sap big data strategy

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SAP Big Data Atul Patel, Vice President, SAP Analytics, SAP APJ: T:Atul_SAP December, 2013 [email protected]

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Presentation on SAP Big Data Strategy at Partner Summit this week in Bangalore India

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Page 1: SAP Big Data Strategy

SAP Big DataAtul Patel, Vice President, SAP Analytics, SAP APJ: T:Atul_SAPDecember, 2013 [email protected]

Page 2: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 2

BIG DATAREAL TIMEPREDICTIVE

Page 3: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 3

Big Data” has moved from discovery to mainstream 1st BDaaS expected in APJ in 2014 Public Sector; Utilities; Manufacturing; Retail; Banking; Telco; Consumer Partners are key to success – SIs, ISVs, Distribution, Hardware

Big Data = Big OpportunityData is the new oil driving business opportunity

India Big Data Industry to grow to 1B USD by 2015 at CAGR of 83% 2012-2015

Big Data Industry getting traction in India w Analytics Service Providers offering Business Centric Solution

India has advantage of strong skill base for Big Data vis-à-vis other geography

Source: Nasscom Big Data Report India http://www.nasscom.in/sites/default/files/researchreports/softcopy/Big%20Data%20Report%202012.pdf

Page 4: SAP Big Data Strategy

Big Data Examples

Instantly predict market trends and customer needs

Predict how market price volatility will impact your production plans

See changes in demand or supply across your entire Supply Chain immediately

Monitor and analyze all deviations and quality issues in your production process

Provide exactly the right offers and service levels to every customer

Have a continuously-updated window into future sales, showing changes in real time

Understand what your customers and potential customers are saying about you, right now

Predict cash flows to manage collections, risk and short-term borrowing in real time

4

Padmini R
Retain for all industries
Page 5: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 5

But most organizations are not addressing this opportunity…Traditional financial metrics are backward looking

Most Established KPIs are “Backward

Looking”

$2 BillionAnnual revenue increase made possible if the Fortune 1000 business increased the usability of its data by just 10%

10%

75%

Use AnalyticsToday

Need Analytics by 2020

Nucleus Research, Gartner, Fortune Magazine

Page 6: SAP Big Data Strategy

Also traditional IT architectures are pressured …driving new solutions such as Hadoop

2.8 ZB in 2012

85% from New Data Types

15x Machine Data by 2020

40 ZB by 2020

New Sources (Sentiment, Clickstream, Geo, Sensor)

Ref: H

orto

nwo

rks

6

Page 7: SAP Big Data Strategy

Why? Information processing has become too complexPoint optimization is not enough

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Page 8: SAP Big Data Strategy

Why SAP for big data?

Padmini R
No changes to this section.
Page 9: SAP Big Data Strategy

SAP makes Big Data Actionable

Big Data Platform Big Data ScienceBig Data

Analytics & Apps

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Real Time Real ResultsReal Value

Page 10: SAP Big Data Strategy

Big Data success demands full coverage

Accessible

Deep

SimpleRealTime

Broad

Answer complex questions on granular data

Predict the best next action

On any device or to any user

Self service and intuitive interactions

No data preparation

No pre-aggregates

No tuning

Real-time streams of data

Ask a question, get an immediate answer

Massive data scale

Many data types

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Page 11: SAP Big Data Strategy

Big Data is Strategic to SAP (eg: Acquisitions)

…revolutionizing the way companies use predictive analytics to make better decisions on petabytes of data.

…KXEN complements existing advanced analytics from SAP including SAP Predictive Analysis.

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Page 12: SAP Big Data Strategy

http://hortonworks.com/partner/sap/

Big Data is Strategic to SAP (eg: Partners)

13http://hadoop.intel.com/videos/idh-sap-hana-story

Padmini R
Retain for all industries
Page 13: SAP Big Data Strategy

SAP transforms both Businesses and IT

Reduce waste & fraud in government fund<2 min for detecting 100,000 names over 90M records

Identify cancer DNA variants for treatment216x faster results: 3 days 20 minutes

Improve diagnostic through pattern detection300M records; analysis in 2-10 seconds

Predict customer purchase sentimentSeasonality Analysis in 5 seconds

Improve labor utilization1131x faster reporting time

“Perfect order” experience60x faster real-time insights

Sharpen marketing effectiveness56x faster reporting: micro-targeted customer offers

Accelerate monthly close & spending insight75% reduction in CRM query ~23 to 6 seconds

Launch new products or markets400x faster report execution: Forecast sales-trends in real-time

Remote roadside diagnostics in real-timeAnalyze 15 years 1 TB data in seconds

Deeper customer relationships360 customer view and comprehensive experience

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Page 14: SAP Big Data Strategy

SAP HANA Data Platform for Big Datato unleash real-time business value

Consume

Store & Process

Ingest

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Page 15: SAP Big Data Strategy

Big Data Applications

Make Big Data insights actionable via industry specific, business focused applications from SAP and companies in the SAP Startup Focus program.

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Customer Value Intelligence (CEI)

:-)Audience

Discovery (CEI)Account

Intelligence (CEI)

Fraud Management

Demand Signal Management

Social Contact Intelligence (CEI)

Sentiment Intelligence (RDS)

Manufacturing (Operational Intelligence)

Manufacturing (Responsive

Manufacturing)

Page 16: SAP Big Data Strategy

Big Data Applications (eg: CEI)

Customer Analytics Foundation

Margin Decomposition

Real Time Customer Insights

Customer Classification

Customer Stratification

Personalized Treatment

Mobile Interactive Account

Targeting

Customer Value Intelligence

Account Intelligence

Strategicand Effective

Selling

Selling Recommendations

Customer Engagement Intelligence

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Page 17: SAP Big Data Strategy

Big Data Applications (eg: DSiM)

SAP Demand Signal Management is the enterprise platform for integrating all relevant demand signals (internal and external) to a single source of truth.

.

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Page 18: SAP Big Data Strategy

SAP Data Scientists

Top (PhD) level global team. Science teams in Scottsdale, Walldorf and Bucharest.

Credibility attained by working with >100 customers and creating some of the most sophisticated use cases

Pioneers in demand science, with significant reusable IP and deep analytic competencies

Insights and Compliance

Mathematical Modeling, Forecasting, Simulation, and Optimization

Experts in relevant SAP Technology: HANA, SAP Business Objects, SAP Predictive Analysis, Visualization

Flexible delivery

PAL and R integration

SAP HANAPlatform and beyond

Data ScienceSAP Business Objects

DashboardsSAP Predictive Analysis

+ +In-

Mem

ory

2

)2/()(

2)( 2

xe

xf

19

Page 20: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 21

Serve the Business UserLower the Barrier for Predictive

Modeling

Why KXEN? Market CredibilityExpanded and Accelerated Predictive

Capabilities

The Predictive market has struggled and continues to struggle due to a shortage of skilled data scientists/analysts to perform predictive modeling.

KXEN has taken a solution approach that allows business users in LoBs to solve common Predictive problems without the need for highly skilled data scientists.

KXEN’s technology will enable SAP to significantly enhance a number of its existing applications by adding powerful, intuitive predictive capabilities.

60- 70% of the effort in the predictive process is dedicated to the creation of properly formed Analytic Data Sets. KXEN provides an entire module (Explorer) to enable users to easily create reusable analytic data sets.

KXEN adds model management and social network analysis to SAP’s portfolio

KXEN’s solution automation approach will enable SAP to accelerate its foothold into the Predictive market and enhance SAP’s PA market credibility

Sold to over 500+ customers

Proven success with impressive references

4th in market share behind SAS, IBM/SPSS and MSFT

KXEN Integration

Page 21: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 22

Data Scientist

Business Analysts

Solutions for the entire spectrum of Users#

of

Use

rs

Level of Skillset

Business Users & LOB

Embedded Analytics

Low

Low HighMedium

High

Medium

Industry & Business Process Analytics

Page 22: SAP Big Data Strategy

Run, Grow and Transform the Business – Industry Use Cases

•Next Best Activity•Cross Sell/Upsell•Churn Reduction•Brand Sentiment & Sales Analytics

•Customer Loyalty Analysis•Pricing Optimization•Product Launch Success•Brand Sentiment & Sales Analytics

•Product Launch Success•Brand Sentiment & Sales Analytics

•Regional Forecasting•Brand Sentiment & Sales Analytics

•Next Best Activity•Cross Sell/Upsell•Churn ReductionCustomer SegmentationBrand Sentiment & Sales Analytics

•Brand Sentiment & Sales Analytics

•Credit Scoring•Compliance

•Credit Scoring•Compliance

•Credit Scoring•Compliance•Retail Outlier

•Credit Scoring•Compliance

•Credit Scoring•Compliance

•Predictive Asset Maintenance

•Fraud Management & Prevention•Optimizing Product Quality

•Fraud Management & Prevention•Optimizing Product Quality

•Fraud Management & Prevention•Optimizing Product Quality

•Fraud Management & Prevention•Optimizing Product Quality

•Tax Fraud•Credit Card Fraud•Insurance Fraud

•Fraud Management & Prevention•Optimizing Product Quality

•KPI Forecasting•Anomaly detection•Usage forecasting

•KPI Forecasting•Anomaly detection•Usage forecasting•Store Segmentation•In-store Workforce Optimization•Size and Zone Optimization•Market Share Prediction

•KPI Forecasting•Anomaly detection•Usage forecasting

•KPI Forecasting•Anomaly detection•Usage forecasting

•KPI Forecasting•Anomaly detection•Usage forecasting

•KPI Forecasting•Anomaly detection•Usage forecasting•Variable Margin Analysis•Yield Management•Equipment Effectiveness

•Out of Stock Prediction•Inventory and Logistics Planning

•Out of Stock Prediction•Inventory and Logistics Planning

•Out of Stock Prediction•Inventory and Logistics Planning

•Predictive Commodity Management•Improving Demand Planning and Inventory Management

Retail CPGFinancial Services

Manufacturing

* SAP existing assets

� CRM

� Fraud

� Operations

� Risk

� Supply � Chain

Telecom E-Business

Page 23: SAP Big Data Strategy

Infrastructure / Platform

Padmini R
No changes to this section.
Page 24: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 25

SAP HANA Driving Sales & Ecosystem Expansion Defining the next generation database platform

$300m Services

$200m Hardware

Reselling & Incentives

Triple Digit Growth

650+ New Startups

Cloud & Hosting

Page 25: SAP Big Data Strategy

SAP HANA: Predictive & Machine Learning

SAP HANA platform converges Database, Data Processing and Application Platform capabilities & provides Libraries for predictive, planning, text, spatial, and business analytics

so businesses can operate in real-time.

Provide Business Analysts with sophisticated algorithms to take the next step in understanding their business and modeling outcomes.

Perform statistical analysis on your data to understand trends and detect outliers in your business.

Build models and apply to scenarios to forecast potential future outcomes

Combine, manipulate and enrich data to apply it to your business scenarios. Self-service visualizations and analytics to tell your story

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Page 26: SAP Big Data Strategy

SAP HANA: Text Analysis for Big Data

File Filtering Unlock text from binary documents

Ability to extract and process unstructured text data from various file formats (txt, html, xml, pdf, doc, ppt, xls, rtf, msg)

Load binary, flat, and other documents directly into HANA for native text search and analysis

Native Text Analysis Give structure to unstructured textual content

Expose linguistic markup for text mining uses

Classify entities (people, companies, things, etc.)

Identify domain facts (sentiments, topics, requests, etc.)

Supports up to 31 languages for linguistic mark-up and extraction dictionary and 11 languages for predefined core extractions

SAP HANAText & Sentiment

Analysis

SearchAnalyze Predict

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Page 27: SAP Big Data Strategy

SAP IQ: Market Leader for Extreme EDW

High performance analytics server

Columnar RDBMS (stores data in columns- versus rows – extended storage for HANA)

Optimized for managing and accessing massive amounts of data for analytics (vs transactions)

Accelerates analytics and reporting

Up to 1000-times faster than traditional transactional databases

Handles structured and unstructured data

High compression and low TCO

Highly scalable grid architecture

2200+ customers with over 4500+ installations worldwide

Used by twice as many companies as the next leading provider

Patented data compression dramatically reduces data storage requirement; cuts TCO

Only column-based solution to support full text search, in-database analytics, and federated analytics

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Warm Big Data; Near real time loading and querying needs; Open/Commodity Hardware; Hundreds of Terabytes to Petascale; Leverage current HW investments in commodity hardware

(Windows, Unix, RedHat); NLS for SAP HANA, Deep Hadoop Integration

Page 28: SAP Big Data Strategy

SAP IQ: Integration with Hadoop

ETL

Client-side federation: Join data from SAP IQ and Hadoop at a client-application level

Load Hadoop data into SAP IQ: Extract, transform, and load data from Hadoop distributed file system (HDFS) into schemas of SAP IQ via SAP Data Services

Join HDFS data with data of SAP IQ on the fly: Fetch and join subsets of HDFS data on demand, using SQL queries from SAP IQ (data federation technique)

Combine results of Hadoop MR jobs with SAP IQ data on the fly: Initiate and join results of Hadoop MapReduce (MR) jobs on-demand using SQL queries from SAP IQ data (query federation technique)

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Page 29: SAP Big Data Strategy

SAP Lumira: Visualizing Big Data unleash analyst creativity

Provides the freedom to understand your data, personalize it, and create beautiful content

Download and install on your desktop in less than 5 minutes

Insight from many data sources

Combine, manipulate and enrich data to apply it to your business scenarios

Self-service visualizations and analytics to tell your story

Optimized for SAP HANA for real-time on detailed data

Self Service for Analysts

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Page 30: SAP Big Data Strategy

SAP ESP: Streaming Big Data

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Analyse and act on events as they happen – by relying on real-time event-driven analytics. With our award-winning complex event processing (CEP) platform, you can develop and deploy business-critical applications that give you the agility you need to make quick, profitable decisions.

Process and analyse multiple streams of high-speed, high-volume complex event data in real time

Get actionable information from event streams and generate alerts for events needing quick action

Initiate automatic responses to changing conditions based on one or a combination of events

Develop applications quickly for fast ROI with the high-performance CEP engine

Page 31: SAP Big Data Strategy

SAP Business Objects: Analysing Big Data

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BI Platform

Dashboards & Visualization

Reporting

InteractiveReporting

Analysis

Search & Exploration

Semantic Layer

Page 32: SAP Big Data Strategy

SAP InfiniteInsight: Using Big Data end user predictive analytics

Revolutionizing the way companies use predictive analytics to make better decisions on petabytes of data.

Predictive analytics’ first-ever semantic layer

Automates the building of sophisticated predictive models for every data mining function.

With clicks, not code, InfiniteInsight Scorer can deploy optimized scoring equations

End-to-end social network analysis capabilities

Powerful visualization capabilities and graph exploration

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Page 33: SAP Big Data Strategy

SAP Mobile Platform: Mobile Big Data

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Rapidly design cost-effective, innovative apps with the most open and standards-based mobile application development platform

Simplify IT with integrated device connectivity and management, data analysis, and business processes

Inspire loyalty and reduce support costs by offering intuitive, user-centric apps – faster

Engage users in a direct, two-way conversation with apps that work on any mobile device

Improve operations by giving employees and partners anytime, anywhere access to mission-critical applications

Page 34: SAP Big Data Strategy

SAP Big Data Bundles

SAP HANA platform

SAP IQ

Hadoop distribution from Intel or Hortonworks

Data procurement via Data Services and stream processing via SAP Event Stream Processor (ESP)

Advanced Analytics PA/KXEN & Visualization (BI 4.1/Lumira)

Data Science services

Big Data specific Industry/LoB applications & solutions

Integrated stack, flexible bundles, customizable to meet customer requirements and data footprint sizes, purchased by the edition, added to as needed, or purchased a la carte, including all relevant Big Data technologies & services

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Page 35: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 36

Customers driving competitive advantage through “Innovation Agenda”

Exponential data growth based on business change (acquisitions, new business models (value chain extension, social media marketing, ….)

New business application requirements / Issues with SLA’s

ERP consolidation

EDW reconsideration / ‘Burning’ EDW platforms, disruptive “change” events

Outsourcing / In-sourcing of IT operations / Data center moves

Depreciated infrastructure / hardware refresh (good for SoH/BWoH)

Customers wanting to get away from competitive platforms

Sales Triggers Compelling events that create opportunity for SAP Big Data?

Page 36: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 37

Pricing & Deployment ModelsHow do I sell HANA?

HANA Edge €xxk / unit

HANA EE€xxxk / unit

Runtime% of Apps

AWS Cloud0.99c / hr

HECIAAS

PartnerClouds

OEM Bundles

ISV Runtime

VAD Resellers

Page 37: SAP Big Data Strategy

Next stepBusiness scenario recommendation and value discovery workshop

SAP offers a proven methodology and approach

to discover the customer specific business

improvement areas and quantify value potential

Value Discovery workshop with your LOB and IT experts

to develop a strategy and roadmap for Big

Data

38

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Retain for all industries
Page 38: SAP Big Data Strategy

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http://www.sapbigdata.com/

For More Information

Page 39: SAP Big Data Strategy

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 40

© 2013 SAP AG or an SAP affiliate company. All rights reserved.

No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice.

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National product specifications may vary.

These materials are provided by SAP AG and its affiliated companies ("SAP Group") for informational purposes only, without representation or warranty of any kind, and SAP Group shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP Group products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty.

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