What is business intelligence (BI)?
Business intelligence is all about collecting and analysing data to help companies make better decisions. It’s about taking raw business information – like sales figures or customer behaviour – and turning it into something useful. BI gives leaders the tools to explore data, spot trends, understand what’s working and what needs improvement.
A big part of BI is looking at historical data. By studying past sales or how their customers behave, companies can identify areas to improve, predict future patterns, and make better business decisions.
What is business intelligence in simple terms?
In simple terms, business intelligence is turning data into knowledge. Imagine a company gathering loads of information from sales, consumer behaviour, and market trends. BI takes all that company's data, makes sense of it, and shows what’s going well and what could be better. This helps leaders make decisions based on facts instead of guessing.
As a broad term, business intelligence (BI) includes different steps and tools for working with data, such as:
Data collection: essentially this is the gathering of information from different places, like surveys or sales records, into a central location (or data warehouse).
Data preparation: before any raw data can be analysed, it needs to be cleaned up, which means fixing errors or filling in gaps, especially when dealing with messy, unstructured data.
Data mining: this is the analysis of data sets that takes place in order to find patterns and relationships that can be used to make decisions.
Data analysis: this terms covers the full process of examining, cleaning and looking for insights in any current data an organisation has access to.
Knowledge management: once insights are found, they need to be organised and shared with the right people so decision-makers have the information they need when they need it.
Data visualisation: after data analysis, insights can be displayed in charts, graphs, or dashboards, so it’s easy for business users to understand and act on.
What is the main purpose of business intelligence?
The main goal of business intelligence is to help companies make better, more strategic decisions. With the help of intelligent tools, an organisation can figure out what’s working and what’s not in their day-to-day operations.
Here are a few ways BI makes a big difference:
Faster, smarter decisions
BI helps leaders make quicker, more informed choices. For example, when you're tracking key performance indicators (KPIs), BI can uncover patterns in the business data, allowing companies to make fast changes before small issues become big problems.
Improved customer satisfaction
By analysing consumer behaviour, an organisation can adapt their services to better meet customer needs, boosting satisfaction and loyalty.
Better problem-solving
BI solutions help businesses improve their problem-solving skills. They help organisations anticipate market changes, stay flexible, and eliminate inefficiencies before they affect operations.
Is business intelligence a good career?
Data jobs that support successful business decision-making offer solid prospects and competitive pay.
In 2023, 1.5 million people were employed in 'data-driven companies' (according to the UK Government’s report: The UK Data Driven Market).
Business Intelligence Analysts are one of the fastest-growing tech roles in the UK (according to the Future of Jobs Report, 2023).
For example, the average business intelligence analyst salary in the UK is around £40,809*. And as you build your skills, there’s plenty of room to grow. BI developers in the UK make an average of £47,229* a year, while BI managers can earn around £56,365* annually.
*Salary information from uk.indeed.com and correct as of October 2024.
Business intelligence jobs
A career in business intelligence offers a wide range of roles that focus on using data to make informed business decisions. Whether you're into transforming data or building the software that will help an organisation understand it, there’s a job for you.
Business intelligence analyst
Collects, analyses, and reports on data to help companies make better decisions.
Business intelligence developer
Designs and builds BI systems and tools, like dashboards and data visualisation platforms.
Data analyst
Focuses on interpreting data to uncover trends and insights that inform company strategies.
BI manager
Oversees BI projects and teams, ensuring data insights are applied to improve business operations.
Data scientist
Data scientists use advanced analytics and algorithms to solve complex data problems and uncover deeper insights.
What is a business intelligence analyst?
A business intelligence analyst is someone who collects, analyses, and interprets governed data to help companies make better decisions. They use business intelligence tools like Power BI or Tableau to create reports and dashboards that make complex data easy to understand.
Here are some common techniques business intelligence analysts use to turn data into insights:
Data mining: finding patterns in large datasets.
Predictive analytics: forecasting future trends suggested by the data.
Descriptive analytics: looking at past data to understand performance.
Data visualisation: creating charts and graphs to present information clearly.
Online analytical processing (OLAP): running detailed queries on data to gain deeper insights.
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How to become a business intelligence analyst
Becoming a business intelligence analyst is all about mastering the right tools, building your data interpretation skills, and understanding how to communicate insights effectively. Here's how to get started:
How can I learn business intelligence skills?
Learning business intelligence can be broken down into a few key steps:
1. Start with a business intelligence course:
Look for courses that cover core areas like data analytics, reporting, and data visualisation.
Online platforms offer specialised courses focusing on popular BI tools such as Power BI, Tableau, and SQL. These tools are essential for working in the field.
2. Consider a degree:
If you want a deeper understanding, consider a business degree. Many degree providers offer flexible online programmes that let you study while working.
Depending on the degree curriculum, you'll study data warehousing, BI methods, and analytics.
3. Practice with real-world data:
Apply what you learn by working with real datasets. This could be through projects in your course or degree, or by practicing with publicly available data.
Building hands-on experience will make you more confident with BI software and methods.
Is business intelligence easy to learn?
How easy or hard you find business intelligence depends on your background. If you’re already comfortable with technology and have an analytical mindset, BI might be easier for you to pick up. But, if you’re not familiar with data or software, you might find it a bit challenging at first.
Studying a course or degree that introduces you to the skills you’ll need is a great way to build confidence. Undergraduate data degrees offer a solid starting point, even if you’re new to the field.
Why study a business intelligence degree?
A business intelligence (BI) degree gives you a strong foundation in data analysis, reporting, and strategy. These skills aren’t just useful for BI roles – they’re valuable in other areas too, like marketing, finance, and management.
A degree in this field also teaches you how to explain complex ideas to people who aren’t technical. This is a crucial skill for jobs like business intelligence analyst or business intelligence developer, where you’ll be using data to make suggestions that can improve how a company runs.
Business intelligence degree entry requirements
What you’ll need to get into a BI degree depends on whether you’re studying at bachelor’s or master’s level. At LIBF, for example, we ask for 2 A-levels to join our undergraduate data degrees, and a 2:2 honours degree for master's degrees. If you don’t have an academic background, there are also foundation year courses available, so you can build the skills you need before starting the main degree.
Some BI degrees, especially at higher levels, might ask for a background in maths, IT, or a related subject. You might also need some experience in data analysis, programming, or management.
What similar subjects are there to business intelligence?
If you’re thinking about studying business intelligence, you might also want to check out related subjects like data science, computer science, or AI. These fields all involve working with data, but each takes a different approach. For example, data science is more focused on algorithms and machine learning, while BI is about making smart data-driven decisions.
Another related field is business analytics, which, like BI, involves looking at data to improve how a company performs. However, business analytics often focuses more on predictive and prescriptive analytics, which help organisations plan for the future.
How to learn business intelligence with LIBF
Thinking about turning your interest in business intelligence into a real career? At LIBF, our degrees are built to help you land the job you want. You can start with an undergraduate data degree to build a strong foundation or go straight into a postgraduate programme if you're ready for advanced studies.
With everything 100% online, flexible start dates, study coaches and 24/7 support from Syntea, our AI-powered study assistant, you’re in charge of your own learning journey. Ready to take the next step? Request a prospectus and start your path to a career in business intelligence today.
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