Know The Difference Between Business Intelligence And Competitive Intelligence

By Author: Bappaditta Jana
Total Articles: 67
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Both business intelligence (BI) and competitive intelligence (CI) are essential for raising your organization's productivity and success rate. Even though they are distinct in practice, when combined, they provide a formula for a successful firm. While Competitive Intelligence enables firms to concentrate on what is happening beyond their own four walls, Business Intelligence focuses more on internal strategies.

The frameworks for the success of business intelligence and competitive intelligence are comparable. Business intelligence begins with internal data collection, followed by information integration into a single, central location, analysis of your results, and finally action.

The framework used in competitive intelligence closely resembles the BI methodology. In order to do competitive intelligence, you must first collect data from outside sources, then analyze your results, and finally take action on your findings.

The advantages of these two tactics vary, despite the fact that their processes are comparable. Let's examine the distinction between Business intelligence and Competitive Intelligence ...
... for your company.

Business Intelligence And Competitive Intelligence

Although they have different meanings, the terms "business intelligence" and "competitive intelligence" are occasionally used synonymously. Business intelligence is a general word that covers all types of data-based analysis and decision-making that are intended to make an organization run more effectively.

A corporation acquiring information about its competitive position within its market or industry—basically, where and how it is positioned next to its rivals—is referred to as engaging in competitive intelligence, which is a more specialized word. This enables the business to make decisions that both compensate for its own flaws and take advantage of market conditions and rival deficiencies.

Business intelligence is the study and use of a company's data, resources, methods, personnel, and position in the market to identify and put into practice more effective business practices. Studying information about a firm's rivals as well as other external elements that have an impact on the organization in order to inform business strategy and backup plans is competitive Intelligence.

While business intelligence and competitive intelligence aren't exactly the same things, it's crucial to keep in mind that they do share some objectives. Both are intended to maximize a company's efficiency and profitability so that it may capitalize on favorable circumstances and endure trying times.

BI tools help in maintaining a pool of updated, reliable and accurate data. The data may be used to analyze foot traffic and demographic trends, discover competitor profiles, and analyze competitor strategies, as well as to optimize the locations and designs of your stores and adverts.

We can say that Business Intelligence companies that have incorporated the benefits of advanced technology are going to benefit from features like data visualization, cohesive data, easy reporting, etc which will also aid them in gaining competitive advantages. Hence, Business Intelligence and Competitive Intelligence are comparable and Inseparable parts of an organisation's success.

Bappaditta Jana is a blogger who loves to spend his free time engaging in sports or gardening. Based in Kolkata, he is currently working with EasyReports an IT firm that has developed a BI reporting tool that can easily integrate with Tally ERP and many other applications.