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LHP Engineering Solutions
Self Service IoTBusiness Empowerment at the Edge
Michael King, President, Data Analytics & IoT
LHP Engineering Solutions
http://LHPES.com
Self Service IoT: Business Empowerment at the Edge
• Background: Self Service BI at Cummins
• Highlighted Success Stories
• How Self Service Works (the LHP way)
• Self Service IoT Onboarding Process
• Appendix
Self Service BI at CumminsSelf Service BI at CumminsSelf Service BI at CumminsSelf Service BI at Cummins
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Build a sustainable future for all stakeholdersCummins - Profitable Growth
Strong Shareholder ReturnProfits Grow Faster Than Revenues
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
$0
$5
$10
$15
$20
2007 2008 2009 2010 2011 2012 2013 2014
Revenue (
$ B
illio
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Revenue and EBIT
Revenue
EBIT %
1 EBIT excludes restructuring charges in 2009 and 2014 (in Power Generation), and the gains from the divestiture of two businesses and flood insurance recovery are excluded from 2011. Also, Q2‘12 EBIT excludes $6 million pre-tax additional gain from the
divestiture of two businesses in 2011, and Q4’12 EBIT excludes $52 million in restructuring charges.
$20 BSales in 2014
Record Level Revenues
Power Generation
Components DistributionEngine
Global Power LeaderCummins Complementary Businesses
Cummins Market ApplicationsGlobal Power Leader
countries and territories employees worldwide
Develop, design and manufacture products on continents
Business Units
Regional Organizations
Corporate Functions
Engine Applications
Market Segments
Why Self-Service BI?
The Most Effective Way to Deploy Analytics to a Global Organization
Why Self Service BI? Why Self Service BI? Why Self Service BI? Why Self Service BI? –––– The Lego ExampleThe Lego ExampleThe Lego ExampleThe Lego Example
24 combinations
6/13/2018 8
2 x
3 x
6 x
1,060 combinations
915,103,765 combinations
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Why Self-Service Business Intelligence?
Our current business intelligence and analytical platforms are
not delivering on our business needs
Current State Microsoft Self-Service BI Platform
Business requests for new data analysis require
analyst engagement and IT development to
source and deliver data
Existing data sources are directly accessible by
business users; minimal to no analyst and IT
work needed
Sourcing of new data sources into the data
warehouse requires modeling, coding, and
testing
New data sources can be rapidly sourced into ad
hoc data area for quick access; formal modeling
into warehouse if needed
Multiple end user tools for analytics requires
substantial licensing, maintenance, and training
Common set of analytics tools focuses
investments in training and increases reusability
across Cummins
Limited capacity for analyzing of ad hoc and what
if scenarios for exploring business data
Full featured suite of data analysis tools that
build on and around a widely-understood Excel
platform
Self-Service BI: Guiding Principles
• Focus on the end users, think like an analyst
• Build and foster an analytical organization
• Reduce IT complexity
• Business owns the data
• Work together to govern the data and process
• Drive BI technology innovation
Self-Service BI Distinctions
• Introduces a new analytical paradigm
• Rapid prototyping, agile deployment
• Connect to any data source, connect any data source
Spreadsheets with unlimited columns, unlimited rows
• Eliminates costly ETLs, replaced by Extract, Load, then Transform
• Faster development, easier to reconcile data, easier to adapt to changes
• Leverage analysts and business community
• Reduce dependency on 3rd party developers
• Grass-Roots deployment, word of mouth communication
What is Self-Service BI?
• Cummins uses the Microsoft Business Intelligence built in Azure to provide:
• Business friendly reporting, analytics, and modeling tools
• Web front end for scheduling data refreshes and migrating analytical models
• Flexible and scalable Analytical platform
• Ability to connect to any data set (Source Systems, Data Marts, Data Warehouse, Teradata, Hadoop, etc.)
Why Self-Service BI Benefits the Business
• Business accountability and responsibility of the data they already own
• SSBI improves time to market (introducing agile processes)
• New engagements: empirically gives the business their data up to 27 weeks faster
• Change requests: empirically realized by the business up to 34 weeks faster
• SSBI allows data cleansing without impacting source data
Business
Effective data driven
decisions
Faster time-to-market
Quality data on which to make
decisions
Decision
DecisionTime to Data Analysis
AnalysisTime to Data
Why Self-Service BI Benefits IT
• Security and auditing is streamlined• The infrastructure and environment isolation in place
• The business owns the responsibility for the user-level security and auditing of their data and access rules
• IT has governance visibility into the environment• Complete records of who is using the system, what and when
they have accessed, etc.
• Complete visibility on the creation of data models and all connections to source systems
• Gold standard Data Warehouse can be developed over time based on actual usage
• IT can focus on the infrastructure and providing a service to the business
IT
Security
Governance
Planning for the future
Timeline to Self-Service
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Initial SSBI Proof of Concepts
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Self-Service BI: Program Status: First 18 months
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Self-Service BI: Training Status
18
2015 Self-Service Engagements
• Faster time to deliver
• Quicker to business value
• Higher satisfaction
• What could 6 months buy the business?
• Initial cost will be higher
only for complex projects
• 100’s of small projects vs.
15 high complexity projects
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2015 Self-Service Cost Avoidance
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Self-Service BI: Success Stories
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Self Service BI - Next Steps
• Continue Expanding Global Training Program
• Formal Communication?
• Expand Azure – China, Europe, Singapore, others
• Integration and alignment with traditional BI programs
• Expand advanced analytics, Machine Learning, IoT
• Tools and processes
• Continue to Expand beyond BI: QSOL, Pricing Engines, etc
Self Service BI – In Summary
Increased Revenue
Decreased IT Costs
Millions in IT Cost Avoidance
Increased User Satisfaction
Global Deployment
Business & IT Teams working together
HighlightedHighlightedHighlightedHighlightedSuccess StoriesSuccess StoriesSuccess StoriesSuccess Stories
Aftermarket Parts: Pricing and Analytics Category: Large entity, high visibility
What: Expensive, inflexible 3rd party system delivered no result
How: Designed a Self-Service solution that the Parts business teams (Pricing, Product
Management, and Analytics) now support
Value: Enabled the Parts business to analytically price 80,000 parts and begin
building the history to achieve optimal pricing
User Experience Third-Party Proprietary Self-Service Analytics
Parts Pricing
Parts BI
$M’s
$XM$0*
Parts Consulting Fees $M’s $K’s
Implementation Time 3.5 Years 12 Weeks
Parts Priced 0 80,000
Year 1 Revenue $0 $33M
Engine Warranty Analysis• Category: New capability, cross-BU/cross-functional unsatisfied need
• What: Existing Big Data solution was limited and not delivering end-user data or linking with other CMI data sets
• How: Built a small Hadoop solution in Microsoft Azure within 3 weeks, including reprocessing all engine INSITE logs for 3 years
• Value: Extracted and delivered all engine information to Engineering, Reliability, and Six Sigma teams to use in their investigations. Data used in one Six Sigma project with projected $M’s in savings.
User Experience Past Experience Self-Service Analytics
Linkage to CMI Data Not Designed Fully Capable
Effort Realization Continual Churn 3 Weeks
New Capability Cost
Estimate>$270K $87K
Savings * >$M’s
Engine Warranty Analysis (con’t)• Phase I work completed in 3 weeks for under $60K
• Over 2600 parameters per engine combined into a single analytical model to enable correlation of engine faults and failure codes to specific components
• Engine service logs pulled from EDW 93M and from CloudOne
• Customer information loaded from multiple sources (ERP’s, EDW, Customer Masters, and National Accounts)
• POLK / VIN data
• Reliability Warranty events
• Expert Diagnostic data
• Work order details/headers
• Warranty campaigns
• Vehicle registrations/OEM info
• Plasma/Genealogy
• Part sales/Product Coverage; some portions of the BOM/SBOM
Corporate HR Analytics Category: Large scope
What: Manual process with continual churn and no analytical capabilities
How: Designed a Self-Service solution that allowed for automated global business efficiencies
Value: “In my 4 years at Cummins, this is the first time that we have successfully moved forward from a system perspective on analytics. This is very exciting, the possibilities are huge!”
- Brian Hamilton, Director - HR Reporting & Analysis
User Experience Past Experience Self-Service Analytics
Efficiencies Gained Manual Reporting Workforce Analytics
BI Engagement No Capability/Support Capable in 4 Weeks
AOP Process Manual Automated
Decision Cycle Time No Ad-Hoc Responses 5 Minutes
Data Quality/Governance 1 Day 5 Minutes
Distribution BU Global Inventory Category: Do it yourself, never had BI AOP funding
What: Manual inventory and cleansing collection process against disparate systems. Error prone, time consuming, and demanded user compliance.
How: Designed a Self-Service solution that pulls and aggregates the data automatically from multiple ERP systems
Value: Automatic data aggregation allowed for the resolution of many customer down incidents. Additionally, it provides for a secure data environment that reduces user error and enhances work satisfaction (Cummins employees can now work strategically to benefit the business rather than spend their time with data entry).
User Experience Past Experience Self-Service Analytics
Efficiencies Gained 46 Support Personnel 1 Person Part-Time
Process Compliance Chronic Weakness Automated
Data QualityManual Entry - Worse
than SourceSame as Source
DBU Business Systems FootprintDBU Business Systems FootprintDBU Business Systems FootprintDBU Business Systems Footprint
Enterprise Remedy Analytics• Category: Global IT Production Support group supporting multiple BI reporting
applications, reporting requests, and data warehousing services
• What: Analytics capability on large volume of support requests (1k/mo)
• How: Pull daily tickets direct from source into the MSBI environment for visibility to SLA performance and all other KPIs
• Value: Significantly improved ability to focus improvement work, reduce support costs, improve customer satisfaction
User Experience Past Experience Self-Service Analytics
Availability of data Limited by vendor Full access to all relevant
data
Reporting interval Monthly per vendor Daily refresh in MSBI
Ability to drill down None Full
Visualizations on data Minimal Unlimited
Enterprise Remedy Analytics – Geospatial View
Self-Service BI solutions at Cummins: On-Time-Delivery
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Self-Service BI solutions at Cummins: Engine Volumes
Self-Service BI solutions at Cummins: Service Analytics
RADAR is a self service data interface…..• Currently
• TSR’s
• Engine birth info (Engine history)
• Campaigns, claims (most), policy, work orders (USA)
• Parts, WWSPS, VSS
• Next• telematics, biography of an engine, EDS, EPFIRG, INSITE, Reliability, FITS, Promotion,
Deviations, and who knows…
• Used in awareness, early warning, issue understanding, fix effectiveness.
• Allows us to be prepared to answer today’s questions as well as tomorrow’s questions.
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Self-Service BI solutions at Cummins: Service Analytics
37
Self-Service BI solutions at Cummins: Service Analytics
Self-Service BI solutions at Cummins: Service Analytics
Self-Service BI solutions at Cummins: Service Analytics
How Self Service Works
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CLT Sponsor
BU’s / ABO’s
COS Functions
Priorities
Common, Flexible Tools-------------------------------------------------------------------------------
Analytics Platform as a Service
Program Leadership Team
MRG
Program Leader
EBI Project Teams
Enterprise Business IntelligenceGovernance Structure
Functional group in BI program
• Subject Matter Expert (SME), Tool Experts
Technical Group in BI program
• Data-warehouse maintenance, Environment maintenance, ownership of tools
IT Enablers
Create Analysis,
Modelling, Automatic Reports….F
unctional G
roup B
usin
ess U
nit
BI program
Users
Analysts
42
Self Service BI Program Framework
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Enterprise Business IntelligenceProgram Structure
Program Leadership
BusinessUnit Teams
(Business & IT)
FunctionalTeams
(Business & IT)
EnterpriseBusinessAnalytics
EnterpriseData
Management
GlobalInfrastructure
•Align BU Requirements to Functional teams•Align BU IT resources to EBI efforts•EBI Integration with BU initiatives•Manage legacy transition plan•Ensure End User focus
•Common KPI’s, Requirements, Priorities•Business Analysis•Project Management•Project Delivery•Functional Roadmap•Enhancements•Function specific Training
•EBI Strategy•CMI EBI Roadmap•EBI Technology Roadmap•EBI Application Footprint, integration•Cross-Functional Alignment•EBI Tools Training•First Level Support
•Data Whse build, maintenance, consolidation•Integration Tools•Servers, storage, network•Infrastructure Monitoring•Cloud/OnPremManagement
•Data Modeling•Data Architecture•Standard Subject Areas•Data Source Strategy•Data Warehouse Strategy, Roadmap•Master Data Mgt integration
•Program Management•Governance, Change Management•Vendor Management•Planning, Budgeting
Self Service BI Governance Model
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Intake ProcessIntake ProcessIntake ProcessIntake Process
Initiate, Assess, Assign, Train, Build Environment
Build Data Models
Read / Use Data, Initiate Analysis
Visualize Data,
Data-Driven Decisions
Operating Model Operating Model Operating Model Operating Model –––– Self Service BISelf Service BISelf Service BISelf Service BI
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Self Service BI Self Service BI Self Service BI Self Service BI –––– Lifecycle ModelLifecycle ModelLifecycle ModelLifecycle Model
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Self Service BI Self Service BI Self Service BI Self Service BI –––– Lifecycle ModelLifecycle ModelLifecycle ModelLifecycle Model
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Self Service BI Self Service BI Self Service BI Self Service BI –––– Intake Process Work FlowIntake Process Work FlowIntake Process Work FlowIntake Process Work Flow
LHP Self Service IoT
Onboarding Process
Overview• Process goals:
• Quickly assess, assimilate, and enable quick-win IoT projects.
• Leverage demand from the business/functional area(s)• Just like IoT empowers products ‘at the edge’, this process enables users who are often furthest
from centralized-support, but also often where the most potential value resides
• Process Steps:• Introduction
• Sandbox/PoC• Provisioning & Development
• Deployment• Support
• Value-Capture
Proven In-Use
• Approach successful at a Fortune 150 manufacturing company.
• ~300+ Groups served in ~2.5 Year period• Every function
• Every business unit
• Every continent (except Antarctica)
• Process recognized by Microsoft for innovative, effective approach
• Millions $ Saved or Created• ~$33m in top line profit on one project alone
• 10+ headcount redeployed to value-added processes on another single project
Introduction/Intake (1)
• Pull-based approach• Request/Interest comes in from anywhere in business
• Entirely word-of-mouth, organic process, no internal marketing required
• Initial meeting • Introduction of both teams and system
• Light-weight requirement gathering process
• Connect with existing groups/projects if applicable
• Quickly determine if project feasible
• If feasible, requesting team fills out “Intake Form”
• IoT Team reviews to ensure no redundancy, etc. and determines resources needed depending on situation
Sandbox/PoC (2)
• Large, shared test-bed environment• Sample/Scrubbed data only
• Prove potential value and seek buy-in from all stakeholders to proceed
• Depending on potential value and specific needs, group may be assigned a “Player-Coach” at this stage
• This role can be either the ‘player’ role where resource does most of the technical work that end users will then consume (given a fish), or resource serves more as ‘coach’ who trains users to become self-sufficient (teach to fish).
• Virtually all teams granted access to Sandbox environment• Restriction would stifle potential projects where value proposition may not be
fully developed, understood, or identified yet
Provisioning & Development (3)
• Once project has identified needed resources (technical requirements and personnel), initial value-proposition is identified, and estimated timeline developed, resources are provisioned.
• Once a large enough ecosystem is created, it is possible and prudent to roll new projects into existing environments/initiatives
• Can be ‘cross-charged’ or subsidized, depending on situation.
• Player-coach will be assigned at this time if not previously.
• Development/Production instances co-provisioned for rapid/agile capability
• ETL & Modeling at this stage• Most critical stage – Project management is needed to maintain rigor/discipline, avoid scope-
creep.• Team receiving services ultimately responsible for project management, but centralized
guidance is available (and recommended) to remove road-blocks and supervise progress.• Central team maintains right to pull resources if not being used effectively.
Deployment & Support (4 & 5)
• Simple governance check to ensure compliance• Responsibility of data ownership lies with project owners, not central body.
• “BI4BI” meta-data tools available for both central team and end-users (security applied appropriately) for compliance checks and usage tracking.
• Production/Development instances (usually identical in spec) can allow agile development and iteration.
• Hourly refresh meant production migration can happen almost immediately.
• Player-Coach will train or assist in training end-users. Super-users & project owners should have already been trained at this point.
• Documentation should be completed and shared.
• Player-Coach remains on standby for pre-determined amount of time, but will shift off project post-migration.
Value Capture (6)
• After a reasonable amount of time, follow-up would be conducted with stake holders.
• This may have included management, project owners, or even customers
• Interview sought to identify and quantify REAL value provided to project
• Reduced Product Cost, Reduced Warranty Contingency, etc.
• Improved profitability (Better pricing, reduced overhead)
• Redeployed Headcount, etc.
• Could also include qualitative improvements – better customer service, better knowledge, reduced time-to-insight, etc.
• Feedback for program and kick-off Phase II discussions if warranted.
Self Service Analytics 18 Month Roadmap
Self Service Analytics: Governance Matrix
Self Service Analytics: Responsibility Matrix
Self Service Analytics: SSBI Owner Checklist
Self Service Analytics: BI4BI Platform Monitoring
Notes:
• This paradigm can easily be over-formalized and over-processed.• Central team has to have solid grasp of business need and technical capability.• Certain level of autonomy and latitude (within prudent guidelines) must remain for success.
• Stages of process can occur simultaneously.• Some projects are fast-tracked and able to deploy in matter of days/weeks.• Some projects can take months depending on workload, need, etc.
• Organizational Change Management is CRITICAL for sustainability• In some cases, dedicated outside resources were devoted to needed behavior change
• Centralized trainings were also held to quickly train large cohorts of people• Also served as a good incubator for cross-collaboration, ideation (reduce functional silos)
• Value capture identified exponential value (saved or created) compared to program investment
• IoT holds even more potential value under this paradigm, as it has the potential to create entirely new revenue streams, etc.
LHP DATA ANALYTICS SOLUTIONSContact Information
• Technical and Analytics
• James Roberts• Vice President, Data Analytics Solutions
• 812.314.7921
• Michael King• President, Data Analytics Solutions
• 812.341.8460 • Account Management
• Paul Wright• Director, Business Development
• 812.314.7920