geospatial analysis to enhance business decision …...geospatial analysis to enhance business...
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Geospatial Analysis to Enhance Business Decision Making
Dr. Sergei AndronikovDr. Sergei AndronikovExecutive Programs
Decision Support Systems
• DSS = Business Intelligence
Components:1. User interface
2 Database2. Database
3. Models and Analytical tools3 ode s a d a yt ca too s
4. DSS architecture and Network
Competitive Advantage with Decision Support Systems (DSS)
DSS support decision making and have tocreate changes in products, services or relationship
CRITERIA to gain Competitive Advantage:– Must be used. Major Organizational strength– Must be unique and proprietary– Advantage must be sustainable for at least three years
paybackpayback
SPATIAL Decision Support Systems
• SDSS = Spatial Business Intelligence• Components:p• 1. User interface
• 2. Database
• 3. Models and Analytical tools
• 4. DSS architecture and Network
GIS combines science and arts, ,boosts creative thinking by involving both
hemispheres of the cerebral cortex
GIS bridge
Scientific Left Artistic Right
NEW Competitive Advantage• Spatial Visual Interpretation of Business Decisions
and “What If?...” scenarios• Managing and Minimizing Risk• From Maps to Spatial Analytics and Business
Intelligence» From “What we think” to “What we know” – CEO Harrah’s
• 3D and 4D “live” business decisions• 3D and 4D live business decisions• Exploiting new tools as: Web Portals, Geodatabase
format Geostatistical methods for clusteringformat, Geostatistical methods for clustering, streamlining video
GIS in Business & Managemento Site Analysis & Market Analysiso Customer Analysiso Analysis of Demandyo Supply Chain Management
• What is my drive time from the central facility? • How long will it take me to reach delivery locations? g y• Which customers should be in separate service areas? • How can I track goods through my supply chain? • How can I see what is happening with my supply chain? o ca see at s appe g t y supp y c a
o Risk Management• What is my risk accumulation? What is my risk capacity? • Where is my coverage? What is my loss estimation?Where is my coverage? What is my loss estimation?• Capital allocation and exposure control with respect to risk
o Network Routing Modelingo Decision Support System
GIS in Management Services
Customer Location AnalysisCustomer Location Analysis
Site Prospecting AnalysisSite Prospecting Analysis
F th d b i d t b GIS tGIS in Everyday Business
From the everyday business database GIS can represent:o Customer profile by location, demography, purchasing power o Sales success by product site and sales representativeo Sales success by product, site, and sales representativeo Site locations of stores, factories, and warehouseso Asset location and analysiso Asset location and analysis o Resource locations of staff, products, and equipment o Delivery routes by land, sea, and air, and much more…
We need to start using ANALYSIS: Geostatistical, Multivariate Statistical, Regression analysis for
current events and forecasting the futurecurrent events and forecasting the future business operations
No need to “Reinvent the Wheel” ?!
…Better capitalize on past GIS projects
A l i f Si l t dGIS Analogy
Analysis of a Simulated Technological Disaster
159 simulated random samples of
Business ANALOGY…159 random samples of
Customer locations (banks retail159 simulated random samples ofCesium-137 deposits on the soilaround the plant were digitized.
A Semivariogram has been
Customer locations (banks, retailcenters, etc.) were taken fromBus. Analyst.
A Semivariogram has beenA Semivariogram has beencreated to explore the data andcustomize the analysis with winddirection, distance-direction lags,
A Semivariogram has beencreated to explore the data andcustomize the analysis with trafficpatterns and direction, distance-
and distribution model.Final Prediction Map was built
using Ordinary Kriging. Map is ai f f di d
patte s a d d ect o , d sta cedirection lags, and distributionmodel.
Final Prediction Map was builtcontinuous surface of predictedvalue
Best Route Analysis
using Ordinary Kriging – of acontinuous value of income
Best Destination Route A-s
Geostatistical Analysis
Key GIS Questions in Business
1. What need does GIS fill?2. Who are the potential users?2. Who are the potential users?3. What business process can be improved or automated?4. How will GIS technology be integrated with existing
department /business infrastructure?5. How can you leverage GIS data, methods, analysis to get
better decisions?better decisions?5. Will GIS make or save money and time? What is my ROI? 7. Does your GIS model/approach/analysis/decision correct and7. Does your GIS model/approach/analysis/decision correct and
accurate?
Intersection of GIS and BI
GIS and BI were focused on core users.
BI – graphic dashboards to monitor key business process (proprietary)
GIS – spatial geographic formats
Provide Access to Data across the Enterprise
Intersection of GIS and BI
Integration is recognized by BI providers
SAS, InformationBuilders, BusinessObjects, GeoAnalyticsAPOS Systems, Galigeo, Integeoy g g
Intersection of GIS and BI
Challenges:Challenges:
o User needs GIS understandingo User needs GIS understandingo High data cost at a detailed level
High storage capacity for large areaso High storage capacity for large areas
A W b l ti S t d b ESRIArcWeb solutions. Supported by ESRI Source: ESRISource: ESRI
Intersection of GIS and BI
Used in Marketing, Supply Chain ManagementService Delivery, Fraud Detection, Warranty Analysis
But…. Training, education???g
• DSS = Business IntelligenceSpatial Business Intelligence Initiative at SOM GMU
MISSION: Education and training in better business gperformances through innovative spatially-enabled Decision Support Systems
VISION:To develop introduce and implement the FourTo develop, introduce, and implement the Four-Dimensional Business Intelligence Decision Making System using modern GIS technology to provide an y g gyindispensable tool to Businesses and Governments
Education Opportunities by Career Tier
SOM: GIS CertificateIn Decision-Making, Operation M-t,Business Analysis
Executive
SOM: MBA/EMBA w/GIS concentration
Executive Lecture Series Distance learning version
• Industry• Govt (outside of DC)
Advanced AnalysisDomain-specific
• Retail, Health, Defense, Environmental
Business Analysis
Graduate Certificate in GIS: Geography
Manager
w/GIS concentration
SOM: GIS Certificate
Mi i GIS G h
MS in Geog.& Cartog: GeographyMS in Engineering: SITEMA in Public Policy: SPP
GIS Analyst
SOM: GIS CertificateIn Business DSS/Analysis
Minor in GIS: GeographyGeospatial Intelligence Certificate - Defense2-3 days training and Prof. Certificate in GIS: OCPE
ESRI TrainingGIS 101IT Fundamentals
GIS Technician
Potential customers in the DC Area
Potential customers’ distribution within the leading market segments
GIS in Bus. Education: SWOT AnalysisStrengths
o Utilize already created infrastructure, availability of GIS technological tools and vast business datasets;
o Innovative and powerful in providing
Weaknesseso Start-up programs;o Need to develop strong appealing content;o Need to attract participants, gain the market
recognition;o Innovative and powerful in providing knowledge of getting competitive edge;
o Results are applicable to different programs and/or problems;
o Provide real-time analysis and solutions;
recognition;o Programs are required basic knowledge of GIS
and availability of GIS software.
o Easy to apply and integrate to existing organizational infrastructure
Opportunitieso Continuing recognition of Spatial Data and
Spatial Decision Support Systems;
Threatso Competitors with established brand names in
business;Spatial Decision Support Systems;o Growing Federal Geospatial market;o Increasing GIS applications in Industry areas;o Expanding role of GIS in the Web, E-
commerce, and mobile environments;
business;o Training consultant teams with insight
recognition;o Better financed competitors;o Low entry cost for new programs.
o Integration of Business Intelligence and GIS technology on Executive dashboards;
o National GIS Initiative proposal.
Academic SBI EducationAcademic SBI Education
• For Academic Credit:Spatial Business Intelligence
Academic Graduate Business GIS Certificate(15 credit hours 5 GIS & Business Graduate courses)(15 credit hours, 5 GIS & Business Graduate courses)
• Executive MBA with electives courses in Spatial B i I t lliBusiness Intelligence
• MBA or MSTM Degree with a track in Spatial Business IntelligenceIntelligence
Executive SBI-GIS EducationExecutive SBI-GIS Education Executive Seminar Series:“On the Leading Edge”g gFive Executive Seminars in 2008:
o The Value of Spatial Intelligence to EnhanceDecision Making in BusinessDecision Making in Business
May 2o Design and implementation of GIS Enterprise.
Value of investing in GIS May 9y
o GIS in Enhancing Marketing Decisions andStrategy May 16
o Contemporary Strategy Analysis: SDSS and Strategy Computer Simulations May 23Strategy Computer Simulations May 23
o Executive Decision Support System: Advanced Spatial and 3D Analysis for Better Decision and Visual Interpretation May 306
GIS Application in SOM Executive Programs
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Dr. Sergei AndronikovExecutive ProgramsExecutive ProgramsSchool of ManagementTelephone: (703) 993 - 9801E-mail: [email protected]
GIS in Financial Services
o Sales Patterns & Market HistoriesA l i f P fit M d l I ffi i io Analysis of Profit Model Inefficiencies
o Audit Conductingo Fiduciary Regulationso Fiduciary Regulationso Risk Management and Analysiso Regulatory Complianceg y po Business Continuity Planningo Asset and Facilities Managemento Operation Management
GIS in Marketing Analysis
• Where is my trade area?
• What is my market penetration?
• What is my market share?What is my market share?
• Where should I locate a new store,h th f ilit ?warehouse or other facility?
• What is my customer profile?
• What is marketing strategy?
GIS in Marketing Analysis
• Where is my trade area?
• What is my market penetration?
• What is my market share?What is my market share?
• Where should I locate a new store,h th f ilit ?warehouse or other facility?
• What is my customer profile?
• What is marketing strategy?
GIS in Financial Services
o Sales Patterns & Market HistoriesA l i f P fit M d l I ffi i io Analysis of Profit Model Inefficiencies
o Audit Conductingo Fiduciary Regulationso Fiduciary Regulationso Risk Management and Analysiso Regulatory Complianceg y po Business Continuity Planningo Asset and Facilities Managemento Operation Management
Intersection of GIS and BI
Desktop Integration. Bridge Applications
Server Integration.
ArcWeb Services
Source: ESRI
TTAnalysis of a Simulated Technological
104 ti i l l t i th U it d St t t
Analysis of a Simulated Technological Disaster
BROWNS FERRY NUCLEAR POWER PLAN104 active commercial nuclear power reactors in the United States, most of them located east of the Mississippi RiverMillions of people live in close proximity to these facilities, with most of
the population on the Eastern Seaboard living within less than 100 miles.
Geostatistical Analysis
DemographicAnalysis
Road NetworkAnalysis
p p g
Simulated radioactivesamples are taken
A three-ring bufferwill be overlayed on
A regional networkwill be built usingsamples are taken
from the soil around thereactor to determine
the probable directionand extent of the
will be overlayed on the radiation
dispersion plume to examine the
characteristics of
will be built usingtime and distance
weights todevelop and examine
severaland extent of the radiation dispersion
plume
characteristics of the population
potentially affected
severalevacuation scenarios
Risk & Vulnerability Analysis
Source: ESRIhttp://www.gis.com/showcase/graphics/government/wildfire_large.jpg
Debris & Removal Planning
SSource: USACE
Debris Transportation Planning
Source: USACE
Resources Management
Locations of EMPLOYEES, MEDICS, TRUCKS ANDTRUCKS, AND FOOD SERVICES (For demonstration
l )purposes only)
Source: GWU