moving big data solutions from concept to culture€¦ · moving big data solutions from concept to...
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Moving Big Data Solutions from Concept to Culture Paula Tolliver Corporate Vice President, Information Systems, Procurement, and Business Services Operations
The Dow Chemical Company
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What is Big Data?
That amount of data
or complexity
Which puts you
out of your Comfort Zone
Big Data (Noun)
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The Surge in Predictive Analytics
Predictive
Retrospective
Both Equally
Don’t Know
12%
33%
31%
29%
50%
28%
10%
1%
2009
2012
Source: Analytics in Action: Breakthroughs and Barriers on the Journey to ROI. Prepared by
Accenture Analytics, with Findings from a Survey of Analytics Practitioners, 2013 Base: Total Respondents
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Data as a Source of Inspiration
To a great extent
25%
Not at all really
13%
To only a minor extent
18%
To a moderate extent
44%
12% in 2009
Source: Analytics in Action: Breakthroughs and Barriers on the Journey to ROI. Prepared by
Accenture Analytics, with Findings from a Survey of Analytics Practitioners, 2013 Base: Total Respondents
Dow.com
Moving Big Data Solutions from a Concept to a Culture
Paula Tolliver
Corporate Vice President Information Systems, Procurement
And Business Services Operations
The Dow Chemical Company
Topics
• Introduction to Dow
• A New Reality – What we believe about insight and analytics
• The NEXT BIG THING that will help us to achieve BIG THINGS
• The journey ahead requires transformational leadership
• A Case Study
• Catalyzing a culture of analytical decision-making
• Organizing for success – Making analytics foundational
• Lessons Learned
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The Dow Chemical Company – Who are we?
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2012 data; dollars in millions
2008 2012
Developed
Emerging
28% Emerging
35%
Developed
52,000 Employees
DOW CONFIDENTIAL - Do not share without permission
• Founded in 1897 in Midland, Michigan
• Combine the power of science and technology to passionately innovate what is essential to human progress
• Manufacture more than 5,000 products at 197 sites in 36 countries
• Customers in approximately 160 countries
North America
Sales: $20,294
Latin America
Sales: $7,060 Europe, Middle East & Africa
Sales: $19,185
Asia Pacific
Sales: $10,247
A Diverse Product Portfolio & Customer Base
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Data… Data… DATA
Complex Global Supply Chain
DOW CONFIDENTIAL - Do not share without permission
Topics
• Introduction to Dow
• A New Reality – What we believe about insight and analytics
• The NEXT BIG THING that will help us to achieve BIG THINGS
• The journey ahead requires transformational leadership
• A Case Study
• Catalyzing a culture of analytical decision-making
• Organizing for success – Making analytics foundational
• Lessons Learned
10 DOW CONFIDENTIAL - Do not share without permission
A New Reality – for EVERYONE
“Beware of geeks bearing formulas.” – Warren Buffett, 2008
“Big Data – Why Warren Buffett Invested $10 Billion In This High-Tech Trend”
– Andy Batts
Seeking Alpha headline
September 2012
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A New Reality – What is Big Data?
• Volume, variety and velocity of information increasing exponentially
• Originating from internal / external sources
• Structured, semi-structured, unstructured
What can Big Data do?
• Inform better decisions…
… AT THE RIGHT TIME
• Provide deeper context and comparison
in the midst of complexity and uncertainty
• Enable competitive advantage
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A New Reality: Uncertainty Is a Certainty!
“The sustained uncertainty in the world economy continues
to present an incredibly challenging operating environment…
We have to take action.”
– Andrew Liveris, Dow CEO
August 1, 2012
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A New Reality: A Need for Better Information
Are you capitalizing on Big Data?
1 in 3 53% Business leaders make critical
decisions without the information
they need.
Of business leaders don’t have access
to information from across their
organizations required to do their jobs
If not, here’s what you’re missing:
Organizations applying analytics to data for
competitive advantage are
more likely to substantially outperform their
industry peers
2.2x
Organizations adept at analytics enjoy…
1.6x more revenue growth,
2.0x more profit growth, and
2.5x More stock price appreciation than
their peers
† Big Data: The New Natural Resource, IBM; Presented at IBM Information on Demand Conference, October 2012
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Topics
• Introduction to Dow
• A New Reality – What we believe about insight and analytics
• The NEXT BIG THING that will help us to achieve BIG THINGS
• The journey ahead requires transformational leadership
• A Case Study
• Catalyzing a culture of analytical decision-making
• Organizing for success – Making analytics foundational
• Lessons Learned
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Harnessing the Power of Analytics: A Transformational Approach
Catalyze a Culture of Analytics
• Anticipate and build capabilities
• Cultivate executive understanding
and support
• Put points on the board NOW (credibility)
• Gain ground and build momentum
Organizing for Success…Make it Foundational
• Multiply the analytics community, capabilities and resources
• Connect the right problems with the right solutions
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Catalyzing a Culture – Build Capabilities and Credibility
• Modeling for Manufacturing and R&D
• Strategic partnerships
• Build capabilities (expertise & tools)
• Developed growth and hiring strategy
• Delivered $ Millions – Business Operations
• Benchmarked leader – external credibility
2009 began Analytics
interface (embedding)
Differentiated business
performance enabled
by Analytics
Phase 4 Analytics Foundational
Pre-2000 2000-2005 2005-12 2013+
Phase 3 Points Now & Build Momentum
Phase 2 Build & Cultivate Support
Phase 1 Anticipate & Build
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Catalyzing a Culture – Phase 3 Projects
Target Priorities / Focus on Core Business Needs
Creating Quick Wins / Engaging Early Adopters • Purchasing / Market Analysis
• Supply Chain Optimization
Advising Core Business Decision Processes • Pricing
• Value Chain Optimization
• Inventory Management
Predictive Forecasting • Predicting the quarter and forecasting the next three years
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Reward users by making insight easy and timely to obtain.
Catalyzing a Culture – Gain Ground and Build Momentum…
Continue to anticipate and look for breakthroughs…
Customer Insights • Am I at risk with any customers? Which ones? Why?
• What is the downstream impact of that risk?
Market Insights • What is the marketplace saying about my product?
• How can I improve my product relative to the competition?
• How much value did my customer get from our last
product improvement?
• How can we “share” in that value delivery?
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Multiplying the Analytics Community and Connectivity
Corporate and
Business Analysts
Analytical and IT
Application Teams
Data Experts
(IT and Subject)
PhD / Masters
Mathematicians
Commercial
MBAs Finance Analysts
Operations Analysts
Business Services Analysts
IT Architects IT Data & Info Stewards
Data
SMEs
Chief Information Officer
Chief Strategy Officer
Chief Financial Officer
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Business
Insight
Competency Center Strategy/ Governance
Portfolio/Priorities
People / Capital
Functional
Organizing for Success – IT Strategy & Architecture
Foundation Layer – Data
Processing Layer – TNF (Key, Key, Key)
Consumption Layer – Views & Tools
SAP BW
& NEA Global
Insights Sysomos
Executive Insight Suite: Tableau, PowerView
Visualization Suite:
(Aster, SAS VA)
Diamond Systems
Reporting
SharePoint
DAS
Genomics
Just in time
Hadoop
True
sources
No Archive
Big Data
Right tools for Operations,
Executive and Data Exploration
SAS SQL Query
Tools
Asset
Utilization
SAS ES Radian 6
EDW
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Extract Transform, Load and Manage Data Quality
In memory Analytics, User Self service table joins
DOW CONFIDENTIAL - Do not share without permission
Topics
• Introduction to Dow
• A New Reality – What we believe about insight and analytics
• The NEXT BIG THING that will help us to achieve BIG THINGS
• The journey ahead requires transformational leadership
• A Case Study
• Catalyzing a culture of analytical decision-making
• Organizing for success – Making analytics foundational
• Lessons Learned
22 DOW CONFIDENTIAL - Do not share without permission
Lessons Learned
• CIOs need to innovate and build capabilities before the need is
recognized or articulated
• Executive support and C-suite roles are vital to transformation
• It’s essential to keep the priorities of your businesses top of mind
• To make analytics foundational, you must build: Capabilities, including strong data management
Credibility for those capabilities
Connectivity (connect the right problems with the right solutions)
A prolific, competent analytics Community
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• Planning
• Continuous Process
Improvement
• Project Methodology
• Data Management and
Governance
• Business and IT
Alignment
EXCELLENCE IN ENTERPRISE ANALYTICS
PROCESS
PEOPLE
COMPETITIVE
ADVANTAGE
• Vision and
Leadership
• Team
Composition
• Enterprise
Authority
• Change
Management
• Data Visualization
• Web Portals /
Dashboards
• Problem-specific
Business Solutions
• Predictive Analytics
• Decision
Management
TECHNOLOGY
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Business Analytics Maturity Assessment PROCESS
PEOPLE
COMPETITIVE
ADVANTAGE
TECHNOLOGY
Overview:
Two-day on-site discovery session focused on understanding the client’s business and IT objectives, key initiatives, existing information management and analytics architecture, top challenges, and priorities.
Process:
• Review current business requirements, timeframes, critical success factors, and key business metrics (e.g. customer retention, customer acquisition).
• Review operational data sources to support business priorities.
• Review analytical priorities, strategy, process, and gaps.
Deliverables:
• Technology roadmap to optimize the client’s current and future IT-enabled analytical process.
• Projected business value resulting from proposed analytical architecture and process improvements.