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Tuesday, June 14, 2011

Business Intelligence Disadvantages

Some of the major Business Intelligence Disadvantages are:
  • Piling of Historical Data
    The major objective of Business intelligence system is to stockpile past data about a firm's deals and reveal it in such a way that it permits professionals in decision making. On the flip side, this information generally amounts to a small portion of what the firms actually require to function, besides its restrained worth. While in other situations, the user may not have interest in historical data as many markets that the company regulates are in frequent alteration.
  • Cost
    Business intelligence at times can be a little too much for small as well as for medium sized enterprises. The use of such system can be expensive for basic business transactions.
  • Complexity
    Another disadvantage of BI could be its complexity in implementation of data. It can be so intricate that it can make business techniques rigid to deal with. In the view of such premise, many business experts have predicted that these intricacies can ultimately throttle any business.
  • Muddling of commercial settings
    Business Intelligence can cause commercial settings to turn out to be much more muddled.
  • Limited use
    Like all improved technologies, business intelligence was first established keeping in consideration the buying competence of affluent firms. Even today BI system cannot be afforded by most of the companies. Although, traders in the past few years have started modifying their services towards medium and small sized industries, but the fact is that many of such firms does not consider them to be highly essential, for its complexity.
  • Time Consuming Implementation
    Many firms in today's fast paced industrial scenario are not patient enough to wait for the execution of Business intelligence in their organization. It takes around 18 months for data warehousing system to completely implement the system.

Hence, it becomes vital for the firms to give due thought to the business intelligence aspect. Due to the intricacy of these systems, the BI system can create an existence of their own in the firm. It must be understood by the firm that storing data in the business intelligence system just for the sake of it does not increase its worth but results in vice versa effect.

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