BI: A Data-Driven Approach to Operational Planning

The use of BI might initially seem like an IT-focused project, but it is also a major change to your management culture. Decision makers should be involved from the beginning of the process.

by Beth Weisel

The term “business intelligence” was first used in 1865 when the author Richard Millar Devens described a banker who collected information about the markets to get ahead of his competitors. Then, in 1958, an IBM computer scientist named Hans Peter Luhn started to employ technology to perform this same practice.

In today’s world, business intelligence (BI) is a vital factor in a pharmacy’s ability to be successful. Organizations of all sizes benefit from making data-driven decisions based on key insights gained through this type of analysis. Is your pharmacy taking advantage of all the data you’re collecting?

Expand Beyond Custom Reports

Something that often comes up in conversations with long-term care pharmacy managers is the number of reports they already use in their day-to-day activities. In fact, a very attractive feature in popular pharmacy software systems is the amount of stock reports and the ability to openly create custom reports with the pharmacy’s own data. So what is the difference between these existing reports and true BI?

Reporting focuses on the presentation of an organization’s historical data and structures it in a predefined way that answers specific, pointed questions. Reports can be valuable assets in providing a clear vision of past performance, financial records, and regulatory compliance. Reports also help us understand at a glance if we are within desired boundaries.

On the other hand, BI covers a larger scope of analysis that involves the collection and interpretation of data to drive business decisions and operational efficiency. The ability to identify patterns and understand how multiple data points are related unlocks the potential for identifying risks and predicting trends. The answers garnered through this activity can be turned into confident management decisions.

The health of an organization relies on leadership’s ability to make quality, scalable decisions for their teams. Anything that can be counted or measured has the potential to reveal valuable, actionable insights and empower management. Let’s take a look at some useful applications across your business.