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2013 IBM Corporation
Transforming Governmentwith Big Data & AnalyticsHawaii Digital Government SummitDecember 16, 2014
Michael D Stevens Government Solutions Manager
IBM Big Data & Analytics
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2014 IBM Corporation2
1. What are analytics? Why are they important?
2. What is Big Data? How can it improve analytics?
3. A Big Data & Analytics Platform
4. Whos using it?
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2014 IBM Corporation3
Big Data & Analytics is Transforming Government
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2014 IBM Corporation
Different Types of Business Analytics
What actionshould I take?
Decisionmanagement
Why did ithappen?
Reporting,analysis, content
analytics
What couldhappen?
Predictiveanalytics
and modeling
What ishappening?
Discovery andexploration
Descriptive
Diagnostic
Predictive
Prescriptive
What didI learn,
whats best?
Cognitive
Be more right,
more often.
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2014 IBM Corporation
Descriptive Analytics
What ishappening?
Discovery andexploration
Where are we today?
Arrests, Budget, Potholes
Exploring Metrics and KPIs against targets
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Diagnostic Analytics
Why did it
happen?Reporting,Analysis
Root cause of event,Trend analysis, What if scenarios; text analytics
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Predictive Analytics
What could
happen?Predictive Analyticsand
modeling
Build models, use past history to
determine what might happen given
specific scenarios and contributing factorsPredict occurrences of eventsStated as probabilities
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Prescriptive Analytics
What action
should I take?Decisionmanagement
Deliver high-volume, optimized decisions to
both systems and front-line workers
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8/10/2019 ERepublic Hawaii DGS 14 Presentation -Big Data and Analytics_Michael Stevens
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Cognitive Analytics
What didI learn,
whats best?Cognitive
What actionshould I take?
Decisionmanagement
Why did ithappen?
Reporting,analysis, content
analytics
What couldhappen?
Predictiveanalytics
and modeling
What ishappening?
Discovery andexploration
Learning and improving over time
Natural Language
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What is Big Data?
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2014 IBM Corporation12
By 2017 there will be more than 1 trillionconnected objects and devices on the planet
generating data.
80% of all data is unstructured and growing15 times the rate of structured data
There are 2.5 billion gigabytes of datagenerated every day
Over 500 billion tweets aresent every day (Twitter)
Data Its growing at massive scale and is the key toimproving analytics
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2014 IBM Corporation13
Data at Scale Data in Many Forms Data in Motion Data Uncertainty
olume riety elocity er city
Big Data is All Data
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2014 IBM Corporation14
Challenge in Government:
Data is Diverse, Structured, Unstructured and Growing
Finance
CrimeClaims Tax Intelligence
Environmental TrafficEmergency Logistics
Social Programs
Social MediaGeospatialImagery VideoSensors
Non-Traditional
DataSources
LargeVarietyof
Data
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2014 IBM Corporation15
Paradigm shifts enabled by big data & analytics
TRADITIONAL APPROACH
Analyze small subsets
of information
Analyzedinformation
Allavailable
information
TRADITIONAL APPROACH
Carefully cleanse information
beforeany analysis
Small amount ofcarefully organized
information
Hypothesis Question
DataAnswer
TRADITIONAL APPROACH
Start with hypothesis andtest against selected data
Repository InsightAnalysisData
TRADITIONAL APPROACH
Analyze data afterits been processedand landed in a warehouse or mart
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BIG DATA & ANALYTICS APPROACH
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2014 IBM Corporation17
What do these shifts enable us to do?
Predict and decide the best action
Cognitive computing
Intuitive analytics for everyone
Analytics as and when you need it
embedded in everything
Real-timeLearn to sense and predict using
all types of information
BIG DATA & ANALYTICS APPROACH
What wil lhappen and what should you do
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2014 IBM Corporation18
How Decision-Making is Changing
Decisions from Intuition Instinct Hunches Based on experience
Automated Decision-Making Knowledge, policies and practices
embodied in business rules Decisions made efficiently and
consistently
Objective
Quali ty and value of decision s
Predictive Decision-MakingAccurate predictions based onhistoric patternsLeverage all available dataFlexible, evidence-based decisions
Robust in volatile environmentsmodels re-generated from latestdata to reflects changing fashions,trends, etc.
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2014 IBM Corporation19
A Word About Predictive Analytics
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2014 IBM Corporation20
Its Tough to make predictions, especially about the future
-- Yogi Berra
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2014 IBM Corporation21
What is Predictive Analytics?
Predictive Analytics helps
connect data to effective action
by drawing reliable conclusions
about current conditions and
future events
Gareth Herschel, Research Director, Gartner
Group
Techniques:
Statistics
Game Theory
Data Mining
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2014 IBM Corporation22
Predictive Analytics in Our Daily Lives
Credit Score
Netflix
Pandora
Google
Amazon
Traffic
Portfolio Mgt.
Health Care
Fraud Detection
Underwriting
Risk Management
Customer Retention
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2014 IBM Corporation23
Preemptive GovernmentA New York Story
Problem: family died in a fire in a building that had
been illegally subdivided; 10s of thousands of complaints
Strategy: Assessing Fire Risk through Predictive Analytics.
Identify most dangerous of illegally subdivided housing units
Metrics:
Owners in financial distress
Multiple illegal-conversion complaints
Multiple family dwellings built before 1938 (code revision)
Low income/high-immigrant/low-employment neighborhoods
Data: agency reports, real-estate filings, finance & tax information
Findings: dwellings with all four risk categories 40 times more likely
to have a fire
Targeted 225 of hightest risk buildings
Moral: targeting all conversions captures many properties, but fails tofocus on those at most risk
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2014 IBM Corporation24
A Platform for Big Data & Analytics
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2014 IBM Corporation25
Landing,Explorationand Archivedata zone
Operationaldata zone
Real-time Data Processing& Analytics
Transaction andapplication data
Machine,sensor data
Enterprisecontent
Image,geospatial, video
Social data
Third-party data
Information Integration & Governance
DeepAnalyticsdata zone
EDW anddata mart
zone
A New Architecture to Manage Big Data
Data at rest and
data in motion
Structured and
unstructured
Inside and outside
the enterprise
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2014 IBM Corporation26
and improve analytics
Information Integration & Governance
Systems Security
On premise, Cloud, As a service
Storage
New/Enhanced
ApplicationsAll Data
What actionshould I take?
Decisionmanagement
Landing,Exploration
andArchivedata zone
EDWand data
martzone
Operational data
zone
Real-time Data Processing &Analytics
What ishappening?
Discovery andexploration
Why did ithappen?
Reporting andanalysis
What couldhappen?Predictive
analytics andmodeling
Deep
Analyticsdatazone
What didI learn,
whats best?
Cognitive
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2014 IBM Corporation27
Information Integration & Governance
Systems Security
On premise, Cloud, As a service
Storage
New/Enhanced
ApplicationsAll Data
What actionshould I take?
Decisionmanagement
Landing,Explorationand Archivedata zone
EDWanddatamartzone
Operationaldatazone
Real-time Data Processing& Analytics
What ishappening?
Discovery andexploration
Why did ithappen?
Reporting andanalysis
What couldhappen?Predictive
analytics andmodeling
DeepAnalyti
csdatazone
What didI learn,
whats best?
Cognitive
Why did ithappen?
Reportingand analysis
Deep
Analytics
data
zoneOperational
data zone
and improve analytics
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2014 IBM Corporation28
A new architecture is required
Information Integration & Governance
Systems Security
On premise, Cloud, As a service
Storage
New/Enhanced
ApplicationsAll Data
What actionshould I take?
Decisionmanagement
Landing,Explorationand Archivedata zone
EDWanddatamartzone
Operationaldatazone
Real-time Data Processing& Analytics
What ishappening?
Discovery andexploration
Why did ithappen?
Reporting andanalysis
What couldhappen?Predictive
analytics andmodeling
DeepAnalyti
csdatazone
What didI learn,
whats best?
Cognitive
Landing,
Exploration
and Archive
data zone
What ishappening?Discovery
andexploration
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2014 IBM Corporation29
A new architecture is required
Information Integration & Governance
Systems Security
On premise, Cloud, As a service
Storage
New/Enhanced
ApplicationsAll Data
What actionshould I take?
Decisionmanagement
Landing,Explorationand Archivedata zone
EDWanddatamartzone
Operationaldatazone
Real-time Data Processing& Analytics
What ishappening?
Discovery andexploration
Why did ithappen?
Reporting andanalysis
What couldhappen?Predictive
analytics andmodeling
DeepAnalyti
csdatazone
What didI learn,
whats best?
Cognitive
What actionshould Itake?
Decisionmanagement
Real-time Data Processing &
Analytics
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2014 IBM Corporation30
New / Enhanced
Applications
All Data
Claims
Tax & Income
Threat & Crime
Case Worker
Social Media
Sensor
Images &Video
Outcome-basedProgram Mgt.
Real-timeFraud Detection
Real-time Threat
& Crime Detection
Audit & TaxCompliance
Patrol Deployment
Budget & FinanceOptimization
Big Data & Analytics Platform
Big Data & Analytics Strategy, Integration & Managed Services
Big Data & Analytics Infrastructure
What ishappening?
Discovery andexploration
Why did ithappen?
Reporting andanalysis
What couldhappen?
Predictiveanalytics and
modeling
What didI learn,whatsbest?
Cognitive
What actionshould Itake?
Decisionmanagement
Information Integration & Governance
Landing,Explorationand Archivedata zone
EDW anddata mart
zone
Operationaldata zone
Real-time Data Processing & Analytics
DeepAnalyticsdata zone
Risk Determinatio
Case Management
Big Data & Analytics Platform
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2014 IBM Corporation31
New / Enhanced
Applications
All Data
Claims
Tax & Income
Threat & Crime
Case Worker
Social Media
Sensor
Images &Video
Outcome-basedProgram Mgt.
Real-timeFraud Detection
Real-time Threat
& Crime Detection
Audit & TaxCompliance
Patrol Deployment
Budget & FinanceOptimization
Big Data & Analytics Platform
Big Data & Analytics Strategy, Integration & Managed Services
Big Data & Analytics Infrastructure
What ishappening?
Discovery andexploration
Why did ithappen?
Reporting andanalysis
What couldhappen?
Predictiveanalytics and
modeling
What didI learn,whatsbest?
Cognitive
What actionshould Itake?
Decisionmanagement
Information Integration & Governance
Landing,Explorationand Archivedata zone
EDW anddata mart
zone
Operationaldata zone
Real-time Data Processing & Analytics
DeepAnalyticsdata zone
Risk Determinatio
Case Management
Technologies in a Big Data & Analytics Platform
Data Integration
Master Data Management
Entity Analytics
Data Security & Privacy
Hadoop
Data Warehouse Appliance
Streaming PlatformBig Data Navigation
Predictive Analyics
Business Analytics
Case Management
Decision Management
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2014 IBM Corporation32
How are Government Agencies using Big Data &
Analytics?
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2014 IBM Corporation34
A state health agency optimizes use of tax dollars by using
pattern analysis to crack down on Medicaid fraud
99% reductionin potentially fraudulent claims,
from USD19.2 million to
USD138,000
Business Challenge: Rising Medicaid costs and a growing
sense that too many inappropriate payments are being made
The Smarter Solution: Powerful analytical models flagclaims and providers that dont follow the typical patterns
exhibited by their peer groups. By finding obscure
connections among doctors, pharmacists, labs and medical
supply companies, the solution also helps uncover extended
fraud networks.
USD49 millionrecovered through 22 criminalconvictions and 18 civil
settlements
USD200 millionin questionable claims
identified within first 12 months
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2014 IBM Corporation35
Medway Youth Trust Identifies At-risk Youth
Business Challenge: Fragmented, incomplete data from a
variety of state and local agencies hindered the goal of finding
permanency for at-risk youths.
The Smarter Solution: Sophisticated modeling and predictive
analytics on high volumes of text and data enablecaseworkers can uncover hidden patterns and relationships
and that might otherwise go unnoticed and use the insight to
determine just the right combination of services for each child
> 50% success rate with intervention cases by
accurate and early identification
250% improvementin accuracy of identification of
those at risk
Accurately predictwhether individual youths have a
high (>60%) of needing help in
the future
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2014 IBM Corporation36
City Event Monitoring
Background and resource
information displayed geospatiallyto quickly respond to incidents
Social media analytics to proactively
identify and monitor potential
incidents
Intelligent Video Analytics to identify
and correlate incidents
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2014 IBM Corporation37
TechAmerica Big Data Report Findings
1. Understand the Art of the Possible2. Identify 2-4 key business or mission requirements that develop
underpinning use cases that would create value for both the agency
and the public.
3.Take inventory of your data assets. Explore the data available both
within the agency enterprise and across the government ecosystemwithin the context of use cases.
4.Assess your current capabilities and architecture against what is
required to support your goals
5.Explore which data assets can be made open and available to the
public to help spur innovation outside the agency.
2013 IBM Corporation
http://www.techamericafoundation.org/bigdata
http://www.techamericafoundation.org/bigdatahttp://www.techamericafoundation.org/bigdata -
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Links & Contact Information
IBM Watson Video
http://www.youtube.com/watch?v=_Xcmh1LQB9I
IBM Big Data & Analytics Hub
http://www.ibmbigdatahub.com/
Michael D. Stevens
Government Solutions
IBM Big Data & Analytics
Ph: 720.395.3951
Twitter @stevens_m_d
Ibm.com/bigdata
http://www.youtube.com/watch?v=_Xcmh1LQB9Ihttp://www-01.ibm.com/software/data/bigdata/mailto:[email protected]://www.ibm.com/bigdatahttp://www.ibm.com/bigdatahttp://www.ibm.com/bigdatamailto:[email protected]://www-01.ibm.com/software/data/bigdata/http://www.youtube.com/watch?v=_Xcmh1LQB9I -
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Thank You