BUSINESS INTELLIGENCE USERS NOW HAVE MORE
CHOICE -- BUT CORE ISSUES STILL OVERLOOKED SAY ANALYSTS
New research from independent analyst group, Ovum, Inc., reports rapid transition and uncertainty in the business intelligence market -- also known as "decision support", and including data warehousing. Ovum also points out, however, that market uncertainty is accompanied by significant growth, especially in services, with the worldwide business intelligence market expected to top $50 billion in the first few years of the next century. The findings come in a comprehensive new report, Ovum Evaluates: Data Warehousing Tools and Strategies.
"A year ago there were significant changes and shifts going on in how business intelligence solutions were built and maintained," says David Wells, principal analyst at Ovum, Inc. and a worldwide authority on business intelligence issues. "Today the pace of evolution is as fast as ever. The only thing which has changed is the nature of the trends. One thing which hasn't changed, however, is that many IT user organizations still underestimate the importance of the 'back end problem' -- getting information into the data warehouse or analytical application. Some vendors are still encouraging them in this attitude."
"The most important trend in the business intelligence market is the shift 'from build to buy'. But the transition to 'buy' is much less straightforward than some vendors would like potential customers to believe," adds Wells. According to Ovum Evaluates: Data Warehousing Tools and Strategies, IT user organizations are now faced with a number of options. Business intelligence solutions can now be:
"Whatever option and level of service provision is chosen, investment decisions frequently run into millions of dollars," continues Wells. "The right decision depends on a number of factors, critically including the type and structure of the organization, especially of its IT department and business intelligence requirements. Consequently, the pressure on IT user organizations to make the right decision is increasing."
Wells points out that one of the least glamorous tasks that must be carried out, whether building a data warehouse or installing an analytical application, concerns extracting information from operational systems for analysis. "This is almost always the most expensive and risky part of data warehousing," says Wells. "But some IT user organizations are stuck in denial about the importance of this part of the process, and some vendors seem keen to encourage them. Although there are many "ETL" tools available to assist - they are extremely different in functionality. Moreover, in the last year tool prices have come down and functionality has improved dramatically. Many data warehouse implementers would benefit from looking at the options again."
Ovum Evaluates: Data Warehousing Tools and Strategies is available immediately from Ovum, Inc. and costs $2,220. The study includes comprehensive and independent evaluations of key business intelligence vendors and their products. For more product information go to http://www.ovum.com or call 1-800-642-OVUM.
Ovum's research is wholly self-funded. It accepts no sponsorship from vendors or other interest groups, nor does it rely on them to purchase findings. Ovum's analysts write to help prospective buyers of business intelligence products choose the solutions that best suit their needs.
Ovum is an independent information technology, telecommunications and new media analyst group, providing high quality, authoritative information and advice on key market, technical and regulatory developments. Ovum's customer base comprises blue-chip organizations including suppliers, users and policy makers worldwide. Ovum has offices in Boston, London and Melbourne, and currently employs over 180 staff.