Building a Business

Intelligence Competency Center

ESTABLISHING A CULTURE
OF BEST PRACTICE
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Table of Contents

Information at business speed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Business Intelligence Competency Centers: An Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

What is a BICC? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Why do you need a BICC? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Driving Value through a BICC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Approaches to Building a BICC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Learning from Success: What are other organizations doing? . . . . . . . . . . . . . . . . . . . 6

What are some objectives in forming a BICC? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

What is the scope of the BICC? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

What roles and personnel are involved in the BICC? . . . . . . . . . . . . . . . . . . . . . . . . . 8

Maturity of a BICC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Lessons Learned: BICC Survey Findings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Implementing a BICC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

The Cognos Solutions Implementation Methodology . . . . . . . . . . . . . . . . . . . . . . . . 12

Cognos BICC Implementation Roadmap. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Cognos Professional Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

About Cognos, an IBM company. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Building a Business Intelligence Competency Center

3
Information at business speed

Business intelligence (BI) has become increasingly more This white paper will help you strengthen your
strategic in organizations. IT departments are looking for understanding, planning and communication of the value
ways to manage and support deployments across of a BICC and its usage in your own organization. In
divisions, regions, and functions through the addition, this document may help act as a catalyst to
standardization of technology. A Business Intelligence assisting you in establishing an initial plan to define your
Competency Center (BICC) can provide the centralized BICC charter.
knowledge and best practices to help make these broader
BI initiatives possible.

Business Intelligence Competency Centers: An Overview

What is a BICC? Why do you need a BICC?

As BI becomes increasingly more strategic, many If BI is to extend beyond tactical deployments to become a
organizations are responding by creating working teams broader-based solution, a managed, predictable approach
of IT and BI users, now commonly known as BI is needed. A BICC defines the knowledge, standards, and
Competency Centers (BICC). A BICC is an organizational resources needed to make this happen. A BICC is essential
structure that groups people with interrelated disciplines, to the strategic deployment of BI because it:
domains of knowledge, experiences and skills, for the • Maximizes the efficiency, use and quality of your BI
purpose of promoting expertise throughout an across all lines of business.
organization. Also known as a Center of Excellence
• Leads to BI deployments that have higher success and
(COE), Competency Center, or Center of Knowledge, a
deliver more value, at less cost, in less time;
BICC can help:
• Drives end user adoption to ensure its success (simply
• Promote and provide delivery enablement through a
providing BI to an increasing number of information
consistent set of BI skills, standards, and best
consumers doesn’t guarantee more people will use it).
practices.
• Eliminates the gap between Business and IT;
• Enable repeatable successful BI deployment through
• Enables business agility and improved technology
the development and focus of people, technology and
management which will help to drive business
process—in ways that makes sense to an entire
efficiency.
organization or division, rather than just a ‘single
project’. A BICC enables repeatable, successful BI deployments
through the development of people, technology and
process—in ways that makes sense to an entire
organization or division, rather than just a single project.
Processes and procedures are often the most overlooked
aspect of BI deployment. These are critical components to
sustaining success due to the critical importance of
governing how data is accessed, developed and
disseminated. This has become an even more important
topic over the past few years due to compliance and
regulation. Processes and procedures help eliminate
duplication of effort, inconsistent results and delays in
dissemination.

4
Driving Value through a BICC
The BICC can also provide tremendous value (tangible
Customer Success:
and intangible) to IT and Business throughout the entire U.S. Coast Guard
organization: The U.S. Coast Guard was recently recognized for the
• BICC’s can help drive a lower total cost of ownership successful implementation of its Aviation Logistics
of your Business Intelligence and technology Management Information System (ALMIS) initiative,
solutions with reduced implementation costs or which makes use of Cognos BI. The U.S. Coast Guard’s
deployment risk through: win marks the third consecutive year that a Cognos
customer has received a Technology ROI award.
- The consolidation of best practice functions and
services, allowing rapid, repeatable successes from The ALMIS project was designed to consolidate disparate
other deployments. flight operations data—including flight itineraries,
aircraft status, maintenance, logistics and supplier
- The centralization of competency and operational information—into a single system, thereby eliminating
efficiency which maximizes the use of technology duplicate data entry, reducing system downtime, and
resources and assets. facilitating information access.
- The ability to provide strategic BI deployment By leveraging Cognos business intelligence, the Coast
planning—accelerating rollout success. Guard is able to improve visibility into its supply chain;
- The management of healthy tension of project enable transparent data access and facilitate report
prioritization. generation for its air station personnel; and significantly
reduce the costs of its aircraft parts requisition process.
• Higher and faster adoption of the complete BI
lifecycle and ‘single version of the truth’ across the According to Nucleus Research, this has translated into:
entire enterprise which improves user satisfaction and • $5.2 million in annual savings from reduced system
self service. downtime.
• The ability to enforce a BI standard through • A one-time savings of $3.5 million through
registration and guidance and the ability to identify streamlined warehouse inventory controls.
new opportunities to leverage BI. This results in an
• $500,000 in annual savings from the prevention of
alignment of technology to strategic goals
requisition reorders.
(competitive differentiation / regulatory
requirements) and a clarity of vision for future • $2.4 million in annual savings from improved parts
coordinated BI. forecasting and availability.1

The BICC also serves to educate key stakeholders about

the advantages of employing BI. It further helps to build
the lines of communication between regions and

departments to prevent a silo-driven approach to

implementation. In doing so, the BI solution will clearly
1 Source: Cognos press release, Aug. 2, 2005: Nucleus Research and CIO Decisions
demonstrate its value through the breadth, depth, Magazine Recognize U.S. Coast Guard With Technology Award for Outstanding
completeness, accuracy, timelines of information available ROI Results: http://www.cognos.com/news/releases/2005/ 0802.html

throughout the enterprise.

Building a Business Intelligence Competency Center

5
Approaches to Building a BICC

Learning from Success: What are other What are some objectives in forming a
organizations doing? BICC?
The most successful BICCs are formed through a • Deliver performance management/decision support
pragmatic development effort that matures over time. capabilities.
Based on our experiences in assisting other customers, we • Maintain cost-efficient application and data staging
recommend that you support.
• Start small - Eliminate IT bottlenecks from backlogged projects.
• Think strategically - Manage the Cognos technical infrastructure.
• Systematically accelerate • Maintain and enhance BI standards, leading
Because there is cultural impact to the organization, small practices, methodologies and practice aids.
simple steps will yield greater return as users adopt the BI - Promote standardized platform.
standard and successes of the BICC and the projects it - Accelerate BI knowledge and familiarity across the
services drive subsequent success. organization.
- Leverage more critical/advanced Cognos skill sets.

• Provide single point of contact for Cognos

relationship.

Tactical Strategic BI with Strategic BI with

Business Intelligence Early BICC a Maturing BICC

Business driven, Business driven, Business & IT driven,

specific project focused IT starting to establish shared vision for overall
standards across projects, solution & methodologies,
promote project registration standardization & registry

Decentralized BICC initiated, standards Maturing BICC, full

knowledge experts, & simple first step focused adoption of standards
departmental metrics on best practices and best practices,
established subscription
or centralized services

Typically funding Funding still at the Project level funding

per project project level with a consolidated
BICC funded as an BI roadmap, BICC
overhead budget line item budgetary line item

“Good enough product” Best product for Best product & services
for this project multiple projects. Working for multiple projects, lowest
toward lower overall TCO, TCO via process efficiencies &
vendor relationship enhanced resource utilization,
vendor partnerships

6
What is the scope of the BICC? time, you will mature the BICC model and expand the
scope by having the BICC play a far greater strategic and
Our findings in researching the market and working with proactive role in your organization. It is important to note
our customers throughout the world indicate that the that no one size BICC fits all. The BICC scope is based on
BICC’s design will be influenced by business culture, your organizational needs and the dynamic considerations
historical deployment activity, specific business pain and of human capital, managed process, culture and
measures of success. You may start servicing the business infrastructure (hardware and software). The graphic
based on the tactical technical aspects of a BICC, such as below illustrates the elements to address when building a
support and consulting or project start up assistance. Over solid foundation for your BICC.

EXECUTIVE SPONSORSHIP / BI STEERING COMMITTEE

PROCESSES & FORMS, BICC FUNDING, ORGANIZATIONAL PLACEMENT

IT Business

VENDOR RELATIONS &

Human Capital
Advise &
Consulting Technology /
BI Services
Infrastructure
Best Practice Data Governance
Managed Knowledge Repository COGNOS & Availability
BICC Program Infrastructure
Process Support Office
License
Management
Business
Training
Promotion Analytics

Culture

Building a Business Intelligence Competency Center

7
 What roles and personnel are involved in the function diversifies, additions and changes to the roles and
skills will be required to meet the service and capacity
BICC?
needs of your organization.
Once you have defined the scope of your BICC, you
As an absolute minimum, the BICC will be comprised of
should have a solid appreciation of the skills required to
the following basic roles:
support your endeavor. The right selection of people and
appropriate skills are paramount to the success of your • BICC Director/Manager
BICC. The most successful BICCs maintain a mix of skills
• Business Analyst
where individuals either in of themselves or the as the sum
of all parts manage the balance between technical and • Technical consultant
business acumen. The mandate of your BICC will The diagram demonstrates some of the roles that are
determine which skills, roles and staffing requirements are commonly found in mature BICC implementations.
needed. As your BICC matures and the scope of its

BI Steering
Executive Sponsor (CIO or CFO) / BICC Director /
Senior Management/Influential representatives of both Business and IT
Strategic Vision – Enforce the BI Standard – Project Prioritization – Funding Decisions

Business
IT
LOB Mgmt & Project Lead
BICC Director
Project Sponsorship, Project Funding
BICC Design, Measure, Evangelism
Business Requirements
Promotion, Project Registration

BICC Program Team

Business Analysts Project Startup Assistance & Guidance
BI Service – Business Analysis Project Oversight/Health Check
Virtual Resource Enablement
or Centralized /
Fixed Team Decentralized Champions
DBA Support Services,
ERP and EDW DBAs BI Training Service,
DW Governance and Stewardship Technology Services

System
Network Operations System & Security Administrators
Support the Infrastructure (Hardware, Capacity Planning and Security)

8
Realize that the personnel you appoint as participants in Maturity of a BICC
the BICC (fixed or virtual) may require additional
education and certifications to obtain the competency As the BICC matures, the needs, responsibilities and
required to service the functions of the BICC. It is personnel may change. The diagram below demonstrates
important that you clearly define the responsibilities of the common path that a BICC may follow as it moves
these roles, including the functions of the Steering through maturity levels:
Committee, leadership qualities for the BICC
Director/Manager, and core roles and traditional
responsibilities of the BICC team personnel.

1. Assessment of current environments

2. BICC program initiated — advisory team created,
BICC Lite long term charter established
3. Communication strategy established (Promote Proclaimed Standard)
4. Common “technical vision” established
5. Standard “technical” installation established
6. Certification program established
7. Escalation point for BI activities and requests for guidance
8. Sponsorship socialized adn/or is put in place

1. BI Solution build best practice established

2. BI Solution deployment best practice established
BICC Shared Service 3. BI Solution support best practice best practice
4. BI shared services introduced based on established practice
5. Data Governance and Stewardship introduced
6. BICC sponsored events
7. Funding & Sponsorship formalized

1. Consolidated BI roadmap established

2. Data Governance and Stewardship introduced
BICC Central Service 3. Data Warehouse / Mart best practice established
4. Product showcase established
5. Centralized services introduced
6. Funding & Sponsoship formalized

The BICC model varies depending on the need of the networks of regional and divisional IT and business
organization as well as its level of maturity. It may be an stakeholders.
IT-only initiative, designed to consolidate the system
Whatever the configuration, the goal is to create a
knowledge necessary to ensure a consistent enterprise
centralized, consistent approach to implement, support,
strategy for BI. Others are hybrids that include key
and manage BI. This can ensure a successful deployment
members of functional business areas and executive
and broader usage across the enterprise so that BI is
sponsors, working closely with the IT teams. Some BICCs
predictable, repeatable and consistent.
centralize at a corporate head office while others are loose

Building a Business Intelligence Competency Center

9
 Lessons Learned: BICC Survey Findings decisions that customers with mature BICC are making.
The triangles represent the organization’s BICC
Value the lessons learned and design of other peers and characteristics, with each set of triangles with the same
organizations throughout the world. The following small number corresponding to an organization (i.e., the
sampling of our surveys conducted around the world will triangles marked with “1” in each row represent the
help you appreciate the type of scope and function characteristics of that organization’s BICC).

BICC Funding Approach

Corporate Allocation &
Corporate Funded Corporate Allocation Customer Chargeback
Customer Chargeback

1 5 7 2 3 8 6 4

Organization/Function Scope
Multiple, Selected
Single Business Function All
Functions

3 5 4 6 8 2 1 7

Geographic Scope
US North America Global

4 8 1 2 3 5 6 7

CPM Product/Toolset Scope

Cognos Products Only Other Vendor’s CPM/BI Products Other CPM/BI
or Legacy Products Related Products

1 4 7 3 5 6 2 8

Engagement Model Scope

De-Centralized Hybrid Centralized

1 2 4 6 7 8 5 3

Production Support vs. Development Split

100% Product Support 50% / 50% 100% Development

3 4 5 8 1 2 6 7

“Functional” Production Support Scope

CPM Process Support
End-User Self-Service
Communications & Training CPM Process Performance
Help Desk Escalation – Functional
CPM/BI Administration Monitoring
Cognos Support Relationship
Benefits Realization

1 2 4 6 7 3 8 5

“Technical” Production Support Scope

Application Support Data Staging Support Maintain all IT
Help Desk Escalation – Technical

1 2 3 6 7 4 8

Development Activity Scope

“Consulting”
“Seed” Resources Project Ownership of Projects Minor Enhancements
Self-Service Support/Reference
to Projects
CPM Project Team Training`

2 4 1 8 6 7 3 5

10
Implementing a BICC

The BICC Implementation Journey Based on the answers to these questions, you should be
able to identify the maturity level of your BICC. Moving
BICCs take many forms, depending on the needs, size and through these three phases will help you drive toward
objectives of your organization. The setup and alignment enterprise success with your BICC. Are you pushing
of people will be influenced by many factors and becomes awareness of the BICC concept and philosophy through
easier and clearer as you take the initial steps forward. your organization? Or have you moved on to formalizing
In its own right, establishing a successful BICC depends your BICC plan and service case? Or are you ready to or
on the right planning and implementation. Organizations already started the process of implementing your BICC?
that take a measured, well-managed approach are more Formulating your BICC vision and strategy starts by
likely to succeed. Those that do will gain wider support, clearly understanding the BICC concept and determining
contribute significant cost savings to the corporate where and how it could be implemented in the
balance sheet, and help take BI to the next strategic level. organization as well as understanding its primary goals,
An important first step is to review your organization’s objectives and measures of success.
perception of the BICC and the maturity level of the effort • What is the role you intend of the BICC?
(which may already be in partial progress without it being
• Have you considered who would be involved with
called out as a BICC).
the BICC?
• Is a BICC a new concept to your organization?
• Have you thought about its structure and form
• Do you already have a BICC in place and want to (centralized/decentralized)?
improve it?
• Have you considered funding and are you aware of
• Is your BICC effective but you want to expand the the options?
offering?
• Is your culture attuned to a competency center
philosophy?

Driving Enterprise Success

Awareness Awareness and Promotion of the BICC

Prescriptive
Economical
BICC Introduction & Philosophy
BICC Culture of Best Practice

Understanding

Formal BICC Planning & Service Case Development

Awareness

Expand and Enhance your BICC in specific areas of need

BICC Methodology
Analyze / Design / Build / Deploy / Operate

Building a Business Intelligence Competency Center

11
 While a BICC can provide tremendous value, the Cognos has developed a methodology that can assist its
challenge is how to implement it successfully. With this customers in implementing Cognos solutions, including
mind, the following sections discuss an implementation their BICC. This methodology, called the Cognos
methodology that you can use to help you design and Solutions Implementation Methodology (SIM) follows the
establish your BICC. This is based on the specific maturity standard implementation phases—Analyze, Design, Build,
level of the organization as well as the design/scope of the Deploy, and Operate—and is supported by a project
BICC. This methodology has been designed to share an management layer. Delivered through a software tool, the
approach that you can use today to implement your Cognos SIM is your step-by-step guide to conducting a
BICC. complete Cognos implementation. It contains structured
steps, proven practices, tools, role definitions, and tip and
The Cognos Solutions Implementation techniques.

Methodology For use by Cognos consultants, customer and partners,

the Cognos SIM helps ensure successful Cognos
A BICC needs its own level of guidance and management,
deployments. The Cognos SIM helps mitigate risk and
measures, milestones, etc—the BICC deployment being
scales from departmental to enterprise-wide
very strategic, the IBM Cognos 8 BI installation and
implementations.
deployment being more tactical.

COGNOS SOLUTIONS IMPLEMENTATION METHODOLOGY

Analyze Design Build Deploy Operate

Customer
Project Management Value

12
Because configuration and deployment procedures vary Build
according to product line, particularly in the design and
Building the BICC team is an important step. Ideally, it
build phases, Cognos has developed different
represents different areas of the organization. This helps
implementation roadmaps. The implementation roadmaps
ensure broader sharing of information. A cross-functional
guide you through procedures to address the varying
team that includes business and IT representatives helps
tasks, activities, and user needs. There is an
sustain two-way communication between these areas. The
implementation roadmap for BI, as well as a BICC
team may further benefit from BI experts, who can share
Implementation Roadmap.
their advanced analytics skills with a wider audience.

Cognos BICC Implementation Roadmap In terms of building the BICC, a completely new process
is not required. The team need only adopt an approach
Analyze that is already proven within the organization—such as a
In the first phase of development, the organization defines balanced scorecard, six sigma, or value-based
the BICC mission and vision. What are the objectives, management. Using an existing methodology can
guiding principles, assumptions, and cultural accelerate the BICC process and ensure predictable results.
considerations? Deploy
IT must also gain a clear understanding of the current The organization should proceed with BI deployment
state of its BI infrastructure. This includes conducting an through a series of small steps. Such manageable
inventory to establish the cost of multiple BI systems — deployments allow the wider user community to adjust
such as help desk support, administration, and training. over time. Gaining an early, high-value win for the BICC
They should also address where the biggest business gains is also vital to its continued success. It helps motivate
and cost savings can be achieved. Ensure that you validate BICC staff and builds positive momentum throughout the
the scope of your BICC based on your existing IT and organization.
Business structure, corporate strategies, people
competencies and recognize that the BICC will integrate However, success on its own is insufficient to secure the
with numerous part of your business. existence of the BICC. The team will need to promote this
early success back to the organization to support further
Following a survey of user needs, the next step is to match BI deployment.
potential gains with the business requirements users want
to address. The team should further enlist the support of
an executive sponsor and know what task the BICC will
need to tackle first.

Design

Following an inventory of technology and user needs, IT

can begin to define the scope of the BICC and identify
service gaps and areas of duplication. These areas serve as
the foundation for the BICC business case.

The team plans BI priorities, and identifies the people,

technologies, standards, and skills needed. This includes
defining what success looks like with measurable goals
and predicted outcomes.

Building a Business Intelligence Competency Center

13
 Operate Cognos Professional Services
Once in operation, the BICC should demonstrate how it’s Cognos offers services that can help you in establishing a
helping the organization meet established BI metrics. Business Intelligence Competency Center in your
Many organizations conduct a rigorous ROI and TCO organization. These services can assist you in the
analysis of BI initiatives to determine their payback, and development or your BICC vision and strategy through to
to formalize the process improvements enabled by the offering services that can help you establish a culture of
BICC. best practices and an operating BICC providing a solid
foundation for your BICC.
Through updates and communication of BICC success
stories, the team continues to ensure the community is This proposed initiative can take that process one step
aware of what it’s doing and the wins it is generating for further by providing services to help deploy IBM
the business. Success breeds success! Cognos 8 BI in your production environment and
facilitate the needs of your current project(s) to ensure
Coupled with enterprise BI deployment, the BICC will
they get started on the right track from both an
want to begin a decommissioning schedule for those
infrastructure and administration perspective.
legacy BI applications that don’t meet the standards it has
established. BICC leaders should also continue to stay on • For more information on the services available from
top of issues and changing business requirements through Cognos, please Cognos Professional Services at
ongoing surveys with key stakeholders. [email protected] or visit
http://support.cognos.com/bicc
• For presentations and literature on BICCs, visit the
Cognos Innovation Center (free registration) at
http://www.cognos.com/innovationcenter/
• Subscribe to the Cognos BICC User Group. Contact
[email protected]

14
Summary

As BI becomes increasingly more strategic, IT departments n its own right, establishing a successful BICC depends on
are looking for ways to manage and support deployments the right planning. Organizations that take a measured,
across divisions, regions, and functions. A BI competency well-managed approach are more likely to succeed. Those
center can provide the centralized knowledge and best that do will gain wider support, contribute significant cost
practices to help make this broader BI initiative possible savings to the corporate balance sheet, and help take
business intelligence to the next, strategic level.

About Cognos, an IBM company

Cognos, an IBM company, is the world leader in business manage financial and operational performance. Cognos
intelligence and performance management solutions. It was acquired by IBM in February 2008. For more
provides world-class enterprise planning and BI software information, visit http://www.cognos.com.
and services to help companies plan, understand and

For more information Request a call

Visit the Cognos Web site at www.cognos.com To request a call or ask a question, go to
www.cognos.com/contactme. A Cognos representative
will respond to your enquiry within two business days.

Building a Business Intelligence Competency Center

15
 GLOBAL

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P.O. Box 9707, Station T
Ottawa, Ontario
Canada K1G 4K9

A S I A / PA C I F I C

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Cognos Limited
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UK RG12 1QB

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Cognos Corporation
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USA 01803

W W W. C O G N O S . C O M (02/08)