Information as an opportunity - but do we benefit from it? Juha Teljo Business Analytics Solution Executive IBM Business Analytics
Data vs. Information
Data are plain facts. When data are processed, organized, structured or presented in a given context so as to make them useful, they are called Information .
The world is becoming smaller and flatter, but also needs to be smarter.
On a Smarter Planet, new business challenges and conditions have placed a renewed urgency on business analytics and optimization Lack of Insight Inability to Predict Inefficient Access Variety Volume Velocity Sense and respond Instinct and intuition Automated Skilled analytics experts Back office Predict and act Real-time, fact-driven Optimized Everyone Point of impact
Organizations will now be able to make faster, better-informed decisions to drive smarter business outcomes because their systems can be made instrumented, interconnected and intelligent. INSTRUMENTED We now have the ability to measure, sense and monitor the condition of almost everything. INTERCONNECTED People, systems and objects can communicate and interact with each other in entirely new ways. INTELLIGENT We can respond to changes quickly and accurately, and get better results by predicting and optimizing for future events.
Variety of Information
80% of new data growth is unstructured content
Emails, images, audio, video..
Volume of Digital Data
57% CAGR for enterprise data through 2010
Machine generated data : Sensors, RFID, GPS..
Velocity of Decision Making
Rapidly changing business climate
Need to get ahead of the curve : predict issues and fix them
Data Explosion In A Smarter World! New Data New Information! New intelligence
New Intelligence is giving smarter organizations entirely new capabilities for optimizing business processes, collaborating and driving innovation . MOVE FROM REACTION TO PREDICTION CREATE VALUE FASTER GAIN INSIGHT FROM THE INFORMATION EXPLOSION ENGAGE THE ENTIRE VALUE CHAIN OPTIMIZED PERFORMANCE NEW INTELLIGENCE
Customer Data - The modern (true) 360 o View Enterprise Data Sources Operational interaction Marketing Web Attitudinal Call center Social networks Customer Contact Channels Website email ATM phone PDA branch agent mail Descriptive data Attributes Characteristics Self-declared info (Geo)demographics Behavioral data Orders Transactions Payment history Usage history Location Interaction Data Click streams Offers Results Context Notes Attitudinal data Opinions Preferences Needs Desires Moods
Unstructured data will make a difference
What Is Content Analytics
Content Analytics delivers new business understanding and visibility from the content and context of unstructured information
Leverages the information inside unstructured content to expose new business insight:
Surfaces the business value of content
Identify aggregate patterns, trends over time, unusual correlations or anomalies
Explain why events are occurring
Track and drive improvement in non-quantitative business metrics through content dashboards, reports, and scorecards
And helps reduce cost by exposing irrelevant or obsolete content for decommissioning
Brings the power of business intelligence to all enterprise information
Ability to predict and share becoming a differentiator Predictions by behaviour Statistical patterns Predictive algorithms Text Mining,... Collection by systems Orders Claims Social media Surveys, Failures Maintenance... Information Delivery Reports KPIs -> KPPs Collection by people Forecasts Plans Discussions,.. Better Decisions !
Prediction Enables New Solution Value for BI/Analytics Why are we on/off track? How are we doing? What should we do next? New customer insight through Data Collection Time series forecasting Predictive analytics for deeper understanding of the data Addition of KPPs (Key Performance Predictors) Broad distribution of statistical results
Continuous Ingestion Continuous Queries /Analytics on data in motion Stream Computing: A new paradigm for ultra low latency and high throughput in-motion analytics
Traditional Information Architecture Business logic
Fusion & Scoring
Data mining Warehouse Clinical Data Warehouse Business Intelligence Clinical Data Clinical Operational data Hours to days!
Adding Stream Processing… Data Mining Scoring Engine Online Learning with Offline Analytics Data mining Warehouse Business Intelligence Real-time dashboards Clinical Data warehouse Real-time Services Online Monitoring Non-clinical Data Billing, Insurance, providers, suppliers, etc. Clinical Data Clinical Operational data
Fusion & Scoring
Common Landscape in Information Environments Creates an Information Gap with Strategic Challenges Business Units Specialty Applications Channels Direct Sales B2B Inside Sales B2C Direct Sales Rolled Materials Retail Systems Distribution/ Logistics Data Systems 1 AIIM 2008 Survey 2 Accenture 2007 Managers Survey Core Systems DB App DB App DW DB CRM App DB CRM App App DB DW CRM DB App Emerging Markets CIF Partners DB CRM App DB App DW DB SIF Customer DB App DB DB App CRM ODS 42% of managers use wrong information at least once a week 2 59% of managers miss information they should have used 2 52% of users don’t have confidence in their information 1 Core Apps Core Apps Core Apps Core Apps
Bridging the Gap Maturity of Information Use Business Value Information as a Strategic Asset Information to Manage the Business Basic Information Interaction Data to Run the Business Focus on Data And Reporting Adaptive Business Performance Information as a Competitive Differentiator Real-time Single View of the Truth Information to Enable Innovation Information in Context Flexible Information Architecture
Establish an information driven strategy & objectives to enable business priorities… Deploy open and agile technology and leverage existing information assets for speed and flexibility… Discover & design trusted information with unified tools and expertise to sustain competitive advantage over time… Accelerate information intensive projects aligned with the strategy to speed both short- and long-term returns on investment… An Information Agenda is a proven approach for establishing value
Infrastructure supporting Information Agenda Information Infrastructure
“… interestingly, the users whom we interviewed for this report and who responded to our survey focused largely on the “soft” issues involved in making BI pervasive: sponsorship, marketing, training, support, monitoring, and prototyping . Users also mentioned the importance of good design, architecture, and project management and scoping skills.”
Pervasive Business Intelligence, TDWI (The Data Warehousing Institute) Research,
3rd Quarter, 2008
BUT HOW to Overcome??? Implementing Standards for People, Process and Technology with the help of a Business Intelligence (BICC) or Performance Management Competency Center (PMCC)
Establish an Information Agenda: Bringing analytics to life in the context of an Information Agenda ensures optimized investments and faster time to value Multiple highly justified but non aligned projects An information agenda builds the alignment between Business and IT that is critical to fulfilling the potential of reusable, interoperable and extensible IT components and master data. Integrated program of projects capitalizing on common enterprise information and technology