It can be a common misconception that BI tools are tailored toward businesses in the financial industry but this is not the case. All industries benefit from its installation, one of which is the agricultural sector.
Business Intelligence in Agriculture
As with any business there is a common goal to increase revenue and reduce excess workloads. BI solution vendors help to implement simplicity within an organisation. Daily operations are made more efficient with improved system performance and new software. Additionally, the risk of natural mistakes are restricted as management is made aware of what aspects are working successfully and those which can be classified as waste. Once a company has incorporated Business Intelligence into their organisation, they automatically gain a competitive edge in their marketplace due to accurate data for forecasting results; allowing for pre-planning within each division.
Looking at the agricultural industry in particular there is a variety of uses and needs for BI solutions such as:
- Forecasted Data: This is an extremely important part of running an agricultural business. When growing and harvesting crops, animals or plants; jobs need to be performed at particular times and in an efficient manner. By identifying exactly when the highest point for successful production, an organisation can significantly benefit from data.
- Environmental Impact: Forecasted information does not just pertain to revenue; it also incorporates the effect your production methods can have on the environment; showing any disastrous affects that might happen if not altered. This can help companies improve their emissions management and look for changes in policy, fuels and engineering techniques.
- Competitive Advantage: The agricultural industry is a competitive market often with numerous companies vying for sales over the same product. It is necessary to gain what little advantage you can in this case; so implementing BI solutions will only help a business to progress and take charge within their associated market.
- Decision Making: It is vital that decisions are made correctly when it comes to a business focused on farming natural resources and providing customers with food, beverages and drugs. There is no room for error which is what BI software can help with; providing accurate data and analysis which eradicates any human assumptions that lead to unfavourable results. Management can make informed decisions and delegate work accordingly.
- Waste Reduction: As stated above, with less incorrect decisions come reduced expenditure of both time and money. This is down to the accurately forecasted data allowing management to identify what is lacking from certain divisions and which areas are sustainable without extra income and attention. There will also be a reduction in any production overflow that may occur when companies are unaware of their product demand to particular numbers. The business operations as a whole run more smoothly and effectively.
Taking everything into consideration, Business Intelligence in agribusiness leads to improved accounts both in terms of decreased expenditure and increased profits. The improved ratio of production; along with tailored marketing for sales using informed intelligence to identify trends; leads to an extremely efficient company. The goal of any business and industry is to make profits and BI solutions are your armoury.