| First of all, what is business intelligence? This is a | | | | needed a system that will allow them to perform |
| phrase coined to refer to technologies, solutions | | | | and record various transactions. In order for them |
| and applications that are used in collecting, | | | | to consolidate the data that they had gathered |
| accessing and analyzing data and information. | | | | from different bank branches, they had |
| Generally, this is focused on the business of the | | | | intermediate controlling agencies for data |
| entire organization. When we speak of the | | | | aggregation. However, you can guess that these |
| business intelligence for banking, this has the same | | | | manual systems were only efficient when the |
| concept except for the fact that it talks about | | | | operations scale was still small. |
| the informational needs of the finance community | | | | Therefore, banks decided to make use of |
| particularly the banks. Because there is a great | | | | computers so that they can combine data and |
| increase in the governmental regulations, the need | | | | reports. This was almost like a requirement since |
| for information will help a company to comply | | | | the banks had started to expand and they were |
| with these rules. That being said, the applications | | | | now serving a multitude of people. In this case, |
| that have been designed today are focused on | | | | the data that they had been collecting began to |
| meeting the exclusive needs of the organization | | | | multiply so they had to make use of technology |
| as an obligation for the financial industry. | | | | to make things simpler for them. And then it is |
| Banking business intelligence involves different | | | | time for them to combine different sets of data |
| aspects like the metrics or the key performance | | | | since most banks had numerous branches and |
| indicators, which can either be financial or non | | | | departments as well. They had to find a way to |
| financial. These data are used in order to assess | | | | fix the dissimilar data views since this gave way |
| the current state of the business. Business | | | | to different problems including time lagging, poor |
| intelligence is actually known as actionable | | | | data quality, customer data unavailability and |
| intelligence as it assists in making decisions for the | | | | many others. |
| future and potential course of action in the | | | | Now, they are using business intelligence for |
| organization. Business intelligence solutions | | | | banking so that they can cover different key |
| particularly those that are used in banks are now | | | | concepts which will allow them to enhance their |
| widely used but there is a need for you to know | | | | performance as a financial business organization. |
| how they evolved. | | | | They included the availability of information, the |
| There are four stages in the development of the | | | | account transactions, loans, portfolio management, |
| business intelligence for banking. The first phase | | | | hierarchy, and governmental regulations, |
| involves the manual systems wherein the banks | | | | management of cash and investment and peer |
| were making use of labor-intensive systems so | | | | data. All of these concepts have been |
| that they can perform different tasks. From the | | | | incorporated into the BI banking to make every |
| time when there were still no computers, the | | | | transaction and processes more efficient and |
| bank managers had to make sure that all the | | | | productive. |
| relevant data had been gathered and so they | | | | |