SAP BI is SAP's data warehousing solution that allows for real-time, cross-functional analysis of both current and historical data across business functions. It uses a separate system from the R/3 transaction processing system for optimized analytical processing. Key components of the SAP BI architecture include the ODS, InfoCubes, and reporting tools like Business Explorer that allow for Excel-based, formatted, and web-based reporting and analysis. Pre-configured "Business Content" provided benefits like rapid development and best practices.