Leveraging data as a strategic asset. This presentation was delivered on 13 December by James Price from Experience Matters, for the Adelaide Organisational Transformation & Business Agility Meetup. Kindly hosted by WFI Insurance. Please acknowledge the source when quoting form this report.

1. The benefits of managing
data, information and knowledge
well for organisational transformation
13th December 2018, Organisational Transformation Meetup, Adelaide
© EXPERIENCE MATTERS PTY LTD 2018
This presentation, including any supporting materials, is owned by Experience Matters.
Experience Matters grants the right for public use provided the source is acknowledged.
Permission by the author is required for commercial use.
@rethinkinfoJames Price
www.dataleaders.org

2. www.experiencematters.com.au
AGENDA
Every Information Asset Management (IAM) initiative drives organisational transformation and change
Organisational transformation is done for business benefit
So our IAM initiatives had better show what that benefit is
What I’ll cover:
• Who we are
• Common issues facing business and government
• The role of executives
• Why our data, information and knowledge is an important business asset and how we manage it
• Why it matters – the evidence

3. WHAT OTHERS ARE SAYING
…you are doing
great work
Mike Orzen & Associates,
winner of the Shingo Prize
for Operational Excellence,
Portland
…your work is
tremendous…your research is
ground-breaking.
Gartner, Chicago
I do believe that you have
documented the greatest
single barrier to
productivity in the 21st
Century economy and
nobody knows about it..
Aquatic Informatics, Vancouver

4. www.experiencematters.com.au
Our technology has
improved to the
point where I can
now receive crap at
the speed of light
CEO, Health, USA
Q: If you managed
your Financial Assets
the same way you
manage your
Information Assets,
what would your
organisation look
like?
A: We’d be broke in
a week.
Executive, Oil and Gas,
Australia
To be honest, I don’t
really know much
about this area and
therefore don’t
really think I can
assist you.
Chair, Financial Institution,
Australia

5. www.experiencematters.com.au
Our technology has
improved to the
point where I can
now receive crap at
the speed of light
CEO, Health, USA
Q: If you managed
your Financial Assets
the same way you
manage your
Information Assets,
what would your
organisation look
like?
A: We’d be broke in
a week.
Executive, Oil and Gas,
Australia
To be honest, I don’t
really know much
about this area and
therefore don’t
really think I can
assist you.
Chair, Financial Institution,
Australia

6. All intangible assets that are inputs to the production process
All data, records and documents, content and knowledge
All media – paper, digital, film, head-space
All formats – spreadsheets, email, drawings
They include They exclude
Outputs of the process – brand awareness,
relationships, goodwill
Money, people and property & infrastructure –
tangible assets
Computer hardware and software – physical assets
INFORMATION ASSETS - DEFINITION

7. DIGITAL TRANSFORMATION
Digital disruption is creating challenges and opportunities
• Uber owns no cars
• Airbnb owns no real estate
• Alibaba has no inventory
• Facebook develops no content
• Netflix owns no cinemas
What is the fuel of these organisations? Digital technology
What is the fuel of technology? Data, information and knowledge

8. www.experiencematters.com.au
DIGITAL TRANSFORMATION
DATA
INFORMATION
KNOWLEDGE
MDBR
22/2/18
Cyber security
25/5/18
GDPR
Digital
disruption
Innovation
Block chain
Internet of
Things
Big Data
Analytics
Data Science
BI, AI, ML
Data
sovereignty
The Cloud

9. www.experiencematters.com.au
DIGITAL TRANSFORMATION
Source: Ponemon Institute “Cost of a data breach”
July 2018
50%
13% 13%
22%
2%
0%
10%
20%
30%
40%
50%
60%
2016
Causes of cyber-security threats – 2016
Negligent insiders Malicious employees Malicious contactors
External hackers Others
Source: Ponemon Institute “Closing security gaps…”
August 2016
25% 27%
48%
0%
10%
20%
30%
40%
50%
60%
2018
Causes of cyber-security threats – 2018
IT and business process failure Human error Malicious or criminal attack

10. Organisations can capture more information than ever before
DIGITAL TRANSFORMATION

11. www.experiencematters.com.au
DIGITAL TRANSFORMATION

12. www.experiencematters.com.au
DIGITAL TRANSFORMATION
17%
32%
68%
80% 84%
83%
68%
32%
20% 16%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1975 1985 1995 2005 2015
COMPONENTS OF S&P 500 MARKET VALUE
Intangible Assets Tangible Assets
Source: Ocean Tomo “Valuing Intangible Assets” September 2017

13. DIGITAL TRANSFORMATION
National Australia Bank recently appointed a Chief Data Officer. She is
four levels below the Chief Executive Officer.
Victorian State Government agency advertisement 2017 for “anyone
interested in an exciting role with the Victorian Electoral Commission …
Records Management Administrator”
“Administrative assistance, including maintaining and arranging postal
credit, stock maintenance and service requirements associated with
franking machine and special mail items, Reception relief, catering,
ordering milk".
IBM webinar on Block Chain
“How important is data quality to a successful Block Chain
implementation?”
Uncomfortable silence, then:
“It’s absolutely mandatory.”




14. An August 2013 study by Harvard Business Review found that
many business decision makers are feeling undermined by
inaccurate, obsolete, and hard-to-access data.
In the study
DIGITAL TRANSFORMATION
13%
Only 13% were strongly
confident in the decisions
they make
16%
Only 16% were strongly
confident in the data behind
those decisions
8%
Only 8% felt strongly that the important
internal and external data they need is
available and easy to access

15. WHAT DO ORGANISATIONS DO?
Every organisation exists to produce a product(s)
and/or service(s) to deliver value to its clients

16. Goals
Products and
Services
Activities and Processes
Assets and Resources
Governance, Planning and Management
Every organisation’s business objectives are
dependent on delivering value to clients
Value is created for clients by the organisation delivering
the product(s) and / or service(s) that clients want
Products and services are created and delivered by conducting
the organisation’s business activities and processes
Activities and processes are enabled by deploying
valuable resources
Management’s job is to deploy the organisation’s
resources. Business performance is a lag indicator
WHAT DO ORGANISATIONS DO?
Owner /
Shareholder value
Customer value
Employee value
Value is created at multiple levels for multiple stakeholders through
the judicious deployment of the organisation’s resources

17. Data, information and
knowledge
Human ResourcesPhysical Resources
Infrastructure
ICT
Introduction and objectiveWHAT DO ORGANISATIONS DO?
Financial Resources
The most successful organisations deliver the products and services that
create the most value for the customer whilst consuming the fewest resources
The resources deployed to deliver services

18. INFORMATION
and
KNOWLEDGE
Data, information and knowledge
constitute 1 of only 4 assets /
resources deployed
WHY ARE INFORMATION ASSETS IMPORTANT?
No business activity, process or
decision can be conducted or
made without data, information
and knowledge
Data, information and knowledge
is the only business asset that can't
be replaced

19. INFORMATION
and
KNOWLEDGE
Effective deployment of assets,
particularly Information
Assets, should …….
WHY ARE INFORMATION ASSETS IMPORTANT?
internally / for staff
• drive faster processes
• facilitate better decisions
• improve staff satisfaction

20. INFORMATION
and
KNOWLEDGE
Effective deployment of assets,
particularly Information
Assets, should ….
WHY ARE INFORMATION ASSETS IMPORTANT?
externally / to clients
• improve services
• provide new services
• reduce price
• enable faster delivery

21. INFORMATION
and
KNOWLEDGE
Effective deployment of assets,
particularly Information
Assets, should ….
WHY ARE INFORMATION ASSETS IMPORTANT?
for the organisation
• improve service delivery
• reduce costs
• increase productivity
• provide competitive
advantage
• mitigate risk
• improve compliance
• improve shareholder returns

22. HOW ARE INFORMATION ASSETS MANAGED?
Are Boards and senior management really interested in business performance and profitability?
Is deciding to manage Information Assets badly tantamount to deciding to manage the organisation badly?
Is deciding, either passively or actively, to manage the organisation badly negligent?
Information BCS
Metadata model
Security model
Retention Schedule
Everyone True CIO
Physical Asset Register
Maintenance and
Improvement Programme
Delegation
Property Manager
Site Manager
IT Manager
Human Organisation Chart
Roles & Responsibilities
KPIs
Line Management Director HR
Financial Chart of Accounts
Balance Sheet
Income Statement
Delegation CFO
Asset / Resource Framework Tools Authority Accountability

23. www.experiencematters.com.au
CHALLENGES TO FINDING THE RIGHT DATA
Challenges to finding the right information
Challenges to finding information COOs IM Staff
Too many places to look 52% 82%
Don’t know where to look 54% 62% 43%
Not sure of the correct version 62%
Too many sources of information 55% 58%
Constantly changing information 57%
Poor navigation 53%
COOs Chief Operating Officers of 142 North American law firms
IM Information Management professionals of 239 mostly government organisations
Staff 313 staff of a large South Australian State government department

24. www.experiencematters.com.au
WHY DOES IT MATTER?
Effect of current information management practices on business performance
Business Impact COOs IM Staff
Non-compliance 73% 54%
Poor decision making 67%
Loss of reputation 65% 59% 32%
Litigation 64%
Security exposure 59%
Loss of clients 56%
Loss of productivity 52%
Loss of competitive advantage 44%

25. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety
Cost
Lost revenue
Lost productivity
Costs saved
Credibility enjoyed
Productivity gained
Mining company
Compromised because the Australian Taxation Office could
find a document that the mining company couldn’t
Mining company
Shovelanna tenement renewal late, requiring Ministerial
intervention and court decision

26. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety
Cost
Lost revenue
Lost productivity
Costs saved
Credibility enjoyed
Productivity gained
Oil and Gas company
Plant repairs reverse engineered because as built drawings
could not be found

27. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety
Cost
Lost revenue
Lost productivity
Costs saved
Credibility enjoyed
Productivity gained
Defence company
IT viewed as the organisation’s “single greatest
business inhibitor”

28. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety
Cost
Lost revenue
Lost productivity
Costs saved
Credibility enjoyed
Productivity gained
Mining company
Acquisition included 80,000 boxes of documentation
including a pair of working boots and half a cup of coffee
Oil and Gas company
Could not find insurance documentation covering a
$100,000,000 accident
Energy company
$400,000,000 development call

29. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
Energy company
Whereabouts of 11,000 volt cable unknown

30. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
State Government
Inability to defend an $18 million action
Oil and Gas company
Seismic drawings worth $6,000,000 each accidentally
destroyed
Oil and Gas company
Inability to provide drawings, documents, wiring diagrams,
plant dossiers etc. incurs a surcharge of between 10% and
25% in offshore construction contracts

31. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
Insurance company
Approximately 1,000,000 boxes in storage. Contents of
20,000 boxes unknown and $1,500,000 revenue untapped
because lost claims have not been processed
Consulting engineering firm
Saving 5 minutes per person per day would achieve a
$2.5 million per year productivity and revenue improvement
Legal firm
70% of 150 fee earners could bill an extra 30 minutes per
day; 20% could bill more than an hour per day

32. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
Mining company
Business and mining professionals and managers spend 15
hours per month in avoidable filing, distributing and
searching for lost documents costing $24,296,250 per year.
3.1
0.6
1.9
0.5
4.5
1.7
2.6
1.5
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
5.0
Searching for
electronic
information
that you know
exists
Recreating
documents
that you know
exist but
cannot find
Managing
your
unwanted
emails
Searching for
hardcopy
information
that you know
exists
Using
information
from previous
projects/work
Searching for
emails
Reformatting
documents
Dealing with
versioning
problems
Hoursperweek
Potential time saving activities
State Government Department
.

33. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
Description Organisation 1 Organisation 2
Industry State government State government
# staff 7,500 150
% staff who know who is responsible for
managing the organisation’s Information Assets
78% 80%
% staff who agree there is clear accountability for
the management of the organisation’s Information
Assets
55% 42%
% staff who are satisfied that their information is
complete and accurate
66% 70%
% staff who are satisfied that their information is
current and not out of date
55% 70%
% staff who believe that productivity would
improve through better information management
70% 54%
# potential hours per person per week to be
saved (discounted)
7.8 8.2
Expected benefit
Salaries 2015/16
= $729,000,000
7.8 hrs / wk = 20.8%
$151,000,000 p.a.
Salaries 2015/16
= $22,700,000
8.2 hrs / wk = 21.9%
$4,970,000 p.a.

34. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
Oil and gas company
Reducing hard copy storage by 52% saved space worth
$1,827,000 per year now used for break-out, meeting and
collaboration spaces and more effective work spaces and
storage
Local council
Reduced document storage costs by 73% and reduced
business risk by rationalising storage providers
Exploration and production company
Believes improved access to documents will enable better
defence of insurance claims, reducing annual premiums by
$150,000 per year

35. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
Government department
The world’s largest multi-campus clinical information system was
installed in eight major hospitals. Communication strategies and plans
were developed and implemented. Post implementation, 3 CEOs,
independently and unsolicited, declared the project a success because
each stakeholder group understood what was in it for them:
- Chief executives understood their risk profile and the bottom line,
- Doctors understood their daily lives at the bedside,
- Nurses’ union understood their members’ working conditions,
- The Minister knew how it was going to affect him politically.
Due to the perceived value of the initiative to public health, the project’s
budget increased from $94 million to $110 million.

36. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
Winery
34 person winery, part of a global operation applied continuous improvement
principles to its information management. They implemented;
- a cursory but workable enterprise architecture,
- a folder structure that, matching the architecture, was intuitive to staff,
- naming conventions for documents, and
- email guidelines
Results
“This is fantastic. We can find stuff.” Winery operations staff.
Network monitoring to reward good behaviour.
$91,000 of productive activity in 3 months by 34 staff = $10,800 / p / year.
Government owned corporation
Information was difficult to find, and information requests including FOIs and
Ministerials would take many hours, sometimes days to fulfil. The firm
implemented a properly planned EDRMS.
Results
Requests for information now take only hours and the CFO can respond in
minutes.

37. WHY DOES IT MATTER?
Compliance
Business Continuity
Security and Access
Discovery
Safety compromised
Cost incurred
Revenue foregone
Productivity lost
Costs saved
Credibility enjoyed
Productivity gained
Insurance company
Collaboration between an Indian bank and an Australian insurance company is
selling general insurance products to the savings and loans account holders of
the bank. Recognising that an insurance company does nothing but manage
information, the Board offered the CEO a double digit bonus for meeting data
quality objectives and threatened termination for failure.
Within a week a bonus of US$1,000 was offered to every branch for hitting
data quality targets on three data elements – customer first name, customer
last name and customer telephone number.
Results
The quality of the organisation’s data went from 68% to between 91% and
93% overnight
Now selling 1.7 million new policies per month.

38. www.experiencematters.com.au
WHY DOES IT MATTER?
Potential productivity improvement :
Just these findings alone show a waste of over two hours per day on average which represents a
negative impact / potential improvement of more than 20% on business productivity.
Effect on productivity in hours and minutes wasted per person per day COOs IM Staff
Searching for or managing unwanted emails 49m 37m 35m
Searching for information they know is there 31m 47m 33m
Recreating documents they know exist 24m 39m 19m
Not using information from previous projects / lessons learned 31m 36m 11m
Total minutes wasted / potential improvement per person per day 135m 159m 98m
Total hours and minutes wasted / potential improvement per person per day 2h 15m 2h 35m 1h 38m
Total hours and minutes wasted / potential improvement per person per week 11h 15m 13h 15m 8hr 10m

39. www.experiencematters.com.au
WHY DOES IT MATTER?
* Total benefit per year divided by total # staff
Industry # staff Benefit / person / year Total benefit / year
Local
government
1,000 $ 8,571 $ 8,571,000
State
government
7,650 $ 19,865 $ 155,970,000
Wine 34 $ 10,700 $ 364,000
Legal 150 $ 13,300 $ 1,995,000
Mining 1,100 $ 22,090 $ 24,296,000
Oil and gas 1,102 $ 27,000 $ 29,754,000
Totals 11,036 $ 20,021 * $ 220,950,000

40. www.experiencematters.com.au
WHY DOES IT MATTER?
If organisations are easily able find the information they need when they need it:
Opportunity for Improvement COOs IM Staff
Improved decision making 76% 62%
Increased productivity 70% 62%
Improved communication 70%
Improved client service 67% 47%
Higher quality data, better intelligence 63%
Improved business performance 51% 44%
Increased billable hours 44%

41. www.experiencematters.com.au
OFFER AND REQUEST
Please feel free to use our material
BUT
please do us the courtesy of acknowledging our authorship

42. www.experiencematters.com.au
FURTHER READING
http://www.ijikm.org/Volume7/IJIKMv7p177-199Evans0650.pdf
https://dataleaders.org/
https://www.experiencematters.com.au/insights/

43. James Price
Managing Director
Experience Matters Pty Ltd
james.price@experiencematters.com.au
LinkedIn
61 (0)438 429 144
QUESTIONS