Cloud BI vs Cloud CPM

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This article focuses on the differences between corporate performance management (CPM) and business intelligence (BI) in the cloud era.


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What is the difference between corporate performance management (CPM) and business intelligence (BI)? CPM and BI both inhabit the same arena of enterprise technology because they do the work of encapsulating the organization’s health. These two categories allow you to identify strengths, weaknesses, threats, and opportunities. With that said, there are difference between the two, and while the end results may not appear the same, there isn’t too much overlap. This will be helpful for you to understand the difference between CPM and BI as you deploy the right tools to meet your company goals. This article will differentiate between CPM and BI solutions so you can continue to build a cloud technology roadmap clearly.

Let’s define CPM and BI. CPM, defined by Gartner, is “an umbrella term that describes the methodologies, metrics, processes and systems used to monitor and manage the business performance of an enterprise.” BI is defined as “the technology used to gather and analyze data relevant to an enterprise in order to improve business decision making.” That might sound somewhat similar to you on paper. While both terms are defined in several different ways throughout the internet, maybe you can see why I might use the terms interchangeably. But let’s refine our understanding of CPM and BI as they do differ.


The term BI has been around since 1989, while CPM was birthed in the early 1990s. Howard Dresner, known as the father of BI, came up with the term in a move away from older decision support applications. His goal was to specify in one term the practices and methodologies of making better business choices through fact-based organizational data. Additionally, BI tasks are mainly focused on visualizations, as in dashboards of charts, graphs, and scorecards. BI doesn’t only mean company data trends, illustrated, but it also comprises a drill-down into numbers behind the visuals. BI can also mean big data including web site traffic and visitor behavior as an example. BI is produced for the entire company in terms of the type of audience, whereas CPM focuses on a smaller group of professionals.


To continue learning about the differences between CPM and BI in the cloud era, click here.

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