Leadership in Challenging Times: New Approaches to Business Analytics in Government

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Sabrina Owens
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1 Leadership in Challenging Times: New Approaches to Business Analytics in Government Speaker: Cathy Reese, Technology & Data Program Leader, Strategy & Analytics IBM Global Business Services

2 Governments are using analytics to deliver better results What If... Human Resources...could recruit and employ people who will succeed in a government organization? Performance Management...could create a performancebased culture supported by analytics that allows government to do more with less? 2

..could recruit and employ people who will succeed in a government

3 What makes a leader in Analytics? Nine Levers of Analytic Excellence: 2013 IBM BAO IBV Research Strategy Technology Organization Sponsorship Data Culture Source of Value Talent Trust Funding Platform Impact 3 Source: Analytics: A blueprint for value Converting big data and analytics into results, IBM Institute for Business Value 2013 IBM

Organization Sponsorship Data Culture Source of Value Talent Trust Funding Platform

4 What makes a leader in Analytics? STRATEGY Strategy Sponsorship A significant difference between Leaders and Laggards is the level and depth of executive support and involvement in analytics Source of Value Most organizations are focused on revenue generation as opposed to cost savings Funding 48% of Leaders allocate funding to support a shared pool of resources and activities compared to 30% of Laggards 4 Source: Analytics: A blueprint for value Converting big data and analytics into results, IBM Institute for Business Value 2013 IBM

involvement in analytics Source of Value Most organizations are focused on revenue generation as opposed to cost savings Funding 48%

5 AAAAA New York State Tax Predictive modeling improves tax revenues and citizen equity AAAAA > $1.2 billion reduction in improper or questionable refunds paid $100 million increase in delinquent tax collections Over a 350% increase in criminal tax fraud investigations due to greater interdepartmental collaboration on cases 5

2 billion reduction in improper or questionable refunds paid $100 million

6 What makes a leader in Analytics? TECHNOLOGY Technology Data Almost half of Laggards are skeptical or completely lack confidence in the data and information within their organization, and do not use it to make decisions Talent Leaders have advanced analytics subject matter experts who are shared across the organization Platform The inability to create, integrate and manage data was cited as the top technology challenge 6 Source: Analytics: A blueprint for value Converting big data and analytics into results, IBM Institute for Business Value 2013 IBM

organization, and do not use it to make decisions Talent Leaders have advanced analytics subject matter experts who are shared across the

7 City of Zurich "City Debate" Jam Gave more than 3500 participants the opportunity to participate actively in the development of the city and bring in and discuss new ideas Enabled leaders to hear from diverse sources and groups of people Sped the process of information gathering and policy creation through the ability to quickly analyze and correlate unstructured data 7

Enabled leaders to hear from diverse sources and groups of people Sped the process of

8 What makes a leader in Analytics? ORGANIZATION Organization Culture The majority of Leaders make more than half their decisions based on data and analytics Trust Leaders have a high level of trust within their organization compared to Laggards Impact Two-thirds of Leaders see a return on their analytics investments within a year 8 Source: Analytics: A blueprint for value Converting big data and analytics into results, IBM Institute for Business Value 2013 IBM

analytics Trust Leaders have a high level of trust within their organization compared to Laggards Impact Two-thirds

9 Leaders' Challenge... Finding analytics skills % of organizations whose business analytics initiatives are being hindered by a shortage of skills Type of Skill Advanced Analytics 60% November 2012 IBM Canada Selects Nova Scotia as Its First Canadian Global Delivery Centre Location NSBI BI for Dashboard Reports Spreadsheet Analysis 58% 51% November 2012 IBM to launch analytics centre, hire 500 The Chronical Herald Decision making skills IT Skills for BI SW 48% 43% Source: Gartner, "Business Analytics Buyer Survey, 2013: A Skills Shortage Is Widely Inhibiting Successful Business Analytics Initiatives", 2013 November 2013 IBM awards multi-million dollar cloud computing platform to seven Nova Scotia schools newswire.ca 9

Canada Selects Nova Scotia as Its First Canadian Global Delivery Centre Location NSBI BI for Dashboard Reports Spreadsheet Analysis 58% 51% November 2012 IBM to launch analytics

10 Government can develop analytics leadership by following three key sets of recommendations Strategy Accelerate analytics with a results based program Instill a sense of purpose. Establish a business-driven agenda for analytics that enables executive ownership, aligns to enterprise strategy and business goals, and defines new business capabilities. Technology Enrich the core analytics platform and capabilities Architect for the future. Enable the agenda with shared analytical expertise, new technologies, and a simplified and flexible platform. Organization Drive change with analytics as a core competency Enable the organization to act. Create a data driven culture built on relationships to generate business value. 10 Source: Analytics: A blueprint for value Converting big data and analytics into results, IBM Institute for Business Value 2013 IBM

Technology Enrich the core analytics platform and capabilities Architect for the future. Enable the agenda with shared analytical expertise, new technologies, and a simplified and flexible platform.

11 Questions? IBM Corporation

Leading the way with Information-Led Transformation. Mark Register, Vice President Information Management Software, IBM AP

Leading the way with Information-Led Transformation Mark Register, Vice President Information Management Software, IBM AP 1 Today s Topics Our Smarter Planet and the Information Challenge Accelerating