Balancing Business Value and Business Values with Big Data

1. Big Data Morality: Balancing Business Value and Business Values Nancy Fessatidis SAP Big Data Analytics June 2015

2. 2© 2015 SAP SE or an SAP affiliate company. All rights reserved. In a world of accelerated change… An emerging middle class growing to 5B will strain already diminishing resources More mobile devices than people will require fresh thinking designed for an “always-on” world Data doubling every 18 months will create new opportunities and risks for value creation 1 billion people in social networks will rewire business and personal boundaries 15 billion web- enabled devices by 2013 will create a universe of intelligence everywhere We must rethink the future, and use “big-data” to our advantage

3. 3© 2015 SAP SE or an SAP affiliate company. All rights reserved. High volume, high velocity, and high variety information assets that require new forms of processing to enable enhanced decision making, insight discovery and process optimization Source: Gartner What is Big Data?

4. 4© 2015 SAP SE or an SAP affiliate company. All rights reserved. 1 Minute of Internet:  240 million emails  4M Google search  2.5M Facebook shares  48K app downloads  72 hours new videos Source: DOMO Data Never Sleeps 2.0 Big Data is Omnipresent

6. Source OECD Exploring Data-Driven Innovation as a New Source of Growth, 2013 © OECD GPS provider TomTom adds five billion measurement points every day

7. Global wearables market will reach 148 million units shipped annually in 2019 Source: Business Insider 2015 Photo: Intel Free Press

9. 9© 2015 SAP SE or an SAP affiliate company. All rights reserved. IoT Big Data Analytics This intersection of IoT, Big Data & Analytics … Create insight beyond data itself; requires business context for understanding Creating a deluge of raw data ready to be mined for insights Technologies to collect, store and process diverse data at scale

11. Potential to solve problems previously not solvable  “Data for Good”  Transparent government  Challenge conventional ways of doing business

13. 13© 2015 SAP SE or an SAP affiliate company. All rights reserved. Big Data brings new thinking to Data Governance and Quality  What’s important to govern?  Roles and responsibilities for the new data  Policies, standards, and metrics

14. … as well as risks to consider  Privacy  Security  Mistaking patterns for reality - lack of context  Discrimination resulting from profiling

16. 16© 2015 SAP SE or an SAP affiliate company. All rights reserved. … and creepy  Ad campaign to curb Hong Kong’s trash problem  “Face of Litter”  Digital portrait from small traces of DNA tweet this OGILVY

17. Perceived privacy and security risks could undermine consumer confidence

18. But don’t let Big Data risks keep you from innovating tweet this

19. Global survey finds that about two-thirds of people are willing to share data in exchange for benefits. Data: Designing for TransparencySource: Timothy Morey, Theodore “Theo” Forbath & Allison Schoop From: “Customer Data: Designing for Transparency and Trust”, May 2015, HBR

20. 20© 2015 SAP SE or an SAP affiliate company. All rights reserved. Meaningful brands gain 46% more share of wallet and outperform the stock market by 133% Source: 2015 ‘Meaningful Brands Report’, Havas Media But trust is no longer enough … Consumers prefer brands with purpose.

21. With Big Data comes big responsibility tweet this

22. Do your big data practices reflect your company’s business values? tweet this

23. © 2015 SAP SE or an SAP affiliate company. All rights reserved. 23Public OUR VISION Help the world run better and improve people’s lives OUR MISSION Help our customers run at their best OUR PASSIONS Are based on teamwork, accountability, professionalism, integrity and trust. SAP corporate values

25. 25© 2015 SAP SE or an SAP affiliate company. All rights reserved. Insight-driven event experience WiFi sensors and attendee scans allow us to better understand likes and intent in order to deliver more personalized event experience

26. © 2015 SAP SE or an SAP affiliate company. All rights reserved. 26Public A New Set of Opportunities due to Big DataProduct and experience pathing 128M “scores” ensure SAP customers receive offers, messages and content when they want it, in their preferred channels

27. Hamburg Port Authority SAP enabled real-time freight traffic management, reduced idle-time for drivers, and increased container turn-over without increasing size of port.

29. 29© 2015 SAP SE or an SAP affiliate company. All rights reserved. Keys to unlocking value of Big Data: #1: Transparency  Be an advocate, not an adversary  Make your privacy policy and opt-in visible and easy to understand  Be transparent about what you’re collecting and why  How is the “new” data reflected in your policy?  Give customers sense of control tweet this

30. 30© 2015 SAP SE or an SAP affiliate company. All rights reserved. Keys to unlocking value of Big Data: #2: Security  It’s everyone’s job … not just IT  Requires strong partnership with Data Governance, Data Privacy & Security  Who owns the data? Is there a “need to know” threshold? Do you have data you don’t need to have?  Is your outsourced data operations secure?  Do you have the right tools and enablement processes? Are they updated regularly?  Do you perform security audits regularly to keep pace with evolving business landscape. tweet this

31. 31© 2015 SAP SE or an SAP affiliate company. All rights reserved. Keys to unlocking value of Big Data: #3: Morality (Values)  Initiate internal debate  Do your data practices align with corporate values?  Context is important – what’s acceptable for one company might not be for another  Develop a code of conduct for Big Data  Establish Data Stewards to be customers’ voice  Shift from compliance mindset to stewardship  Decide what’s off-limits - “Should we” v. “Can we”  Does the it pass the “front-page” test? tweet this

32. Should we vs. can we  Use social media data to detect unemployment benefit fraud  Sensors in rental car to warn drivers of dangerous driving ? Use voice profiling to decide who gets hired ? Establish mood, personality and users’ state of mind ? Identify specific customer behaviors that could compromise their personal lives

33. 33© 2015 SAP SE or an SAP affiliate company. All rights reserved. Keys to unlocking value of Big Data: #4: Value delivery  What’s the business value to customers? To business?  Collect only the data you need to run your business or improve your customers’ experience  Educate the customers by communicating the benefits beyond just disclosure  Create opportunities for customers to connect and share more with you – progressive profiling  Focus on “give to get” - create a virtuous cycle of trust tweet this

34. 34© 2015 SAP SE or an SAP affiliate company. All rights reserved. In summary, 7 tips to take home 1.Big Data morality is everyone’s job – not just CEO or IT 2.Be proactive – don’t wait for the first incident/law to react 3.Be transparent & ensure customer’s data is secure 4.Leverage Analytics to bring context to your data 5.Shift from compliance mindset to stewardship 6.Focus on “give to get” to create virtuous cycle of trust 7.When in doubt, let corporate values be your guide tweet this

35. Thank you Nancy Fessatidis Head of Big Data Analytics nancy.fessatidis@sap.com Twitter: @NancyFessatidis Continue the conversation on Twitter with hashtag #BigDataAnalytics Find out more of what SAP is doing in Big Data at www.sap.com/bigdata Check out the Data Science Association’s “Data Science Code of Professional Conduct” at www.datascienceassn.org/code-of-conduct.html Share the presentation on SlideShare at http://www.slideshare.net/SAPanalytics/big-data- morality-balancing-business-value-and-business-values