Tuesday, March 15, 2016

Organizational Readiness: A Recipe for Success

Embracing Ambient Analytics requires a company to undergo a transformational change. [1] Yet at least 67 percent of technology projects - including cloud computing, big data, and social technology - are either scrapped or deliver far short of their expected Return on Investment (ROI). [2]

When you are ready to embrace the digital revolution, you will want to get the most out of your people, time, and monetary investments.

A Backward Approach 

One reason so many transformation projects fail is because they approach organizational readiness from the wrong direction. Looking at change through the lens of the people, process, and technology that are impacted, companies often approach transformation in this order:
  1. Technology: An executive buys a software service or piece of technology, thinking that technology is the missing piece for the company to compete against its competitors.
  2. Process: A well-meaning project manager creates a project plan that develops process flows showing how they will fit the technology into what the company does today and in the future.
  3. People: An operational owner is tasked with supporting the technology and process, usually using his or her existing staff that already supports the business.

A Recipe For Success

Successful organizational readiness works in the reverse order of those that fail, with one important addition: Services. Services are the products and services you provide to internal and external customers that they are willing to pay for and that make their lives better.
  1. Services: What goods will customers want to buy from you? What unique data and insights can your company provide that will enable you to compete - and surpass - your competitors?
  2. People: What skills do your employees currently have? Are there any gaps in terms of data analytics that, with a little training, could differentiate your organization based on the industry-leading knowledge you already have in-house?
  3. Process: When, where, and why do the services, products, and people come together? Based on the desired transformation, are there new ways to organize that will enable your people to take in even more data and identify even better business insights than can be achieved today?
  4. Technology: What tools will you use to unleash the power of your organization to deliver your services?
Successful change is possible. You just need the right recipe.
_____________________________________________________________________________
References
[1] Litvinov, Viktor, Ambient Consortium (2016) "Ambient Analytics Manifesto: A Call to Action"
[2] David, Javier E., CNBC (2015) "Why technology spending isn't all it's cracked up to be: Study"



Michelle Smeby specializes in helping corporations deliver transformational change. Her unique approach to organizational change engages employees with strong executive sponsorship to achieve a corporate change that truly lasts. She is a thought leader in Organizational Readiness, Business Transformation, Strategic Problem-Solving, and Business Process Development and Re-engineering.

Thursday, February 25, 2016

Ambient Analytics Manifesto - A Call to Action

Ambient Analytics Manifesto

A call to Action
by Viktor Litvinov, GRT, a member of the Ambient Consortium

There is tremendous competitive advantage available to organization who have people who can work with various data types and apply a range of analytics techniques to describe past events, predict future ones and prescribe decision options.

“CIOs rank analytics as the number one contributing factor to an organization’s competitiveness. Organizations that use advanced analytics have 33% more revenue growth and 12% more profit growth. Financial top performers are 64% more likely to use analytics to evaluate multiple business factors on an ongoing basis compared to low performing peers.”[1]

Ambient Analytics is the intersection between Ambient Intelligence and Prescriptive Analytics. It leverages the increasing volumes of data and applies business rules, mathematics and computer science to further enhance the resulting predictions and prescribed actions.

Ambient Intelligence


The concept of Ambient Intelligence (AmI) was originally developed by Philips Research in the late-1990s. In an AmI world, devices work collaboratively to support peoples’ lives using information that is hidden in the network connecting these devices, now known as the Internet of Things.

Dr. Mazlan Abbas, CEO of REDtone IOT, describes AmI as the intersection of three key technologies: Ubiquitous Computing, Ubiquitous Communication and an Intelligent User Interface. [2]



http://bit.ly/1LGOnna
   ·        Ubiquitous Computing: The integration of microprocessors into everyday objects like furniture, clothing, white goods, toys, even paint.
   ·        Ubiquitous Communication: Technology that enables these objects to communicate with each other and the user by means of ad-hoc and wireless networking.
   ·        An Intelligent User Interface: Technology that facilitates the inhabitants of the AmI environment to control and interact with the environment in a natural and personalized way.

              

Philips Research predicts that by 2020, as devices grow smaller, more connected and more integrated into our environment, technology will disappear into our surroundings. That by combining data and sensors, things and people, lives will be enhanced, work will be performed differently and the competition paradigm will shift.

Prescriptive Analytics


The diagram below illustrates the phases of Business Intelligence maturity. Business Intelligence has gone from being able to describe what happened in the past, to understanding why it happened, to now being able to predict how likely it is that a specific event will happen in the future.  With each phase, the amount of human intervention required has decreased and the “time-to-insight” is reduced.



Prescriptive Analytics takes BI to the next level; optimizing decision-making and reducing the “time-to-action”. This process combines data with business objectives and customer centricity and the outputs are the actual decisions, recommendations and/or automation. This approach also applies the principles of machine learning to continually take in new data to make more accurate predictions and prescribe increasingly better decision options, with an enhanced view of the implications of each decision.

Industry analysts report that Prescriptive Analytics is still in the early stage of adoption with less than 5% of organizations[3] currently applying these techniques and that initial implementations are tactical in nature; focused on cost reduction, maintenance and monitoring. Although we are still far from realizing the strategic promise of re-imagining the Customer experience, a recent study published by Cognizant reveals that 80% of enterprises plan to invest in Predictive Analytics over the next five years.[4]


Ambient Analytics


In today’s digital world, data is produced at an accelerating rate. First with the growth of social media and now with the introduction of the Internet of Things (IoT), IBM predicts that by 2020 there will be 5 times the volume of data that exists today[5], of which only 4% will be collected from the sensors on the IoT.[6] As the IoT matures, data volumes will continue to grow exponentially.



While experts agree that this analytic capability must be embedded and automated at the operational level, overcoming the challenges to integrate and aggregate disparate data sources with relevant context will not be easy. Another challenge will be designing the User Experience (UX) in a way that it can learn from the user, detect the user’s needs and behavior, and through these, predict what the user wants, when they want them, requiring less instruction from this user. These, and many more challenges, await on the path to adoption.

The unprecedented access to data raises a myriad of issues, both Corporate and Consumer. This manifesto is a call to action for the Advanced Analytics community to work collaboratively to both accelerate the pace of the adoption of these techniques in pursuit of improved Customer experience, while protecting interests, both private and public.

Following this publication will be a series of articles that address the issues raised by these maturing disciplines. Stay tuned for more detail on these and other related topics.

  •   Security
  •   Privacy
  •  User Experience
  •  Data Quality 
  •   Talent Shortage
  •  Organizational Readiness


[1] Salamone, Salvatore, Specialist Editor, QuinStreet Enterprise (2015) “Forward Looking BI”
[2] Abbas, Dr. Mazlan, CEO of REDtone IOT (July 2013) “Ambient Intelligence”.
[3] Linden, Alexander, Gartner (July 2015) “Hype Cycle for Advanced Analytics”
[4] O’Neal, Kelle and Roe, Charles, Cognizant (2015) “Business Intelligence versus Data Science: A Dataversity® 2015 Report”
[5] IBM data scientists break big data into four dimensions: volume, variety, velocity and veracity. This infographic’s sources: McKinsey Global Institute, Twitter, Cisco, Gartner, EMC, SAS, IBM, MEPTEC, QAS “The Four V’s of Big Data”.
[6] Allied Business Intelligence (ABI) Research (April 2015) “Data Captured by IoT Connections”



Viktor Litvinov is an accomplished entrepreneur skilled in startup, business development, marketing, and operations. Taking vision to successful implementation, he is a thought leader in Digital Transformation, Information Security and Cloud Technologies.

Sunday, February 14, 2016

3 Reasons Why Data Scientists will be in Such Great Demand in the Near Future

To be a success in business today and in the future, organizations need to be able to convert raw data into valuable insights. Timely insights are of the most value, as they allow companies to be more agile, and responsive to their customers and markets, giving them a competitive edge.  With current data insights, businesses can be the trendsetters and not constantly playing catch-up.  In Jamie Thomas' article, Insights-as-a-Service Grows with Focus on Real Time in DataInformed, 8/11/2105, she explains the need for real-time insights.  http://data-informed.com/insights-as-a-service-grows-with-focus-on-real-time/

http://bit.ly/1gYqIAC


As Gadi Lenz, discusses in Prepare for the IoT Revolution, DataInformed, 11/3/2015, the IoT has created such a vast amount of information that companies who want to leverage that information have to understand and incorporate new techniques to overcome the nosiness of the IoT data. This will create big challenges for companies to develop new methods and systems for analysis.  As companies recognize the gap between collected data and analyzed data, they will have to determine what information really needs to be collected and what is just noise that will not impact business decisions, but will take their valuable limited resources.  http://data-informed.com/prepare-now-for-the-iot-revolution/

Drawing on these two articles, it is apparent that businesses today and tomorrow will need to focus on utilizing the information they collect and develop ways to cut through the clutter.  The Data Scientist plays a vital role in the ability of an organization to use their data effectively.

Managing Data – As IoT data is primarily collected from both fixed and mobile sensors, it represents a new type of streaming data for companies who are used to working with their own static databases.  This new challenge will require extensive experience and know-how.

Leverage Analytics – Companies will have to overcome the nosiness of the IoT to be able to leverage the analytics derived from the all the data collected.

Data Insights – With all the data that is collected, it needs to be refined, easily accessible and analyzed to convert the raw information into vital insights.

To be a viable business today and in the future, it is imperative for organizations to prepare now for the onslaught of available information with the expertise to derive pertinent insights from what is collected.



Lori Steinberg is an experienced, data-driven professional with an MBA and over 20 years’ experience developing and executing sales and marketing strategies in distribution, medical device, and safety markets.  Currently a Digital Marketing Consultant with Advanced Analytics of the Future (AAotF) and pursuing a Social Media Marketing Specialization Certification from Northwestern University. https://www.coursera.org/specializations/social-media-marketing

To secure the competitive advantage available through enhanced data availability and analytic techniques, companies will have to address the lack of trained analytic talent. AAotF provides practical solutions to individuals and businesses who seek to bridge the growing gap between the supply and demand of analytic talent.