BUSINESS INTELLIGENCE:

“A brief history of BI and current practices in the organization in FMCG

industries”

Project Report submitted in partial fulfillment for the award

of
the degree of
MASTER OF BUSINESS

Submitted by

GROUP NO. 07

NAME ADMISSION NO. ENROLLMENT NO.

Neelu Lamgade 22GSOB2010946 22042010865

Sushant singh 22GSOB2010765 22042010769
Saheb Ali 22GSOB2010897 22042010819
Rohan kumar 22GSOB2010974 22042010888
Shubham 22GSOB2010975 22042010889

IN

BUSINESS INTELLIGENCE ,SCHOOL

OF BUSINESS

UNDER THE SUPERVISION OF

PROF. AJIT KUMAR

SOB, GU, GAUTAM BUDHH NAGAR (GBN)

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 Batch 2022-2024

SCHOOL OF BUSINESS
BONAFIDE CERTIFICATE

Certified that this project report “A BRIEF HISTORY OF BI AND CURRENT

PRACTICES IN THE ORGANIZATION IN FMCG INDUSTRIES.” is the
bonafide work of “Neelu Lamgade, Sushant singh, Rohan Kumar , Saheb Ali
and Shubham Kumar” who carried out the project work under my supervision.

SIGNATURE SIGNATURE
SUPERVISOR
PROF. AJIT KUMAR
Dr. SEEMA GUPTA

Dean Of School SUPERVISOR

School Of Business GU Gautam Budhh Nagar (GBU)
School Of Business

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TABLE OF CONTENTS

S.NO CONTENTS PAGE

NO.
1. DECLARATION 1
2. CERTFICATE 2
3. ACKNOWLEDGMENT 4

4. ABSTRACT 5
5. EXECUTIVE SUMMARY 6
6. INTRODUCTION 6
7. DATA COLLECTION 7
8. SURVEY PROBLEM SOLVING TECHNIQUES 7-8
9. DATA INTERPRETATION 8-9
10. FINDING 10-11
11 CONTRIBUTION TO THE ORGANISATION 12-14
12 LEARNING OF THE STUDENTS 15-16
13 CONCLUSION 16
14 RECOMMENDATION 17
15 REFERENCE 17

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ACKNOWLEDGEMENT

First of all, we would like to thank PROF. Ajit Kumar our supervisor, for
providing us with in valuable guidance in preparation of this report.
Without his help and support, we could never have finished this report.
Secondly, we will like to give special thanks to our team mates for helping on
this report without their support we could not finish this report on time.

we also wish to thank and give due respect to our family and friends for their
cordial support and help they offered throughout the process of preparing the
whole report. Especially we want to thank those people who were our batch
mates. They gave their valuable time and suggestions. We want to give thanks
to all these people.

…………………….. MBA Dual Specialization GROUP-07

NEELU LAMGADE 22GSOB2010946
SUSHANT SINGH 22GSOB2010765
ROHAN KUMAR 22GSOB2010974
SAHEB ALI 22GSOB2010897
SHUBHAM KUMAR 22GSOB2010975

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 ABSTRACT
The project report aims to provide a concise history of Business Intelligence (BI) in
the Fast Moving Consumer Goods (FMCG) industry, tracing its evolution from its
inception to current practices. It will explore the pivotal role BI has played in
decision-making within FMCG organizations, highlighting key milestones and
technological advancements

The report will delve into the emergence of BI tools and their integration into FMCG
business processes, elucidating how data-driven insights have transformed strategic
planning, supply chain management, and marketing strategies. Furthermore, it will
examine the adoption of advanced analytics, machine learning, and artificial
intelligence in enhancing BI capabilities within the FMCG sector.

Current practices within FMCG organizations will be thoroughly examined, shedding

light on how BI is leveraged for real-time monitoring, predictive analytics, and
optimizing operational efficiencies. Case studies and industry examples will be
incorporated to illustrate successful BI implementations and their impact on business
outcomes.

Ultimately, the project report aims to provide a comprehensive understanding of BI's

historical development and its contemporary applications in the dynamic landscape
of FMCG industries.

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EXECUTIVE SUMMARY
The report traces the development of BI in the FMCG sector, highlighting key
milestones from its inception. It explores how BI has evolved from basic reporting
tools to sophisticated analytics solutions, becoming integral to strategic decision-
making processes.Current Practices: In examining current practices, the report
emphasizes the pivotal role of BI in FMCG organizations. It showcases the adoption
of advanced technologies like machine learning and artificial intelligence to extract
actionable insights. Real-time monitoring, predictive analytics, and data-driven
decision-making are emphasized as key components of contemporary BI
practices.Impact on Organizations: The executive summary underscores the
transformative impact of BI on FMCG businesses, showcasing improved operational
efficiencies, enhanced supply chain management, and targeted marketing strategies.
Case studies illustrate successful BI implementations, demonstrating tangible
business outcomes.Conclusion: In conclusion, the executive summary encapsulates
the historical journey of BI in FMCG, its present-day applications, and the positive
impact on organizational performance. This report serves as a valuable resource for
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stakeholders seeking to understand and leverage BI in the ever-evolving landscape of
FMCG industries.

INTRODUCTION

The Fast Moving Consumer Goods (FMCG) sector operates in a dynamic

environment, where timely and informed decision-making is pivotal for success. The
evolution of Business Intelligence (BI) has played a crucial role in transforming how
FMCG organizations harness data for strategic insights. This introduction navigates
through the historical trajectory of BI and delineates its current practices within the
FMCG landscape.Historical Evolution: BI's roots can be traced back to basic
reporting systems that emerged in the early stages of computing. Over the years, it
has evolved from static reports to dynamic dashboards, predictive analytics, and
prescriptive insights. The historical context provides a foundation for understanding
the profound impact BI has had on shaping decision-making processes in FMCG
industries.Significance in FMCG Organizations: In the contemporary landscape,
FMCG organizations face unprecedented challenges, including rapid market changes,
consumer demands, and global competition. BI has emerged as a strategic ally,
enabling organizations to navigate these challenges by turning raw data into
actionable intelligence. This section emphasizes the increasing importance of BI as a
competitive advantage in the FMCG sector.Current Practices and Technological
Advancements: As we delve into the present, the introduction sheds light on the
current BI practices within FMCG organizations. It highlights the integration of
advanced technologies such as machine learning and artificial intelligence,
showcasing how these innovations contribute to more accurate forecasting, efficient
supply chain management, and targeted marketing strategies.

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DATA COLLECTION
Historical Overview: The data collection for this project involved a meticulous
examination of historical documents, industry publications, and academic sources.
Primary sources included interviews with BI experts in the FMCG sector, enabling
a comprehensive understanding of BI's evolution. This historical analysis provides
a foundation for tracing the development of BI tools and strategies within FMCG
organizations.
Evolutionary Milestones: The collected data unveils key milestones in the
evolution of BI within FMCG industries. From early adoption of basic reporting
tools to the integration of sophisticated analytics platforms, the historical data
analysis highlights pivotal moments that have shaped BI practices in FMCG
organizations.
Technological Advancements: In analyzing current practices, a focus was placed
on the technological landscape. The data reveals a paradigm shift towards
advanced technologies like machine learning and artificial intelligence. This
analysis showcases how FMCG organizations are leveraging these innovations for
predictive analytics, demand forecasting, and optimizing supply chain
management.Organizational Practices: Through surveys and interviews with
FMCG professionals, the data collection process delved into the specific BI
practices within organizations. Insights were gathered on how BI is embedded in
decision-making processes, the extent of real-time monitoring, and the integration
of data-driven insights into daily operations. This analysis provides a detailed

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picture of the varied approaches adopted by FMCG organizations in implementing
BI.Challenges and Opportunities: Data analysis also focused on identifying
challenges faced by FMCG organizations in implementing BI solutions. Common
challenges include data quality issues, integration complexities, and ensuring user
adoption. Simultaneously, the analysis uncovered opportunities for improvement,
such as enhancing data governance frameworks and fostering a culture of data-
driven decision-making.Conclusion: The data collection and analysis process sets
the stage for the subsequent sections of the project report. By examining historical
trends and current practices, this analysis provides a comprehensive understanding
of how BI has evolved within FMCG industries. The nuanced insights derived
from data collection form the basis for drawing conclusions and offering
recommendations in later sections of the report.

SURVEY PROBLEMS SOLVING TECHNIQUES

Survey Design and Implementation: The survey conducted for this project
report employed a structured questionnaire designed to capture insights into BI
practices within FMCG organizations. Questions were formulated to elicit
responses related to historical BI adoption, current practices, and challenges
faced by these organizations. The survey was distributed electronically to a
diverse sample of FMCG professionals, ensuring a representative data set.

Quantitative Analysis: The collected survey data underwent rigorous

quantitative analysis. Statistical techniques were applied to identify trends,
patterns, and correlations. This analysis revealed quantitative metrics regarding
the prevalence of BI tools, the extent of their integration, and the impact on
organizational decision-making. These metrics serve as valuable benchmarks for
understanding the quantitative aspects of BI in FMCG industries.

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Qualitative Insights: In addition to quantitative data, the survey included
open-ended questions to gather qualitative insights. Responses provided
nuanced perspectives on the contextual nuances of BI implementation. Themes
and patterns within qualitative data were identified, offering a deeper
understanding of the subjective experiences, challenges, and successes related to
BI in FMCG organizations.
Comparative Analysis: The survey data was subjected to comparative analysis
to discern variations in BI practices across different organizational sizes,
geographical locations, and FMCG product categories. This approach facilitated
a comprehensive view of how BI strategies may differ based on organizational
contexts, providing valuable insights for diverse stakeholders.
Identifying Best Practices: Solving techniques were employed to identify best
practices within the surveyed FMCG organizations. By analyzing responses
from high-performing entities, the project report offers practical insights and
recommendations for organizations seeking to enhance their BI capabilities.
These best practices encompass technological integrations, organizational
frameworks, and approaches to overcoming common challenges.

Challenges and Solutions: The survey data allowed for the identification of
challenges faced by FMCG organizations in implementing BI. Solving
techniques were applied to propose pragmatic solutions to address these
challenges. This section of the report provides actionable recommendations
based on the survey findings, offering guidance to organizations navigating the
complexities of BI adoption in the FMCG sector.

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 DATA ANALYSIS INTERPRETATIONS AND FINDING

Data Analytics Use Cases in the

FMCG industry
Let’s look at some of the use cases of data analytics in the FMCG sector to
understand how it can help with every aspect of the business to change the focus
from product-centric to customer-centric.

Optimizing Inventory
The increase in customer expectations put FMCG companies in a tricky spot. How
much stock should they release into the market? How much should they store in
the warehouse? What should be the ratio of work in progress to finished goods?
Data analytics will answer the questions based on historical and real-time data.
Businesses can now manage their inventory to suit the market demands.

Performing Supply Chain Analytics

The supply chain is the most crucial part of the FMCG industry. A delay at one
level could disrupt the entire supply chain and push the company into chaos.
We’ve experienced this during the Covid-19 pandemic. Data analytics can
minimize the risk of supply chain disruptions by predicting issues in advance and
empowering the business to be proactive instead of reactive.

Optimizing Demand Forecast

The sales teams run various analytics to forecast market demands. This gives the
business the required information to continuously make changes and improvements

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to its approach. Accurate demand forecasting will put the business in a prominent
position by reducing expenses and increasing returns.

Analyzing Pricing
Knowing how much to price a product is one of the toughest parts of working in
the FMCG industry. Aspects like target buyers, quality of the product, competitor’s
pricing, market demand, etc., should be considered. Discounting the price for
promotions requires a similar approach. Data analytics uses the input details to
generate reports that help the sales and marketing teams make the right decisions.

Analytics for Customer Retention

Hypercompetitive markets are the trademark of the FMCG industry. Customer
retention can make or break a business. Data analytics will help the companies
identify ways to inspire customer loyalty in different segments. Businesses can
personalize their strategies for each customer segment and get the desired results.

Reduce Operational Cost

Is a business spending too much money to manufacture a product? Are there ways
to reduce the costs without compromising quality? Can the business try new
suppliers for raw materials? Will hiring third-party logistics service providers to
reduce the expenses? Data analytics can answer such questions and more. The
FMCG industry can unlock the mantra to balance expenses and returns.

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Historical BI Adoption: The analysis of historical data reveals a
gradual evolution of Business Intelligence (BI) in FMCG
industries. Early BI tools focused on basic reporting, evolving
into more sophisticated analytics solutions. Findings suggest that
as technology advanced, FMCG organizations increasingly
embraced BI for strategic decision-making, marking a
transformative shift in their operational paradigms.

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Technological Advancements Impact: The impact of technological advancements
on BI within FMCG organizations is evident. Data analytics uncovered a widespread
integration of advanced technologies such as machine learning and artificial
intelligence. Findings indicate that these innovations significantly enhance predictive
analytics, allowing organizations to forecast demand, optimize supply chain logistics,
and personalize marketing strategies.
Current BI Practices: Data analytics of current BI practices highlights a diverse
landscape within FMCG organizations. Real-time monitoring emerged as a prevalent
practice, enabling quick responses to market changes. Findings also reveal a trend
towards self-service BI tools, empowering non-technical users to extract insights
independently. The analysis showcases the multifaceted role of BI in shaping
strategic, tactical, and operational decisions.
Data-Driven Decision-Making: A key finding emphasizes the widespread adoption
of data-driven decision-making in FMCG organizations. The analysis indicates that
BI tools have become indispensable for informed decision-making across various
functional areas. Organizations leveraging data analytics to drive decisions
experience enhanced agility, responsiveness, and competitiveness in the dynamic
FMCG market.
Challenges Faced: Data analytics unveiled common challenges faced by FMCG
organizations in BI implementation. Issues related to data quality, integration
complexities, and user adoption were identified. Findings suggest that addressing
these challenges is crucial for maximizing the effectiveness of BI initiatives and
ensuring that organizations derive optimal value from their data analytics
investments.
Recommendations for Improvement: Drawing from the findings, the project report
offers targeted recommendations for improving BI practices within FMCG
organizations. These recommendations encompass strategies to enhance data
governance, mitigate common challenges, and foster a culture of continuous
improvement in BI implementation.
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CONTRIBUTION TO THE ORGANISATION

Operational Efficiency: FMCG industries contribute significantly to organizational

efficiency. Through streamlined production processes, optimized supply chain
management, and effective distribution networks, these industries ensure timely
delivery of products, minimizing lead times and operational costs.2.
Market Responsiveness: The fast-paced nature of FMCG industries necessitates
quick responses to market dynamics. These industries excel in market responsiveness
by leveraging real-time data, market intelligence, and agile manufacturing processes.
This ability to adapt swiftly contributes to maintaining market share and meeting
consumer demands.3.
Innovation and Product Development: FMCG companies are at the forefront of
innovation in product development. Continuous research and development efforts
result in the introduction of new products, packaging innovations, and improved
formulations. This commitment to innovation enhances the organization's
competitiveness and consumer appeal.4.
Branding and Marketing Excellence: FMCG organizations invest significantly in
branding and marketing to create strong brand identities. Through effective
advertising, promotional strategies, and consumer engagement, these industries
contribute to building brand loyalty, influencing consumer behavior, and sustaining
market presence.5.
Employment Opportunities: FMCG industries are major contributors to
employment generation. The scale of production and distribution requires a diverse
workforce, creating jobs across various skill levels. This contribution to employment
fosters economic development and supports livelihoods within communities.
Economic Growth and Revenue Generation: The FMCG sector is a substantial
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contributor to a country's economic growth. These industries generate significant
revenue through the sale of everyday consumer goods, contributing to GDP. The
consistent demand for FMCG products further stimulates economic activity.
Supply Chain Optimization: FMCG organizations prioritize supply chain
optimization to ensure efficient production and distribution. This includes strategic
sourcing, inventory management, and logistics optimization. A well-optimized
supply chain contributes to cost savings and ensures products reach consumers
promptly.
Environmental and Social Responsibility: Many FMCG companies are
increasingly focusing on sustainability and corporate social responsibility. Initiatives
such as eco-friendly packaging, waste reduction, and community development
projects contribute to the organization's positive impact on the environment and
society.
Consumer Convenience and Accessibility: FMCG industries enhance consumer
convenience by ensuring the widespread availability of products. Through extensive
distribution networks and retail partnerships, these organizations contribute to
making essential products easily accessible to consumers.
Technological Adoption and Digital Transformation: FMCG industries embrace
technological advancements and digital transformation to enhance operational
efficiency. From data analytics for demand forecasting to e-commerce platforms for
direct-to-consumer sales, technology adoption contributes to staying competitive in
the modern business landscape.

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LEARNING OF THE STUDENTS USING PYTHON AND
EXCEL TOOLS

1. Data Analysis and Visualization: Students can leverage Python and Excel to
analyze large datasets commonly found in FMCG industries. Through Python's
data analysis libraries and Excel's data manipulation features, students can gain
hands-on experience in extracting meaningful insights, identifying trends, and
creating visualizations for effective communication.
2. Demand Forecasting: Python's statistical libraries and Excel's functions can
be employed for demand forecasting exercises. Students can use historical sales
data to apply forecasting models in Python and create dynamic forecasting
templates in Excel. This practical application enhances their understanding of
demand planning, a critical aspect of FMCG operations.
3. Supply Chain Optimization: Python's scripting capabilities and Excel's
optimization functions can be utilized for supply chain modeling and
optimization exercises. Students can learn how to develop algorithms in Python
for inventory management and use Excel to simulate supply chain scenarios,
understanding the complexities involved in FMCG supply chain decision-making.
4. Marketing Analytics: Python's capabilities in web scraping and data analysis,
coupled with Excel's visualization tools, can be employed for marketing analytics
projects. Students can analyze social media trends, consumer behavior, and
campaign performance, gaining insights into how FMCG companies utilize data
for strategic marketing decisions.
5. Price Optimization: Students can use Python to analyze pricing strategies and
Excel to model pricing scenarios. By incorporating factors such as competitor
pricing, demand elasticity, and cost structures, students can simulate pricing
models to understand how FMCG organizations optimize prices for maximum
profitability.
6. Consumer Segmentation: Python's machine learning libraries can be applied

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to segment consumers based on various criteria, and Excel can be used for further
analysis and reporting. This exercise helps students understand how FMCG
companies tailor their products and marketing strategies to different consumer
segments for improved targeting.
7. Inventory Management: Using Python for data analysis and Excel for
visualization, students can simulate inventory management scenarios. This hands-
on exercise allows them to understand the challenges of FMCG inventory
management, including stockouts, overstock situations, and the impact of
ordering policies on overall supply chain efficiency.
8. Business Intelligence Dashboards: Students can learn to create interactive
business intelligence dashboards using Python's visualization libraries and
Excel's dashboard features. This skill is valuable for understanding how FMCG
organizations present key performance indicators and business insights to
facilitate decision-making at various organizational levels.
9. Integration of Data Sources: FMCG operations involve diverse data sources.
Students can use Python to integrate data from multiple sources and Excel to
create consolidated reports. This exercise reflects the real-world challenges of
data integration in FMCG industries, where information comes from various
departments and systems.
10. Automation of Routine Tasks: Python's scripting capabilities can be applied
to automate routine tasks in data analysis, and Excel macros can be used for
automation within spreadsheet workflows. This teaches students the importance
of automation in streamlining processes, a skill applicable in FMCG roles where
efficiency is critical.Incorporating Python and Excel into the learning process
equips students with practical skills relevant to FMCG industries, fostering a
deeper understanding of data analysis, supply chain dynamics, and strategic
decision-making in this sector.

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CONCLUSION AND RECOMMENDATIONS

The project report on Business Intelligence (BI) in Fast Moving Consumer Goods
(FMCG) industries has traced the historical evolution of BI and illuminated current
practices within these organizations. From the early stages of basic reporting to the
integration of advanced analytics and machine learning, BI has emerged as a
transformative force in shaping decision-making processes within the FMCG
sector.The historical journey underscores the adaptability of FMCG organizations to
technological advancements, embracing BI as a strategic tool for navigating the
complexities of the market. Current practices reveal a landscape where real-time
monitoring, predictive analytics, and data-driven decision-making have become
integral components of organizational processes, contributing to improved
operational efficiencies and strategic agility.
Recommendations:
Enhanced Data Governance:Strengthen data governance frameworks to ensure data
quality, integrity, and security.Implement robust data validation processes to address
challenges related to data accuracy.
User Training and Adoption:Invest in comprehensive training programs to enhance
user proficiency with BI tools.Foster a culture of continuous learning and user
adoption within the organization.
Integration of Advanced Technologies:Explore opportunities to further integrate
advanced technologies such as artificial intelligence and machine learning into BI
practices.Collaborate with technology partners to stay abreast of emerging BI trends
and innovations.
Cross-Functional Collaboration:Encourage cross-functional collaboration between
IT, marketing, supply chain, and other departments to maximize the holistic impact
of BI.Establish clear communication channels to ensure insights derived from BI are
shared and leveraged across the organization.

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Scalability and Flexibility:Ensure BI systems are scalable to accommodate growing
data volumes and evolving business needs.Maintain flexibility in BI architectures to
adapt to changes in organizational structures and market dynamics.
Continuous Improvement:Institute a feedback loop for BI processes, encouraging
continuous improvement based on user feedback and changing business
requirements.Regularly assess and update BI strategies to align with the evolving
landscape of FMCG industries.
Sustainability and Social Responsibility:Consider integrating BI tools for
monitoring sustainability metrics and social responsibility initiatives.Utilize BI
insights to optimize resource usage, reduce environmental impact, and contribute to
socially responsible practices.
Collaboration with Educational Institutions:Foster collaboration with educational
institutions to bridge the gap between academic learning and industry
requirements.Provide opportunities for students to engage with real-world BI
applications in FMCG through internships or collaborative projects.
In conclusion, the project report highlights the instrumental role of BI in FMCG
industries and proposes recommendations to further optimize its implementation. By
embracing these recommendations, FMCG organizations can position themselves at
the forefront of data-driven decision-making, fostering innovation, and ensuring
sustained success in the dynamic landscape of consumer goods.

REFERENCE
(KENTON, 2021) Sellitto, Carmine

A Fast-Moving Consumer Goods Company and Business Intelligence Strategy

Developmen 13
10.4018/IJEIS.2017040102
International Journal of Enterprise Information Systems

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