Business Intelligence vs. GIS: What's the Difference?
Business Intelligence and GIS are tools that work to help improve business workflows, increase productivity, strengthen management, and boost ROI. While the two have similar functions, each uses different terminology and serves a slightly different purpose.
Often times, the differences between Business Intelligence (BI) and GIS are difficult understand. The two powerful tools work closely together to allow businesses and organizations to transform raw data into information that can be analyzed and used to make better business decisions. This data is gathered from business systems, locations, databases, and more.
Because functions of the two overlap, the distinctions between the two are blurry, they are considered to be part of two separate industries. Ultimately, as organizations increasingly turn to data analysis to make business decisions, data-based tools such as GIS and BI will be used together to improve visualization of operations across business, government, and organizations.
Business Intelligence
Business Intelligence is a tool created for the purpose of sharing information across organizations. BI combines the power of business analytics, data mining, data visualization, data tools, infrastructure, and best practices. All of which allow organizations to make data-driven business decisions, rather than making estimates.
It works by presenting a comprehensive view of data gathered across an entire organization. Everything from data collected through payroll systems, to employee information, and even supply chain technology. This allows decision-makers to eliminate inefficiencies, modify business practices, and improve productivity across the organization.
Benefits of Business Intelligence:
Track Performance
Improve Operations
Make Predictions
Identify Market Trends
Pinpoint Issues
Analyze Customer Behavior
Compare Data With Competitors
Popular examples of Business Intelligence software are Tableau, PowerBI, Google Data Studio, and Qlik.
GIS
GIS, or Geographic Information Systems, is a tool that businesses use to store geographic information that is analyzed and used to make better, data-based business decisions.
This type of data visualization allows for better visualization of spatial relationships. What this means is that features such as roads, forests, and political boundaries are displayed on a map that allows the user to understand the relationships between them.
Rather than looking at a set of geographic data and attempting to draw conclusions about patterns, GIS provides a simpler format for analysis and decision-making. For example, GIS software can allow an insurance company to understand the financial impact of natural disasters.
Benefits of GIS:
Improve Decision-Making
Layer Complex Data
Increase Transparency
Manage Resources
Improve Allocation of Resources
Cost Savings
Planning
Popular examples of GIS software are ArcGIS, QGIS, Mapbox, and CARTO.
Similarities Between Business Intelligence and GIS
As you can see GIS and Business Intelligence serve very similar functions. These tools both function by acquiring, organizing, and analyzing data then deliver that data into an actionable and easy to understand format.
Since both are data-based intelligence tools, many aspects of the two overlap including the terminology. The overlapping terms include data acquisition, ETL, databases and SQL, programming, and data visualization.
When used together, these tools help businesses, governments, and organizations improve their operations, increase productivity, and reduce costs.
Differences Between Business Intelligence and GIS
The primary difference between the two is that GIS focuses on location and BI focuses on business systems. An organization that purchases a business intelligence system is primarily interested in understanding how they can make improvements in their organization by analyzing internal systems, employees, and competitors.
On the other hand, an organization with GIS is interested in analyzing spatial relationships and patterns. They then use this information to determine the best location for commercial businesses, determine risks for purposes, identify the location and utilization of utilities, and understand the behaviors and movement of people through public transportation and retail locations.
Improving Operations With Business Intelligence and GIS
Ultimately, GIS and Business Intelligence are two distinct tools that work together to deliver more information to an organization than either could alone. By adding a location component to business analysis an organization can better understand spatial relationships, patterns, and trends.
This location intelligence is helpful in improving business operations in industries and area such as routing and logistics, utilities, insurance and risk management, retail, commercial real estate planning, and customer service.
Are you interested in learning more about how the combination of GIS and Business Intelligence can help you improve your business? Contact us today to learn more.
