Securing Stakeholder Buy In for Big Data Initiatives · 2014-05-20 · • Wireless electricity • Teleportation • Ubiquitous facial recognition • Cloud-based, biometric authentication

1 © Copyright 2014 EMC Corporation. All rights reserved. © Copyright 2014 EMC Corporation. All rights reserved.

Securing Stakeholder Buy In for Big Data Initiatives Joshua Siegel, EMC Professional Services

CDM Big Data Summit, May 2014


Each one of these will not exist as we

know them in n years

• Virtual Face-to-Face customer interactions

• Book, check-in, and record your trip with wearable technology

• Hands free driving, hotels on wheels

• Closed loop marketplace; customizable cable offerings based on preferences

• Phones are worn or implanted

• A house that learns your habits; a carpet that knows when you’re sick Homes

Telephone

TV

Cars

Travel

Banks

No longer dumb, our “things” are rapidly becoming data generators

Big Data is changing the World All Around Us


Bookstores

• Borders failed to understand digital revolution • Ebooks have gained prevalence in market • Borders could not compete with Amazon Kindle or

the Barnes & Noble Nook

Vs.

Movies

Vs.

• Blockbuster failed to keep up with technology • Failed to be affordable: $4 for one new release • Failed to be customer friendly: Expensive late fees

Photography

Vs.

• Smartphones now have high quality cameras • No need for film/development of photos • Can share photos via social media/ easily print

Electronics

Vs.

• Online stores operate with lower margins, less overhead • Subject to “Free-Riding”: consumers using the

salesperson’s knowledge and listening to actual systems in store then buying online

Many others stand on the edge of massive change

Impact Is Already Being Felt Across Industries


Companies aren’t accepting the boundaries set by their industries anymore… and new entrants have no legacy industry to start with

Banking

Retail

Technology Energy

Healthcare

Everyone’s Playing in Everyone Else’s Space


• Driverless cars • Implantable technology • Genetic-centric medicine • Thought-driven processes • Wireless electricity • Teleportation

• Ubiquitous facial recognition • Cloud-based, biometric authentication • Omni-channel advertising • Rapidly evolving business models

(e.g., TV, content, home) • Drones • Geolocation-based offers

• > 50% smartphone penetration • App. driven culture • Technology driven change • Unleveraged unstructured data

http://www.sciencedaily.com/releases/2012/09/120905134356.htm http://www.witricity.com/

TODAY

YEARS 1-3

FUTURE

How do you get stakeholders to understand and move when the opportunity and the challenge can be so great?


Business Metamorphosis

Data Monetization

Business Optimization

Business Insights

Business Monitoring

Big Data Business Model Maturity Index

Measures the degree to which the organization has integrated big data and advanced analytics into their business model


Link business drivers to use cases and measurable outcomes with Big Data Envisioning

Analytics

Operationalization

Identify current state, determine required state and conduct gap analysis to develop analytics implementation roadmap

Proof of Value Lab

Deploy analytics sandbox to quantify the business case

Vision Workshop

Identify big data analytics business use cases

Repeat the process for identified business cases


Vision Workshop: Identify “Where” And “How” To Start Your Big Data Analytics Journey

Interviews with select Business and IT participants to understand objectives and challenges

Prep work to confirm targeted business initiative

On-site workshop with Business and IT Stakeholders

to tease out big data analytics business opportunities

Envisioning exercise to help convey the “realm of the possible” with big data analytics

Identify, brainstorm and prioritize business opportunities

Understand implementation complexities and

business value of opportunities

Prioritize key opportunity for Analytics Lab

• Engagement: identify the optimal times, places and offerings with which to engage Creators in order to influence their product and project buying decisions

• Communication: leverage marketing and social media to influence and measure Creators and their “spheres of influence”, advocacy and net promoter scores

• Product / Project: identify, influence and predict product buying and project planning decisions, and understand the effectiveness of marketing and merchandising in reaching them at decision time

• Financial: identify the drivers of decisions and measuring the effectiveness of influencing those drivers

• Identify / Targeting: provide a predictive environment for identifying the Creator’s lifecycle

• Loyalty: create and monitor a customer loyalty index that can guide customer acquisition, growth and retention marketing campaigns

A

B

C

D

E

F

Hi Lo

Hi

Feasibility

Bus

ines

s Va

lue

F

EC

A

B D

Capture Creator Segment

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Case Study: What’s Important To Chipotle?

Chipotle 2012 Annual Report

Chipotle Business Strategy

• Continue to build a people culture that

attracts and empowers top performers

• Continue to grow revenues (up 20.3% in 2012) by opening new stores (opened 183 in 2012)…

• …and increase comparable restaurant

sales growth (7.1% in 2012)

• Marketing focused on building the Chipotle brand and engaging with our customers in ways that create stronger, deeper bonds

• Initiative #1: Continue to grow revenues (up 20.3% in 2012) by opening new stores (opened 183 in 2012)

• Initiative #2: Increase comparable restaurant sales (by 7.1% in 2012)

• Initiative #3: Marketing building Chipotle brand and engaging customers to create stronger, deeper bonds

Outcome 1: Develop individual store profiles

including traffic patterns, customer demographics and

product preferences by time of day/day of week

Outcome 2: Leverage local sporting and

entertainment events to drive store traffic at slow

stores and during slow times

•

•

•

Valu

e D

rive

rs

Outcomes & Critical Success Factors

Chipotle 2012 Business Strategy

• Expand in-store customer data collection at POS (leverage credit card information)

• Capture, validate, score and integrate local events data

• Integrate local events insights into local marketing and email promotional communications

• Initiative #1: Continue to grow revenues (up 20.3% in 2012) by opening new stores (opened 183 in 2012)

• Initiative #2: Increase comparable restaurant sales (by 7.1% in 2012)

• Initiative #3: Marketing building Chipotle brand and engaging customers to create stronger, deeper bonds

Outcome 1: Develop individual store profiles

including traffic patterns, customer demographics and

product preferences by time of day/day of week

Outcome 2: Leverage local sporting and

entertainment events to drive store traffic at slow

stores and during slow times

• Expand in-store customer data collection at POS (leverage credit card information)

• Capture, validate, score and integrate local events data

• Integrate local events insights into local marketing and email promotional communications

Increase store traffic (acquire new customers, frequency of repeat customers)

Valu

e D

rive

rs

Increase shopping bag revenue and margins (cross-sell complementary products, up-sell)

Increase number of corporate events (catering, repeat catering events)

Improve promotional effectiveness (Halloween Boo-ritto, Christmas gift cards, graduation gift cards)

Outcomes & Critical Success Factors

Improve new product introduction effectiveness (seasonal, holiday)

Chipotle 2012 Business Strategy

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Worst Best …

Key Business Value Assessment: Improve Comp Store Sales (Chipotle)

Data Source Increase

Store Traffic

Increase Shopping

Bag Revenue

Increase # Corporate

Events

Increase Promotional Effectiveness

Improve NPI Effectiveness

Point of Sales Transactions

Market Baskets

Store Demographics

Local Competitive Stores

Store Manager Demographics

Consumer Comments

Social Media

Weather

Local Events


Examples of other prioritized use cases from our customers

Driven by overall business strategy

• Fraud prevention

• Predicting agent/merchant/customer churn

• Cross-sell / Up-sell

• Mobile authentication, marketing / loyalty

• System Ops. / NOC

• Data security / Threat assessment

• Compliance & Risk Management

• 360 degree customer view / experience


Identify Use Cases & Prioritize

Show near term, incremental payback

Don’t get bogged down trying to build consensus

Don’t get blinded by the hype

Benchmark – showcase what is being done by others

Consider implementation cost

Link back to business priorities

Big Data Envisioning Workshops align the ‘art of the possible’ with ‘the reality of the practical’

Thank You

Questions

Documents

Securing Stakeholder Buy In for Big Data Initiatives · 2014-05-20 · • Wireless electricity • Teleportation • Ubiquitous facial recognition • Cloud-based, biometric authentication