BIG DATA STRATEGY. Rama Kattunga Chair at American institute of Big Data Professionals. Building Big Data Strategy For Your Organization

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1 BIG DATA STRATEGY Rama Kattunga Chair at American institute of Big Data Professionals Building Big Data Strategy For Your Organization

2 In this session What is Big Data? Prepare your organization Building Big Data Strategy for your organization Building Big Data Team Information Governance and its role Monetizing results from Big Data Big Data in industries Big Data Technologies

3 What s in a TB?

4 How much? A recent study by Nucleus Research found that the ROI of data analytics estimated that in 2014, every dollar spent on analytics saw an average return of $ This shows a significant increase from 2011, where a similar study found that a dollar spend yielded a return of $ Cloud Analytics are 1.7 times more than on premise

5 What is Big Data?

6 What is Big Data? Scale of Data Data generation Rate Different forms of data Uncertainty of data

7 Scale of Data a.k.a Volume 90% of the data created in the last two years 2.3 Trillion Gigabytes (Quintillion) per day 6billion people have cellphones

8 Data Generation Rate aka Velocity 1TB of Trade Information/Session at NYSE 100 Sensors in modern car 98K tweets, 11m instant messages, 1.8PB data/min

9 Different systems of data aka Variety 161billion Gigabytes of global Healthcare data Audio, Video, Pictures on social network Geolocation data 420 million wearables, wireless monitors

10 3Vs define Big Data

11 Culture eats Strategy for.. Culture is todays major performance differentiator Culture is the foundation for the strategy

12 Preparing your organization Level 4: Prescriptive Analytics What is the optimal action? Decision Automation Level 3: Predictive Analytics Development of Predictive models, Scenario Planning Level 2: Proactive Advanced Reporting Operational reporting for bench marking and decision-making, dashboards Level 1: Reactive Operational Reporting Operational reporting for measurement of efficiency and Compliance

13 Preparing your organization One more thing. Fail fast POC PILOT Roll out to larger audience Repeat

14 Building Strategy 4K FRAMEWORK Key Business Initiatives Key Business Stakeholders Key Business Value Key Architecture and Technology

15 Business Drivers for Big Data Do they provide drivers? Volume Transactions (structured) Velocity Real time, low latency Variety Unstructured Combined Predictability

16 Business Initiatives Top 3 or 5 business initiatives per strategy Improve customer engagement Quality of the care, Cost of the care and efficiency Multiple market segmentation Volunteer, Donor Engagement (Non-Profits) Cross Functional project lasting 9 to 12 months Performance Indicators Measuring success

17 Business Stakeholders What decisions we are trying to make? Increase the Customer adoption by 20% Get the Deeper customer insights Increase the ad revenue by 5% Answering questions or Asking Questions for answers (Business Decision Making)

18 Value Creation, ROI Value Creation Opportunity Total Benefit (Millions) Analytics Adjusted Benefit (H, M, L) (Millions) Campaign Management $XX $XX $XX $XX Customer Retaining $XX $XX $XX $XX New Customers $XX $XX $XX $XX Fraud Detection $XX $XX $XX $XX Streamline Production $XX $XX $XX $XX Virtual Health $XX $XX $XX $XX Patient Navigation $XX $XX $XX $XX Human Capital Management $XX $XX $XX $XX

19 Benefit Realization

20 Impact of not acting (Quantitative) Investment 0 0 Benefit (No Action) Benefit (Proposed) Operational Savings ($) Millions The quantitative impacts of not acting are: Increased operating costs driven by complexity; and the magnitude and timing of benefits are reduced and delayed

21 Impact of not acting (Qualitative)

22 Architecture and Technology What is Hadoop? Doug Cutting Mike

23 Solution Design Proof of Concept, Pilot, User Roll-out (or Kill it), Repeat Data Management Master Data, Data Quality, Governance Visualization Give faster horses, when they ask so! Evangelization Educate them

24 Architecture and Technology Source Systems Portals Business Intelligence Platform Information Hub ERP Systems CRM LEGACY FINANCE LEGACY HR SOCIAL MEDIA External and Benchmark Data Images EXTERNAL Portal FIREWALL INTERNAL Portal REAL TIME ADAPTORS Integration Adaptors Adhoc Reporting DATA NORMALIZATION Data Quality Management Business and Data Definitions Reference Data Management Business and Data Traceability Data Quality Rules Engine Hierarchy Management Business Rules Engine Enterprise Data Model Data Policy Management Data Enrichment SQL in Hadoop SQL in Hadoop. SQL in Hadoop SQL in Hadoop. Compute & Storage... SOCIAL Operational Financial Supply Chain HR Accounting Sales and Mktg. IT Analytics CUSTOMER PREDICTION PMG Devices Hadoop Distributed File System HUD Platform IoT Data Quality Systems Management Security Management Data Governance

25 What is Internet of Things (IoT)?

26 Strategy Template Usecase Metrics/KPI Required Unique Value Proposition (Porter Five Force) Process Value Chain (Porter Value Chain Analysis) Stakeholders Key Activity Impacted Business Areas Business Intiative Themes Quality, Cost, Efficiency, Strategic Growth Revenue Stream

27 Building Big Data Teams Predictive Data Mining Data Science Data Analysis Machine Learning Big Data Methods & Algorithms Retrospective Operational Theoretical

28 Big Data and Governance Data Governance "The exercise of authority and control over the management of data assets to define, approve and communicate data strategies, policies, and standards; to track and enforce regulatory compliance and conformance to data " etc. Data Architecture Management Association (DAMA)Fail fast

29 Big Data and Governance Information Governance "The specification of decision rights and an accountability framework to ensure appropriate behavior in the valuation, creation, storage, use, archiving and deletion of information. It includes the processes, roles and policies, standards and metrics that ensure the effective and efficient use of information in enabling an organization to achieve its goals. Gartner

30 Coordinating the facets of IG

31 Information Governance Strategy Fosters Good Communications broad awareness of activities, breaks down silos, initially disruptive and eventually creates new patterns Supports Informed Decisions utilizes SMEs and "domain" checklists, aggregates, organizes and simplifies a broad array of information Both Global and Local accounts for the global needs of the enterprise but not at the expense of local requirements, addresses conflicts Supports Innovation and Rapid Change an enabler, not an inhibitor Facilitates Collaboration and Challenge creates an environment that simplifies and encourages working together yet also supports "minority" opinions and has a process to address them Broad and Holistic data is not "forgotten" when looking at Policies, Processes, People, Technology and Controls (AND DATA!); Data is also not looked at "in isolation" Other characteristics?

32 Monetizing Big Data Data as a strategic Asset Financial services: Detect fraud; enable more immediate and precise marketing Telecommunications: Leverage Call Detail Records to optimize networks; reduce customer churn Manufacturing: Streamline production; strengthen quality control Healthcare: Generate insights from clinical data; improve patient outcomes Public sector: Enhance public safety, disaster preparedness, and research Consumer industries: Deepen customer engagement with social media analytics Data to solve Value Creation Opportunities

33 Big Data in Industries No segmentation, Individualized Service Banks benefiting to tailor offerings to segment of one Shift in Demographics Economy, Education, increase in women workforce Nuclear Families Millennials (80s 2000) and new opportunities Sharing economy: Uber, Airbnb

34 Big Data Technologies

35 Contacting me Chair at American Institute of Big Data Professionals Non-Profit Helping enterprises to implement Big Data and solve real world problems

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