An Introduction to Power BI part 1: Introducing Power BI

Introduction 

Why data visualization tools are relevant - data in today's business world

Exponential growth of data 

2.  175 zettabytes (or 175 trillion Gb of data) will be created by 2025, more than 10 times the amount in 2017  

• Compare and analyze all your KPIs in one place
• Identify where you are on your goals
• Make decisions to achieve those goals

Up to 75% of data available to enterprises goes unleveraged

• Accenture report and other research projects:
  • Between 60% and 75% of data available to enterprises goes unleveraged
    
    
• McKinsey report (2017):
• Companies that “leverage customer behavioural insights outperform peers by:
  • 85 percent in sales growth
  • more than 25 percent in gross margin
    

Only one out of three businesses use analytics in M&A deals activities

• From a Forrester research project

Making the most of today’s tech

Business intelligence tools market -  is now much more affordable 

• Cost of data visualization tool has come right down
• Accessible to all levels of organizations
• Cost of data storage in the cloud has come right down
  
  

CIMA and ICAEW – introducing data analytics learning 

• Accounting institutes are bringing data analytics into their learning paths
• ICAEW are bringing three categories of data analysis into their 2022 exams
• CIMA have their Data Analytics certificates learning path including the Data Visualization Certificate

Are you aware of what is going on with today’s business tech?

Benefits of a data visualization solution

Turbocharge business performance 

• BI project may start with some straightforward reports and dashboards
• Management can quickly gain new insights into the performance of the business
• These insights, in turn, can give rise to new business processes being implemented
• Enabling greater management understanding and control of various factors, for example, cost drivers
  
  
• These new business processes can lead to management identifying new strategic opportunities
• Offering substantial and material gains which were totally unforeseen at the start of the project
  

Improved decision-making 

• Using BI tools to build a reporting platform:
  • Businesses can move past outdated assumptions
  • Make informed decisions based on real insights and facts
    
    
• Instead of poring over reams of manual spreadsheet data, end up with a:
  
  • a dynamic reporting and dashboard platform
  • allows management teams to identify key trends and insights

• The ability to understand the data quickly will lead to faster decision-making
  
  • help management teams to proactively identify new opportunities
  • or highlight and solve problems before they become major issues

Empower your employees 

• Employees are empowered to explore the data themselves
  • manipulate, filter and drill down into the data, reports and dashboards
• At every level in the company, employees will be able to
  •  extract valuable insights and
  • identify new trends from the data

Case study - OPEX reporting

Situation

• Ship management subsidiary company - monthly opex reporting
• Manual spreadsheets - took 2-3 days to update vessel reports
• ERP system did not any produce reports
• Accounts team unable to produce their own reports
  
• No control of opex costs – no understanding of trends
  
• Used 3^rd party ship management companies  

Task

• Using BI tools to build a reporting platform:
• Fix Opex accounting & reporting processes - streamline and automate 
• Build an Opex reporting platform – as per Fleet Manager’s spec
• Develop an understanding of cost variances and drivers 

Action 

• Ship management subsidiary company - monthly opex reporting
• Data management – built an integrated database using SQL virtual tables
• Included integrating data from 3^rd party ship managers and crew HR data
• Streamlined and automated processes for producing Opex reports in Excel
• Created an Opex reporting platform
• Created “intelligent” act/bud/variance reports using visualization tool
  • Identical format to manual Excel reports 

Results

• Automated production of Opex reports in Excel
• Cut Opex reports processing time down to 5 minutes
• Opex accounts team able to update reports on demand
• Reporting platform and intelligent reports transformed the monthly Opex processes
  • Enhanced Opex reports – more reports and analysis
  • Led to opportunities arising that were unforeseen at the start of the project

Opportunities arising 

• Used data visualization tools – to enable monthly Opex control meetings
• “Intelligent” actual v budget vessel reports - shown on the big screen
• For each vessel - discuss variances & trends with relevant superintendent, accountant, purchaser
  
• No hiding - much tighter cost control and understanding of cost trends
• Ability to understand / control costs - enabled 3^rd party management of vessels to be brought in-house – saving >$1m p.a.
  

Reflection 

• Opportunities for monthly Opex meetings and bringing external ship management in house were not foreseen at the beginning of the project
  • Massive benefits for the organisation - transformed OPEX reporting 
• Led to better decision-making
  • Brought all of the data into one data repository
  • Enabled real understanding of the Opex costs variances and trends
  • eg. crew change travel costs - cost per crew change member per port

• Able to update Opex reports on demand
• Able to filter and drill-down into the data – understand cost drivers
• Led to new insights – drivers of crew change travel costs
  • Key driver: cost per crew change member per port
    

What is Power BI?

How do you use Power BI?

 Microsoft definition

• Unified, scalable platform for self-service and enterprise business intelligence (BI)

   

Desktop version 

• Free application - loaded onto your computer
• Easily connect to your data
  
  • Multiple sources 
• Clean and shape your data
• Build interactive reports and dashboards
  
  

 Power BI Service 

• Access at powerbi.com using your Microsoft login
• Share reports with team members online

Can I get power BI and what does it cost?

Can I get Power BI?

• Microsoft: Power BI Desktop always free
• Download the desktop version from the Microsoft App store

What does it cost?

• Free licence
  • Free
  • Desktop: Build reports
  • Power BI Service: Share to personal or public workspace  

• Pro licence
  • $9.99 per month per user – free trial for 60 days
  • Desktop: Build reports
  • Power BI Service: Share to shared workspaces or apps
  • Access Pro features – KPI scorecards  

• Premium version
• • $20 per month per user – free trial for 60 days
  • Desktop: Build reports
  • Power BI Service: Share to shared workspaces or apps
  • Access Premium features – advanced AI

How to get going with power BI

 You have now been introduced to Power BI. and reached the end of Part 1 of this blog

 We have looked at:-

• Why data visualization tools are relevant in today's tech world
• What is Power BI and how much does it cost?

In Part 2 of the blog, we will dive straight into Power BI. We will:

• Take a look around the Power BI desktop
• Load Excel data
• Perform some data shaping
• Create some Excel data Open Power BI Desktop
• Create our first reports!
   

If you would like the data used in the presentation, please fill in the request form below

See you in Part 2!

GOOD LUCK!

THE INSIGHTS+MODELLING TEAM

DISCLAIMER

The publication has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this publication without obtaining specific professional advice. No republication or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this publication, and, to the extent permitted by law. Theta Global Advisors LLP, employees and agents do not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based upon it. Ó 2023 Theta. All rights reserved. Not for further distribution without the permission of Theta.