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Predictive Coding Gain Earlier Insight and Reduce Document Review Costs Tom Groom Vice President, Discovery Engineering tgroom@d4discovery.com 303.840.3601

D4 LLC Litigation support service provider since 1997 National footprint t with 100 employees Seasoned Professionals with Significant Industry Knowledge Known as Thought Leaders in the industry www.d4discovery.com

Agenda ediscovery Mega Trends The Sedona Conference What is Predictive Coding? Effective Uses and Workflows Early Assessment Data Reduction Expedited Review Post Review QA Example: Equivio->Relevance Q&A 3

ediscovery Mega Trends The Sedona Conference New sources of ESI becoming available Plaintiff bar becoming more aggressive in requesting ESI Corporate clients taking more control To reduce overall cost To use ESI as an offensive strategy Increasing ESI Volume Available storage doubles every 18 months (Moore s Law) Data expands to fill the space available for storage (Parkinson s Law) More acceptance in using data analytics & sampling tools Early Data Assessment Statistical Sampling / Predictive Coding Conceptual Analytics in Review and QC

What is Predictive Coding? A computerized sampling system combined with the intelligence provided by a human expert. Built upon a well established framework called Predictive Analytics Predictive Analytics encompasses a variety of techniques from statistics, data mining, conceptual search and game theory which analyze current and historical facts to make predictions about future events Currently used in actuarial science, financial i services, insurance, telecommunications, retail, travel, healthcare, and pharmaceuticals A well-known example is your FICO Score where financial scoring models process your credit history, loan application, customer data, etc., in order to rank-order your likelihood of making future credit payments on time. 5

Predictive Coding for Litigation Support Recommind Equvio->Relevance EQOD OrcaTec Relativity (via the Rapid Review workflow) More to be released by the end of 2011 AccessData (Next Generation Summation ) LexisNexis (Next Generation Concordance ) 6

How Does it Work for ediscovery? Expert makes yes/no decisions on sample documents randomly selected and presented by the system Questions can be Is this document responsive? or Does it pertain to this specific issue? or Is this document privileged?, etc. The system builds a list of terms in the background as it learns from the expert At some point the system becomes statistically stable and can predict what the expert will choose The system can then classify or rank the rest of the collection based on the knowledge it now contains from the expert Many workflows can then leverage that classification and/or ranking 7

Where Can Predictive Coding be Applied? Early Data Assessment Data Reduction Expedited Review Post Review QA 8

Where Can Predictive Coding be Applied? Early Data Assessment Data Reduction Expedited Review Post Review QA Zoom in on most relevant documents early in the case Enables informed decisions on case strategy Winnability Risks and costs Settle or defend Richness estimates for review budgeting Initial Search term development 9

Where Can Predictive Coding be Applied? Early Data Assessment Data Reduction Expedited Review Post Review QA Achieves recall and precision of 70-80% (vs. 20-30% with key words alone) Statistical model to manage over- and under-inclusive tradeoff Read fewer documents, find more relevant documents Finalizes key words that can be used in negotiations Enables replacement of first pass review 10

Recall and Precision Recall is defined as the measure of the ability of a system to present all relevant items. It determines how wide to you cast the net Recall % = Number of relevant items retrieved/number of relevant items in the collection Precision is defined as the measure of the ability of a system to present only relevant items It determines how accurate was the review process. Precision % = Number of relevant items identified/total number of items retrieved The system above is the combination of people, data, tools and y p p workflow. The goal is to design and leverage the optimal system to yield sufficient recall and precision within cost limitations.

The Problem with Key Word Search Key Word Search Hits False Hits Privileged Relevant The Collection Missed Privilege Missed Relevant

Predictive Coding Yield Sample Results Privileged Responsive The Collection

Where Can Predictive Coding be Applied? Early Data Assessment Data Reduction Expedited Review Post Review QA Prioritized review Get to the issues faster Reduce costs by stratifying review effort Sample Non Responsive documents to validate accuracy 14

Example Equivio->Relevance Expert reviews sample documents for relevance 15

Relevance End Result Software calculates relevance scores for documents. Each document is assigned a score between 0 and 100 16

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Where Can Predictive Coding be Applied? Early Data Assessment Data Reduction Expedited Review Post Review QA Systemize QA Focus QA on docs with high probability of error Track accuracy of individual reviewers 24

Additional Resources and Links ediscovery Institute Survey on Predictive Coding http://www.ediscoveryinstitute.org/pubs/predictivecodingsurvey.pdf Predictive Coding Demystified http://www.wortzmannickle.com/ediscovery-blog/2011/04/28/predictive-codingdemystified/ E-Discovery And The Rise of Predictive Coding http://eddblogonline.blogspot.com/2011/03/e-discovery-and-rise-of-predictive.html ediscovery Trends: Forbes on the Rise of Predictive Coding http://blogs.forbes.com/benkerschberg/2011/03/23/e-discovery-and-the-rise-of-predictivecoding/ Linked in Group: Text Analysis and Predictive Coding in E-Discovery http://www.linkedin.com/groups/text-analysis-predictive-coding-in- 3319494?trk=myg_ugrp_ovr 25

Summary ediscovery volume is driving the demand for tools that can prioritize review Predictive Coding is a class of tools that combine the consistency and efficiency of a computerized system with the human expert intelligence to rank/classify document collection prior to review Effective Uses and Workflows Early Assessment Data Reduction Expedited Review Post Review QA Equivio->Relevance Example Questions? 26

Predictive Coding Gain Earlier Insight and Reduce Document Review Costs Tom Groom Vice President, Discovery Engineering tgroom@d4discovery.comdiscovery.com 303.840.3601