This document discusses the role of data science in digital transformation. It defines digital transformation as applying digital technology to all aspects of society. Data science helps drive digital transformation by analyzing patterns in big data to build models and insights that can transform industries. As sensors and IoT devices proliferate, generating massive amounts of new data, data science is key to extracting value from this data through predictive analytics, customer insights, and other techniques. The document provides examples of how data science helps various industries and business functions like manufacturing, retail, healthcare, and customer experience through real-time insights, forecasting, and other analytics.

1. Digital Transformation
and Data Science
Lightning Talk
1

2. { }
Digital Transformation
Applying digital technology to all aspects of human society

3. What is Digital Transformation?
Digital transformation is the profound and accelerating transformation
of business activities, processes, competencies and models to fully
leverage the changes and opportunities of digital technologies and
their impact in a strategic and prioritized way.
3
Digital Transformation is NOT…
• Business Innovation
• Digital Experience
• Digital Strategy
TRUE DIGITAL TRANSFORMATION NEEDS TO INVOLVE MUCH MORE THAN JUST THE END PRODUCT
• Digital Disruption
• Disruptive Innovation
• Disruptive Technologies
http://www.i-scoop.eu/digital-transformation/

4. Digital Transformation: Make it More Relevant
• Social, mobile, and real-time technologies
have transformed people’s lives—and
their expectations for how they interact
with organizations.
• As part of that evolution, organizations
need to transform to meet these new
expectations with every connection.
• We think of digital transformation as the
alignment of businesses to their
customers at every touchpoint in their
customer journey.

5. What is Digital Transformation?
“The coupling of granular, real-time data (e.g., smartphones,
connected devices, smart appliances, wearables, mobile commerce,
video surveillance) with modern technologies (e.g., cloud native apps,
big data architectures, hyper-converged technologies, artificial
intelligence, blockchain) to enhance products, processes, and business-
decision making with customer, product and operational insights.”
5 https://www.cio.com/article/3199030/analytics/what-is-digital-transformation.html

6. Why Should I Care?
6

7. Digital Transformation…
…are you the disruptor? Or the disrupted?
7

8. Data Science and Digital Transformation
• By 2020, 60% of all enterprises will have fully articulated an
organization-wide digital platform strategy and will be in the process
of implementing that strategy as the new IT core for competing in the
digital economy.
• By 2021, spending on cloud services and cloud-enabling hardware,
software and services will more than double to over $530 billion,
leveraging the diversifying cloud environment that is 20% at the edge,
and over 90% multi-cloud.
• By 2021, enterprise apps will shift toward hyper-agile architectures,
with 80% of application development on cloud platforms (PaaS) using
microservices and cloud functions, and over 95% of new
microservices deployed in containers.
8 Microsoft

9. An article in
“Information Age”
magazine boldly
asserts that “data
science is the driving
force behind digital
transformation”!
9 http://www.information-age.com/data-science-driving-force-behind-successful-digital-transformation-123462527/
Data Science
and
Digital
Transformation

10. Data Science and Digital Transformation
•In the age of the customer, successful companies
maximize customer intelligence by turning big
data into actionable business insights.
•We define big data as the practices, processes,
and technologies that close the gap between
having the data available and having the ability
to turn it into business insights.
10 https://www.forrester.com/report/New+Evolving+Tools+To+Manage+Big+Data+Will+Grow+At+DoubleDigit+Rates/-/E-RES136366

11. Data Science and Digital Transformation
•Big data is bringing with it the ability to transform
industries and the potential to turn traditional, long-
standing business models on their head. For
businesses, the issue to be addressed is how to make
the most of all this data, turning it into actionable
insights.
•Help is at hand in the form of data science. The
analysis of patterns in the data allows organizations to
build models that create forecasts of what can happen
under different scenarios.
11 http://www.information-age.com/data-science-driving-force-behind-successful-digital-transformation-123462527/

12. Data Science and Digital Transformation
“Digital transformation is about the evolution of
business through data science. Estimates are that
by the year 2020, up to 50 billion devices will be
connected to the internet. Imagine this massive
river of data, as information is collected and
stored every second, twenty-four hours a day, 365
days a year. The scale is nearly
incomprehensible!”
12 http://www.esri.com/digital-transformation

13. Data Science and Digital Transformation
• Research shows that less than 1% of available data is actually
being used, and most of that for the detection and control of
unusual events—a home security system going off, or a
pump on an oil rig sounding an alarm.
• The unrealized potential for predictive maintenance and
asset- and operational optimization is only beginning to be
grasped.
• The same study suggests that the “Internet of Things,” driven
by accelerating sensor proliferation in more and more kinds
of manufactured objects, may have an economic potential
of more than $11 trillion per year by 2025.
13 http://www.esri.com/digital-transformation

14. CX IS THE BATTLEGROUND FOR
LOYALTY
+ 17%
Companies are investing billions in CX. And for good reason.
Companies that get CX right outperform their peers on a number of important dimensions, including:
+ 11%
CUSTOMER LOYALTY REVENUES
Source: Forrester Research, Inc., “Expectations vs. Experience: The Good, The Bad, The Opportunity”, 2016

15. Data Science and Customer Experience
• Customer experience has become the most important driving factor
of Digital Transformation. Companies like Amazon, Apple or Disney
have embraced the power of analytics to understand their customers
and provide unmatched customer experience.
• Consumers are no longer satisfied when they are treated as a group
of people but they expect hyper-personalized touchpoints. Advanced
analytics embedded in each interaction, transaction, and process is
driving the next wave of productivity and growth.
• Businesses are using advanced analytics like Artificial Intelligence,
Deep Learning, and NLP for various insights.
• Data Science is at the intersection of digital transformation and
customer experience!
15 https://www.datasciencecentral.com/profiles/blogs/the-role-of-analytics-in-digital-transformation

16. Data Science and Customer Experience
• Businesses are using advanced analytics like Artificial Intelligence,
Deep Learning, and NLP for various insights.
• Real-Time analytics helps to get the right products in front of the
people looking for them or offering the right promotions to the
people most likely to buy.
• Digital Marketing is hugely benefited by Analytics due customer
analytics, brand analytics, competition analytics and conversion
analytics.
• Making forward-looking proactive decisions is possible via
forecasting, optimization, predictive analytics and text mining.
• Data is the new oil, but it is crude, and cannot really be used unless it
is refined with analytics to bring the new gold nuggets.
16 https://www.datasciencecentral.com/profiles/blogs/the-role-of-analytics-in-digital-transformation

17. Who Does Data Science Help
•Manufacturing
•Retail
•Insurance
•Financial
•Health Care
•Vehicle Maintenance
•Product Life Cycle Management
17 https://www.cio.com/article/3249905/analytics/the-unexpected-benefits-of-data-analytics.html

18. How Does Data Science Help
•Acts as the pulse on current operations
•Long term benefit of short term losses
•Warranty issues that give way to new
solutions
•Variable errors uncovering hidden causes
•Redefining Customer Success
18 https://www.cio.com/article/3249905/analytics/the-unexpected-benefits-of-data-analytics.html

19. Questions?