accelerate business advantage with dynamic data … business advantage with dynamic data warehousing...
TRANSCRIPT
© 2007 IBM Corporation
IBM IOD Summit 2007
July 13 & 14, 2007Jeju Shilla
Accelerate business advantage with dynamic data warehousing
IBM IOD Summit 2007
© 2007 IBM Corporation1
Competitors offer similar productsCompetitors use similar technology and proprietary technologies are quickly copiedBreakthrough innovation in products or services is increasingly difficultThe world is flat – losing geographic & regulatory advantages
Top of Mind Issues for the World’s Leading CEOs
CEO ChallengesExecute with maximum efficiency and effectivenessMake the smartest business decisions possible
What’s Left?
IBM IOD Summit 2007
© 2007 IBM Corporation2
“In God we trust; all others bring data”- Dr. W. Edwards Deming 1900-1993
An Information-Based Strategy
IBM IOD Summit 2007
© 2007 IBM Corporation3
Leveraging Information to Create Business ValueInsightful, Relevant Information When and Where it’s Needed
OLAP & Data Mining−Merchandising, Inventory,
OperationsWhat may happen ?
Help Solve Crimes by Delivering Suspect List to Detectives Arriving at
the Crime Scene
Optimizing Police Force Deployments
Information On Demand−Optimize each Transaction−Call Centers, Field Operations
Affecting what is happening
Query & Reporting− Financials, Sales
What has happened ?
Crime Rate Reports
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© 2007 IBM Corporation4
Dynamic WarehousingA New Approach to Leveraging Information
Dynamic Warehousing
Traditional Data Warehousing
OLAP & Data Mining to Understand Why and
Recommend Future Action
Query & Reporting to Understand
What Happened
Information On Demand to Optimize Real-Time Processes
Dynamic Warehousing Requires:
1. Real-time access – deliver in context2. Analytics – as part of a business process3. Unstructured information – extracted knowledge4. Extended infrastructure – tightly integrated
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Dynamic warehousing Extending beyond the warehouse to enable information on demand
Process management
Enterprisedata modeling
Informationintegration
Search and text analytics
Master data management
Industryperspective
Data Warehouse
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Dynamic warehousing Traditional warehousing
More Examples of Dynamic Warehousing in ActionEnabling Information On Demand for Business Advantage
Insurance fraudanalysis and reporting
Identifying potentially fraudulent claims prior to approval and paymentTransforms healthcare
Reporting oncustomer issues
Identifying possible related issues, churn risk and cross-sell opportunities while engaged with the customerTransforms customer service
Historical sales analysis and reporting
Discovering relevant customer information to identify cross sell opportunities and improve negotiating position at the pointof saleTransforms sales effectiveness
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Using Information to CompeteDriving Real Business Results in Financial Services
Adjust deposit rates & rollover incentives to attract and retain best customers at lowest price
Identify most profitable customers and minimize risk to maximize risk-value reward
Using Analytics to Compete
Drove 25% increase in revenue per customer account over first 3 years
Lowered customer acquisition costs by 83%
Increased customer retention for savings accounts by 87%
Business Results
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Using Information to CompeteDriving Real Business Results in Retail & Distribution
Identify most loyal customers and maximize cross-selling
Maintaining lowest possible inventory while ensuring availability
Using Analytics to Compete
Drove same store sales gains in 23 of 24 quarters over 6 year period
Increased market share from 36% to 43%
Saved $1.2 billion in inventory costs over 5 years
Business Results
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What are the challenges for traditional warehouses?
Leverage ALL information, including unstructured
Not just for traditional query and reporting
Address expanding needs for analytics
Increasing types of applications lead to varying service level demands
Increasingly mixed workload environmentsand the constantly changing needs of different business constituents
require more dynamic warehousing capabilities
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Traditional warehouse
IBM provides more than just a warehouse DB2 Warehouse provides extended capabilities and value
Embeddable analytics (In-line and as a Service)
Multidimensional analysisData mining and visualization
Beyond traditional structured data
Generate and leverage knowledge from
unstructured information
OLTPBenefits of a transactional data server foundation
Optimized for real-time access,High availability and reliability
Scalable, secure and auditable
DWDBMS
Dedicated warehousing
Shared-nothing architecture Advanced data partitioning
Workload management
Deep compressionReduced storage costsBetter disk utilization
Query speed improvement
Best of Both Worlds’ Architecture
IBM DB2 Warehouse
Dat
a Vo
lum
es
UnstructuredStructured
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Master data management
Industryperspective
Process management
Informationintegration
Search and text analytics
Enterprisedata modeling
IBM Global Services and Business Partners
SOA Infrastructure
How IBM Enables Dynamic WarehousingIntegrated offerings to enable information on demand
Dynamic Warehouse
IBMDB2 Warehouse
Process MgmtFileNet BPM
WebSphere BPM
Information IntegrationInformation Server
MDMWebsphere Customer CenterWebsphere Product Center
Industry PerspectiveIBM industrydata models
EnterpriseData Modeling
Rational®Data Architect
Search & Text Analytics
OmniFind™Analytics Edition
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Mining
engine
Category Item
[Call Taker] James [Date] 2002/08/30[Duration] 10 min.[CustomerID] ADC00123[type] complaint[issue] denied claim[service] prescription[resolution] add’l info
Extractedmetadata
Search, visualization and interactive mining
Call Taker: James Date: Aug. 30, 2002Duration: 10 min.CustomerID: ADC00123
Structured DataOriginal Data
Rich analysis interface for combining structured and unstructured dataCombines search, text analytics and data visualization
Unstructured analytics framework Analysis tools
Introducing IBM OmniFind Analytics Edition
Linguisticanalysis
Extended Insight
Caller complained about rejected claim for antibiotics; form req’d more information
Unstructured data
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Example: Exploiting Unstructured Analytics by the Call Center
Ability to identify issues and issue types in call center notes
Sample Issue Types• Request• Denied Claim• Late Payment• Poor Service
Sample Issues• Additional Information Required• Incorrect Submission• Refile
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Warehousing strategic pillarsGuiding principles for innovation
Extended InsightBeyond traditional capabilitiesFurther leverage informationExtended business insight
Support broader usage
SimplicityEasy to deploy and integrate
Easy to useEasy to manage
Easy to start and grow as needed
Reliability & PerformanceReliable access to information
Highly availableReal-time performance
Maximized resource efficiency
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IBM Warehouse software A complete, integrated platform
Mod
elin
g an
d de
sign
Adm
inis
trat
ion
and
cont
rol
Data movement and transformation
database management
Performance optimization
Workloadcontrol
Data partitioning
Deepcompression
Embedded analytics
Data mining, modeling and scoring
Visualization andin-line analytics
DB2 Warehouse
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Introducing IBM Balanced WarehouseTM
A fast track to warehousing
SimplicityDefined configurations prescribed for reduced complexitySingle telephone number to contact IBM for complete solution support
Flexibility for growthAdd BCUs to address increasing demandsMultiple entry points for varying needsReliable, non-proprietary hardware for reusability
Optimized performancePreconfigured and certified for guaranteedperformanceBased on best practices for reduced risk
Balanced Configuration Unit (BCU)Preconfigured, pretested allocation of software, storage and hardware to support a specified combination of function and scale
Better than an appliance
Balanced WarehouseSIMPLEFLEXIBLE
OPTIMIZED
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IBM Balanced Warehouse Offerings
Starting at $15K
C-Class
Out of the Box Warehousing Solution for SMB Customers
(includes out-of-the-box BI tools)
Scales to 1 TB
Up to 200 Users
Affordable Hardware & Storage
E-Class
Starting at $850KStarting at $275K
D-Class
Departmental Data Marts and Small to Mid-Size Data Warehouses
Large Enterprise Data Warehouses
4TB and Up
Unlimited, Modular Scalability
High End Hardware & Storage
1TB to 5TB (target)
Modular Scalability
Mid-Range Hardware & Storage
Linux on System x Linux on System x AIX on System p
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Business Terminology Data Model – Enterprise-wide vocabulary of business concepts that
provide an organization's view of itself and its industry
Enterprise Data Warehouse (EDW) Model– Data model defines how multiple sources of data should be
consolidated into a single logical structure to enable real-time business analytics
Project Views – Logical subset of the EDW designed to solve a business
problem such as Credit Risk; Churn; and Supply Chain
Business Solution Templates (BST)– Collections of related Key Performance Indicators used to
create OLAP cubes and/or Data Marts for Dashboard, Scorecard, Applications or ad-hoc reporting
Business Analyst
Solution Architect
DataModeler
Process Modeler
Project Manager
Enterprise
Data Warehouse
Business
IntelligenceEnterprise
Applications Entity
Analytics
Data Models
Process Models
Service Models
Service Oriented Architecture
Model Management
Model Lifecycle and Governance Methodology
Master Data
Management
IBM Industry Data ModelsReduce Implementation Times & Leverage Industry Best Practices
White Paper on IBM Data Models available
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Banking(Banking Data Warehouse)
Financial Markets(Financial Markets Data Warehouse)
Claims
Medical management
Provider and network
Sales, marketing and membership
Financials
Profitability
Relationship marketing
Risk management
Asset and liability management
Compliance
Risk management
Asset and liability management
Compliance
Health Plan(Health Plan Data Warehouse)
Customer centricity
Claims
Intermediary performance
Compliance
Risk management
Retail (Retail Data Warehouse)
Customer centricity
Merchandising management
Store operations and product management
Supply chain management
Compliance
Telco(Telecommunications Data Warehouse)
Churn management
Relationship management and segmentation
Sales and marketing
Service quality and product lifecycle
Usage profile
Insurance(Insurance Information Warehouse)
Industry data models Leverage industry best practices for faster time to market
Extended Insight
New Offering!
EnhancedCapabilities!
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IBM Data Warehouse Credentials in China
IBM BI investment in China– Regional Centre of Competency based in Beijing
More than 30 large DB2 data warehouse clients in Telco, Banking, Power, Public
– Largest data warehouse in China
– World’s highest data warehouse
Examples– Life insurer uses IBM data federation technology for real-time access to multiple
source systems to provide up-to-date data for executive dashboard
– Mid-tier bank deploys new reporting and compliance infrastructure within 6 months using IBM banking data model
– Worldwide Banking Group standardises on IBM DW portfolio: DB2, Datastage, pSeries and Data Model - deploys new DW in HK
– Mobile phone operator deploys new IBM DB2 data warehouse with data federation to extend legacy (non-IBM) data warehouse
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IBM Data Warehouse Pedigree
More than 3,000 clients using DB2 for DW using all platforms and most industries
Over 700 clients with terabyte-class data warehouses– Achieved in less than 10 years
Over 400 clients using IBM data models for Financial Services, Insurance, Airlines, Telecommunications and Retail– Not limited to DB2
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DB2 Superiority for Data Warehouse in Banking
17 of top 25 Banking Groups worldwide use a DB2 Data Warehouse– Most use DB2/Unix platform
Example: UBS, 110TB DB2 Data Warehouse– More than 16,000 users; 30,000 tables; and 500-2000
queries/hour
Other DW vendors have smaller share of these leading banks– Many banks have deployed multiple vendor platforms
– When assessing the claims from other vendors, you should distinguish between an implementation that is a strategic deployment for the enterprise, versus a purchase that has been made by an individual department that may be a non-strategic acquisition.
Top 25 Bank Source: Banker Magazine July 2006
Name Country DB2
Citigroup United States HSBC Holdings United Kingdom Bank of America United States JPMorgan Chase United States Mitsubishi Tokyo Financial Group Japan Crédit Agricole Groupe France Royal Bank of Scotland (RBSG) United Kingdom Sumitomo Mitsui Financial Japan Mizuho Financial Group Japan Banco Santander Spain China Construction Bank China HBOS United Kingdom Unicredit ItalyBarclays United Kingdom ABN-Amro Holding Netherlands ICBC China Bank of China China UBS Switzerland Wells Fargo United States Rabobank Netherlands Wachovia United States ING Group Netherlands Deutsche Bank Group Germany BNP Paribas France Credit Mutuel France
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Data Model Experience: Banking Example
IBM FSDM and Banking DW Model– 130+ clients worldwide
– Active User Group• 05/2007 Dallas Financial Services Symposium
Conference
A B N - A M R OA B N - A M R O
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IBM is the Leading Provider of WarehousingThe Industry Leaders Use DB2 for Warehousing
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Summary
Dynamic Warehousing is 1. Real-time access – deliver in context
2. Analytics – as part of a business process
3. Unstructured information – extracted knowledge
4. Extended infrastructure – tightly integrated
Delivered using DB2 Data Warehouse Edition (DWE) and IBM Balanced Warehouse technologies
“IBM is delivering capabilities that extend beyond traditional business intelligence and data warehousing techniques to allow
organizations of all sizes to streamline business processes, transform customer service, increase employee productivity,
reduce business risks and generate new revenue opportunities.”- Enterprise Networks & Servers
“IBM has significantly improved the packaging, pricing, scalability,
professional services, and channel partner programs for its data warehousing and master data
management solutions.“ -Information Week
“IBM is looking like IBM – prodigious and resourceful.” TDWI