Understand the differences between business intelligence, artificial intelligence, and analytics

Is there really a difference between business intelligence, artificial intelligence, and analytics? And if so, how do these three technologies work together?

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I am often asked to identify the differences between business intelligence (business intelligence), AI (Artificial intelligence) and analyses. For many organizations, there seems to be so much overlap that it is difficult to know where one technology ends and another begins – or even whether these technologies can be used concurrently.

What is business intelligence?

Business intelligence is a broad category of information management, analysis, and reporting that operates on both structured and unstructured data. Business intelligence can provide organizations with insights into their markets, the “fit” of their products and services in these markets, and the effectiveness of their internal operations as well.
The Business Intelligence Toolkit is far-reaching. It can include:

  • Standard Reporting
  • Analytics Reports
  • mining data
  • dashboards
  • Performance Management
  • artificial intelligence applications

Collectively, it is the coordination and implementation of all of these technologies that encompass the business intelligence processes of an organization.

We see: Best Business Intelligence Tools (TechRepublic)

What are analytics?

Analytics works on both structured and unstructured data to support company decision making. It uses standard reporting style queries, as well as more complex artificial intelligence algorithms that find unique patterns in data and derive insights from them.

Several types of analytics are widely used across organizations – from marketing to operations, finance, customer service, information technology, and human resources. Analyzes can be:

  • Diagnosis: As in, what key events contributed to the increase in sales in the last quarter?
  • descriptive: Have we met our company’s KPIs (Key Performance Indicators)?
  • predictive: What components on our assembly production lines are most likely to fail this year?
  • Appreciation: What is this online buyer likely to buy next, based on their previous purchase and browsing history?

We see: The most important data analysis tools (data)

What is artificial intelligence?

Artificial intelligence is “intelligence exhibited by machines, as opposed to the natural intelligence exhibited by animals including Humans. “

In the context of business intelligence, AI may integrate human-provided input (from subject matter experts, research, etc.) with machine learning (ML) to identify patterns in data. Then the AI ​​begins to draw inferences based on pattern recognition.

Artificial intelligence relies heavily on complex statistical algorithms developed by data scientists to interrogate a set of structured and unstructured data. In this way, AI can produce insights to support decision. It can also be used to run processes independently without human intervention.

For example, there is one use case for artificial intelligence in the credit card industry, where the system is trained to look at consumer card usage patterns and identify potential fraudulent behaviour.

We see: The best artificial intelligence software and tools (eWeek)

What are the differences between business intelligence, artificial intelligence, and analytics?

Business intelligence, artificial intelligence, and analytics provide insights that enable organizations to perform better, predict the future, and meet the needs of their markets. However, there are some fundamental differences between these concepts in scope and function.

Business Intelligence is a comprehensive framework for analytics and artificial intelligence. In contrast, analyzes can be used in an independent manner if desired. For example, the sales team might purchase analytics software so that it can assess markets.

We see: Hiring Tools: Artificial Intelligence Engineer (TechRepublic Premium)

AI automates inference processes to either eliminate or reduce human labor. For example, an industrial robot with built-in artificial intelligence can perform an operation on an industrial assembly line previously done by a human.

Can you use business intelligence, artificial intelligence, and analytics together?

Analytics and AI can be integrated into a larger business intelligence framework, but they don’t have to be.
The advantage of integrating analytics and artificial intelligence tools into the BI tech stack is that you have a comprehensive data management, decision-making, and operational infrastructure for your organization.

If you choose to do so, the first step is to develop a business intelligence framework that will accommodate both analytics and artificial intelligence.

The next step is to fill in this frame. For example, where in your organization will you use analytics, where will you be automated with AI, and how will you make it easier to share data across your entire company?