The Business Intelligence Blog

Business Objects is now officially into Predictive Analytics with its new tool Predictive Workbench and that’s a good news. Read more from Infoweek.

Business Objects on Wednesday announced Predictive Workbench, a new module for its business intelligence platform that lets businesses make predictions about such things as customer behavior and business performance. The module, based on technology from SPSS Inc., is the latest example of a traditional BI company looking to move beyond its expertise in reporting and analysis tools.

Predictive Workbench is the result of an OEM deal Business Objects struck last December to offer SPSS’s technology. IBM (NYSE: IBM)’s Cognos struck a similar deal with SPSS in March, and also plans to integrate IBM-developed predictive analytics within Cognos. Both efforts take a direct competitive shot at SAS Institute, by far the market leader in predictive analytics.

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Since the December OEM deal, Business Objects has worked to integrate the SPSS technology, called Clementine, into Business Objects X1 3.0 so that it’s “totally transparent and seamless for customers,” said Franz Aman, VP of BI product marketing. The result is Predictive Workbench, from which a user can launch the Business Objects Universe metadata layer to run predictive analytics against various databases and data warehouses. Business Objects will disclose the price of the module only to interested customers, Aman says.

A must read article for BI entusiasts on the recent consolidation of the BI industry. Well researched and informative article by Stuart Lauchlan, MyCustomer.com.

Still, it’s encouraging that the BI market is still showing signs of life after a period of considerable turmoil and consolidation over the past two years with IBM, Oracle and SAP swallowing up Business Objects, Cognos and Hyperion Solutions. Since March 2007, the three enterprise giants have dished out $15 billion to bolster their BI credentials. Oracle offered $S3.3 billion for Hyperion, SAP pitched $6.8 billion for Business Objects while picking up Cognos cost IBM $5 billion.

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Another development is the blurring of boundaries as BI starts to encroach on other technology areas. For example, Forrester Research cites the merging of BI and search technologies to provide business people with better context and information to make daily decisions. “As search and BI get ever closer, the lines could eventually blur to the point of simply going away,” said Forrester in its ‘Search + BI = Unified Information Access’ report. “This will help bridge the artificial system boundaries between structured data and unstructured content. It will not only affect the interfaces we use to search for, discover, analyse, and report on what we need to know, but help us learn more about what we don’t know.”

This is one of the immediate advantages of convergence between BI and search - the ability to discover things you didn’t know you didn’t know. Forrester noted: “As search gets more powerful and begins to understand the meaning behind unstructured text, entity extraction and other linguistic analysis methods will be able to be used to reveal unforeseen and highly illuminating connections among documents or between documents and data.”

Here’s a follow-up to the previously posted series, Breakthroughs in Analytics, from Tech News World.

In the latest update, Ned Madden talks about the various tools and vendors in the Analytics domain. Read more.

Today’s software packages are much more focused on the actual application of analytical approaches to specific types of decision problems and specific types of industries, according to Anthony Milano, GMI’s VP of professional services.

“In the old days, tools were typically very general purpose in nature,” Milano told TechNewsWorld. “Now, oftentimes, tools are much more focused on helping users solve specific types of problems in business verticals and industries.”

Vendors are even adapting their core analytical engines to specific needs by creating a packaged solution that includes a version of the engine, analytic models, processes, methodologies, add-ons and extensions that allow the product to solve a very specific need, Milano said.

“Importantly, this type of solution minimizes the amount of time required to solve the problem and makes it easier for the client to get the job done without requiring a deep topic expert,” he added. “In effect, these packaged solutions embed the expertise in the solution.”

Milano stressed the importance of analytics solutions that are provided under the rental model from an application service provider (ASP) as Software as a Service (SaaS).

“These software delivery models have proved to be very cost-effective and efficient for customers, particularly when all the costs of owning and installing your own software are understood,” he said.

You can check out the list of Top 100 Most Influential Technology Vendors for 2008 as anounced by the Aberdeen Group.

My takeaway was that the Top 4 vendors [Microsoft, Oracle, SAP and IBM] of this list are already biggies in the Business Intelligence world. And that’s another evidence that BI is the way to go in the coming years.

With the new thoughtful and successful buy of Business Objects, this was an inevitable move by SAP. And I’m sure its helping to better focus on their flagship products.

The ERP (enterprise resource planning) vendor gained a raft of BI (business intelligence) capabilities through its $6.8 billion purchase of Business Objects, but the deal also created significant overlap, especially in performance management tools. Much of that overlap was caused by acquisitions made by both companies before the deal. Those included SAP’s purchase of Pilot Software and OutlookSoft, and Business Objects’ acquisitions of ALG, SRC and Cartesis.

Some of those decisions have now been made, said John Schwarz, CEO of the former Business Objects, who is now in charge of BI at SAP. Analysts said they expect further cuts to follow in other product areas.

“They were obviously difficult [decisions], in the sense that each product has customers, each has its merits, each has a team that’s passionately committed to it, so the debates, as you might imagine, were fairly heated,” Schwarz said in an interview at SAP headquarters on Wednesday.

Read more at InfoWorld.

From Fox Business

Comparing a peer group of BI products reviewed in The BI Survey 7, the customer loyalty scores were as follows:

Overall Customer Loyalty Score
MicroStrategy .846
Cognos Reporting .725
Cognos Analysis .653
BusinessObjects .641
SAP BW .641
Oracle Hyperion Essbase .565

“It is a remarkable achievement that MicroStrategy was rated number one in customer loyalty for the fourth year in a row,” said Nigel Pendse, author of The BI Survey 7. “As in the past, the Survey found that well-known vendors with growth strategies based on acquisitions covering the entire BI spectrum have low, and in some cases declining, customer loyalty. MicroStrategy, with its single product architecture and organic growth, was at the top once again. The fact that no other product has achieved such high levels of consistency suggests that MicroStrategy’s customers are extremely loyal and see no alternative to the product.”

Yes, all the ones whom you think about are there. No Misses. Good Going !!

Read More about each of these vendors on the story.

There are 9 vendors on the core list for 2008, same number as last year. This may surprise some people after all of the mergers and resulting consolidation of 2007. The fact is that some vendors that were not on this list before have now made it because of their acquisitions. Therefore, while the number is the same, the names of the vendors on the list have changed quite a bit. In addition, some smaller vendors that have been around for awhile have broadened their product set or customer base or both and now merit inclusion. Here now, in alphabetical order, are the core performance management vendors for 2008.

Adaptive Planning
Clarity Systems
IBM/Cognos
Infor
Longview systems
Microsoft
Oracle
SAP
SAS

Should try to get my hands on this next version soon. Seems like a fine platform.

Here’s more from the official press release -

Business intelligence has traditionally focused on the most easily obtainable data: process-centric ‘structured’ information – numbers and text stored in internal databases – analyzed by a select group of data analysts and shared among slices of isolated user communities. With BusinessObjects XI 3.0, all information will be accessible to people throughout the organization and their extended business network. According to a recent survey of 154 global C-level executives conducted by the Economist Intelligence Unit (EIU) and commissioned by Business Objects, less than one in 10 corporate executives believe they have the right information needed to make critical business decisions. BusinessObjects XI 3.0 gives businesspeople the confidence to know their data is clean, and the ability to link it back to its source, so information is easily auditable, accurate and trustworthy.

BusinessObjects XI 3.0 is the first and only BI platform with integrated text analysis, allowing the thoughts and opinions of customers and other people found in unstructured sources such as the Web, notes fields and emails to be easily incorporated into business intelligence and decision making. BusinessObjects XI 3.0 also provides the first platform that delivers BI-ready consumable external information on demand, from the de facto leader in software-as-a-service (SaaS) BI. For example, by using BusinessObjects XI 3.0-ready reports and metrics from sources such as Thomson Financial and Dun & Bradstreet, organizations can compare and track key performance metrics against their direct competitors and the overall market.

And that a welcome thing. Congrats BO !!

From the press release -

As a first indication of the successful pace of integration of the two companies, SAP AG (NYSE: SAP) and Business Objects S.A. (NASDAQ: BOBJ) (Euronext Paris: ISIN code FR0004026250 - BOB) today revealed nine joint product packages, available this month, that will be sold by both organizations’ global sales teams. These packages were chosen to address the most common challenges facing business users from the C-suite to Main Street, which include: gaining better business insight, improving company performance and ensuring compliance with corporate governance policies. These packages will allow companies to license, install, and manage solutions from SAP and Business Objects in a single IT investment transaction.

The companies detail these new product packages in conjunction with today’s announcement acknowledging the next steps in SAP’s successful acquisition of Business Objects (see press release entitled “SAP and Business Objects Unite to Lead Emerging Market for Business Performance Optimization.”) With a broad showing of support from shareholders and business partners, SAP and Business Objects now embark on a road map to expand their wide lead in the market of software for business users into leadership in the emerging market for business performance optimization.