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The Power of Graph Analysis: Grasping
the Shape of Business Influence
James Kobielus [jgkobiel@us.ibm.com]
Big Data Evangelist

Open Analytics DC Summit, Arlington VA, March 25, 2013




                                                         © 2013 IBM Corporation
Graph analysis can help
   you see deeply into
 influence patterns that
     you might in turn
influence for the better.


                            © 2013 IBM Corporation
Influence is often invisible, but has concrete value

 Getting things accomplished demands
  effective use of influence.
 Organization charts don't tell the full
  story of business influence:
    Internally: they flatter the chain of-
     command
    Externally: they are next to useless

 Turning influence into a business
  asset demands that first you identify:
    who has influence
    over whom
    with respect to what range of topics
     and decisions, and
    with what potential impact on your own
     bottom line
                                                       © 2013 IBM Corporation
Grasping influence = graphing engagement patterns

 • 360-degree view of individuals
   in full social context
 • Hidden, latent, nonobvious
   connections among people,
   groups, and organizations
 • Shifting patterns of
   connectedness, proximity,
   centrality, influence, status,
   and importance
 • Cooperation and collusion,
   coalition and co-dependency,
   influence and deference, and
   affiliation and isolation

  Dissect the interpersonal dynamics of communities.

                                                    © 2013 IBM Corporation
Graph analysis: what is it?

•Established branch of advanced analytics
•Mining, categorizing, and predicting
interactions and influence patterns in their
full social context
•Leveraging many sources of data, including:
    •Behavioral
    •Transactional
    •Clickstream
    •Geospatial
    •Messaging
    •Smartphone
    •Usage
    •Call detail records
    •Social media posts
•Discovering, segmenting, exploring,
mapping, visualizing, forecasting, drilldown,
what-if analysis
•Sometimes known as “social network
analysis” or “small world” analysis
•Widely applied in social sciences
                                                © 2013 IBM Corporation
Graph analysis: visual modeling of influence patterns

  Same project flow as other advanced analytics modeling
                        disciplines

    Data discovery
    Data extraction
    Data preparation
    Variable assessment and
    selection
    Classification
    Clustering
    Statistical analysis
    Regression
    Scoring
    Model deployment

 Can leverage specialized graph analysis tools
and graph databases, or more general-purpose
           tools and data platforms

                                                     © 2013 IBM Corporation
Graph modeling: engagement proximity = influence


          “Nodes” = individuals


  “Links” = interactions and relationships


      “Graphs” = social networks of
  interactions and relationships among
                individuals

      “Attributes” = characteristics of
   individuals, relationships, and social
                  networks

                                                            4
   “Proximity” = number, type, and weight of                    5
 links that connect one individual to another   1
                                                    2               6
                                                        3
                                                                    © 2013 IBM Corporation
Graph analysis: customer engagement

      Leaders?
     Followers?
    Influencers?
      Mavens?
     Mavericks?
      Cliques?
      Clusters?
      Outliers?
    Vanguards?
     Laggards?
   Late adopters?

Gauge customer influence and engage differentially to boost
                 customer lifetime value

                                                       © 2013 IBM Corporation
Using influence graphs in customer engagements
             CHANNEL INFLUENCE: Which customers are
              more influential in some channels than others?
             PEER INFLUENCE: Which customers have the
              greatest impact on awareness, sentiment, and
              propensities of their peers?
             CAMPAIGN INFLUENCE: Which customers
              promise the biggest bang for your marketing
              bucks through their influence on their peers?
             LOYALTY INFLUENCE: Which customers
              influence the most peers to stay with you and
              grow the relationship — or churn and jump to the
              competition?
             PROMOTER INFLUENCE: Which customers are
              net promoters and potential brand ambassadors?
             ADOPTER INFLUENCE: What can influence
              users to encourage late adopters to accelerate
              their adoption of new products?
             SUPPORT INFLUENCE: Which customers have
              valuable expertise and should be enlisted as
              community resources for inquiries and support?
             NEGATIVE INFLUENCE: Which customers are
              the squeakiest wheels who are most likely to
              spread bad feelings if they are dissatisfied, or are
              most likely to keep it bottled up?
                                                                     © 2013 IBM Corporation
Graph analysis: employee engagement

COMMUNITY-OF-INTEREST INFLUENCE:
How do communities of interest emerge,
endure, and grow?
KNOWLEDGE-SHARING INFLUENCE: How
do cross-functional knowledge-sharing
relationship take root?
PEAK-PERFORMER INFLUENCE: Which
types of individuals, subject-matter experts, or
relationships have the greatest influence on
team productivity?
MENTOR INFLUENCE: How well are
mentors are fostering relationships between
mentees and other employees?
IDEATION INFLUENCE: Which people are
most effective at introducing, disseminating,
and gaining adoption for new ideas?
NEGATIVE INFLUENCE: Which people in a
distributed team are acting as bottlenecks to
collaboration, knowledge-sharing, innovation,
and ideation?
                                                   Source: managementpocketbooks.wordpress.com




Assess employee influence and create environment to boost
 performance, innovation, knowledge sharing, and ideation
                                                                                       © 2013 IBM Corporation
Graph analysis: partner engagement

  STRATEGIC INFLUENCE: Which
  actual or potential partners have
  the the right degree of influence for
  realizing desired business
  outcomes?
  AGENDA INFLUENCE: Who
  within our organization or our
  partner has the influence
  necessary to disseminate and gain
  adoption of key messages, ideas,
  or agendas among key internal or
  external stakeholders?
  TEAMING INFLUENCE: Who
  within or organization or the
  partners has the influence needed
  to establish, strengthen, and
  sustain the teaming arrangement at
  the heart of the alliance?                Source: www.ahrq.gov




   Assess partner influence and create environment to boost
    strategic goals, agendas, and teaming arrangements?
                                                                   © 2013 IBM Corporation
How to use graph analysis to influence the influencers?

  •CUSTOMER ENGAGEMENT:
     •Engage with influencers on social media
     •Use graph analysis to assess degrees of customer influence
     •Establish differentiated engagement approaches and incentives based on degrees of
     influence
     •Experiment with mixes of all of these established and emerging influence channels,
     including but limited to social media
     •Compile the data, metrics and analytics needed to assess whether you achieved the
     expected return on your investments across various influence channels
     •Have an agile decision framework to help guide continual adjustments of your marketing mix
     among channels commensurate with their relative effectiveness

  EMPLOYEE ENGAGEMENT:
     •Use social graph analysis is to feed back results to the entire network in a structured setting
     in which discussion can be productively facilitated.
     •Viewing the graph analysis diagrams seems to be particularly powerful
     •Revealing these previously hidden barriers constructively can be a powerful tool for creating
     new opportunities for cross-group relationship development.
     •Graph analysis can also suggest ways of restructuring organizational charts or implementing
     new processes.

  •PARTNER ENGAGEMENT:
     • Use social graph analysis on partner organizations to assess where they and their
     employees stand in degrees of strategic, agenda, and teaming influence
     •Use these analyses as inputs into strategic partnering decisions

                                                                                               © 2013 IBM Corporation
Thank You!




13
                  © 2013 IBM Corporation

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Ibm james kobielus power of graph analysis_open analytics dc summit_march_ 25 2013

  • 1. The Power of Graph Analysis: Grasping the Shape of Business Influence James Kobielus [jgkobiel@us.ibm.com] Big Data Evangelist Open Analytics DC Summit, Arlington VA, March 25, 2013 © 2013 IBM Corporation
  • 2. Graph analysis can help you see deeply into influence patterns that you might in turn influence for the better. © 2013 IBM Corporation
  • 3. Influence is often invisible, but has concrete value  Getting things accomplished demands effective use of influence.  Organization charts don't tell the full story of business influence:  Internally: they flatter the chain of- command  Externally: they are next to useless  Turning influence into a business asset demands that first you identify:  who has influence  over whom  with respect to what range of topics and decisions, and  with what potential impact on your own bottom line © 2013 IBM Corporation
  • 4. Grasping influence = graphing engagement patterns • 360-degree view of individuals in full social context • Hidden, latent, nonobvious connections among people, groups, and organizations • Shifting patterns of connectedness, proximity, centrality, influence, status, and importance • Cooperation and collusion, coalition and co-dependency, influence and deference, and affiliation and isolation Dissect the interpersonal dynamics of communities. © 2013 IBM Corporation
  • 5. Graph analysis: what is it? •Established branch of advanced analytics •Mining, categorizing, and predicting interactions and influence patterns in their full social context •Leveraging many sources of data, including: •Behavioral •Transactional •Clickstream •Geospatial •Messaging •Smartphone •Usage •Call detail records •Social media posts •Discovering, segmenting, exploring, mapping, visualizing, forecasting, drilldown, what-if analysis •Sometimes known as “social network analysis” or “small world” analysis •Widely applied in social sciences © 2013 IBM Corporation
  • 6. Graph analysis: visual modeling of influence patterns Same project flow as other advanced analytics modeling disciplines Data discovery Data extraction Data preparation Variable assessment and selection Classification Clustering Statistical analysis Regression Scoring Model deployment Can leverage specialized graph analysis tools and graph databases, or more general-purpose tools and data platforms © 2013 IBM Corporation
  • 7. Graph modeling: engagement proximity = influence “Nodes” = individuals “Links” = interactions and relationships “Graphs” = social networks of interactions and relationships among individuals “Attributes” = characteristics of individuals, relationships, and social networks 4 “Proximity” = number, type, and weight of 5 links that connect one individual to another 1 2 6 3 © 2013 IBM Corporation
  • 8. Graph analysis: customer engagement Leaders? Followers? Influencers? Mavens? Mavericks? Cliques? Clusters? Outliers? Vanguards? Laggards? Late adopters? Gauge customer influence and engage differentially to boost customer lifetime value © 2013 IBM Corporation
  • 9. Using influence graphs in customer engagements  CHANNEL INFLUENCE: Which customers are more influential in some channels than others?  PEER INFLUENCE: Which customers have the greatest impact on awareness, sentiment, and propensities of their peers?  CAMPAIGN INFLUENCE: Which customers promise the biggest bang for your marketing bucks through their influence on their peers?  LOYALTY INFLUENCE: Which customers influence the most peers to stay with you and grow the relationship — or churn and jump to the competition?  PROMOTER INFLUENCE: Which customers are net promoters and potential brand ambassadors?  ADOPTER INFLUENCE: What can influence users to encourage late adopters to accelerate their adoption of new products?  SUPPORT INFLUENCE: Which customers have valuable expertise and should be enlisted as community resources for inquiries and support?  NEGATIVE INFLUENCE: Which customers are the squeakiest wheels who are most likely to spread bad feelings if they are dissatisfied, or are most likely to keep it bottled up? © 2013 IBM Corporation
  • 10. Graph analysis: employee engagement COMMUNITY-OF-INTEREST INFLUENCE: How do communities of interest emerge, endure, and grow? KNOWLEDGE-SHARING INFLUENCE: How do cross-functional knowledge-sharing relationship take root? PEAK-PERFORMER INFLUENCE: Which types of individuals, subject-matter experts, or relationships have the greatest influence on team productivity? MENTOR INFLUENCE: How well are mentors are fostering relationships between mentees and other employees? IDEATION INFLUENCE: Which people are most effective at introducing, disseminating, and gaining adoption for new ideas? NEGATIVE INFLUENCE: Which people in a distributed team are acting as bottlenecks to collaboration, knowledge-sharing, innovation, and ideation? Source: managementpocketbooks.wordpress.com Assess employee influence and create environment to boost performance, innovation, knowledge sharing, and ideation © 2013 IBM Corporation
  • 11. Graph analysis: partner engagement STRATEGIC INFLUENCE: Which actual or potential partners have the the right degree of influence for realizing desired business outcomes? AGENDA INFLUENCE: Who within our organization or our partner has the influence necessary to disseminate and gain adoption of key messages, ideas, or agendas among key internal or external stakeholders? TEAMING INFLUENCE: Who within or organization or the partners has the influence needed to establish, strengthen, and sustain the teaming arrangement at the heart of the alliance? Source: www.ahrq.gov Assess partner influence and create environment to boost strategic goals, agendas, and teaming arrangements? © 2013 IBM Corporation
  • 12. How to use graph analysis to influence the influencers? •CUSTOMER ENGAGEMENT: •Engage with influencers on social media •Use graph analysis to assess degrees of customer influence •Establish differentiated engagement approaches and incentives based on degrees of influence •Experiment with mixes of all of these established and emerging influence channels, including but limited to social media •Compile the data, metrics and analytics needed to assess whether you achieved the expected return on your investments across various influence channels •Have an agile decision framework to help guide continual adjustments of your marketing mix among channels commensurate with their relative effectiveness EMPLOYEE ENGAGEMENT: •Use social graph analysis is to feed back results to the entire network in a structured setting in which discussion can be productively facilitated. •Viewing the graph analysis diagrams seems to be particularly powerful •Revealing these previously hidden barriers constructively can be a powerful tool for creating new opportunities for cross-group relationship development. •Graph analysis can also suggest ways of restructuring organizational charts or implementing new processes. •PARTNER ENGAGEMENT: • Use social graph analysis on partner organizations to assess where they and their employees stand in degrees of strategic, agenda, and teaming influence •Use these analyses as inputs into strategic partnering decisions © 2013 IBM Corporation
  • 13. Thank You! 13 © 2013 IBM Corporation