Business Intelligence/Data Warehouse, 1 Ben MartinBA Lörrach, WI 4.Semester 4/21/2002 DW - Course...

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Ben Martin BA Lörrach, WI 4.Semester 4/21/2002 Business Intelligence/Data Warehouse, 1 DW - Course Overview I Course Objectives I • Motivation ! • Ziele • Limits

Transcript of Business Intelligence/Data Warehouse, 1 Ben MartinBA Lörrach, WI 4.Semester 4/21/2002 DW - Course...

Page 1: Business Intelligence/Data Warehouse, 1 Ben MartinBA Lörrach, WI 4.Semester 4/21/2002 DW - Course Overview I Course Objectives I Motivation ! Ziele Limits.

Ben Martin BA Lörrach, WI 4.Semester 4/21/2002

Business Intelligence/Data Warehouse, 1

DW - Course Overview I

Course Objectives I

• Motivation !

• Ziele

• Limits

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Business Intelligence/Data Warehouse, 2

DW - Course Overview IIVoraussetzungen

• Unternehmensaufbau- Organisation/Hierarchien und Entscheider

• Projektmanagement -Methoden

• SW-Entwicklung -Methoden

• Datenbanken (relationale, obektorientierte)- Datenbank Transaktion- Entity-Relation-Ship Modell- Normalisierung- Schluessel/Indexe

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DW - Course Overview III

Methodik der Wissensvermittlung

• Vorlesung Folien

• Gespräch (Frage/Antwort)

• Video

• Übung (?)

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DW - Course Overview III Information Sources

•Vorlesungsmaterial BA-Loerrach

•Vorlesungsmaterialien von anderen Instituten

• Internet:-http://www.competence-site.de (Competence Center BI)-http://www.datawarehouse.com-http://www.intelligententerprise.com

• Eigene Kurse und Trainings

• Meine eigenen Erfahrungen innerhalb eines DW Projektteams

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DW- Gliederung des Kurses I

Tag 1 Business Intelligence

• Eine Begriffsbestimmung

Current Business Dynamic• Business Trends

Introduction into Data Warehousing• OLTP-Data Warehouse• The Big Picture • Data Warehouse und verwandte Konzepte

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DW- Gliederung des Kurses II

The Business Value of a Data Warehouse• Einsatzbeispiel 1• Customer Relationship Management• Einsatzbeispiel 2

Zusammenfassung Tag 1• Did we meet the objectives ?• Your feedback is welcome ?

Tag 1

cont.

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DW- Gliederung des Kurses IIIReview Tag 1

• Ausblick Tag 2

Data Warehouse Glossery• Data Warehouse Definition• Extract, Tarnsportation & Tarnsformation Process (ETT)• Star & Snowflake Schemas & Anatomy • Data Marts• Online Analytical Processing (OLAP & Access Architectures)• Data Mining

Tag 2

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DW- Gliederung des Kurses IVTag 2

cont. Data Warehouse Architecture• Zentrale Komponenten - Overview• Besprechungswürfel

DW Daten-Sicht• Input Daten, interne und externe• Daten im Kernsystem• Output-Daten

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DW- Gliederung des Kurses VTag 3

Data Warehouse Analysen• Queries und Berichte• Data Mining

Data Warehouse Projects• Business Requirements - Who buys a Data Warehouse ?• Methods• The Project Team• THINK BIG, start small !• DW Projekt deliverables

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DW- Gliederung des Kurses VITag 3

cont. Data Warehouse Projects• Logische Data Warehouse Modellierung• Is an Enterprise Data Warehouse always the right answer ?• Benefits, Risks and Weaknesses, Avoiding pitfalls• Examples

Wrap-up Session• Weiterfuehrende Tehmen• Literatur, Links, Präsentationen, • Did we meet the objectives ?• Your feedback is welcome !• Klausur

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DW- Gliederung des Kurses VII

Course Objectives II

• You should be able to describe the Data Warehouse terminology and the concepts

• You can identify Data Warehouse components and processes and also explore warehouse styles

• You’ll be in a position to recognize requirements and limitations of DW architectures and implementation approaches

• You may specify the tools that may be used at each phase of the DW development life cycle

• You can discuss DW modeling concepts

• You have to explain why DW are popular business solutions

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DW- Gliederung des Kurses VIII

Course Objectives II

But: It’s just a starting point, during your careers (as consultant, as project manager) you’re going to face situations where you have to go back to the books and the courses ….

And here is the message:

We‘ll need you ! We‘re waiting for you ! We trust in your skills and potentials !

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Business IntelligenceEine Begriffsbestimmung

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Business IntelligenceEine Begriffsbestimmung

Wissen - Intelligence ?

Intelligence (engl):1. Intelligenz, Klugheit, Verstand2. rasche Auffassungsgabe, Scharfsinn3. Einsicht, Verständnis4. Mitteilung, Auskunft 5. Nachrichtendienst bzw. Nachrichtenwesen

BI = Wissens Entdeckungsprozess

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Business IntelligenceEine Begriffsbestimmung Business Intelligence bezeichnet

- den analytischen Prozeß,

- der – fragmentierte – Unternehmens- und Wettbewerbsdaten

- in handlungsgerichtetes Wissen

- über die Fähigkeiten, Positionen, Handlungen und Ziele

- der betrachteten internen oder externen Handlungsfelder (Akteure und Prozesse) transformiert

Martin Grothe, Peter Gentsch, „Business Intelligence, AusInformationen Wettbewerbsvorteile gewinnen“, Addison-Wesley 2000

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Business IntelligenceEine Begriffsbestimmung

Diese Definition von Business Intelligence betont besonders, dass Business Intelligence keine feste Größe ist, sondern im Wesentlichen einen Prozess kennzeichnet

Prozessphasen:

1. Bereitstellung quantitativer und qualitativer, strukturierter oder unstrukturierter Basisdaten.

2. Entdeckung relevanter Zusammenhänge, Muster und Musterbrüche oder Diskontinuitäten gemäß vorbestimmter Hypothesen oder hypothesenfrei.

3. Teilen und Nutzung der gewonnenen Erkenntnisse zur Stützung von Maßnahmen und Entscheidungen.

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Business IntelligenceEine Begriffsbestimmung

Für die unterschiedlichen Aufgaben und Anforderungen des "Wissens-Entdeckungsprozesses" stellt Business Intelligence Informations- und Kommunikationssysteme zur Verfügung.

Im folgenden werden für die Bausteine des Business Intelligence die jeweiligen Instrumente und Infrastrukturen vorgestellt.

Entscheidend ist, dass die Instrumente eine intuitive, anwenderfreundliche Nutzung erlauben.

Die Instrumente sollen ja gerade den Umgang mit der Komplexität der Realität vereinfachen

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Business IntelligenceEine Begriffsbestimmung

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Die Werkzeuge werden unterschieden:

- ob sie der Bereitstellung von Daten dienen, - oder der Entdeckung von Beziehungen, Mustern oder Prinzipien - oder der Kommunikation der entdeckten Zusammenhänge.

Weiterhin kann unterschieden werden, - ob es sich um quantitative - oder eher um qualitative Ausprägungen handelt und - ob die Daten strukturiert oder unstrukturiert sind.

Hinsichtlich des Entdeckungsprozesses kann unterschieden werdenzwischen - einem hypothesengestützen - oder hypothesenfreien Ansatz bei der Analyse.

Business IntelligenceEine Begriffsbestimmung

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Business IntelligenceEine Begriffsbestimmung

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Business IntelligenceEine Begriffsbestimmung

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Business IntelligenceBusiness Intelligence Anwendungen

Typische Branchen für sog. Business Intelligence Anwendungen

Handel / KonsumgüterindustrieVersorgungsunternehmenBanking / VersicherungenAutomobil-Industrie / Aerospace & DefenseelekomunikationMedienindustrieHealth CareImmobilienmanagementPublic Sector

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Typische BI Anwendungen

Customer Relationship Analytics

MarktpotentialanalyseMarketing (Kampagnen, Kennzahlen) Aktivitäten und Opportunities (Kundenpflege)Web-based Mangement (Besucher, Banner)Mobile Sales (Aussendienst)AngebotserfolgskontrolleProdukt- und KundenanalysenRetention Management (Kundenbindung)

Business IntelligenceBusiness Intelligence Anwendungen

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E-AnalyticsE-Site-Analytics (Verweildauer, Anzahl Hits, Aktionsdauer)E-Business Analytics (Ereignisse, Artikel)

Supply Chain AnalyticsSupply-Chain-Planung und OptimierungE-Procurement (B2B), BestandsführungProduktionsplanung und –steuerungInstandhaltungs- und Qualitätsanalyse

Business IntelligenceBusiness Intelligence Anwendungen

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Financial AnalyticsCost-ManagementErgebnis-, Marktsegmentrechnung und

Profit-Center-RechnungFinanzbuchhaltungCash-ManagementReisemanagementInvestitionsmanagementProjektmanagementKonsolidierung

Business IntelligenceBusiness Intelligence Anwendungen

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Strategic Enterprise ManagementUnternehmenssimulationenPlanszenarios

Human Capital ManagementPersonaladministrationPersonalbeschaffungVeranstaltungsmanagementPersonalentwicklungVergütungsmanagementOrganisationsmanagementZeitwirtschaftPersonalabrechnung

Business IntelligenceBusiness Intelligence Anwendungen

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Current Business Dynamic

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Current Business Dynamic

Develop Market Awareness (Bewusstsein)-without this they are unable to move with the market

Responsiveness (Entgegenkommen)-as these market forces work and change, it is critical the company responds just as quickly so it can stay on track an on top

Adaptability (Anpassungsfaehigkeit)-the organization must adapt (anpassen) to each small and large change in the environment

Consequences for the Companies

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Current Business Dynamic

Innovation-the company must take the most of innovative ideas-and should nurture (erziehen,beguenstigen) innovators throughout (ueberall) the organization

Efficiency (Effizienz)

Quality-Poor quality products and services will churn (zum schaeumen bringen) customers faster then anything else

Consequences for the Companies cont.

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The Profit Dimension (Value Exchange)

-essentially there are only three ways of increasing the profitability of a company

-get more customers-keep customers longer-sell them more (or at least more profitable products)

-there is an assumed fourth way as well: this is by not attracting to your organization or retaining (behalten) those customers that are not profitable

Current Business DynamicBusiness forces in the 90’s

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The Channel Dimension – Disintermediation (Einlagenabzug)

-Cut out the Middle Man !-Bookseller – Author-Internet Based Supermarket - Wholesaler (Grosshaendler)

Current Business DynamicBusiness forces in the 90’s

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Current Business DynamicBusiness forces in the 90’s

Customer Dimension – Disaggregation (Zerfall)

-Customer is King !

-All customers are not equal – some will make you money others will lose you money

-The first step to enhancing the on organization focus is to differentiate customers:

-Ideally this differentiation should be based on profitability over long terms

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Current Business DynamicBusiness forces in the 90’s

The Product Dimension – Mass Customization

-Treating (behandeln) the customers as individuals – this is the key to locking in (festhalten) the customers and preventing them from defecting (ueberlaufen) to a rival company

-It’s not only losing a customer – he will go to the competitors and make them more successful

-If we combine this notion (Idee) of individualism with our knowledge of the customers and the capabilities of current technologies (JIT, product variations)

-Mass Customization is about managing variations in product, pricing, packaging, service, delivery and other factors based on the match to the customers needs and aspirations (Ambitionen)

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Current Business DynamicBusiness Challenge/Business trends

-focus on customer-considering customers as an individual rather then simply counting the number of transactions that have occurred in the day

-understanding the business

-decision making at all levels-individuals are increasingly (zunehmend) empowered (ermaechtigt) to make decisions within a business, to do this of course we must also distribute the information on which they can base their decisions

-information as competitive (konkurenzfaehig) weapon

-information as an asset (Vermoegen)

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Current Business DynamicInformation is the key enabler

About ourselves-product development costs-marketing effectiveness -product profitability-supply chain (Lieferkette) distribution channel profitability

About our competition and the outside world-weather conditions-society/political events-market share changes

About our customers and our dealing with them

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Data Explosion-It is estimated that the amount of data in the world doubles every 12 month

-There is a world of differences between data and information and knowledge

Accelerated product lifecycle-50 years ago it took a car manufacture 10+ years to bring an new car to the market-they now have to achieve this in 12 month while also offering many more variants customer menu options and JIT production

-there is every reason to believe this trend will continue as organizations strive (eifern) to differentiate (unterscheiden) their products and services

Current Business DynamicInformation Challenge – What will the future bring ?

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New entrants (Teilnehmer) to the market

-Enabled by Call Center Technology and the Internet, new companies can bring products and services to the market with a modest (reduziert) investment

-Often allowing them to ‘cherry pick’ the best customers

Empowerment (Ermaechtigung) of the individuals

-Call Center Technology

-E-Businees

Current Business DynamicInformation Challenge – What will the future bring ?

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Introduction into Data WarehousingOperative Systeme und Analytische Systeme

Die „andere“ Zielsetzung der Operativen Systeme

–Im Mittelpunkt des Tagesgeschehens von Unternehmen stehen die sog. Business Applications (Critical Mission Applications)

–Diese operativen branchenorientierten Systeme sollen in erster Linie die betriebliche Transaktionen unterstützen und konsistent und sicher festhalten

–Sie sind nicht speziell für die Unterstützung der Entscheidungsfindung konzipiert und haben diesbezüglich deshalb ihre Grenzen

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Die „andere Zielsetzung“ der Operativen Systeme

–Die hinter der CMA liegende Datenbank wird infolge der abgewickelten Transaktionen permanent aktualisiert

–Die Datenbank muß dauernd im Zugriff sein und schnelle Reaktionszeiten bieten

–Sie enthält aktuelle, detailierte, primäre Daten und speichert diese normalerweise redundanzfrei

–Der Zugriff auf die Daten geschieht i.d.R. mit standardisierten Abfragen

Introduction into Data WarehousingOperative Systeme und Analytische Systeme

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Introduction into Data WarehousingOperative Systeme und Analytische Systeme

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Introduction into Data WarehousingOperative Systeme Analytische Systeme

•Schnelle Antwortzeit

•Anwendungsorientiert

•Aktuelle Daten

•Detaillierte, primäre Daten

•Häufige Änderungen

•Dient täglicher Arbeit

•Hohe Speicherkapazität

•Gegenstandsorientiert

•Historische Daten

•Auch zusammengefasste, abgeleitete Daten

•Keine Updates

•Dient als Datenspeicher für Analyse/ Entscheidungsfindung

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Introduction into Data WarehousingOperative Systeme und Analytische Systeme

-> Man muss beide Systeme trennen.

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Introduction into Data WarehousingEin „zusätzliches“ Data Warehouse

–Business Applications (CMA‘s) für die Unterstützung der betrieblichen Transaktionen

–Data Warehouse-Systeme für die Unterstützung analysierender Tätigkeiten und zur Entscheidungsunterstützung

–Ein DWH bildet insofern das logische Komplement zu den operativen Informationssystemen

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Introduction into Data WarehousingEin „zusätzliches“ Data Warehouse

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Introduction into Data WarehousingData Warehouse Definition

—Ein DW ist ein ‚analytisches‘ System, d.h. es soll Informationen + Methoden liefern, die Mitarbeitern helfen, kurz-, mittel- und langfristige Entscheidungen zu treffen

–Es unterscheidet sich durch seine Analyse-Orientierung erheblich von den transaktions-orientierten operativen Systemen zur Abwicklung des Tagesgeschäftes

–Es stellt Schnappschuss-Daten (keine Echtzeit-Daten) zeitpunktsrichtig für Lesezugriffe zur Verfügung

–Die DW-Datenbasis kann sehr groß sein und besteht meist aus historischen Einzel- und Aggregationssätzen

–Die Datenbasis kann eine relativ hohe Redundanz aufweisen, ist aber wohlstrukturiert und konsistent

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Introduction into Data WarehousingData Warehouse Definition

Mit dem Begriff Data Warehouse wird eine von den operationalen DV-Systemen isolierte Datenbank umschrieben, die als unternehmensweite Datenbasis für Management-Unterstützungssysteme dient. „A Data Warehouse is a subject-oriented, integrated, time-variant, nonvolatilecollection of data in support of management‘s decision-making process.“[Inmon, Hackathron 1994]

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Introduction into Data WarehousingData Warehouse Definition

Subject-oriented: • Daten werden themenorientiert oder aufgabenbezogen zusammengeführt

• Ziel ist es, unternehmensbestimmende Sachverhalte aus Managementsicht darzustellen

Integrated: • die Struktur- und Formatvereinheitlichung der Daten aus den operativen Systemen

• konsistente Datenbasis im Data Warehouse

• Beseitigung mögliche Inkonsistenzen im Datenbestand, die durch die Datenhaltung in verschiedenen operativen Systemen entstanden

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Time-variant:• den Daten aus den operativen Systemen werden Zeitmarken hinzugefügt• Auswertungen, die Informationen über die Entwicklungdes Unternehmens zur Erkennung von Trends liefern • der abgebildete Zeithorizont kann in einem Data Warehouse je nach betrieblichen Anforderungen bis zu zehn Jahre betragen• Daten über einen Zeitraum von zehn Jahren werden im Data Warehouse aufbewahrt

Nonvolatile• keine Änderungen der gespeicherten Daten nach der fehlerfreien Übernahme aus den operativen• alle erstellten Auswertungen und Analysen sind reproduzierbar, insofern die Daten nicht im Laufe der Zeit gelöscht bzw. verdichtet wurden.

Introduction into Data WarehousingData Warehouse Definition

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Introduction into Data Warehousing

Data Warehouse Architecture

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Input-Schicht:

hier werden die unternehmensinternen und –externen Daten übernommen, d.h. im Normalfall werden mittels sogenannter Transformationsprogramme die Daten aus den operativen Informationssystemen vorbereitet, versdichtet und übernommen

ODS (Operational Data Store):

Datenspeicher, in dem Daten, die zwischen zwei Datenübernahmen anfallen, gespeichert werden. Diese müssen nicht verdichtet werden. Zweck des ODS ist es, möglichst immer notwendige aktuelle Daten zur Verfügung zu haben.

Introduction into Data WarehousingData Warehouse Architecture

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Meta-Daten:

beschreiben die im DWH gehaltenen Daten

Output-Schicht: hier werden die Daten zur Nutzung (durch Direktzugriff, etc.) zur Verfügung gestellt, d.h. hier setzen die Datenanalysewerkzeuge auf.

Data Warehouse i.e.S.: stellt die eigentliche Datenhaltung dar, in ihm werden die verdichteten Daten aus den unterschiedlichen Unternehmensbereichen gespeichert (Datenbank).

Introduction into Data WarehousingData Warehouse Architecture

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Introduction into Data WarehousingDW und verwandte Konzepte

Management Support Systemen (MSS)

–Überbegriff über alle Spielarten der elektronischen Unterstützung betrieblicher Entscheidungsträger

•MIS (Management Information Systems)

•DSS (Decision Support Systems)

•EIS/FIS (Excecutive/Financial Information Systems

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Introduction into Data WarehousingDW und verwandte Konzepte

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•Unternehmensweites Datenbank-Konzept, dessen Ziel es ist, eine breite, logisch zentrale, einheitliche und konsistente Datenbasis aufzubauen, die losgelöst von den operativen Datenbanken betrieben wird

•Die atomaren Daten müssen aus den vielfältigen und heterogenen operativen Vorsystemen systematisch extrahiert, aufbereitet, gesäubert und entsprechend den Anforderungen strukturiert abgelegt werden

•Da im Idealfall alle analyseorientierten Anwendungen eines Unternehmens mit diesen Daten arbeiten, gibt es nur eine ‚Version der Wahrheit‘, d.h. auch, dass unterschiedliche Personen nicht mit unterschiedlichen Zahlen arbeiten

Introduction into Data WarehousingDW Everybodys IS der 90-iger/0x-iger

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OLAP-Werkzeuge (On-line Analytic Process)• Software, die bei betriebswirtschaftlichen Analysen hilft–Fach- und Führungskräfte sollen schnell, interaktiv und analytisch Zugriffe auf konsistente Informationen haben• Ermöglichen (wie EIS) auch multidimensionale Analysen–Anordnung von Kennzahlen (z.B. Umsatz- oder Kostengrössen) entlang unterschiedlicher Dimensionen (z.B. Kunden, Artikel, Regionen)

Data Mining-Werkzeuge • Techniken zum Auffinden bisher verborgener Strukturen und Muster in umfangreichen Datenbeständen

Introduction into Data WarehousingDW Analyseorientierten Anwendungen

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About our customers and our dealing with them

-purchasing behavior

-life changes, trends

-defection (Absage) analysis

- communication effectiveness

The Business Value of a Data Warehouse ….. Information is the key enabler

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The Business Value of a Data WarehouseMain use of Data Warehousing

Main use of Data Warehousing – 1999:

-35 % Finance and other Decision Support Data Warehouses

-65 % Customer Marketing Applications

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So what is CRM:

- a formal program that allows us to achieve (erreichen) customer related objectives by knowing customers better:

“1st look at customer then profitability, time to market and other factors”

-the more information we can collect about a customer the better

-the information must retained (festgehalten) and managed for the long therm

-we must track customers over the lifetime of our interaction with them (we need to understand the LTV of the customer)

The Business Value of a Data WarehouseCustomer Relationship Management

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The Business Value of a Data WarehouseCRM and Corporate Strategy

A company can take only one of three possible positions for it’s product strategy:

(1) Low cost producer – Examples ?

-Cost driven, difficult to sustain (aufrechtzuerhalten)-Position is generally impossible to maintain over a long period unless protected by governments

(2) Technology leader – Examples ?-High investment cost & risk-Difficult to sustain -It’s impossible to maintain the technology leader over time and technology – other companies will soon catch up

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A company can take only one of three possible positions for it’s product strategy:

(3) Best Customer Relationship – Example ?

-Customer driven NOT cost

-The added bonus when you have customers loyalty is that it tends to take the pressure off margins as your customer are not buying on price

-Sustainable (tragbare) position

The Business Value of a Data WarehouseCRM and Corporate Strategy

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The Business Value of a Data WarehouseCustomer Strategy

In contrast to the strategy adopted by an organization when positioning its products and services, a customer on the other hand will base his/her relationship on a mix of the following three characteristics:

(1) Financial – Examples ?

-This maps to the low cost producer company strategy -Would also include additional discounting and customer loyalty schemes-Type of bond (Anhaenglichkeit), customer will increasingly look for the lowest price or best deal-Loyalty schemes that reward (Belohnen) the ‘number of things purchased’ as opposed to the ‘value of things’ are dangerous as they effect reward bad rather then good behavior

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(2) Social values – Examples ?-bond is based on some agree real or perceived (empfunden) understanding betwenn the customer and the supplier -offers a much stronger and more resilient (elastisch) attachment (Angliederung)

(3) Structural -Strongest bond of all -Based on some physical or cognitive (bewusstseins) connection between the customer and the company-Examples:

-The credit card and store cards you have – it’s much easier and more rewarding to use these than go somewhere else-Vending machine in you building – this is much easier sell as you are a captive (gefangen) audience

The Business Value of a Data WarehouseCustomer Strategy

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The Business Value of a Data WarehouseDeveloping a CRM Strategy I

(1) Mass Marketing – Example ?

-we know very little about our customers

-we can also do very little about customizing our products and services

-we place an emphasis on costs and try to reach as many customers as we can

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(2) Database Marketing

-we learn more about our customers -we can begin to target them more effectively-we still cannot differentiate our products and services-we look to further reduce acquisition costs and cost per sale

-Example: Catalogue Company:-If we can stop sending catalogues to customers who are unlikely to buy from us we could dramatically change our profitability (Gutscheine fuer Kataloge)

The Business Value of a Data WarehouseDeveloping a CRM Strategy II

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(3) Niche Marketing – Example ?

-we have a highly differentiated product but know little about our customers

-we may fine for a while but how to grow ?

-the cost to acquire customers is likely to kill the company sooner or later

The Business Value of a Data WarehouseDeveloping a CRM Strategy III

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The Business Value of a Data WarehouseDeveloping a CRM Strategy IV

(4) Relationship Marketing – Example ?

-most desirable (wuenschenswert) position

-we know a lot about our customers and can also deliver product and services they desire

Mix it baby !

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The Business Value of a Data WarehouseTiering (Einteilen) Customers

• Most Valuable Customers (MVC’s)

• Most Growable Customers (MGC’s)

• Third & Fourth Tier

• Below Zeros (BZ’s)

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The Business Value of a Data WarehouseTiering (Einteilen) Customers I

Most Valuable Customers (MVC’s) - Examples ?

-very little difference between their values (what they buy from you) and their strategic value (what they spend on your type of products and services in total)

-for those guys we should adopt a retention (Festhalten) strategy

-they are of great value for us, but we are unlikely to be able to grow additional revenue from them

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The Business Value of a Data WarehouseTiering (Einteilen) Customers II

Most Growable Customers (MGC’s) - Examples ?

-Have great potentials but they are only spending relatively little with you

-Strategy: to grow these customers

-As we already know who these customers are, we do not need to spend on acquisition

-But focus is required to deliver consistent, differentiated and high quality products and services to achieve this growth

-An interesting measure for Marketing: How many MGC’s can be moved to the MVC level ?

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The Business Value of a Data WarehouseTiering (Einteilen) Customers III

Third & Fourth Tier - Examples ?

-Those guys are of course interesting to the company – but we shouldn’t focus on them

-It’s a mistake to gear your company around these folks – the potential income from them is too low

-Reasonable strategy: to drive them towards (in Richtung) interacting with your company in a lower cost fashion

-On the whole: they shouldn’t probably ignored to avoid placing undue (uebertrieben) focus on them

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The Business Value of a Data WarehouseTiering (Einteilen) Customers IV

Below Zeros (BZ’s)

-Even the strategic value of these customers is below the service costs

-You will lose money with them

-Strategy: You should lose the customers before you lose your money or try to drive them towards lower cost services or more profitable products

-Give them to you rivals so they cast them money instead

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The Business Value of a Data WarehouseFour basic Strategies

• Identify Customers

• Differentiate Customers

• Interact !

• Customize Product and Services

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The Business Value of a Data WarehouseFour basic Strategies I + II

Identify Customers

-Identify the customers individually

-So they can be communicated with

-They have to be addressable

Differentiate Customers

-Differentiate based on some measures (Live time value)

-Having divided our customers by value, we should also segment them by needs as this is the key to communicate effectively and mindfully (vorsichtig)

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The Business Value of a Data WarehouseFour basic Strategies III + IV

Interact !

-We are now ready to select those we want to focus our attention on and interact with them-The secret is to listen as well as talk !

Customize Product and Services

-If we communicate with the customers, we are in a perfect situation to determine what they want from us-Then we design and deliver products and services more suited (passend) to them-We should say: “what products should we build to suite our customers” rather then “how do wee get more customers for our products”-Classic feedback loop

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Integration of all customer ‘touch points’-We must deliver timely and accurate information to each possible contact point-We must also record details about each interaction -Call center, Sales force Automation (Prozesse, Software und Tools zur Unterstützung und Automatisierung des Vertriebs-Aussendienstes)

Low cost interaction with customers-Especially true for customers in the lower tiers-WWW-Focused marketing to reduce costs

Information Integration-Data Warehouse to integrate information-Enabling the company and customers by delivering this information

The Business Value of a Data WarehouseKey Enabler for a 1 to 1 marketing over long term

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The Business Value of a Data WarehouseCollecting Customer Information

A 360º Profile of a customer

-Revenue (Einkommen)-Credit rating (Einschaetzung der Kredit-Wuerdigkeit)-Prospect (moeglicher Kunde)-Demographics-History of contacts, purchases (Kaeufe)-Psychographic (persoenliche Eigenschaften)-Behavior

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The Business Value of a Data WarehouseLasting (dauerhaft) Competitive (konkurenzfaehig) Advantage

you got something of your customers that your competitor did not get: information

Categorize the different types of information by the source of that information

-External – Example ?-available to your company and to your competitors as well of course-but useful for providing context

-External market survey (Uebersicht) or customer survey information conducted on your behalf (zu ihrem Nutzen)

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Categorize the different types of information by the source of that information

-Internal transactional based – Examples ?-Those data are the bread and butter of the Warehouse but includes no interaction with the customers

-Internal customer based -Perhaps the most valuable from the 1 to 1 perspective-Information has given willing and freely by the customers herself-It’s difficult to codify (chiffrieren) and record this information and to represent it meaningful

The Business Value of a Data WarehouseLasting (dauerhaft) Competitive (konkurenzfaehig) Advantage

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The Business Value of a Data Warehouse