Big data. In Networked Society. Bunyati Kirdniyom Head of Regulatory Affairs

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1 Big data In Networked Society Bunyati Kirdniyom Head of Regulatory Affairs

2 Vatican City 2005

3 Vatican City 2013

4 1X ? <1Exabyte 20Exabytes in 2019 in X

5 Society drivers BUSINESS drivers PEOPLE drivers Productivity development Inclusion and diversity Efficiency advancements Experience interactions Convenience of services Engaging culture Sustainable paradigm Market innovations People empowerment

6 Digitalization of industries Traditional Industries Internet Operators & Network Devices Applications

7 Industry beyond smartphones Devices & Consumers Application s & Industry Service Providers Network

8 Digital lifestyle COLLABORATIVE CULTURE PREFER SERVICES ARE IN CONTROL PURPOSE DRIVEN ALWAYS ON DIGITAL RELATIONS AND IDENTITY ALWAYS INFORMED EVERYTHING INSTANT

9 Progressive Innovation Big data in Networked Society for CEO Forum 2014 MOBILITY Ericsson AB BROADBAND - CLOUD

10 Progressive Innovation SENSORS ANALYTICS ROBOTICS VISUALIZATION SMART MATERIALS AUGUMENTED BODY WEARABLES CROWD BIG DATA NANO SMART ENERGY 3D PRINTING INTERNET OF THINGS VIRTUALIZATION INDUSTRIAL BIO-TECHNOLOGY Big data in Networked Society for CEO Forum 2014 MOBILITY Ericsson AB BROADBAND - CLOUD

11 Progressive Innovation SENSORS ANALYTICS ROBOTICS VISUALIZATION SMART MATERIALS AUGUMENTED BODY WEARABLES CROWD NANO Accelerating Active Accessible INTERNET OF THINGS BIG DATA SMART ENERGY 3D PRINTING VIRTUALIZATION INDUSTRIAL BIO-TECHNOLOGY Big data in Networked Society for CEO Forum 2014 MOBILITY Ericsson AB BROADBAND - CLOUD

12 WHAT IS BIG DATA? Large amounts of data, collected from a variety of sources, analyzed with the purpose of building business advantages.

13 From tech to value Volume VARIETY ADEQUATE VELOCITY $ ACCURATE ACTIONABLE

14 Ericsson and big data High definition insights End-to-end capabilities Actionable fresh data A unique history All sources combined Global scale & methodology We are able to connect raw data from customers networks and IT and in combination with information from various external sources use the whole picture on big data to build business advantages for our customers across the entire organization.

15 Big data opportunity areas Data-enhanced customer experience Data-driven efficiency Data-derived growth

16 DATA-ENHANCED CUSTOMER EXPERIENCE: OVERVIEW OF OPPORTUNITIES 1. Create a user segmentation that makes a difference 2. Understand your customers experience 4. Prepare your networks for future demands 3. Solve customer experience issues before they happen

17 Data-driven efficiency: OVERVIEW OF OPPORTUNITIES 2. Increase your efficiency by preventing issues 3. Get in control of your resources 1. Focus optimization efforts where it matters

18 Data-driven efficiency: OVERVIEW OF OPPORTUNITIES 2. Make use of your usage data 3. Find clients in new business segments 1. Spark innovation with big data

19 Ericsson & big data analytics

20 Business People IT Processes TOOLS Networks

21 Big data analytics is key to boost customer experience, efficiency & Innovation WHAT CUSTOMERS WANT HOW OPERATORS RESPOND MODIFY Simplicity, clarity, personalization FIND Availability, variety, relevance, transparency PREPARATION DELIVERY OF CUSTOMER S DESIRED EXPERIENCE PAY FOR Cost control Simplicity GET Simplicity, clarity, personalization Plan-to- Provision Idea-to- Implementation Lead-to- Service TAKE ACTION Service-to- Cash Experience-to- Resolution GET HELP Accessibility Speed Resolution USE Speed, quality, accessibility, reliability SET UP Accuracy, speed, efficiency GAIN INSIGHT MEASURE BIG DATA ANALYTICS

22 Our different roles in OSS/BSS Software Suite Vendor Consulting & System Integration Managed Services 3,500+ OSS/BSS developers 1 billion+ end users provisioned & monitored 2 billion+ charged & billed 16,000+ CSI professionals delivering: 1,500+ SI projects annually Knowledge objects and tools in the Ericsson Value Architecture Managing networks with 1 billion+ subscribers 4 global GCS:s Integrated 25 thousand+ people Big Data Analytics for GSMA Ericsson AB

23 Service methodology Solution suite Business Layer Network Agility Service Agility Customer Agility Application Layer OSS, BSS, VAS 18 end-to-end processes 85 detailed flows 1200 process elements 360 KPIs 500 pain point library Customer/Partner Management and Interaction Plan-to- Provision Idea-to- Implementation Lead-to- Service Service-to- Cash MAKE IT EASY Experience- to- Resolution Information Layer 900 function library 80 information objects 200 applications MAKE IT WORK MAKE IT REAL MAKE IT HAPPEN MAKE IT PAY MAKE IT BETTER Technology Layer Data-to-Experience Network & Cloud Management MAKE IT UNDERSTANDABLE MAKE IT ACCESSIBLE

24 OSS/BSS EVOLUTION > from a portfolio perspective Customer/Partner Management and Interaction CRM Service Enablement Plan Optimize/ Evolve/Transform Lifecycle Management Application Development & Maintenance Plan-to- Provision Planning & Planning Building & Building Idea-to- Implementation Infrastructure & Resource Inventory Optimization Order Management Activation Device Mgmt. Lead-to- Service Product/Service Catalog Service-to- Cash Billing Charging Charging & Policy Mediation M-Commerce Experience-to- Resolution Service Management Performance Management Workforce Management Network Management Data-to-Experience Analytics Network and Cloud Management Network and IT Cloud Mgmt. Wireless Core and Access Mgmt. Fixed /Transport Core and Access Mgmt.

25 big data analytics Usage Examples Measure, derive Insight & take Action Customer & Partner Interaction Plan-to- Provision Idea-to- Implementation Lead-to- Service Service-to- Cash Experience-to- Resolution Action Optimize Network Configuration Design Tailored Offers Recommend Offers During Sign-Up Proactively Communicate Proactively resolve problems Insight Network Performance Stress Points Understand Customer Behaviors Identify Customer Interests Understand Desired Spending Limits Identify/Predict Customer Impacts and Root Causes Measure Network Traffic Offer Take Rates Lead Conversions Bill Inquiries Trouble-Hours Data-to-Experience

26 Proactive End-user communication Offload Customer Care by enabling Self Service & Support Improve Customer Experience Improve Service Assurance Big Data Analytics for GSMA Ericsson AB

27 Real time, Big Data Analytics Customer experience index used for different organizations INSIGHTFUL APPLICATIONS Planning / Engineering EFFICIENCY APPLICATIONS Customer Care NOC/SOC Marketing REAL TIME ANALYTICS Ericsson Expert Analytics Correlated, Real-Time Customer Session Records Reveal Individual User s End-To-End Experience, with Probable Cause BIG DATA DATA SOURCES Terminal Radio/Core Network Probes OSS/BSS Social Media Other Data

28

29 Customer Experience Assurance is based on 10 years of research and know-how 360 Customer Experience Management Customer Experience Assurance (CEA) Improvements in Customer Care based on a CEA PAY FOR Cost control Simplicity MODIFY Simplicity, clarity, personalization FIND Availability, variety, relevance, transparency GET Simplicity, clarity, personalization Customer Care Service Operations Center 42% Reduction in handling time GET HELP Accessibility Speed Resolution USE Speed, quality, accessibility, reliability > 50% of the customer experience impact comes from GET HELP & USE touch points SETUP Accuracy, speed, efficiency CEA measures the customer experience of service usage for all customers, all the time, in real-time across the radio access and mobile core networks with high accuracy. Based on over 10 years of research CEA provides the most probable root cause and suggested action of all customer experience degradations, automatically. Radio Access Network Packet Core Network Content Network 35% Improvement in resolution rate 46% IR rebound rate reduction Source: Ericsson ConsumerLab and non-disclosed Tier1 Operator

30 Use case: Empower Customer care Understand and 2 3 acknowledge customer Increased 1 st call resolution experience issues Enhanced information when escalating to 2 nd and 3 rd line

31 Use case: Monitor and take action in SOC Monitor real customer 2 Act on incidents grouped 3 experience based on by service, location, advanced correlation incident type, device etc Prioritize and solve issues based on business impact

32 expert analytics for marketing uses Customer experience insights for improved target marketing 360 Customer Experience Management Expert Analytics for Marketing (EAM) Improvements with targeted marketing PAY FOR Cost control Simplicity GET HELP Accessibility Speed Resolution MODIFY Simplicity, clarity, personalization USE Speed, quality, accessibility, reliability -9% CHURN Satisfied customers is less likely to churn* FIND Availability, variety, relevance, transparency GET Simplicity, clarity, personalization SETUP Accuracy, speed, efficiency Sales & Marketing Retention Network Usage Stimulation Product Mgmt EAM is a new way of real-time contextual marketing using individual Customer Experience Insights. EAM aggregates a Service Level Index per customer based on the S-KPI framework using real-time network data correlation. Providing a combination of Customer Experience Insights and traditional customer and service data to marketing results in improved targeted marketing activities. Services Cross-sell, Up-sell OSS/BSS Only 15% Are able to send out real-time offers based on context* X 2 ARPU Satisfied Customers drives Financial Performance** X 4 cross-sell Satisfied Customers drives Financial Performance** * Source: InfoPrint Solutions Company and Yankee Group ** Source: Bloomberg consulting, 2013, Undisclosed Tier 1 operator

33 Use case: Customer experience based marketing Decide marketing action: Identify target group of 1) Retain customers based on 2) Cross-sell & up-sell Service Level Index (SLI) 3) Drive usage Decide on how to microsegment based on a variety of KPIs

34 Real time, Big Data Analytics Customer experience index used for different organizations INSIGHTFUL APPLICATIONS Engineering EFFICIENCY APPLICATIONS Customer Care NOC/SOC Marketing CUSTOMER EXPERIENCE APPLICATIONS BUSINESS INNOVATION APPLICATIONS REAL TIME ANALYTICS Ericsson Expert Analytics Correlated, Real-Time Customer Session Records Reveal Individual User s End-To-End Service Experience BIG DATA DATA SOURCES Terminal Radio/Core Network Probes OSS/BSS Social Media Other Data

35 Big data Thought leadership analytics use-cases Operational Efficiency In Operation In Trials In Development Research SON Self- Optimization Troubleshooting Service Monitoring & Operations SON Self- Configuration Device Analytics Real-time Policy Based Capacity Management Customer Spending Analytics Dynamic Pricing & Billing Proactive & Reactive Customer Care Proactive Infrastructure Analytics Campaign Management & Analytics Revenue Assurance & Fraud Mgmt SON Self- Healing Dynamic Product & Service Recommendation Customer & Service Profiling Channel & Partner Value Analytics Security & Incident Analytics TV/Media Experience Optimization Churn & Retention Management SDN analytics Product & Service Analytics Proactive Optimization of Customer Journey Brand Perception Analytics Location Data Monetization Analytics for Connected Devices Networked Society 360 Digital Services Analytics Contextual Advertising Subscriber Data Monetization Customer Experience Management Business Innovation

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