ba4all sweden: big trends in big data & analytics
TRANSCRIPT
Big Trends in Big Data & AnalyticsTimo ElliottGlobal Innovation Evangelist
@timoelliott
Analytics Takes Over The World…
BI and Analytics is the #1 Spending Priority for 2015 and beyond
Rank Technology 2014 2015
1 BI/Analytics 50% 41%2 Infrastructure and Data Center 37% 31%3 Cloud 32% 27%4 ERP 34% 26%5 Mobile 36% 24%6 Digitalization / Digital Marketing 11% 17%7 Security 11% 13%8 Networking, Voice, and Data Communications 12% 12%9 Customer Relationships 8% 11%10 Industry-Specific Applications 10% 9%
Enterprise Data Remains One of The Top Strategic Projects
IDC Futurescape: Worldwide CIO Agenda 2015 Top 10 Decision Imperatives
By 2020, information will be used to
reinvent, digitalize, or
eliminate 80%of business processes and products
from a decade earlier.
From The Back Office To The Business Models of Future
”
“
© 2015 SAP SE or an SAP affiliate company. All rights reserved. 6
The Rise of the Chief Data Officer“The CDO is a senior executive who bears responsibility for the firm's enterprise wide information strategy, governance, analytics control, policy development, and effective exploitation.”
© 2015 SAP SE or an SAP affiliate company. All rights reserved. 7
88%
How Do Executives Make Decisions?
Aspect Consulting, 1997
12%Hard Facts
Gut Feel
90%
10%Hard Facts
Gut Feel
Economist Intelligence Unit, 2014
Why the worst-practice shaded 3D donut charts? JUST TO ANNOY DATA VISUALIZATION EXPERTS!
Big Data On The Gartner Hype Cycle
Source: Gartner, August 2014
Innovation trigger Peak of Inflated Expectations
Trough of Disillusionment
Slope of Enlightenment
Plateau of Productivity
Big Data
Use AnalyticsToday
NeedAnalytics by 2020
Gartner, 2014
Still Lots of Opportunity to Do Analytics Better
Inability to see, understand, and optimize new opportunities
Inaccessible dataand technology Insights remain hidden
Complexity, cost, confusionSilos of approaches and analytic technologies
75%
10%
Slow decision making lacking future view
Rear view mirrorBI mentality
Four Big TrendsDashboards of Tomorrow
Prescriptive Analytics
Big Data Discovery
Analytics Culture
Predicting Prescriptive Analytics
Descriptive:What happened?
Diagnostic:Why did it happen?
Predictive:What will happen?
Prescriptive:How can we make it happen?
Taking Analytics To The Next Level?
Source: Gartner
DATA SCIENCE
QUIZ.
These numbers were found in two tax declarations. One is entirely made up. Which one?
EUR
127,-2.863,-
10.983,-694,-
29.309,-32,-
843,-119.846,-18.744,-
1.946,-275,-
EUR
937,-82.654,-18.465,-
725,-98.832,-
7.363,-4.538,-
38,-8.327,-
482,-2.945,-
1 2 3 4 5 6 7 8 9
30.1%
17.6%
12.5%
9.7%7.9%
6.7% 5.8% 5.1% 4.6%
Benford’s LawDistribution of the first digit of real-world sets of numbers that uniformly span several orders of magnitude
DATA SCIENCE
QUIZ.
These numbers were found in two tax declarations. One is entirely made up. Which one?
EUR
127,-2.863,-
10.983,-694,-
29.309,-32,-
843,-119.846,-18.744,-
1.946,-275,-
EUR
937,-82.654,-18.465,-
725,-98.832,-
7.363,-4.538,-
38,-8.327,-
482,-2.945,-
Benford's Law, also called the First-Digit Law
1999 to 2009
“Greece shows the largest deviation from Benford’s law with respect to all measures. [And] the suspicion of manipulating data has officially been confirmed by the European Commission.”
Fact and Fiction in EU-GovernmentalEconomic Data, 2011
Transport For London
Centerpoint Energy
Kaeser CompressorsEnabling Predictive Maintenance
A global leader in air compressors
≈€500 million, 4,800 employees, 50 countries, partners in additional 60 countries
Modeling Example
E.g. Total energy consumption
• Aggregation of 10 sec values
• Calculation of typical consumption patterns
• Pattern associated with each compressor and day
Repeat for temperature, pressure, vibration, etc.
Predictive Examples
Model combines sensor readings and ERP data (location, type of usage, last service, etc.)• Status alerts: “Oil change / oil analyze / no action”• Predict machine failure 24 hours in advance
Benefits
Customers• Less downtime• Decreased time to resolution• Optimal longevity and performance
Kaeser• More efficient use of spare parts, etc• New sales opportunities• Better product development
“We are seeing improved uptime of equipment, decreased time to resolution, reduced operational risks and accelerated innovation cycles.
Most importantly, we have been able to align our products and services more closely with our customers’ needs.” �
Kaeser CIOFalko Lameter
Kaeser Kompressoren – Just buy the air, not a compressor
24© 2015 SAP SE or an SAP affiliate company. All rights reserved.
Big Data Discovery
Big Data Discovery =
Big DataData DiscoveryData Science
Gartner Strategic Planning Assumption: By 2017, Big Data Discovery Will Evolve Into a Distinct Market Category
Big Data Discovery
• Volume, velocity, or variety of data
• Potential business impact
• Difficult to implement• Potentially expensive• Lack of skills available
• Ease of use• Agility and flexibility• Time-to-results• Installed user base
• Complexity of analysis
• Potential impact• Range of tools• Smart algorithms• Difficult to implement• Slow and complex• Narrow focus of
analysis
• Limited depth of information exploration
• Low complexity of analysis
BIGDATA
DATASCIENCE
DATADISCOVERY
Big Data Discovery
• Simpler to use than data science
• Accessible to a wider range of users
• Broad range of data manipulation features
• Able to handle new types of data sources
• With adequate performance for big data
BIG DATA
DISCOVERY
Potential impact per user
Potential user base
The Rise of the Citizen Data Scientist?
Business analyst
Data scientist
Citizen data scientist
Citizen Data Scientists
The Opportunity
New Business Opportunities
Traditional Analytics
Data Value
Volume / Variety / Velocity of Data
“Big Data Discovery” Data DiscoveryBig DataData Science
The Dashboards of Yesterday And
Tomorrow
“Intricate calculations of sales by territories will appear as if by magic in the digital age ahead”
Decision Cockpits
Analytics Culture
Culture Clash Around Analytics
Internally-orientedCosts
GovernanceEfficient reuse
Customer-facingOpportunitiesFlexibility & speedExperimentation
IT Business
Business vs. Corporate IT: “It’s Not You — It’s Your Data”
“We found, on average, that 45% of the data business people use resides outside of the enterprise BI environments.
An astonishingly miniscule 2% of business decision-makers reported using solely enterprise BI applications.
This is undoubtedly connected to 76% of business respondents indicating they continue to resort to spreadsheets and other homegrown BI applications to analyze BI data. ”
Source: Forrester
55%
45%
In enterprise systemsNot in enterprise system
Central IT is like Taxi companies vs Uber
Create a Community
Source: Gartner
Design Thinking
Dashboardsof Tomorrow
Prescriptive Analytics
Big Data Discovery
Analytics Culture
See, understand, and optimize new opportunities
Conclusion
