INTRODUCTION
"Knowledge arises when an entity carries out the perception that its own experience and capacity has given it the possibility of interpreting information that it is receiving at a given moment" (Zapata-Cantú, L., 2004)
After the 80's decade, the exponentiation of the information and databases that companies have, was very important today, most of the organizations have information systems to carry out their activities, however a study carried out in Europe says that information systems are lacking in important decision-making. (Rosado, A., 2010)
One of the most used weapons today by organizations to become more competitive is business intelligence, this technique is made up of computer tools in search of adequate information management (Muñoz-Hernández, H., 2016)
The knowledge of the organizations processed and administered through information systems, in innovation and decision-making processes substantially increase business competitiveness (Ahumada Tello & Perusquia Velasco, 2016)
KNOWLEDGE IN ORGANIZATIONS
The value of knowledge can be considered as the capacity of competitiveness, this is the capacity that the organization has to create quality goods and services, in the specific case of information it is to produce adequate knowledge to facilitate decision making (Araya, S., 2004)
The knowledge housed in organizations is the most difficult characteristic to copy and is a fundamental part of an advantage over competitors, the theory known as Knowledge based view expresses that organizations represent a mass of information, which, when properly processed, will generate knowledge and hence competitive advantage. (Berg de Valdivia, c., 2007)
“The emergence and increasing importance of knowledge as a factor of production make the development of technologies, methodologies, innovation and strategies for its measurement, creation and dissemination a priority for organizations in the new name of society of the knowledge ”(Michelo, E. & Hidalgo, A., 2008)
BUSINESS INTELLIGENCE PART OF COMPETITIVENESS
Thanks to knowledge management, intelligence is born in business, where computer and administrative tools, strategies and certain actions are integrated for proper management of the organization's data (Ahumada Tello & Perusquia Velasco, 2016), due to the fact that In an increasingly competitive market, all organizations must maximize the resources they have in order to have greater differentiation from their competitors.
The way in which senior management makes its decisions is based on a certain generally pre-established methodology, full of processes and policies.
It is very important to emphasize that business intelligence is a completely different topic from that of storage capacity, BI (Business Intelligence) uses information technologies for the best use of data (Muñoz-Hernández, H., 2016)
BI FEATURES AND BENEFITS
The BI process has some basic characteristics among which stand out:
- All the input information called data is completely irrelevant independently, however when it is combined with other data it becomes important information, capable of helping in decision-making. Relevance, purpose and context are characteristics of the information generated.To generate knowledge, elements such as: data, experience and values are gathered (Muñoz-Hernández, H., 2016)
BIs are divided into three basic sections:
- Support to business processes at the operational level. It is used basically only as a means of support in the control of goods, payroll, etc. Support in decision-making at the tactical level. They are carried out by information systems, in this case if they provide adequate information for decision-making, supporting competitive advantage. This section seeks to find an advantage over its competitors, based on BI such as electronic commerce (O´Brien, J., 2006)
The benefits that are acquired through this technique are:
- Tangible benefits: The greatest performance of the times is achieved, also making a minimization of the costs. Intangible benefits: If the information generated is used in decision-making, it will have more users in the future. Strategic benefits: These are the decisions made at senior management level. (Cano, J., 2007)
BUSINESS MANAGEMENT MODELS
These models are carried out properly thanks to the development of business intelligence, it must be taken into account that all models are designed to analyze, locate, describe, explain and try to predict the behavior of any phenomenon and its components, that is, they will take relevance according to the type of approach to which it refers, in this case the intangible value of organizations (Ahumada Tello & Perusquia Velasco, 2016)
MODEL OF THE EUROPEAN FOUNDATION FOR QUALITY ADMINISTRATION (EFQM)
This model highlights the importance of knowledge and innovation, as well as learning, it aims to frame a methodology that collaborates with organizational development and the fulfillment of objectives.
This model is described in such a way that it is understood that the generation of knowledge is carried out bilaterally, generating intelligence in business, it concretely presents leadership that is based on results, without losing sight of customers, their alliances, resources, including the impact it generates in society, raising the quality of the goods offered, all under knowledge management.
The representation of the model is shown below. (EFQM, s / f):
EFQM and BI model Source: (EFQM, s / f)
INTELLECT MODEL
This model focuses on the measurement of the organization's intellectual capital, which offers information of interest to senior management in decision-making, as well as bringing the implicit value of the company closer to its market value, reporting on its sustainable results and continuous improvement (Kaplan & Norton, 1996)
Intellect and BI Model Source: (Kaplan & Norton, 1996)
COMPREHENSIVE CONTROL PANEL MODEL
This is a model that indicates the real situation of the organization through an analysis of intangible assets, using financial indicators, in the case of intangible values such as knowledge, they also have the possibility of being included, (Norton & Kaplan, 2014) among its main functions are:
- Possess an adequate and clear vision and organizational strategy. Raise the level of organizational communication, communicating the objectives set to all those involved. Define the strategies. Collaborate so that decision-making is easier.
For the purposes of the last point described, it is based on four main indicators that are customer perspective, internal perspective, financial perspective and learning perspective, which will lead the organization to a strategic vision
In the case of the learning perspective, it is the adaptation of business intelligence to processes, reinforcing the use of knowledge.
Learning and use of knowledge Source (Norton & Kaplan, 2014)
MODEL OF RESOURCES OF THE ORGANIZATION.
It is better known as "Enterprice Resource Planning" and it is a system that tries to control the information carefully.
This system includes some other information systems, such as CMR and SCM, one of its main functions is to synchronize the activities carried out by the organization internally to maximize its resources (Muñoz-Hernández, H., 2016)
Other authors comment that:
This business system can contain several modules since they share the same database; It is like this: production management, customer management, purchasing, accounts payable and receivable, general accounting, invoicing, inventory management, human resources, payroll or any other function that has to be carried out within the company. (Dominguez & Garrido, 2009).
From which the following pictogram is displayed for a better understanding
ERP Resource Planning System
Source: (Dominguez & Garrido, 2009)
This system integrates all the information in a single module, it is done in this way to avoid duplication of information between the different existing departments. This system has some drawbacks for example:
- Economic type. In which the vast majority of organizations are not prepared to bear such a high expense. Cultural type. Paradigms and customs are not easy to break even if the company is willing to do so. In implementation. Derived from the unique characteristics of each individual, the system will be embraced at different speeds and efficiencies, this can generate the wrong feeling of power on the part of some collaborators that results in hiding or denying information to their colleagues (Muñoz-Hernández, H., 2016)
Some advantages that ERP has are:
- Exchange of information with all the departments of the company, as well as with related companies. The communication technology used is based on the Internet. ERP is considered one of the most competitive systems. Having information from each one of the departments, a broader vision of the situation of the organization is elaborated. The processes have flexibility and agility, especially those of the supply chain. Customer service is improved considerably, due to the exchange of information. (Otero, 2014)
AGILE BI GOVERNANCE
This is a term that mixes architectures, tools, suitable methods to implement BI combined with IT concepts, tries to control the characteristics of a company to implement control methods, Agile BI Governance presents four key values, however everything may or may not be included in a certain organization depending on its characteristics. (Rosado, A., 2010)
- Continuous adaptability. It is a fact that uncertainty and constant change are present in any decision-making system, so this system will have to change the analytical point of view. Joint work. The computer and communication systems are operated by a specific user who will be responsible for the development of BI. Flexible hierarchies. Within this program there are these hierarchies which are responsible for encouraging the movement of information. People before processes. Giving people the information that will be part of the process is placed in order of priority.
In summary, it can be said that BI constitutes a new way of managing information from all the emission sources of an organization. One of its objectives is to help make sound decisions. BI can be implemented in different sectors of the organization., to achieve business competitiveness.
BIBLIOGRAPHIC REFERENCES
- Ahumada Tello, E., & Perusquia Velasco, JMA (2016). Business intelligence: strategy for developing competitiveness in technology-based companies. Accounting and Administration, 61 (1), 127–158. https://doi.org/10.1016/j.cya.2015.09.006Araya, S. (2004). Information systems and their interaction with the cultural dimension of organizations. Industrial Engineering Magazine.Berg de Valdivia, c. (2007). Knowledge management to improve the competitiveness of telecommunications companies. National University of Engineering, Lima, Peru.Cano, J. (2007). Business Intelligence: Competing with Information.Dominguez, SJA, & Garrido, JAM (2009). The management of information systems in the company / The Management of Information Systems in the Enterprise:Theory and Case Studies / Theory and… Economics and Business) (3 edition). Piramide Ediciones Sa.EFQM. (s / f). European Foundation For Quality Management. Retrieved on May 13, 2017, from http://www.efqm.org/homeKaplan, RS, & Norton, DP (1996). The Balanced Scorecard: Translating Strategy into Action (Edition: 1). Harvard Business Review Press. Michelo, E., & Hidalgo, A. (2008). Knowledge and Innovation. UNAM- Plaza.Muñoz-Hernández, H. (2016). Business intelligence, key to success in the information age. Clío América.Norton, D., & Kaplan, R. (2014). The Balanced Scorecard: The balanced scorecard. Management 2000. O'Brien, J. (2006). Management information systems (7th ed.). Mexico: McGraw Hill Interamericana, Otero, MF (2014). Customer relationship management systems in companies.Alcalá de Henares: University of Alcala. Publications Service, Rosado, A. (2010). Business intelligence. Technological University of Pereira, Zapata-Cantú, L. (2004). The determinants of knowledge generation and transfer in small and medium-sized companies in the information technology sector in Barcelona. Autonomous University of Barcelona.
