According to a report released Tuesday by AMR Research, North American companies will spend $23.8 billion in 2007 on business intelligence (BI) and performance management (PM), an increase of 9 percent.
AMR outlines BI and PM as a set of tools, applications and processes that helps companies control and manage business and operational performance, combining goal-setting and alignment with planning, forecasting, modeling capabilities, analytics and tactical reporting.
“We are nowhere near the business and intelligence and performance management saturation point,” said John Hagerty, vice president and research fellow at AMR. “The vast majority of companies say they will expand their purchases this year. While BI tools are still the largest area of spending and could be considered the meat and potatoes of this space, analytics applications as well as dashboards and scorecards are growing at a healthy rate.”
By category, business intelligence tools for gathering information and provide analysis is expected to see $6.6 billion; dashboards and scorecards should see $5.5 billion; analytics infrastructure is expected $4.3 billion in spending; planning, budgeting and forecasting will have a $4.1 billion share; and analytics applications will see $3.4 billion in spending for 2007.
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