BI vs. PM

May 29, 2007

I thought the debate as to whether business intelligence (BI) and performance management (PM) were the same thing had long since been settled. Imagine my surprise when Mark Smith points out in “BI Is Not Performance Management“ that the discussion is alive and well.

Rather than spill more ink documenting the differences between business intelligence and performance management, here is a handy table that categorizes the most important ones:

Business Intelligence

Performance Management

Understand

Align, understand, and adjust

Monitor and measure

Motivate, manage, monitor, measure

Metrics

Goals, initiatives, and metrics

Structured quantitative data

Structured and unstructured qualitative data

Automated data loading

Automated loading and manual data entry

BI might be an enabling technology used in some PM applications but, in general, they serve different purposes.

Still not convinced? Read this story of performance management in local government and tell me what it has to do with business intelligence.