A new model of Intelligence Process in a company

Introduction

We often tend to think of Intelligence, in Military connotations in which it is defined up to the last detail. Moreover, its missions and goals are known and accepted by a large community around the world.

Add to that the fact that Military Intelligence has its game-rules which are known and played almost the same worldwide. Also attached to it an ethical code, sometimes an unwritten one.

Now let us turn to Intelligence in the business connotations, and we might find out that things look different, although the aims of the Intelligence process are many times the same.

When looking at Intelligence processes in the business world, one can find a mixture of approaches, many different definitions, and explanations. Also, there is a variety of Intelligence units in an organization where it adapts Intelligence processes that seems fit at that time.

Amongst the distortions in Intelligence perceptions regarding the business world, arose sub-intelligence areas or civil-intelligence processes to fit the needs of the Industry and the Business-Eco-System worldwide. Here we can find the concept of Competitive-Intelligence, Market-Intelligence, Business-Intelligence, Intelligence-Analyst, Knowledge-Management, Intelligence-Data-Analyst, etc.

But the fact is that all of these sub-intelligence professions are part of a well-defined and well-taught principles of managing a company. That is the way a company analyzes its surroundings internal and external by various methods.

To sum up this introduction, the role of Intelligence in a company’s operation has always been built-in in the way we manage a company. It is a very important element in the business world and industrial eco-systems.

In this article, I would like to suggest a holistic approach to Intelligence in a business context. I will present a simple model of Intelligence within a company. Hence, The Intelligence Box (TIB) Model™.

The Intelligence Box Model — basic elements

A holistic approach to Intelligence in a company must include these four essential elements as its pillars: Competitive Intelligence (CI), Market Intelligence (MI), Business Intelligence (BI), and Knowledge Management (center) (KM).

CI and MI elements gather the external data needed for a company to survive and thrive. The BI element gathers the internal data for that need. The KM center is the platform in which all current and past data is stored, extracted from, and organized.

The base of the TIB model consists of the four elements mentioned above and a square. Each element situated in one of the four vertices where all edges are equal to one (1).

Table 1.0 shows the basic square and the position of the elements on it. Hence, The Intelligence Square (TIS)™.

The edge to the right of each vertex represents the element. The fact that all edges are equal indicates that each element has the same potential in the Intelligence process.

Each element has two more measures, indicated in the horizontal and vertical axis coming out of each vertex. The horizontal axis stands for the total HR invested in the element. HR is the total budget allocated to a specific element in terms of recruiting professionals, nurturing talents, training, workshops, evaluating, and rewarding the workforce. The vertical axis stands for the total IT invested in the element. IT is the total budget allocated to a specific element in terms of internal and external tools purchase, develop, R&D, infrastructure, methods, etc.

Table 2.0 shows the axis regarding the MI element. MI(HR) refers to the total potential of HR in MI. MI(IT) refers to the total potential of IT in MI.

Consequently, after we complete all axis, it forms a perfect equal 3d box, as shown below. All edges equal to 1, and it has a total volume of 1.

Table 3.0 shows the next phase of building the model. Hence, The Intelligence Box (TIB)™.

A quick recap of the model to this point, I argued that a perfect Intelligence process in a company consists of four elements working side by side constantly CI, MI, BI, and KM. Each has a crucial role in gathering and forming information and allowing managers to decide on tactical or strategic steps to keep the company going and ensure its future existence. I have suggested dimensions aligned to each element (HR and IT), giving each element a ‘domain’ in the Intelligence process concerning the company’s sources allocated to the Intelligence process. Finally, I presented a perfect equal box which stands for the holistic energy invested by a company to the Intelligence process.

But, the model is not yet complete because it has to meet reality. And in real life, the energy invested in an element, any element, in the company is not perfect and not equal. Putting aside the naive notion of the perfect box, it is very plausible that the elements in TIB wouldn’t get the same priority, thus the same budgets.

We can now form a new shape rather than a perfect box to represent the total energy of the Intelligence process. Since each element has a different priority and sources allocated to it, we get new dimensions for each element, As shown below.

Table 4.0 shows the new dots on the axes, representing the element’s real position in the box.

Connecting the dots and drawing a new shape inside the box brings us to acknowledge the real volume of the Intelligence process in a company. It is not an equally perfect shape, as TIB initially suggested.

Table 5.0 shows the new shape inside the TIB.

At this point, we reached the final stage of the model. By extracting the new shape from the box, we get to see the real company’s reference to the Intelligence process.

Table 6.0 shows the real dimensions of the four elements. Hence, The Intelligence Core (TIC)™.

Implementation of the TIB model

Before I start a short discussion about implementing the model, I would like to refer to some attributes of the Box and the CORE.

The volume of the perfect equal box equals to 1. I will be talking about that in a minute, but for now, let us refer to the core shape first. Let X be the Core Volume Intelligence (CVI)™. It represents the total budget allocated to the Intelligence process in the company. In that case, the volume of 1-X equals to the Managed Acceptable Risk (MAR)™, taken by the company’s high ranked managers.

This means that some of the strategic decisions made accept that the Intelligence process can’t eliminate all risks. Other strategic and tactical measures must be done to reduce risks.

What does the volume of 1 mean with regards to the perfect box? It stands for a utopian world where the company invests all sources needed to eliminate risks to zero. The notion of Full Volume Intelligence (FVI)™, is not a realistic one, not in biological systems nor financial or business systems. But, as a concept and an inspiration, it must be included in the CEO’s vision, and act as a compass for Intelligence actions in the company and risk management.

I started this article with the notion of the business world adapting the Intelligence process and using it to make better decisions.

The first step in Implementing the TIB model is to return to our MBA studies, to assess the risks involved in the company’s operations, to analyze the perfect SWOT, and to understand the core of the business. Then, it is the right time to consider forming an Intelligence Box and then decide on the dimensions of The Intelligence Core (TIC). Running an ongoing Intelligence Core should be a significant tool, for executives, to reduce and control risks, convert DATA into Information and Information to DSS. The goal is the survival and thrives of the company by the CEO’s vision.

Finally, It is very important to understand that a healthy Intelligence Core depends on HR and IT. The lack of understanding of the crucial role of them both in the process and understanding of all aspects concerning them can bring decision-makers to make mistakes in assessing the real company’s needs and the most effective budget to be allocated for that matter.

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