• Data analysis is essential for organizations to identify opportunities, optimize processes and gain a competitive edge
  • Data analysis tools such as Excel and Power BI enable organizations to gain insights and make informed decisions based on actual facts rather than intuitions
  • Microsoft Excel and Power BI are two widely used tools, each with its own features and benefits.

Here we find out the key differences between these two tools and which one is best for your business


Microsoft Excel is a powerful tool familiar across organizations worldwide for data analysis and manipulation. Excel presents data in a clear format that can be easily understood and used for day-to-day operations.

Microsoft Power BI is a powerful analytics tool that enable users to analyze and visualize data from multiple data sources. Power BI seamlessly connect with a range of data sources including databases, spreadsheets, cloud services and files.

Let’s see how they are different and similar with respect to certain factors


Data management

One of the main differences is the amount of data that these two tools can handle. Excel can handle data up to a few million rows, and Power BI can handle large data sets with ease.

Power BI’s cloud-based nature enables it to handle much larger data sets with scalability, making it a valuable analytical tool as businesses’ data processing needs grow. Excel is usually used for analyzing smaller data sets, such as data related to daily operations, financial records, and other similar types of data.

Data Modeling

Data model in Excel is a useful feature to combines data from multiple tables and create relationship between them. This makes it easier to analyze large and complex data sets in Excel. Data modeling is typically performed through the use of pivot tables, pivot charts and other visualizations to gain insights into data.

Power BI uses advanced data modeling methods to analyze large sets of data from various sources. The sources can include Excel spreadsheets, CSV files, text files or relational databases. Power BI’s data modeling capabilities are more advanced and enable users to work with larger data sets for more complex analysis.

Data visualization

Excel provides users with various options to visualize their data. The various visualization options include different kinds of charts such as pie charts, line charts, column charts and scatter charts. In addition to charts, Excel also offers PivotCharts and PivotTables to analyze large data sets with ease.

Power BI provides more compelling visualization options for data analysis and reporting. Users can create captivating dashboards and reports by using various visualization elements. Power BI’s visualization tools make data analysis seamless and enable users to share data in an engaging way.


Excel allows to collaborate on the Excel file which is shared with others. Users can collaborate on the same file in real time, where they can track changes, comment, ensure data security and integrity, and protect the file.

Power BI allows more efficient real-time collaboration for multiple users on the same dashboard or report. Changes made by one user are visible to other users. Power BI collaboration features allow users to discuss and collaborate on specific aspects of projects.

Data Source

Both Excel and Power BI can be connected with various data sources to gain insights. Excel can be connected with databases, SharePoint, web data sources and more. Similarly Power BI can be connected with Oracle, Excel, SharePoint, Salesforce, and cloud-based and on-premises data sources.

Connecting to various data sources provides the advantages of better data analysis, improved collaboration, efficiency and decision making.

What are the benefits you get with these data analysis tools?


You can gather data from different data sources, which can provide you with a comprehensive view of your business health. Data analysts can gain insights into your business operations.

By using the collaboration features, teams can work together more efficiently, as they can all access the same data in real-time. This can help you make better decisions that drive business growth.

Connecting to multiple data sources eliminate the need to manually collect data, helping you save time and effort. You can create reports and visualizations that help you identify trends to make informed decisions.

By analyzing data, you can recognize areas in business that are least performing and take action to improve performance, ultimately leading to greater success.

Both are excellent data analysis tools, however, the modern business environment demands quick insights from data. While the power of Excel isn’t diminished, Power BI’s advanced features make it ideal for fast-paced businesses.

Power BI’s usage among enterprises worldwide is increasing due to its analytics capabilities and visualization tools. Being able to handle large data sets makes it more favorable. So, when your business is looking for a data analysis tool, it is reasonable to consider Microsoft Power BI.

To get the most out of Power BI, rely on the expertise of Microsoft Power BI Partners.


LITS Services is a leading Microsoft partner helping enterprises transform their digital transformation journey using Microsoft Power BI, Microsoft Dynamics 365 and other Microsoft tools.

As a Microsoft Power BI partner in the UAE, we help your business accelerate operational performance with the right Power BI license plan, implementation and after-sales services.

LITS SERVICES is the leading Dynamics 365 Implementation partner in UAE, Saudi Arabia, Kuwait, Qatar, Oman, Bahrain, Kenya, Germany, Canada, Pakistan, and India. We have extensive expertise in implementing Microsoft Power BI within organizations. Our professionals ensure that the solution generates deep insights from your business data that help improve decision making and accelerate operational efficiency.