Business Intelligence (BI) solutions will play an important role in U.S., state and local governments' transformation plans, says a new report by independent market analyst Datamonitor. According to the report "Government Technology - Incorporating Business Intelligence into Back Office Reform," analyzing constituent and program data with BI provides agencies with opportunities to become more citizen-centered and results-driven."Governments today are under pressure to demonstrate stakeholder value while managing resources more effectively," says Kate McCurdy, Public Sector Technology analyst with Datamonitor and author of the report. "Transforming business functions and modernizing processes enables organizations to become more efficient and ultimately deliver higher-quality service to constituents." Such "back office reform" strategies include deploying technology solutions that automate procedures, improve the accuracy of results and make methods transparent to external and internal review.

Early stages of back-office reform involve agencies implementing human resources, financial management and other enterprise resource planning (ERP) systems. Once that primary phase is accomplished, governments need data management solutions, such as BI, that enable them to integrate, analyze, report and measure information. While Datamonitor maintains that state and local government is still a nascent market for BI, there are a number of factors driving its adoption:

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