations.
Figure 5 – Functions driving business intelligence
0% 20% 40% 60% 80% 100%
Manufacturing
Human Resources
Research and Development (R&D)
Competency Center/Center of Excellence
Strategic Planning Function
Information Technology (IT)
Marketing
Finance
Sales
Operations
Executive Management
Functions Driving Business Intelligence
Always Often Sometimes Rarely Never
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Functions Driving Business Intelligence 2013-2018
As noted in fig. 5, Executive Management supplants Operations as the leading driver of
business intelligence, though the two functions narrowly shifted order over time (fig. 6).
Also, Sales gains influence as a BI driver in 2018, as do Marketing, the BICC, and HR.
This second tier of role influence likely reflects more front-end control of BI strategy
execution and shorter cycles of decision support. R&D and Manufacturing also gain
influence in small degrees while other functions are flat or lower.
Figure 6 – Functions driving business intelligence 2013-2018
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
Functions Driving Business Intelligence 2013-2018
2013 2014 2015 2016 2017 2018
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Changes in Functions Driving Business Intelligence 2017-2018
Fig. 7 depicts another instructive view of year-over-year office and departmental
influence. Most notable in 2018 is a greater than 7 percent increase in influence among
Human Resources respondents (also the leading gainer in 2017). Marketing, the BICC,
and Sales gains also portend an increasing expectation of front-end BI execution.
Despite the attention shown to technology and process automation in 2018, BI influence
slips among IT and Strategic Planning respondents, albeit only slightly.
Figure 7 – Change in functions driving BI 2017-2018
-2.2%
-1.3%
0.0%
0.5%
1.1%
1.1%
2.7%
5.0%
5.1%
5.9%
7.3%
-4.0% -2.0% 0.0% 2.0% 4.0% 6.0% 8.0%
Information Technology (IT)
Strategic Planning Function
Finance
Operations
Manufacturing
Research and Development (R&D)
Executive Management
Sales
Competency Center/Center of Excellence
Marketing
Human Resources
Change in Functions Driving BI 2017-2018
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Functions Driving Business Intelligence by Major Geography
Functional influence of business intelligence varies interestingly by geography (fig. 8).
We note that Executive Management and Operations lead influence over time; but
notably, Sales emerges as the leading driver among Latin American and EMEA
organizations in our 2018 sample. Latin America and Asia Pacific report the greatest
executive influence, while Latin and North America report the most operations influence.
Finance is the next most likely to drive BI decisions across all geographies. Marketing
influence is strongest among Asia-Pacific respondents.
Figure 8 – Functions driving business intelligence by geography
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
Asia Pacific Latin America North America Europe, Middle East andAfrica
Functions Driving Business Intelligence by Geography
Executive Management Operations
Sales Finance
Marketing Information Technology (IT)
Strategic Planning Function Competency Center/Center of Excellence
Research and Development (R&D) Human Resources
Manufacturing
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Functions Driving Business Intelligence by Vertical Industry
The importance of various functional drivers of BI is somewhat predictable across
industries (fig. 9). In 2018, Executive Management leadership is greatest in Insurance
and Healthcare. Likewise, Operations influence is most prominent in Insurance,
Healthcare, and Retail/Wholesale organizations. Insurance, Retail/Wholesale and
Business Services often lead BI through sales. Education respondents are most likely to
drive BI through HR while Retail/Wholesale respondents are least likely to drive BI at
the human resource level.
Figure 9 – Functions driving business intelligence by industry
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5Executive Management
Operations
Sales
Finance
Marketing
Information Technology (IT)
Strategic Planning Function
Competency Center/Center ofExcellence
Research and Development(R&D)
Human Resources
Manufacturing
Grand Total
Functions Driving Business Intelligence by Industry
Insurance Manufacturing Financial Services Technology
Healthcare Education (Higher Ed) Retail and Wholesale Business Services
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Functions Driving Business Intelligence by Organization Size
Executive Management and Operations are the most likely drivers of business
intelligence in all enterprises with the exception of small organizations (1-100
employees) where Sales has the most influence (fig. 10). The net influence of Sales
generally decreases as organization size increases, while the influence of IT grows with
organization size. Executive and Operational influence is greatest in very large
organizations (> 10,000 employees), followed by mid-sized organizations (101-1,000
employees). The influence of Finance is also greatest at very large and mid-sized
organizations.
Figure 10 – Functions driving business intelligence by organization size
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
1-100 101-1,000 1,001-10,000 More than 10,000
Functions Driving Business Intelligence by Organization Size
Executive Management Operations
Sales Finance
Marketing Information Technology (IT)
Strategic Planning Function Competency Center/Center of Excellence
Research and Development (R&D) Human Resources
Manufacturing
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User Roles Targeted for Business Intelligence
In 2018 (as in our two most recent studies), executives and middle managers are the
most likely targeted users of business intelligence (fig. 11). By a wide margin,
executives are primary targets 65 percent of the time and not targeted only about 7
percent of the time. Like middle managers, individual contributors and professionals are
primary targets of BI almost 40 percent of the time and only somewhat less targeted as
secondary users compared to middle managers. Suppliers and partners are least often
targeted.
Figure 11 – Targeted users for business intelligence
0% 20% 40% 60% 80% 100%
Suppliers
Partners / Affliates
Customers
Line Managers
Individual Contributors andProfessionals
Middle Managers
Executives
Targeted Users for Business Intelligence
Primary Secondary Future plans No plans
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Targeted Users for Business Intelligence 2013-2018
In 2018, we observe a significant increase in the targeting of customers, individual
contributors, and to a lesser extent, line managers (fig. 12). At the same time,
designated targeting of middle managers decreases significantly year over year,
followed by a slight decline in executives. In our opinion, this demonstrates an
increasing democratization of business intelligence as it increasingly flows to historically
less well-served constituents.
Figure 12 – Targeted users for business intelligence 2013-2018
0%
10%
20%
30%
40%
50%
60%
70%
80%
Executives MiddleManagers
IndividualContributors and
Professionals
Line Managers Customers Suppliers
Targeted Users for Business Intelligence 2013-2018
2013 2014 2015 2016 2017 2018
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Targeted Users for Business Intelligence by Geography
Executives are the most likely targets for business intelligence across all geographies,
though Asia Pacific respondents place the highest secondary emphasis on middle and
line managers (fig. 13). Asia Pacific and Latin America account for a part of the surge in
customer BI enablement noted already. Unlike other geographies, North American
respondents are most likely to target individual contributors and professionals equally or
more than middle or line managers.
Figure 13 – Targeted users for business intelligence by geography
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
Asia Pacific North America Latin America Europe, Middle East andAfrica
Targeted Users for Business Intelligenceby Geography
Executives Middle Managers
Individual Contributors and Professionals Line Managers
Customers Partners / Affliates
Suppliers
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User Targets for Business Intelligence by Organization Size
Small organizations (1-100 employees), which tend to be flatter organizationally, most
often choose executives over other roles as targets for BI enablement (fig. 14). Small
organizations are also most likely to target customers. As we would expect,
organizations with more than 1,000 employees are more likely than others to target
middle and line managers, as well as individual contributors and professionals. Very
large organizations (> 10,000 employees) are most likely to target suppliers with BI
enablement.
Figure 14 – Targeted business intelligence users by organization size
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
1-100 101-1,000 1,001-10,000 More than 10,000
Targeted Users by Organization Size
Executives Middle Managers
Individual Contributors and Professionals Line Managers
Customers Partners / Affliates
Suppliers
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User Targets for Business Intelligence by Vertical Industries
In our 2018 sample, respondents in the Insurance industry are most likely to highly
target multiple constituencies of users with BI enablement, and this leading sentiment
extends to customers and lesser tiers of users as well (fig. 15). Business Services and
Technology are the industries next most likely to target customers. After Insurance,
Healthcare organizations are most active in middle-tier enablement of managers and
individual contributors. Like the aforementioned, Manufacturing, and Education
respondents are also likely to target individual contributors and professionals. Executive
targeting nonetheless leads across all industries.
Figure 15 – Targeted business intelligence users by industry
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
Targeted Users by Industry
Executives Individual Contributors and ProfessionalsMiddle Managers Line ManagersCustomers Partners / AffliatesSuppliers
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Objectives for Business Intelligence
In 2018, the non-specific goal of “making better decisions” remains atop our list of
business intelligence objectives (fig. 16). (We traditionally associate this goal with
organizations seeking general improvements wherever they may be found through the
use of business intelligence.) At the same time, a second tier of more quantifiable
objective emerged in "improved operational efficiency," "growth in revenues," and
"increased competitive advantage." While the overall finding is not industry specific, it is
worthy to note that "compliance/risk management" is the least likely "critical" driver of
business intelligence.
Figure 16 – Business intelligence objectives
0% 20% 40% 60% 80% 100%
Compliance / Risk Management
Enhanced Customer Service
Increased Competitive Advantage
Growth in Revenues
Improved Operational Efficiency / Cost Savings
Better Decision-Making
Business Intelligence Objectives
Critical Very important Important Somewhat important Unimportant
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Business Intelligence Objectives 2014-2018
As we noted, more notable growth in BI objectives comes in formerly secondary
concerns about customer service, revenue growth, competitive advantage and other
more quantifiable business imperatives (fig. 17). This may result from both the newer
directive and the ability to identify ROI in all investments including BI, and not just the
"soft" benefits of technology evolution. In demonstration of the importance of business
intelligence, the importance of all specified objectives increases year over year in sum
and in detail. (We added compliance/risk management in 2018).
Figure 17 – Business intelligence objectives 2014-2018
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
5.00
Better Decision-Making
ImprovedOperational
Efficiency
Growth inRevenues
IncreasedCompetitiveAdvantage
EnhancedCustomer
Service
Compliance /Risk
Management
Business Intelligence Objectives 2014-2018
2014 2015 2016 2017 2018
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Percent Change in BI Objectives 2017-2018
Fig. 18 shows another helpful view of year-over-year attitudes toward BI objectives.
Here we observe clearly that the BI objective of "enhanced customer service" gains the
most importance, followed by "growth in revenues" and "increased competitive
advantage." "Improved operational efficiency" (a topic that gained momentum in earlier
studies), grows at a slower rate, while "better decision-making" continues its upward
trajectory, but at the slowest rate of all BI objectives.
Figure 18 – Percent change in BI objectives 2017-2018
1.2%
2.8%
4.5%
5.4%
8.2%
0.0% 2.0% 4.0% 6.0% 8.0% 10.0%
Better Decision-Making
Improved Operational Efficiency /Cost Savings
Increased Competitive Advantage
Growth in Revenues
Enhanced Customer Service
Percent Change in BI Objectives 2017-2018
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Business Intelligence Objectives by Geography
“Better decision-making” is the most important BI objective across all geographical
regions in 2018, though by lower margins than we observed in earlier studies (fig. 19).
Overall results are somewhat similar across geographies. Excluding non-specific "better
decision-making," revenue growth and competitive advantage are most important to
Latin American respondents, while Asia-Pacific and North American respondents
posted slightly higher scores for better operational efficiency. Asia-Pacific respondents
also gave the highest degree of importance to enhanced customer service.
Figure 19 – Business intelligence objectives by geography
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
5
Asia Pacific North America Latin America Europe, Middle East andAfrica
Business Intelligence Objectives by Geography
Better Decision-Making Improved Operational Efficiency / Cost Savings
Growth in Revenues Increased Competitive Advantage
Enhanced Customer Service Compliance / Risk Management
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Business Intelligence Objectives by Function
In 2018, the importance of "better decision-making" is highest across all functions with
the exception of R&D, where "increased competitive advantage" earns the top priority
(fig. 20). The BICC and Operations are most likely to focus on issues of revenue growth
and customer service. As we might expect, "improved operational efficiency" resonates
strongly with Finance, IT, and Executive Management. Compliance/Risk Management is
the least important objective across all roles.
Figure 20 - Business intelligence objectives by function
00.5
11.5
22.5
33.5
44.5
5
Business IntelligenceCompetency Center
Executive Management
Finance
Information Technology(IT)
Operations (e.g.,Manufacturing, Supply
Chain, Services)
Research and Development(R&D)
Sales & Marketing
Business Intelligence Objectives by Function
Better Decision-Making Improved Operational Efficiency / Cost Savings
Growth in Revenues Increased Competitive Advantage
Enhanced Customer Service Compliance / Risk Management
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Business Intelligence Objectives by Vertical Industry
By industry, Insurance respondents give the highest mean scores for all BI objectives
(with emphasis on customer service) (fig. 21). Financial Services organizations report
the most tightly clustered importance and awarded high importance to “enhanced
customer service” and "compliance/risk management." Interestingly, Healthcare
respondents give above-mean scores to compliance, but are more interested in all other
objectives, led by "better decision-making." Business Services give the highest overall
score to "increased competitive advantage."
Figure 21 – Business intelligence objectives by industry
00.5
11.5
22.5
33.5
44.5
5Insurance
Financial Services
Retail and Wholesale
Technology
Healthcare
Business Services
Manufacturing
Education (Higher Ed)
Business Intelligence Objectives by Industry
Better Decision-Making Growth in Revenues
Improved Operational Efficiency / Cost Savings Increased Competitive Advantage
Enhanced Customer Service Compliance / Risk Management
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Business Intelligence Objectives by Organization Size
Organizations of different sizes all place the highest emphasis on "better decision-
making" with strong mean importance above "very important" (fig. 22). Improved
operational efficiency is the next most important objective at mid-sized organizations
(101-1,000 employees) and larger organizations. 2018 focus on "compliance/risk
management" importance tends to increase with organization size.
Figure 22 – Business intelligence objectives by organization size
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
5
1-100 101-1,000 1,001-10,000 More than 10,000
Business Intelligence Objectives by Organization Size
Better Decision-Making Improved Operational Efficiency / Cost Savings
Growth in Revenues Increased Competitive Advantage
Enhanced Customer Service Compliance / Risk Management
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Business Intelligence Achievements
New for 2018, we asked respondents to gauge their level of "BI achievements" as a way
of augmenting our longstanding and ongoing polling on "BI objectives" (fig. 23). By this
measure, we find some minor distinctions between intent and ongoing accomplishment.
In 2018, for example, the top two achievements ("better decision-making," "improved
operational efficiency") match the top BI objectives (fig. 17, p. 36), but "enhanced
customer service" is the third most cited achievement and perhaps easier to achieve
than the third most cited objective of "growth in revenues" (ibid). Over time, we expect
this polling will help identify some distinctions between specific organizational goals and
the difficulty of modeling and managing different processes successfully.
Figure 23 – Business intelligence achievements
0% 20% 40% 60% 80% 100%
Compliance /Risk
Management
IncreasedCompetitiveAdvantage
Growth inRevenues
EnhancedCustomer
Service
ImprovedOperationalEfficiency /…
Better Decision-Making
Business Intelligence Achievements
High Achievement Moderate Achievement Acceptable Achievement
Not Yet Attempted Not Yet Achieved
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Business Intelligence Achievements by Organization Size
Measured by organization size, respondents at all organizations find "better decision-
making" their most successful organizational BI achievement (fig. 24). Perhaps more
interesting, we observe that small organizations (1-100 employees) and, to a lesser
degree, mid-sized (101-1,000) organizations are more successful than larger peers at
achieving revenue growth and increased competitive advantage through BI. Both small
and very large organizations (>10,000 employees) are similarly successful at improving
operational efficiency. Finally, compliance and risk management achievement (success)
requirements are more often achieved as organization size increases.
Figure 24 – Business intelligence achievements by organization size
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1-1
00
10
1-1
,00
0
1,0
01
-10
,00
0
Mo
re t
han
10
,00
0
1-1
00
10
1-1
,00
0
1,0
01
-10
,00
0
Mo
re t
han
10
,00
0
1-1
00
10
1-1
,00
0
1,0
01
-10
,00
0
Mo
re t
han
10
,00
0
1-1
00
10
1-1
,00
0
1,0
01
-10
,00
0
Mo
re t
han
10
,00
0
1-1
00
10
1-1
,00
0
1,0
01
-10
,00
0
Mo
re t
han
10
,00
0
1-1
00
10
1-1
,00
0
1,0
01
-10
,00
0
Mo
re t
han
10
,00
0
Better Decision-Making
ImprovedOperational
Efficiency / CostSavings
EnhancedCustomer Service
Growth inRevenues
IncreasedCompetitiveAdvantage
Compliance / RiskManagement
Business Intelligence Achievements by Organization Size
High Achievement Moderate Achievement Acceptable Achievement Not Yet Attempted
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Penetration of Business Intelligence Solutions
In an ongoing (and positive) development, the penetration of business intelligence (as a
percentage of total employees) increases over the past four years (fig. 25). Percentages
of the lowest penetration (< 10 percent) fall from 34 percent to 30 percent in 2018, while
mid-tier (11-20, 21-40, 41-60 percent) all increase. At the highest levels of penetration,
the 61-80 percent segment grows slightly while the highest (> 81 percent) penetration
group declines slightly. The trending of this finding gives us some confidence that the BI
enablement and democratization we saw last year continues to show improvement.
Figure 25 – Business intelligence penetration 2015-2018
0%
5%
10%
15%
20%
25%
30%
35%
40%
Under 10% 11 - 20% 21 - 40% 41 - 60% 61 - 80% 81% or more
Penetration of Business Intelligence Solutions2015-2018
2015 2018
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Change in Penetration of BI Solutions 2017-2018
Year over year, increased BI penetration is greatest at the 21-40 percent level, where
there is 2.6 percent growth (fig. 26). We also see lesser growth in mid-tier levels of
penetration, while the highest level of growth declines slightly. The largest decrease is
at the lowest (< 10 percent) level, reflective of the aforementioned improvements in BI
penetration generally.
Figure 26 – Change in penetration of BI solutions 2017-2018
-1.3%
1.3%
1.3%
2.6%
0.9%
-4.7%
-6.0% -5.0% -4.0% -3.0% -2.0% -1.0% 0.0% 1.0% 2.0% 3.0%
81% or more
61 - 80%
41 - 60%
21 - 40%
11 - 20%
Under 10%
Change in Penetration of BI Solutions 2017-2018
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Expansion Plans for Business Intelligence Through 2021
Beyond current deployment, respondents describe bullish plans for expanding BI in
future time frames (we consider the 12-month period the most likely to be supportable
and budgeted) (fig. 27). In this context, respondents expect a decline in the sub-10
percent segment, and an increase in all higher levels of penetration in the coming 12
months. This 12-month finding includes significant growth at high penetration levels
above 41 percent. Extended time frame plans beyond 12 months are expected to
extrapolate higher levels of high BI penetration and lower levels of low penetration.
Figure 27 – Expansion plans for business intelligence through 2021
0% 20% 40% 60% 80% 100%
In 36 months
In 24 months
In 12 months
Today
Expansion Plans for Business Intelligence through 2021
Under 10% 11 - 20% 21 - 40% 41 - 60% 61 - 80% 81% or more
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Current Business Intelligence Penetration by Geography
Arguably the most mature among BI markets, North America leads penetration at the
highest (> 81 percent) level in 2018 (fig. 28). Penetration at or above the 41-60 percent
level, however, is slightly higher in EMEA. Asia Pacific respondents report the greatest
number of low-penetration (from less than 10 percent to 40 percent) BI users.
Figure 28 – Business intelligence user penetration today by geography
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
North America Latin America Europe, Middle Eastand Africa
Asia Pacific
Penetration of Business Intelligence Solutions Today by Geography
81% or more
61 - 80%
41 - 60%
21 - 40%
11 - 20%
Under 10%
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Planned Business Intelligence Penetration by Geography
A view of future BI plans by geography reveals distinctions but globally supports the
overall theme of growing expectations in 12, 24 and 36-month time frames (fig. 29).
North America and EMEA expect the most expansion at the highest (> 81 percent) level
in future time frames. Over time, Asia-Pacific respondents by far expect the largest
lingering constituencies of lower penetration (
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Current Business Intelligence Penetration by Function
In 2018, the most penetrated BI users by function are in Executive Management, the
BICC and IT (fig. 30). This tranche generally leads with the most numerous high level
and fewest low-level penetration of users. A second tier of Finance, Sales/Marketing,
Operations reveals noticeably more lingering low-level penetration but still holds distinct
pockets of users at the higher penetration levels. Somewhat curiously, R&D
respondents fare worst at both low and high levels of BI penetration.
Figure 30 – Business intelligence penetration today by function
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
ExecutiveManagement
BusinessIntelligenceCompetency
Center
InformationTechnology (IT)
Finance Sales &Marketing
Operations(e.g.,
Manufacturing,Supply Chain,
Services)
Research andDevelopment
(R&D)
Penetration of Business Intelligence Solutions Today by Function
Under 10% 11 - 20% 21 - 40% 41 - 60% 61 - 80% 81% or more
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Planned Business Intelligence Penetration by Function
All functions expect to see increased BI penetration over time (fig. 31). BICC and
Executive Management respondents expect the greatest improvements at varying
levels of penetration. Conversely, Operations respondents expect far larger cohorts of
low to mid-level BI penetration and very little BI penetration at the highest (>81 percent)
level. Notably, IT respondents expect greater future improvements than do
Sales/Marketing respondents.
Figure 31 – Expansion plans for business intelligence through 2021 by function
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
In 1
2 m
on
ths
In 2
4 m
on
ths
In 3
6 m
on
ths
In 1
2 m
on
ths
In 2
4 m
on
ths
In 3
6 m
on
ths
In 1
2 m
on
ths
In 2
4 m
on
ths
In 3
6 m
on
ths
In 1
2 m
on
ths
In 2
4 m
on
ths
In 3
6 m
on
ths
In 1
2 m
on
ths
In 2
4 m
on
ths
In 3
6 m
on
ths
In 1
2 m
on
ths
In 2
4 m
on
ths
In 3
6 m
on
ths
BusinessIntelligenceCompetency
Center
ExecutiveManagement
InformationTechnology (IT)
Sales &Marketing
Finance Operations (e.g.,Manufacturing,Supply Chain,
Services)
Expansion Plans for Business Intelligence through 2021 by Function
Under 10% 11 - 20% 21 - 40% 41 - 60% 61 - 80% 81% or more
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Current Business Intelligence Penetration by Vertical Industry
Both high and low levels of BI penetration vary inconsistently across different vertical
industries (fig. 32). In our 2018 sample, Insurance again provides the best overall result
with the greatest high level and lowest low-level penetration among industries.
Technology reports 40 percent of organizations with 41 percent or greater penetration,
while, by the same measure, Business Services reports 38 percent penetration.
Education and Manufacturing report the lowest overall penetration by weighted mean,
though "pockets" of penetration among certain specialist users in all industries color
these results.
Figure 32 – Penetration of business intelligence solutions today by industry
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Penetration of Business Intelligence Solutions Today by Industry
Under 10% 11 - 20% 21 - 40% 41 - 60% 61 - 80% 81% or more
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Planned Business Intelligence Penetration by Vertical Industry
In our 2018 sample, expansion plans for business intelligence vary unevenly by industry
(fig. 33). Insurance respondents, already with the fewest low-penetration users, expect
to carry that forward and increase penetration most dramatically at high levels.
Technology and Business Services make up a clear second-best tier of future
expectations while Education respondents expect only modest gains in BI penetration in
coming time frames.
Figure 33 – Expansion plans for business intelligence through 2021 by industry
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Expansion Plans for Business Intelligence through 2021 by Industry
Under 10% 11 - 20% 21 - 40% 41 - 60% 61 - 80% 81% or more
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53
Current Business Intelligence Penetration by Organization Size
As we reported in every year of our study, small organizations of one to 100 employees
have higher BI penetration than larger peers (fig. 34). While overall headcount almost
ensures this score, we also expect small organizations, likely to be newer and
comprised of more information workers, would find fewer barriers of cost or deployment
and more immediate benefits than larger and older companies. As we saw in earlier
studies, very high penetration rates tend to decrease with organization size, while low
penetration rates tend to linger.
Figure 34 – Penetration of business intelligence solutions today by organization size
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1-100 101-1,000 1,001-10,000 More than 10,000
Penetration of Business Intelligence Solutions Today by Organization Size
81% or more
61 - 80%
41 - 60%
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Under 10%
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Planned Business Intelligence Penetration by Organization Size
Along with being the most penetrated BI users today, small organizations (1-100
employees) have the steepest expectations for high future BI penetration in coming time
frames (fig. 35). Though less aggressive, mid-sized organizations (101-1,000
employees) expect the next highest number of highly penetrated (> 60 percent) user
audiences. Large and very large organizations (> 10,000 employees) have somewhat
lower expectations (which may be colored by large global headcounts not considered
audiences for business intelligence).
Figure 35 – Expansion plans for business intelligence through 2021 by organization size
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Expansion Plans for Business Intelligence through 2021 by Organization Size
81% or more
61 - 80%
41 - 60%
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Under 10%
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55
Chief Data and Chief Analytics Officers
Beginning in 2016, we asked our audience whether their organization had appointed a
chief data officer (CDO) or chief analytics officer (CAO). We understand that these
appointments can cause significant changes in the technology and business
architecture of organizations and also that these roles and titles are relatively new, fluid
by definition, and evolving.
Enterprises with Chief Data or Chief Analytics Officers
The ongoing uptake and longevity of chief data and chief analytics officers is quite
modest but growing over time. Fewer than 15 percent of respondent organizations have
a chief data officer and only about 10 percent have a chief analytics officer (fig. 31). In
both cases, the largest groups of adopters have had a CDO or CAO either five years or
longer or from 3 to 5 years. In the last year, more CDOs have been appointed than
CAOs. Over three years of study, momentum is somewhat in favor of the former as the
preferred role/title.
Figures 36 – Enterprises with chief data or chief analytics officers in place
75% 80% 85% 90% 95% 100%
Chief AnalyticsOfficer (CAO)
Chief DataOfficer (CDO)
Enterprises with Chief Data or Chief Analytics Officers in Place
Don't have one For less than 1 year 1 -3 years 3 - 5 years More than 5 years
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Plans to Implement Chief Data or Chief Analytics Officers
Among the large majority of organizations that have no CDO or CAO, adoption plans for
coming time frames are modest and similar for both roles (fig. 37). Just 5 percent of
organizations say they will name a CDO this year (3 percent will name a CAO), and 11
percent or less will name a CDO or CAO either this year or next. Two-thirds or more of
all organizations currently have no plans to appoint either title.
Figure 37 – Plans to implement Chief Data or Chief Analytics Officer Roles
0% 20% 40% 60% 80% 100%
Chief AnalyticsOfficer (CAO)
Chief DataOfficer (CDO)
Plans to Implement Chief Data or Chief Analytics Officer Roles
This Year Next Year Distant Future No plans
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Effectiveness of Chief Data or Chief Analytics Officers
We asked respondents to describe the effectiveness of a chief data officer or chief
analytics officer in their organization (fig. 38). By this measure, we find that CAOs are
viewed as more effective in their roles than CDOs. More than 20 percent of CAOs are
"highly" effective compared to 17 percent of CDOs. Likewise, CAOs are only about half
as likely (13 percent) as CDOs (25 percent) to have "low" effect on their organization. In
total, however, between 79 and 82 percent of CDOs and CAOs have, at least
"moderate" effectiveness, which indicates that the presence of a CDO or CAO definitely
creates broad workforce awareness and a more noticeable approach to data and
analytics that likely brings more organizational focus.
Figure 38 – Effectiveness of Chief Data and Chief Analytics officers
0% 20% 40% 60% 80% 100%
CAO
CDO
Effectiveness of Chief Data and Chief Analytics Officers
Low Moderate High
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Business Intelligence Achievements by Presence of CDO
We asked respondents to describe the degree of achievement of BI objectives in the
presence of a chief data officer (fig. 39). This question also addresses impact
regardless of the tenure of the CDO. Across all objectives/achievements we study,
organizations with a CDO fare better than those without. In 2018, about half of
respondents with a CDO report a "high" achievement of "better decision-making"
com