Alignment and integration of competitive intelligence system: a case study

Many studies show that competitive intelligence (CI) plays a very important role in business success (Behnke 2001, Behnke & Slayton 1998, Breeding 2000, Pepper 1999). However, a recent survey conducted by a business intelligence consultant Outward Insight LLC reveals that almost thirty percent of companies neither have a CI system nor see the need for it, twenty-nine percent of respondents admitted that they do not have an intra-firm systematic way to deliver CI and seventeen percent of them are unsure of how to implement it (Swartz 2005). In fact, there are many barriers to applying a CI system in organizations, such as, insufficient funding, internal bureaucracy, lack of sufficient skills and experience in intelligence teams. Of these obstacles, the internal bureaucracy is the most important one, namely, many companies do not know how to setup a CI system that is integrated with their current organizational structure (Swartz 2005). This paper provides a case which shows 1) how a hi-tech company sets up a virtual CI system that is aligned and integrated with its current management system and, 2) how to operate effectively the CI system in line with the company¿s activities of decision making, new products development, marketing, sales and services.