Ron Shelby, IBM @ the Chief Data Officers Forum ANZ - Sydney, Feb 2015
1. © 2014 IBM Corporation The Roadmap to Data-driven Advantage Ron Shelby Director, Big Data & Analytics IBM Global Business Solutions 1
2. © 2014 IBM Corporation2 © 2014 IBM Corporation 2
3. © 2014 IBM Corporation3 It’s clear - CEOs want to use data as a basis for competitive advantage. But where to start? “The CEO gave me a blank paper to articulate the strategy that would help him move from a retrospective, intuitive approach to proactive marketing management.” CDO, Insurance
4. © 2014 IBM Corporation4 Data needs a leader, and it needs to be a CDO   Chief Data Officer perspective 25% “By 2015, 25% of large global organizations will have appointed Chief Data Officers.” Gartner Newsroom www.gartner.com/newsroom January 30, 2014 Source: The new hero of big data and analytics: The Chief Data Officer, IBM Institute for Business Value. ©2014 IBM
5. © 2014 IBM Corporation5 Mandates driving the CDO span multiple fronts in an organization Source: The new hero of big data and analytics: The Chief Data Officer, IBM Institute for Business Value. ©2014 IBM Chief Data Officer perspective
6. © 2014 IBM Corporation6 How to be an agent of change for the data era •  Make the case for organizational change •  Create a singular data vision and unify data goals •  Motivate people around you and the data strategy to achieve quick wins © 2014 IBM Corporation •  Provide data know -how to solve specific business challenges •  Showcase early wins •  Uncover new insights and new ways to use data •  Align efforts to organization’s top priorities •  Establish trust in the data and end-to -end platforms •  Scale analytics and speed delivery by enabling consumers of data and insights 6
7. © 2014 IBM Corporation7 Customer centricity still dominates analytics activities, but many are also focused on operations  are using data and analytics  to improve customer acquisition  are using data and analytics  to improve customer experience 7 Organizational objectives for use of data and analytics 22% 31%
8. © 2014 IBM Corporation8 Envision Catalyze Make the case for change Strategize Create unified data vision Orchestrate Facilitate stakeholder action Activate Solve Smaller business challenges Prove Showcase early wins; art of the possible Innovate New ways to use data Prioritize Align larger initiatives to organization’s top priorities Build Organization-wide data platform and govern it Accelerate Speed adoption, expansion, re-use of data and analytics Transform Roadmap to Data-driven Advantage
9. © 2014 IBM Corporation9 A CDO leads an enterprise vision for strategic use of data and analytics •  Providing strategic guidance •  Creating a systematic approach •  Taking an enterprise-wide view •  Developing trusted data
10. © 2014 IBM Corporation10 CDOs primary focus is to drive business value from data Data Leverage Find ways to use existing data assets Data Monetization Discover new avenues of earnings and revenue Data Enrichment Augment data by combining internal and external data Data Protection Protect data as an asset and prevent the high risk of failure Data Upkeep Manage the health of the data under governance Source: The new hero of big data and analytics: The Chief Data Officer, IBM Institute for Business Value. ©2014 IBM Turning Data into Dollars both a pervasive use of analytics and the technical capabilities to enable them
11. © 2014 IBM Corporation11 Envision Catalyze Make the case for change Strategize Create unified data vision Orchestrate Facilitate stakeholder action Critical need to address data and analytics both: https://www.youtube.com/watch?v=yhdLfWVJfW8
12. © 2014 IBM Corporation12 2.8 1.9 2.1 1.8 2.75 3.0 2.5 2.25 2.0 1.75 2.5 2.0 1.52.25 1.75 1.6 2.0 2.2 2.3 Keeping up with today’s speed requires both a pervasive use of analytics and the technical capabilities to enable them Front Runners Technical capabilities Pervasiveness Pilots and implementation Planning Limited use across business functions Broad use across business functions Joggers The Pack Spectators The size of the circle represents the percentage of the respondent population represented by each cluster. n=1086 Speed-driven cluster matrix
13. © 2014 IBM Corporation13 Activate Solve Smaller business challenges Prove Showcase early wins; art of the possible Innovate New ways to use data
14. © 2014 IBM Corporation14 A CDO is better positioned to activate the entire organization •  Getting closer to customers •  Finding new value •  Going beyond stewardship •  Supporting new basis of competition
15. © 2014 IBM Corporation15 Transform Prioritize Align larger initiatives to organization’s top priorities Build Organization-wide data platform and govern it Accelerate Speed adoption, expansion, re-use of data and analytics
16. © 2014 IBM Corporation16 A CDO leads the transformation into an analytically driven organization •  Shift to analytically driven decision making •  Treating analytics as a way of life
17. © 2014 IBM Corporation17 Transform Process with Content (COO) Leverage Context to drive Fraud and Risk (CRO) Attract, grow, retain customers (CMO) Transform Experience with Cognitive (CEO) Mobile First (CMO/COO) Improve IT economics (CIO) You have chosen a series of Initiatives in your change cases – each with 5 year valuations from $100M-$500M Cognitive
18. © 2014 IBM Corporation18 Contact •  Ron Shelby •  Cortnie Abercrombie © 2014 IBM Corporation ibm.com/services/c-suite/cdo ibm.com/ibmcai/cdostudy Learn More Future of the CDO: https://www.youtube.com/watch ? v=wCTbhOzwrs8&list=PLSmatcykxc0kmnmOHgIkTHNP1VwgUw6kI&index
19. © 2014 IBM Corporation19 Data Category Description Examples of Data Points Consumer / Profile data   Unique consumer ID and profile   Includes primary identification data such as contact information, preferences, house hold relationships and addition externally obtained information (if any)   Contains a measurement of the overall consumer value to the company   Consumer Data   Consumer Profile   Contact Address   Email Address   Telephone Number   Contact Preferences   Devices   Consumer Overlay (externally provided)   Household Related Information   Consumer Value Registration data   Data collected at the time of registration with a portal of the company   Includes information on any opt-ins for regular newsletter receipt   Site Registration Details (Web & Mobile)   Newsletter Preferences Social Media data   Aggregation of the social media accounts a user has shared or linked with the company   Social media profiles   Calculated measures from social media behavior (affinity, engagement, influencer score etc.)   Social Media ID by Platform   Social Media Profile by Platform   Engagement with the brand / titles   Influencer score Shared consumer model Shared Consumer Model
20. © 2014 IBM Corporation20 Data Category Description Examples of Data Points Site Visit data (Web and Mobile)   Detailed data set describing web and mobile site interactions   Site Visit Summary   Carrier Used (Mobile)   Web Browser   Geographical Location   Device Used   Number of Authentication Attempts Content Consumption data   Data set specifically used to evaluate a consumer’s interaction with the company’s content   Includes type of content consumed for media channels and Services/Products purchased for eCommerce channels   Summary of Content Consumption   Viewing Metrics (image, audio, video), digital and linear (linear for sample of records through STB data or similar)   Services used   Purchase Behavior (eCommerce)   User Review Marketing data   Data set used to track and evaluate marketing interactions with specific consumers or consumer segments   Measures the entire marketing lifecycle from reaching out to the consumer, through the consumer response   Marketing Segment Association   All In/Outbound Marketing Contact History   Campaign Specific Reference History   Campaign Specific Communication History   Response from Consumer   Offer References   Email Activity   Research Data (Consumer Survey)   Media Spend   Competitor Site Usage Shared consumer model Shared Consumer Model
21. © 2014 IBM Corporation21 Data Category Description Examples of Data Points Advertising data   Data set that collects the ads information in the interactions of the consumer   Ad Campaign Interactions Summary (Internal / External sites)   Ad views (Internal / External sites)   Ad Click Through (Internal / External sites) Other data   Other data metrics that can be collected include external factors such as environmental information   Weather conditions Shared consumer model Shared Consumer Model
22. © 2014 IBM Corporation22 ANZ POV CDO skill set  T shape ….. -  Change mgmt. Understanding of business drivers Collaboration & evangelism -  Info Governance -  Data infrastructure & design -  Methods & tools  3 key steps to drive long-term value for CDO -  Drive a C-suite mandate -  Accelerate data strategy for the enterprise -  Reward innovation that drives performance Areas in which CDS turn data into dollars -  Data leverage -  Data enrichment -  Data monetization -  Data protection -  Data upkeep
23. © 2014 IBM Corporation23 Mark Ramsey’s video https://www.youtube.com/watch?v=yhdLfWVJfW8 YouTube … Transformation: https://www.youtube.com/watch ?v=hmW_yRpOYh0&list=PLSmatcykxc0kmnmOHgIkTHNP1VwgUw6kI Future of CDO…TD Bank: https://www.youtube.com/watch ?v=wCTbhOzwrs8&list=PLSmatcykxc0kmnmOHgIkTHNP1VwgUw6kI&index=4 Monetize Data: https://www.youtube.com/watch ?v=MvjinavbBC0&list=PLSmatcykxc0kmnmOHgIkTHNP1VwgUw6kI&index=3
24. © 2014 IBM Corporation24 So, why have a Chief Data Officer? To envision and direct an overall data and analytics strategy for the business To activate by using data and analytics to deliver greater value and business impact To transform the culture to one that is analytically-driven © 2014 IBM Corporation 24