{"id":3801,"date":"2022-01-18T12:53:30","date_gmt":"2022-01-18T20:53:30","guid":{"rendered":"https:\/\/www.esri.com\/about\/newsroom\/?post_type=wherenext&#038;p=3801"},"modified":"2025-01-09T05:24:15","modified_gmt":"2025-01-09T13:24:15","slug":"enterprise-technology-behind-big-business-decisions","status":"publish","type":"wherenext","link":"https:\/\/www.esri.com\/about\/newsroom\/publications\/wherenext\/enterprise-technology-behind-big-business-decisions","title":{"rendered":"The Enterprise Technology behind Big Business Decisions"},"author":671,"featured_media":8031,"parent":0,"menu_order":0,"template":"","format":"standard","meta":{"_acf_changed":false,"sync_status":"","episode_type":"","audio_file":"","podmotor_file_id":"","podmotor_episode_id":"","castos_file_data":"","cover_image":"","cover_image_id":"","duration":"","filesize":"","filesize_raw":"","date_recorded":"","explicit":"","block":"","itunes_episode_number":"","itunes_title":"","itunes_season_number":"","itunes_episode_type":"","_links_to":"","_links_to_target":""},"categories":[1001,381312,369792],"tags":[],"department":[488812],"wherenext-category":[],"industry":[],"class_list":["post-3801","wherenext","type-wherenext","status-publish","format-standard","has-post-thumbnail","hentry","category-commercial","category-cxo-priorities","category-location-intelligence","department-emerging-technologies"],"acf":{"short_description":"Businesses make hundreds of location-based decisions each day, and GIS can add intelligence to each one. ","pdf":{"host_remotely":false,"file":"","file_url":""},"flexible_content":[{"acf_fc_layout":"content","content":"A little-known technology is helping business executives make big decisions. The geographic information system has quietly landed in various sectors of the commercial world, allowing executives who recognize its power to <a href=\"https:\/\/www.esri.com\/en-us\/location-intelligence\/overview\">analyze information based on location<\/a> and improve their decision-making.\r\n\r\nConsumer goods manufacturers are using <a href=\"https:\/\/www.esri.com\/en-us\/what-is-gis\/overview\">GIS<\/a> and spatial analytics to track social media activity, spotting brand preferences in certain areas of the country and spending their marketing budgets more efficiently.\r\n\r\nInsurers are using GIS-based hot-spot analysis\u2014<a href=\"https:\/\/www.esri.com\/en-us\/artificial-intelligence\/overview\">a form of artificial intelligence<\/a>\u2014to find trends in big data that the human analyst can\u2019t see, helping them price risk more effectively."},{"acf_fc_layout":"sidebar","layout":"standard","image_reference":null,"image_reference_figure":"","spotlight_image":null,"section_title":"","spotlight_name":"","position":"Left","content":"<h2>GIS: An Executive Summary<\/h2>\r\n<h3>What<\/h3>\r\nA geographic information system (GIS) delivers real-time, location-based insight. GIS can capture and analyze any data with a spatial context, from the location of a company's trucks and drivers, to the spending habits of people on a particular block, to the effects of weather patterns moving across the country.\r\n<h3>Why<\/h3>\r\nBecause location information is key to market intelligence, operational intelligence, real-time awareness, and more. As companies strive to answer customer needs, boost revenue, and set strategic direction, GIS provides insight on fundamental questions like: Where are sales trending upward? Where are we missing opportunities? What threats are on the horizon?\r\n<h3>Who<\/h3>\r\nGIS delivers insight to the field and to the corner office. Leading companies have recognized its crucial role as a business intelligence tool and are using GIS to optimize the work streams of service technicians, risk analysts, business planners, and executives.","snippet":""},{"acf_fc_layout":"content","content":"City planners are leveraging the 3D mapping capabilities of GIS to visualize the design of smart cities, saving time over conventional methods and exposing opportunities for innovation. Meanwhile, retailers are using lidar to map their stores, and technologies like Li-Fi to understand shoppers\u2019 preferences\u2014all with the help of GIS.\r\n\r\n(<a href=\"https:\/\/www.esri.com\/about\/newsroom\/podcast\/leading-companies-use-location-intelligence-enhance-bi-crm\/\">Listen to this podcast<\/a> to learn how leading companies are using location intelligence to enhance BI and CRM.)\r\n\r\nGIS analyzes data in the context of geography and time, allowing business leaders to visualize information tied to specific locations. An executive can answer questions such as, How can I optimize the movement of assets to decrease costs? Where do demographic and psychographic trends indicate a profitable location for my new store?\r\n\r\nSome companies are pushing GIS into new realms of business insight; others are solving core business problems. In this primer, we\u2019ll highlight companies that have earned measurable business benefits by applying GIS technology in specific business scenarios."},{"acf_fc_layout":"content","content":"<h3><strong>Supply Chain Optimization<\/strong><\/h3>\r\nFor any business built on the movement of assets through a supply chain, GIS can be a vital ally. With the help of data from mobile devices, radio-frequency identification (RFID) tags, and the Internet of Things, GIS can provide real-time intelligence on assets in motion as well as insight that helps a company better plan the movement of those assets.\r\n\r\nUPS has become a master of GIS-based optimization. From the early days of its founders to today\u2019s innovations, the company and its engineers have leveraged operational analytics to pioneer many efficient approaches to goods delivery.\r\n\r\nBy avoiding left-hand turns, for instance, UPS eliminated the need to cross traffic, saving time and increasing driver safety. <a href=\"https:\/\/www.esri.com\/about\/newsroom\/publications\/wherenext\/buzzwords-hidden-dimensions-and-innovation-a-ups-story\/\">GIS technology helped the company<\/a> operationalize the no-lefts policy\u2014and many other efficiency measures."},{"acf_fc_layout":"image","image":8211,"image_position":"left","orientation":"horizontal","hyperlink":""},{"acf_fc_layout":"content","content":"UPS recently implemented a system called ORION (On Road Integrated Optimization and Navigation), which is rooted in GIS technology. The system acts as a logistics command center, weighing the stops a driver must make against variables such as timed deliveries and fuel usage. With the help of advanced analytics, the system often prescribes delivery routes that look counterintuitive to the human eye, but create measurable benefits for the company and its customers. (Learn more <a href=\"https:\/\/www.esri.com\/about\/newsroom\/podcast\/how-ups-strengthens-customer-connection-with-spatial-analytics\/\">in this podcast<\/a> with UPS's Jack Levis.)\r\n\r\n<strong>Business Benefit<\/strong>\u2014Through a combination of GIS and business intelligence technology, UPS annually saves 100 million miles, 10 million gallons of fuel, and $300 million to $400 million.\r\n<h3><strong>Location Planning <\/strong><\/h3>\r\nThe largest sporting goods retailer in the US is using a creative team of analysts and GIS technology to:\r\n<ul>\r\n \t<li>Guide the expansion of its market-leading store network<\/li>\r\n \t<li>Gain a deeper understanding of the relationship between online and brick-and-mortar sales and how to expand its personalization strategy<\/li>\r\n \t<li>Inform its foray into groundbreaking forms of retail<\/li>\r\n<\/ul>"},{"acf_fc_layout":"content","content":"<a href=\"https:\/\/www.esri.com\/about\/newsroom\/publications\/wherenext\/dicks-sporting-goods-strengthens-omnichannel-through-brick-and-mortar-planning\/\">DICK\u2019s Sporting Goods<\/a> uses location intelligence from GIS technology to understand the physical and digital retail landscape. The company\u2019s analysts examine customer demographics and online spending trends to reveal ideal locations for new stores.\r\n\r\nAcross the industry, companies have struggled to understand the relationship between store sales and online purchases. Many brands lack the insight to create a strategy that keeps both channels healthy and responsive to customer demands. At DICK\u2019s Sporting Goods, geographic analysis helped decision-makers find the right omnichannel balance.\r\n\r\n\u201cThe traditional thinking . . . mostly outside the organization, was that brick-and-mortar was going to be really hurt by e-commerce, and that we might not need as many stores,\u201d said Bill Grassel, director of real estate market research and strategy at DICK\u2019S Sporting Goods. \u201cA lot of the spatial analysis that we\u2019ve been able to do has said when we add new stores, we actually see our entire omnichannel sales go up.\u201d\r\n\r\n<strong>Business Benefit<\/strong>\u2014Initially used to analyze customer demographics and plan store locations, GIS has expanded into other departments, helping decision-makers spot consumer trends, plan marketing campaigns, and understand relationships between sales channels. Executives now rely on GIS to make faster, more accurate decisions with millions of dollars on the line.\r\n<h3><strong>Asset Management<\/strong><\/h3>\r\nLong before the term <a href=\"https:\/\/www.esri.com\/about\/newsroom\/publications\/wherenext\/mining-new-business-insight-internet-things\/\">Internet of Things<\/a> came into use, utility companies had become IoT and GIS veterans, using the latter technology to monitor thousands of assets and events across sprawling and often complex operations."},{"acf_fc_layout":"image","image":8231,"image_position":"right","orientation":"horizontal","hyperlink":""},{"acf_fc_layout":"content","content":"In the realm of power distribution and water management, GIS typically works in conjunction with a supervisory control and data acquisition (SCADA) system. With GIS as the hub of location analysis and SCADA monitoring flow valves, electrical switches, and other assets in real time, a utility can continually adjust its assets for maximum performance.\r\n\r\nAt one water utility in the southeastern United States, GIS technology helps operations managers visually monitor the status of tank levels, pressure, flow rates, and other critical factors. By putting SCADA information onto a GIS-based map, the utility\u2019s managers enjoy a real-time view of operations\u2014a key component of the <a href=\"https:\/\/www.esri.com\/about\/newsroom\/publications\/wherenext\/get-assets-five-steps-operational-intelligence\/\">operational intelligence<\/a> that drives good business decisions.\r\n\r\nAmong other sources of insight, the real-time view gives managers a clear understanding of the water needed to meet customer demand throughout a service territory. In the past, managers estimated need based on a spreadsheet of recent tank levels and flow rates\u2014rather than real-time data\u2014and this led to excess production. Today, with the status of each system component displayed on a map, managers are never more than a few clicks away from system optimization.\r\n\r\n<strong>Business Benefit<\/strong>\u2014Using a map-based view of real-time operating conditions, the utility knows how to meet customer needs without waste, which creates greater customer satisfaction and lowers the cost of operations.\r\n<h3><strong>New Product Development <\/strong><\/h3>\r\nAs DICK's Sporting Goods' experience demonstrates, GIS can guide a company\u2019s expansion plans by delivering intelligence on where potential customers live and work. GIS can also provide insight into the habits and desires of existing customers to help companies expand services and launch new products."},{"acf_fc_layout":"image","image":8241,"image_position":"right","orientation":"horizontal","hyperlink":""},{"acf_fc_layout":"content","content":"Another well-known food and beverage chain\u2014a Fortune 200 company with thousands of outlets worldwide\u2014relies on GIS technology to determine the right location every time it opens a store.\r\n\r\nExecutives also use GIS to better understand their customer base. Recently, the company used location data to decide where to promote its new mobile app, which allows customers to pay with their phones and track their rewards. GIS allowed the company to map areas of high smartphone usage and promote the mobile app in areas where it would have significant impact. Planners also enlisted GIS to analyze the rollout of a new evening menu by targeting stores with high evening pedestrian traffic and complementary spending habits.\r\n\r\nBeyond its usefulness in long-range planning for new products and services, GIS also helps the company adjust product promotions in real time, based on changing conditions such as weather. By examining local forecasts, planners can target specific stores for promotions\u2014for instance, offering cold-beverage coupons to customers in areas where temperatures are high.\r\n\r\nNo detail is too small for an innovative team and a full-featured GIS: managers even use the technology to adjust staffing and inventory based on community events in the neighborhoods around each store.\r\n\r\n<strong>Business Benefit<\/strong>\u2014One of the largest food and beverage chains in the world credits its enterprise GIS with helping the company grow responsibly and profitably.\r\n<h3><strong>GIS in the Enterprise<\/strong><\/h3>\r\nThese examples represent a cross-section of the ways in which GIS can create business value. Its applications are as varied as the data it ingests.\r\n\r\nMany leading companies have now democratized GIS, delivering its intelligence to anyone in the company on any device. Managers can easily configure the system to keep sensitive information from certain users and tailor workflows to employees\u2019 responsibilities.\r\n\r\nFor executives who are wary of costly IT integration projects, the leading GIS solutions use standard APIs to collect information from customer relationship management (CRM), enterprise resource planning (ERP), and other company-wide systems.\r\n\r\nAt the executive and managerial levels, GIS dashboards routinely contribute to operational decisions and strategic plans. Some companies have even opened the GIS portal to partners and suppliers to extend internal intelligence to the supply chain.\r\n\r\nThese and other innovations are helping leading users of GIS outpace their competition\u2014by driving inefficiencies from their operations, increasing opportunities for revenue, and boosting customer loyalty."}],"references":null},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v25.9 (Yoast SEO v25.9) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Business Executive&#039;s Guide to GIS Technology<\/title>\n<meta name=\"description\" content=\"Businesses make hundreds of location-based decisions each day. 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With nearly 30 years of reporting on GIS technology, he has chased future-forward user stories and watched as wild ideas, innovative tools, and enterprise-wide geographic approaches have become common practice. Prior to Esri, he edited GeoWorld magazine, organized the GeoTec Event, founded V1 Media, and launched Sensors &amp; Systems and Informed Infrastructure magazines. 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