Role of Business Intelligence in Decision-making and Competitive Advantage in Iceland

This report discusses the role of business intelligence in decision-making and achieving competitive advantage in Iceland. It explores how BI helps in making informed decisions and provides specific examples of its application in the selected organization. The report also discusses how Iceland can achieve competitive advantage using business intelligence and provides relevant examples and frameworks for critical analysis. The report concludes by highlighting the importance of BI in managing business activities and developing a competitive edge.

Business intelligence big
data report

Table of Contents
INTRODUCTION...........................................................................................................................1
Task Assessment ............................................................................................................................1
Discuss the role Business Intelligence play in the selected organization to help in the decision-
making process. Provide specific examples of decisions. ..........................................................1
Discuss how the selected organisation can achieve competitive advantage using business
intelligence. Provide relevant examples of scenarios and frameworks to critically analyze the
competitive advantage. ...............................................................................................................3
CONCLUSION ...............................................................................................................................6
REFERENCE...................................................................................................................................7

INTRODUCTION
Business intelligence comprises with strategies and technologies which uses by
organizations for analysing data and business information. New technology and automation
should be use by management in their business which can help to operate a regulate the business
effectively (Popovič, Puklavec and Oliveira, 2019). This is important for management to
analyse the situation and formulate plans accordingly which can help to deal with changes and
introducing new performance. This report is based on Iceland that is British super market chain
headquarter in Deeside, Wales. The management of such organisation bring the uses of
intelligence in maintaining proper records, accounting, managing data, providing information to
customers and maintaining the effective distribution which can help to operate a business and
attain the higher profitability. This report covers role of business intelligence that helps in
making decision and how company is achieving competitive advantages.
Task Assessment
Discuss the role Business Intelligence play in the selected organization to help in the decision-
making process. Provide specific examples of decisions.
Decision making is the process of analysing the business information, data and records
then make right business decision which can help to complete the task and attain profitability.
For any organization it is highly important that to know what is going on in trend and how
customers will be satisfied then products and services should be provided accordingly. Business
intelligence is the combining study of analytical data, data visualization, and managing the
activities by using new techniques which can help to administer all functions and develop a
business effectively. For example, Iceland is super market where number of functions are
important to run as finance, manufacturing, distribution, HRM, selling, and marketing that are
important to consider which can help to maintain the higher performance and profitability in
changing environment (Richards, Yeoh, Chong and Popovič, 2019).
Role of Business intelligence in Iceland company
Business intelligence is the set of techniques and tools which mainly uses to transform
transactional data and analytical information for monitoring systems and make right business
decisions.
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Uses to observe operation: Business intelligence is important for organization as it helps
to manage the all activities and functions effectively. In Iceland, business intelligence has a
special value as it offers capability to observe a dynamic operation along with many operational
processes in a single integrated platform. This supports to develop the business and increase the
functions effectively (Role of Business intelligence, 2020).
Monitor business strategies: Business intelligence is mainly uses in Iceland for
monitoring the business strategies that known as performance metrics and indicators. This can
help to make the right business decisions by using different processes and source of data which
leads to manage work in an effective manner.
This reduces the chances of damage and maintaining relevancy: If organization is not
using BI then it has to invest 80% time in searching data, and creating report, leaving 20% for
making decision after analysis that create the damage. In context to Iceland, management is
using BI efficiently as it helps to save time and money in searching data and preparing reports
which supports to make faster decision (Božič and Dimovski, 2019).
Optimization in store navigation: The another role of Business intelligence in Iceland is
to identify the points of friction and optimize in store navigation which can help to increase the
number of customers by providing them right information regarding products availability and
relevancy (Mehrotra, 2019).
Development of business activities and performance: BI uses by all companies in their
works as it make easier thing and task by using effective technique and increasing the business
activities. In Iceland, it increases the level of performance as management is responsible to
identify needs of customers, problems which they are facing, and providing an optimum solution,
resulting higher performance and development of business regularly.
Understanding the demographic of clients: Business intelligence is uses by Iceland
after understanding the demographics of their customers which involves age, time of day,
gender, size, and etc. that allows retailers to customize their promotion in real time and influence
the organizational productivity effectively.
The decision making process uses by chosen organization such as:
Identify the decision: In this stage, management of Iceland firstly identify the problem
and question that need to solve and answer first. Such as, management has decided to expand
business by adopting the new techniques and automation.
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Gather relevant information: Once identification of problem there is need to gather the
information which are important to manage and make right decision. Iceland is using this stage
for gathering the information and managing the new techniques which can help to make right
information (Oumkaltoum, 2019).
Identify alternatives: This stage is uses by management of Iceland for the purpose of
getting possible solution and alternatives which can help to operate and regulate the business
continuously. For example, Iceland is trying to use business intelligence and engaging on social
media which can help to reach the targeted customers and attain the higher profitability
(Retnowardhani, Sardjono and Triana, 2019).
Weigh the evidence: This stage is uses to identify the multiple alternatives and give
weigh to a selected technique that can help to attain the decided goals. In Iceland, management
weigh the BI practices for making work easy and developing the business by managing all
activities effectively. This can help to operate a business and increase the productivity (Lim and
Teoh, 2020).
Choose among the alternatives: The stage is uses by Iceland company for the purpose
of selecting a best option out of many alternative which can help to make the task complete on
time and attain the higher performance in challenging environment (Naeini, Abaee and
Zamani, 2019).
Take action: This stage is uses by chosen organization in the area of business
development by using the Business intelligence in accounting, managing in-store, preparing
reporting, generating profits, online analytical processing, and complex event processing which
can help to complete task effectively by developing project plan.
Review the decision: This stage is uses by Iceland for the purpose of making right
business decision by analysing all information, sources, and analysing that is organization have
meet with their decided goals. Therefore, chosen organization is using Business Intelligence for
running a business, managing activities, and organizational function which are important to make
right business decisions (Gupta and Sagar, 2020).
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Discuss how the selected organisation can achieve competitive advantage using business
intelligence. Provide relevant examples of scenarios and frameworks to critically analyze
the competitive advantage.
For any organization Business Intelligence is good as it helps to make the workings fast
and easy in changing environment by analysing competition and increase the performance by
attaining goals effectively. The aim of organization is to know the competition and formulate
effective planning which can be used to complete the project on time and maintain the higher
performance effectively. The value of Business intelligence comes from evolution of retail
companies from organization based on operation to organization that built on innovation.
The Iceland is using porter's five force to attain the competitive advantages such:
Threats of new entrants: In context to retail sector there is high threat of new entrants as
any one can enter in to new market. This challenge is facing by Iceland organization as
competitor can enter in to new market where organisation has to formulate strategic planning to
increase sales.
Bargaining power of buyers: In UK, population is increasing where they have low
bargaining power so it can be opportunity for Iceland organization that to attain the competitive
advantages and maintain the higher profits.
Bargaining power of Suppliers: In retailing sector bargaining power of suppliers is low
as many suppliers are available in market who are selling the products at different price. If
suppliers have change their prices then Iceland is having opportunity to buy from others that
provides competitive advantages.
Threats of competition: In context to Iceland, there is high threat of competition as many
competitors are Lidl, Farmfoods Sainsbury, Morrison, Tesco and others which can create the
challenge.
Threats of substitutes: There is moderate threat of substitution of retailing products
which can help to Iceland to regulate their business and increase the organizational productivity
effectively.
Therefore, Iceland is getting the competitive advantages in challenging environment as it
helps to establish effective planning and managing the task effectively.
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SWOT analysis: This is defined as framework which use by organization to state the strength,
weakness, opportunities, and threats which are important for business to grow continuously. The
SWOT analysis of Iceland is defined below:
Strength Weakness
 The organization is having very
beautiful and raw nature.
 This provides range of products and
services to their customers.
 Easy to chose and shop the products by
customers.
 This is large size organization that fills
customers expectations.
 The cost of organization increases a lot.
 Weather condition can change rapidly.
 Changing in government regulations.
 Cultural difference
Opportunities Threats
 Uses of innovation and trendy culture
which influences number of customers.
 Developing more products and
services.
 Use of cashless and contactless system
in operation.
 Managing and retaining talent at the
workplace.
 Occurrence of pandemic.
 Changing in currency.
 Environmental impacts.
 Having competitor
Therefore, by using new technology and innovation management of Iceland can get the
competitive advantages as it manage the all functions and deliver the products effectively. It also
convert the weakness and threat in to strength by organising employees, controlling activities,
and introducing the new products which helps to attain the business goals.
Scenarios: The management of Iceland is playing important role as they analysis the
competitive environment and formulate the planning which ca help top deal with changes and
developing the organization effectively. Iceland is larger supermarket that sales the variety of
products and services in challenging environment by using effective techniques and tools that
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helps to manage the all activities and develop a business effectively. The management of chosen
organization analysis its competition by comparing with other companies that helps to formulate
the strategies which can help to manage a business and attain the competitive advantages.
Open and Manage Multiple Stores: The Iceland is using Business intelligence for
launching and managing the multiple stores at various place. The management is getting
competitive advantages by knowing the challenge and managing the activities by reaching the
large customer base in retail sector.
Getting solution of business problem: This is important task for each organisation as to
analyse the all problems and get optimum solution which can help to deliver best services in
competitive environment. In context to Iceland, management uses Business intelligence by
preparing never ending spreadsheet, static reports, interactive data analytics, maintaining proper
records of inventory, optimizing process and data in accurate form that can help to reach the
target by developing activities.
Keeping up with changing consumer trend: Emerging consumer behaviour and
transformational cultural shifts in retail sector where it is important for organisation to analyse
this and attaining the good performance. Consumers are expecting low price, high quality,
socially responsible and engaging with retailers across multiple channel that helps to operate a
business regularly and attain the competitive advantages. The Iceland is finding the consumer the
consumer trend as what they wants then bring the changes in their products and services which
can help to achieve the competitive advantages (Competitive advantages by using the Business
Intelligence, 2020).
Cost, prices, and stock management: The profitability in retail sector is less as it adopts
the retail prices that means less pricing strategies which can help to attracts the larger number of
customers. In the competitive environment, Iceland is using Business Intelligence for the purpose
of setting less cost, price and stock management activities which can help to operate a business
and increase the organizational performance in competitive environment (Borissova,
Cvetkova, Garvanov and Garvanova, 2020).
Sales, Targets and Performance Analysis: The aim of organization and competitor
company is to increase the sales and performance by developing the activities. The multi
corporation companies are using sales and performance analysis by using the Business
Intelligence that helps to get solution of problems and develop the strategic position in business
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environment that supports to attain the competitive environment. The Iceland is increasing their
sales, attaining targets and developing performance in challenging environment which helps to
reach the targeted customers and maintaining profitability.
CONCLUSION
Business intelligence is considered as set of practices which uses by organization for the
purpose of running business by monitoring the activities and preparing report. For retail sector
uses of BI can be very beneficial as it helps to keep proper record and arranging the people in
each task so that each activity and function can be perform and development of business can be
improved. Moreover, by using this organization can attain the competitive advantages as it set
the scenarios then analysis performance which can help to compete with others and maintain
higher performance.
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REFERENCE
Books and Journal
Popovič, A., Puklavec, B. and Oliveira, T., 2019. Justifying business intelligence systems
adoption in SMEs. Industrial Management & Data Systems.
Richards, G., Yeoh, W., Chong, A. Y. L. and Popovič, A., 2019. Business intelligence
effectiveness and corporate performance management: an empirical
analysis. Journal of Computer Information Systems. 59(2). pp.188-196.
Božič, K. and Dimovski, V., 2019. Business intelligence and analytics use, innovation
ambidexterity, and firm performance: A dynamic capabilities perspective. The
Journal of Strategic Information Systems. 28(4). p.101578.
Oumkaltoum, B., 2019, April. Toward A Business Intelligence Model for challenges of
interoperability in egov system: Transparency, Scalability and Genericity.
In 2019 International Conference on Wireless Technologies, Embedded and
Intelligent Systems (WITS) (pp. 1-6). IEEE.
Lim, Y. Y. and Teoh, A. P., 2020. Realizing the strategic impact of business intelligence
utilization. Strategic Direction.
Naeini, A. B., Abaee, A. and Zamani, M., 2019. Designing a business intelligence
conceptual model of supply chain management in sales-based
SMEs. International Journal of Logistics Systems and Management. 34(2).
pp.154-171.
Gupta, P. and Sagar, B. B., 2020. Decision Support System for Business Intelligence
Using Data Mining Techniques: A Case Study. In Advances in Computational
Intelligence (pp. 81-94). Springer, Singapore.
Retnowardhani, A., Sardjono, W. and Triana, Y. S., 2019, July. Review Study of
Business Intelligence to Support Strategic Decision Making. In 2019
International Conference on Electrical Engineering and Informatics (ICEEI) (pp.
19-24). IEEE.
Borissova, D., Cvetkova, P., Garvanov, I. and Garvanova, M., 2020, October. A
Framework of Business Intelligence System for Decision Making in Efficiency
Management. In International Conference on Computer Information Systems and
Industrial Management (pp. 111-121). Springer, Cham.
Mehrotra, P., 2019. Applications of Artificial Intelligence in the Realm of Business
Intelligence. In Utilizing Big Data Paradigms for Business Intelligence (pp. 1-
38). IGI Global.
Online
Role of Business intelligence. 2020. [Online]. Available through:
<https://fwpr.com/business-intelligence-what-is-it-and-what-is-its-value-for-
supermarkets/>
Competitive advantages by using the Business Intelligence. 2020. [Online]. Available through:
<https://bigdataanalyticsnews.com/business-intelligence-competitive-advantage-in-the-
retail-industry/>
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