Wednesday, April 14, 2010

BI Vendors not doing enough to prove ROI

At Gartner's Business Intelligence Summit 2010, IT Executives indicate that they're struggling to prove the ROI of BI to the business. BI managers are finding it difficult to quantify bottom-line impact, and as a result, are not able to get business leaders on board to support additional analytics and reporting projects.

As our annual surveys with IDC continue to indicate, over 90% of projects, especially those with high investment requirements such as BI, require financial justification and proof of bottom-line impact. However, 65% of buyers indicate they don't have the tools and research / methods to justify the solutions on their own.

The research indicates that over 60% of these buyers turn to vendors to prove the value.

As buyers struggle to justify investments to frugal executives, solution providers need to proactively step forward and deliver return on investment proof for BI. Value justification has to occur project by project and business unit by business unit.

As Gartner BI Summit participants indicate, the current failure to deliver value proof-points is already having a significant impact on buyer satisfaction, upsell / cross sell opportunities and lack of planned adoption.

As a wave of innovative new BI solutions are becoming available, the ability to excite frugal business leaders, and keep existing customers loyal is going to rely on solid value quantification by solution BI providers.

An article about the Gartner BI Summit can be found at:
http://searchcio.techtarget.com/news/article/0,289142,sid182_gci1509885,00.html?track=NL-964&ad=760587&asrc=EM_NLN_11332209&uid=748591

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