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Cognos and Using Business Intelligence to Improve Customer Service & Profitability

While one of the most common reasons for amalgamating the data from disparate databases is to gain a better insight into customer needs, it is by no means the only reason. By allowing users to easily extract critical information through easier access to data, more intuitive reporting analysis and forecasting tools, users are able to report business improvements in such diverse areas as asset management, customer service and resource planning.

Yorkshire Water, one of the UK's private water companies, has 4.5 million customers in a catchment area greater than many small countries. Each day the customers consume 1.3 million cubic metres of water. Their Customer Services Development team wanted to track customer demands more closely and produced a detailed specification of what sort of reporting they wanted from their legacy system. The existing system recorded all customer contacts, names and addresses of callers, and the nature of the call. The Project Team used Cognos' Powerplay software in conjunction with a Geographical Information System (GIS) from Mapping Services.

"They didn't want to replace their legacy system" said Cognos' Peter Weston, "But they wanted to enhance it with greater management reporting and to provide some means of proactive incident management". Yorkshire Water divides its region into 1,500 Leakage Control Zones, any of which can be isolated in the event of an emergency. By aggregating the data from the customer database into these zones, managers are able to ask questions like "What are the areas this month where we have had most complaints about dirty water?" or "Where have most burst pipes occurred?"

Although originally intended as a management level analysis on customer contacts, the system has shown its use in other areas, for example in capital spending analysis. "It allows Yorkshire Water to identify where the resources should be concentrated to improve services" said Weston.

Another utility that found Cognos' Powerplay software helped manage resources was Chevron. They were unable to obtain a wide picture of how much crude oil was on its way to supply ships, held in Chevron's oil refinery tanks or already at market terminals. The information was available, but was spread across diverse range of different transactional databases that detailed the production and sales in infinitesimal detail for accounting and billing purposes. But the information was inaccessible to line managers. "Powerplay allows managers to cut and slice the information", said Weston. "They can then paste it into spreadsheets and word processors to produce ad-hoc reports and email relevant charts and figures to colleagues at any Chevron site". This information allows production rates to be tightly tailored to meet predicted demand without excess inventory or the risk of failure to meet the demand. "Chevron were able to locate more than $5 million of excess petroleum throughout nearly 100 US refineries and marketing terminals. It also helped reduce an additional $5 million spent financing this excess inventory annually."


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