Freeze those cubes now!
Do you know of anyone with an ongoing project to create “cubes”? Tell him to put it on hold immediately.
He’s probably paying some IT guys an arm and a leg to build these cubes in Microsoft Analysis Services. But when Excel 2010 is released with Gemini and PowerPivot in a few weeks time, his end-users will be able to build those cubes themselves for free.
Gemini needs a lot more discussion, but right now I want to emphasise the enormous political implications of this product. Previously, IT department controlled Business Intelligence (BI) projects and the users were kept in their place. Now in one step the IT people are out of the loop and users can analyse big amounts of data themselves.
Obviously Microsoft sells to IT departments so it isn’t going to emphasise too hard that it’s now making them redundant. But the genie is out of the bottle. Here’s a couple of quotes from people who understand the implications.
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"Previously, end-users were forced to rely on IT when they wanted to do analysis or build applications with familiar tools like Excel," said Herain Oberoi, group product manager with the SQL Server business group at Microsoft. "In order for [end users] to do what they wanted, they had to depend on IT, whether it was to get the data or have them build an Analysis Services cube. We think [PowerPivot for Excel] is the thing that's going to allow IT and end users to form that bridge," he added."
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"But it's clearly more than that - from the Forrester blog entry above:
"Its Gemini tool (to be available for beta testing sometime in 2009 and general availability in 2010) will not only enable power users to build their own models and BI applications, but easily make them available to power [casual?] users, almost completely taking IT out of the loop. In Gemini, the in-memory, on the fly modeling will be done via a familiar Excel interface. Once a new model and an application is built in Excel, a power user can then publish the application to Sharepoint, making it instantly available to casual users. Not only that, but the act of publishing the model to Sharepoint also creates a SQLServer Analysis Services cube, which can be instantaneously accessed by any other BI, even non Microsoft, tool."
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So how will IT departments react to Gemini? My guess is that the whole idea of losing control to end-users will be deeply unpopular. They will act as if Gemini doesn't exist and just carry on with IT-led cube-building projects as before.
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Well, it's the first thing Microsoft talked about
Ah, what a happy, sensible world you seem to live in!
All I can say is that Microsoft themselves recognise this is going to be a very sensitive issue since they raise it in the very first sentence of their press release (below).
Self-Service Business Intelligence
"IT departments and users have traditionally been at odds with each other over self-service analytics. IT departments seek to maintain IT governance and control; end-users want to generate and manage their own content and reporting. With managed self-service business intelligence in SQL Server 2008 R2, these two worlds meet, providing significant business advantage. SQL Server 2008 R2 provides both end-users and IT with cutting edge tools to create, analyze and model, share and manage business intelligence data in a secure and streamlined way."
Standards & best practice ignored
Sensitive doesn't mean that anything goes or that best practice should be ignored in the headlong rush to trash the IT departments & get your own way - on this basis it is surprising that there is any PI insurance available to firms that go down this route
No accountability, no risk assessment, no documentation, no training & no understanding of any potential wider impact
In other words the more powerful the tool the bigger the scope for getting it wrong - Sounds just about right for the Excel evangelists who on the whole do not even attempt to adopt best practice or any standards whatsoever.
Or to bring it home - when was the last time that DC actually provided - specfication(at the outset), documentation etc.. for a spreadsheet? Post this information and we can all use it as a guidance and a discussion template
Unfortunately we seem to adopt the attitude that we have a new tool and it is our right to use it however we choose; irrespective or understanding or consequences
Very interesting discussion
Well, the contributors so far have pitched us right into the fiery furnace of management reporting's longest-running debate - the role and control of end-user computing. It's already a little heated, but can Anonymous remember that David's original purpose isn't to post an incendiary article, but to get a constructive conversation going about Excel reporting - you're raising some very salient points, but within a semi-private discussion group. (Please note that I may well draw on things said here in articles for the wider AccountingWEB readership).
Although it was founded on the principle of helping people to be more effective with their spreadsheets, ExcelZone has long promoted the idea that Excel is not the be-all and end-all of management reporting - there are a lot of tasks for which it is not appropriate. Ever since Enron and the Sarbanes-Oxley Act came in in 2002, Big Four auditors like PricewaterhouseCoopers have cracked down on uncontrolled spreadsheet use in corporate reporting, and have laid down strict guidelines about end-user computing.
Yet Excel is embedded as a feature of business culture, people are using it and getting a lot of benefit out of its flexibility, adaptabilty and presentation features. While I can see both sides of the argument so far, I would think that one of the strengths of PowerPivots is that they rely on the central SQL Server database - although the PowerPivot users will be able to download and distort the numbers to their hearts' content, the central IT team should still have adequate control to ensure that inaccurate figures are not written back. Surely that would bring some improvement to less than satisfying reporting environments?
We've tagged relevant content on PowerPivots so that you can see all the relevant articles on AccountingWEB in once place, and as part of the SQL Server 2008 launch, Microsoft opened a very useful online resource centre. You can also follow the PowerPivot team on Twitter, but they've gone rather quiet since the launch last month.
As I commented on David's original PowerPivot post in this group, you need to have all the requisite Microsoft facilities in place and then it will still take some time to get the tools to do what you want. Can any other members of this group offer there experiences of the pros and cons of the PowerPivot approach?
You’re missing a fundamental point
Hi Anonymous,
You’ve completely missed the point which I covered in my earlier post about Front-ends and Back-ends. But since it is so fundamental it will do no harm to re-state it.
The key question is: “Is Excel being used as a back-end datastore, or as a front-end to the company datastore?” (most commonly an ERP/accounts package such as Sage, Navision, SAP etc)
To decide whether it is being used as a front-end or as a back-end datastore, you have to ask the question: “How is the data being entered?”
If the user 1) types the data in by hand, or 2) cuts and pastes, or 3) exports as CSV and imports into Excel, s/he is using Excel as a datastore. As you say, this needs to be properly organised otherwise you get (in my words) a “dog’s breakfast.”
But if they 4) are live linking Excel direct to the company’s Sage or Navision database via, say, ODBC then Excel is not being used as a data store but as a front-end to company data. And every time the user presses the REFRESH button, the entire contents of the Excel worksheet are wiped out and overwritten with the data currently held on the Sage /Navision database.
Agreed, there may still be issues about interpreting that data, but do you accept that now THE DATA HELD IN EXCEL IS 100% ACCURATE?
Cloud apps already export to Excel
@David Carter
Just to jump in
In fact a number of Cloud applications currently have options to deliver reports in Excel, PDF etc. so surely this is not a new concept except in so far as it now becomes more of a BI tool
Once they adopt this approach it should provide even better analysis/reporting facilities from the Cloud/SaaS
But in a Cloud environment IT departments have very little input other than to keep the hardware running or write the initial export, so the impact on them could well be minimal. But the initial export still has to be developped in the first place
Timeliness
One of the advantages I see to products like PowerPivot that 'empower' a user to produce reports or perform data extracts/summaries is the increase in timeliness of the information to the end user.
Thats a weakness of most existing BI products - the time it takes to get the info out. It is the speed of extracting the required info. that decides whether it is "very useful info." or "thats interesting, but its now to late to use ...".
The accuracy may not be 100%, but any increase in the timeliness of info. goes along way to providing pertient info. on which managers can act before its too late.
Flexibility
A lot of the problems I have when performing analysis at work is the sheer inflexibility of corporate solutions whereby I cannot directly access the underlying company data unless I make use of their own "reports". I think this also frequently encourages the end-user to end up storing the data that is available in their own end-user files such as Access/Excel/csv.
The availability of PowerPivot will not necessarily improve this state of affairs unless access (read-only, naturally) is granted to the underlying data. This is not to say I am not excited by the prospect: I am, I can just see its potential being somewhat constrained.
Of course, should my concerns prove unfounded then I will gratefully embrace the technology and analyse to my heart's content - without any need to submit a change request to IT Dept A (which needs to be signed off by IT Depts B, C and D) before they will consider altering a field name in their output of Report Z...
making full use of the tool ...
@RichardSchollar
Agree with you about steps to make PowerPivot more useful with access to underlying data - however
- this may mean a knowledge of SQL and the underyling table stuctures
- it is all too easy to use an incorrect JOIN and only extract some of the required data - at which point the user doesn't realise the data is complete and bases future judgements on incorrect information; possibly the most dangerous scenario?
- alternatively data dictionaries are required
Nevertheless unless everything is 'wrapped' in some form of user friendly data selection module that takes care of these issues the users will not have the implied intrinsic flexibility to make full use of this tool.
At that point does it only become a bigger version of Excel? So without simple access to user 'defined/selected' data it really looses its edge?
Connectivity and Making Joins
Richard and JC's recent posts touch on a couple of key issues:
CONNECTIVITY
Richard, you mention inability to get to the underlying database. I do not believe that there are now ANY accounts or ERP packages which do not offer connectivity to Excel. ODBC has been around for over a decade now and the authors of even elderly Unix packages have built drivers to link them to Excel. You just have to ring up the suppliers and ask. So I am sure that you CAN access your corporate data directly, but maybe IT don't want you to because now you are exposed to the underlying database structure and get JC's problem.
MAKING JOINS
JC is quite right; you' can't seriously expect end users to start making joins between tables. What is needed is a new table or SQL view specifically set up for reporting where all the joins have already been made - an "analysis-ready file" as I once called it.
The importance of PowerPivot / Gemini is not that we can now start analysing X million records in Excel, but that it finally kills off pre-calculated cubes. The Cubes/Analysis Services route has just muddied the waters and caused confusion everywhere - look at poor old Sage who have just brought out a BI solution for Sage 200 based on cubes which is obsolete the day it is announced.
With Powerpivot we now have connectivity, we can now handle big volumes. There's just one obstacle left to overcome - JC's problem of normalised data.
It's a massive hurdle but it's the only one left - we are in sight of the promised land!
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Why should it be unpopular
There is no real reason for it to be unpoular because actually it takes the 'boring' grunt work away from the IT departments and puts it firmly in the hands of the user. So there will be no more statements such as '.. I know I said but I actually meant ..'
In reality this division between IT & the business in somewhat in the past - except of course in 'flame mail' articles such as this, whose job it is to make an impact
Of course the flip side is that users will have to look after themselves and if they choose to do their own thing cannot expect the IT department to bail them out if it all goes wrong - basically you break it, you fix it
The only reason anything is about being in control is if one is accountable in the case of something going wrong - who in their right mind is going to accept responsibility when they have not control over their charge?
Would you sign off an audit on figures prepared by someone else without knowing what they contained?