Big Data: Real-life examples of Business Value Generation
Richard Brown Global Programme Leader Big Data & Analytics
2
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Over 40% of the companies that were in the
fortune 500 in 2000 were not there in 2010
3
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Big Data: A confluence of Sources and Technology
New
Opportunities
New
Sourc
es
Public
Social
Geo RFID
Meters
Mobile
Web
New
Technolo
gie
s
Sensors
4
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Improving Revenue Existing products & services
Data as a Revenue
Stream
Improving Revenue New products and different
markets
4 Ways in which the opportunity is being exploited
Cost Reduction
5
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
US Retail Chain
Hadoop: Data storage cost down from $30k/Tb $1k/Tb.
The Situation
Massive EDW
4000 stores
650m SKUs
50 Tb per day
The Solution
440 node Hadoop
cluster
POS, Inventory, Social
Data optimized
across EDW &HDFS.
Max use of Opensource
The Benefits
$23m saving p.a.
Higher level of
forecast accuracy
Improved collaboration
with vendors
Improved data integrity
Cost
Reduction
6
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
60% of Hadoop implementations are for new business applications
7
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Insight at the point of action
Online enquiry
Service B
Product A Product selected
Up-sell
x-sell
Customer
Sales history
Web
transaction
Success rate from 5% → 20%
Stock out
in store
Source D
Source C Sources
indentified Supply
Available
stock
Delivery lead
times
On-shelf Availability up 7%
Product in transit
– RFID location
Model of
optimum revenue
for replenishment
scenarios
Shipping
partner:
Route data
Current
performance
of supply
routes
Stores: live sales
performance
Competitor sales
data in locality
from 3rd party
provider
Recent social
media activity
Success rate for
product in x-sell
scenario
Customer web
profile data
Predictive model
of customer
response
Available
Products
Recent call
history:
Sentiment data
Existing
Revenue
8
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Global Media & Entertainment company Existing
Revenue
Rapid correlation of social media and operational data
The Ask
How to improve box
office takings?
The Solution
Social media analysis
• Sentiment
• Mentions
Theatre counts
Key influencers
Format release
analysis
The Benefits
Improved release
schedules
Improved marketing
effectiveness
Rapid response to
market changes
Improved yields
($ m)
9
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
$ 90 Billion: Global Pharmaceutical Promotion Spend in 2012*
$19.7 Billion: Pharmaceutical Promotion Spend in 2012 in European Union (EU5).**
European Pharmaceutical
*Source: Cegedim Strategic Data, “2012 Pharmaceutical Promotional Spending: Global Trends”.
** EU top 5 = France, Germany, Italy, Spain, United Kingdom.
Physicians are key opinion leaders on drug
selection
Selection of right Opinion Leaders can allow
more effective targeting of marketing funds
More effective identification of Opinion
leaders can deliver significant ROI.
Emerging Trends in European Pharma Market.
As Pharmaceutical promotional spends shrink (EU5 -3.6% in 2012 *) and sales force is reduced, effective
identification segmentation and targeting of doctors becomes important.
1-to-1
Physician
interaction
(Detailing)
Direct to
Customer
Existing
Revenue
10
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Opinion Leader Identification Process
Network Influence
Score gives measure of
Influence in the Referral
Network of doctors.
Publication Score gives
measure of Influence in
Publication activities.
Prescription Score gives
measure of Influence from
drugs’ Prescription activities.
Affiliation Perception
Score gives measure of
perception based on
affiliations to Prestigious
Hospitals & Academic
Institutes.
Social Media Score gives measure of influence in
social media, blogs etc.
Opinion Leaders
Prescription Data
Publication Data
Referral Data
Survey Data
Social Media Data
Affiliation Data
Existing
Revenue
Referral Data of doctors.
Prescriptions Data.
3rd Party Survey Data.
Hospitals, Institutes &
Academic Institutes
affiliation Data.
PubMed Data for medical
publications; clinical trials,
research papers, news
etc.
Pharma blogs, forums
and other social
networking sites.
11
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
“Shifting sands”
In today’s information
landscape new islands
of value are appearing
across organisation &
industry boundaries
12
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
1234 123456 12345
Banks owning data on consumer spend behaviours –
moving to sell data to Retailers and Consumer Products
companies
Insurers owning data on car, house... ownership and getting
into services around this - becoming Estate Agents
Telco providers holding information on retail activity
– becoming retailers
Consumer products companies gaining consumer data
through social media to drive connection through on-line
channels, bypassing Retailers
Utilities owning data about households and selling services
around the house – eg security, insurance, maintenance..
Changing Industry...
13
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Global Telecommunications Provider
The Ask
Traffic volumes
Plan the network
Data to help
negotiate with
partners
The Solution
Socio-thermodynamic
modeling
Network modeling
Fault and fraud
detection
Traffic imbalance
analysis
Opening up new revenue streams
The Benefits
Major cost saving
Increase customer
service / response to
issues
Identified new
business opportunities:
• New markets
• New customer
.
New
Revenue
14
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Global HR / Employment Consultancy
The Ask
Large volume of
CVs
Large volume of
vacancies
Need to rapidly and
accurately match
The Solution
A learning algorithm
processes the text
within CVs and jobs
Vectorization of
documents
Automatic matching
by geo-location
Visualization of results
Users have been amazed by the accuracy of the system
The Benefits
Better market visibility
Improved role matching
200,000 documents
processed in a 2 hours
15 new business
applications
Advisory service for
employers relocating
.
New
Revenue
15
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Data Monetization Data
Monetization
“Data is the new oil.”
16
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Public Sector
Fraud Detection
Crime Prevention
Service Optimization
17
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
How are organisations getting there?
Dig
ital C
apabili
ty
Leadership Capability
The How:
Successful transformations depend as much
on how firms manage digital transformation than solely on
implementing new technologies
The What:
Using digital technology to transform the customer
experience, operational processes and business models
18
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
How are organisations getting there?
Dig
ital C
apabili
ty
Leadership Capability
DIGITAL MASTERS FASHIONISTAS
CONSERVATIVES BEGINNERS
19
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Revenue Generation
Dig
ital C
apabili
ty
Leadership Capability
Revenue Generation
+9%
-10% -4%
+6%
20
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Profitability
Dig
ital C
apabili
ty
Leadership Capability
Profitability
+26%
+9% -24%
-11%
21
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
It is not from the edge You need Vision, Strategy
and Business & IT working together
22
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Cloudera Enterprise Data Hub Next Generation Data Management Platform
Open, agile and reliable platform Open source and enterprise-grade, constantly enhanced. Agility to handle more types
of data without defining structure upfront. Focus on performance and security.
Mixed workload integration Supports and manages different types of workloads for different types of analytics and
users population (Batch processing, Interactive SQL, Search, Machine Learning, In
memory processing)
Easiness of integration CDH certified with all major technologies our customers have already (Informatica,
SAS, Tableau, SAP BOBJ, Microstrategy, Talend, Teradata, etc.) and new
technologies (Revolution Analytics, Splunk’s Hunk, etc;). Cloudera can be an “add-on”
to existing architectures to enhance scalability and analytical features.
Scalable and Cloud “Infinite” Storage capacity as the cost is an order of magnitude lower than traditional
DB. Choice to deploy on-prem as well as in the Cloud (eg. Elastic Analytics).
An open
solution for
Big Data
23
BIM
Copyright © 2014 Capgemini. All rights reserved.
Big Data: Real-life Examples of Business Value Generation | Richard Brown
Enterprise Data Hub Accelerator Run
Transform
Scale
Initiate
Init
iate
Scale
Tra
nsfo
rm
Ru
n
Business
Drivers
Governance
Platform
Data
Analytics
1st tactical wins
3-6m execution
time
Set up 1st
business driver.
Core team and
core agile
processes
initialized
Kick start
communication.
Adapt current
analytics
processes to
new platform.
Core data blocks
initialized, Initiate
MDM, DQ, Data
Privacy processes.
Set up first
data platform
and learn.
Expand 1st wins
Execute on 1st
business driver
Build 9-12m plan.
Industrialization
& data exploration
processes set up
Increase comm.
on successes.
Keeping same
analytical algorithms,
expend depth, scope
and granularity
of datasets.
Extend scope of
data to peripheral
data and external
data.
Scale to
enterprise
industrialized
deployment.
Set up strategic
drivers needed
for Corporate
Development and
execute.
Broaden
governance to
operational
processes to drive
transformation.
Use new types of
analytics (machine
learning, discovery
algorithms,
scientific algorithms).
Increase
acquisition rhythm,
eg. leverage real
time streaming.
Connect to
operational
mission critical
systems.
Fuel innovation
roadmap with
quarterly updates
on business
drivers priorities.
Iterative
continuous
improvement
and innovation.
Continuously
refine models
Iteratively test out
new algorithms
and new data.
Continuous
improvement
on data
provisioning/data
management.
Continuous
platform
optimization
(TCO, overall
efficiency).
The information contained in this presentation is proprietary.
Copyright © 2014 Capgemini. All rights reserved.
Rightshore® is a trademark belonging to Capgemini.
www.capgemini.com/bim
About Capgemini
With almost 140,000 people in over 40 countries, Capgemini is
one of the world's foremost providers of consulting, technology
and outsourcing services. The Group reported 2013 global
revenues of EUR 10.1 billion.
Together with its clients, Capgemini creates and delivers
business and technology solutions that fit their needs and drive
the results they want. A deeply multicultural organization,
Capgemini has developed its own way of working, the
Collaborative Business Experience™, and draws on Rightshore®,
its worldwide delivery model.