IESE Business School (Spain) - 19th Telecom, Digital Media and Information Society Industry Meeting

1. Madrid, June 11, 2013
Krishnan Parasuraman
CTO Big Data, Digital media
@kparasuraman

2. The number of organizations who see analytics as a
competitive advantage is growing
2010 2011 2012
63%

3. IBM IBV/MIT Sloan Management Review Study 2011
Copyright Massachusetts Institute of Technology
2011
Organizations competing on
analyticssubstantially outperform their peers
1.6x Revenue
Growth 2.0x EBITDA
Growth2.5x Stock Price
Appreciation

4. Big Data Economics
ROI of Analytics =
Value of Data
Cost of Processing

5. Big Data Economics
ROI of Analytics =
Value of Data
Cost of Processing
Variety of Data
Speed of Decision
Cost of Compute
Cost of Storage
Cost of Skill
Quantity of Data
Cloud
Virtualization
Open Source
Commodity
Engagement
Devices
Sensors
Social

6. So how are organizations reacting to the big data revolution?
Valuation?
Accessibility? Equality?
Governance?

7. 1 Big Data Valuation
Retain EverythingBest Practice
...figure out what you want to do with data later

9. 2 Big Data Access
From canned to Self ServiceBest Practice

10. Business Users
Define what they want to analyze
IT Builds solutions
Traditional Model

11. Business Users
Define what they want to analyze
IT Builds solutions
Traditional Model
IT Creates Big Data Platform
Big Data Model
Exploratory Analysis

12. 3 Big Data Equality
Don’t treat unstructured data
as a second class citizen
Best Practice

13. What really causes readmissions at Seton Hospital?
113 possible predictors were being looked at
After combining unstructured data 18 accurate predictors emerged
Hidden insights found in unstructured data. Proved to be more trustworthy.
Predictor Analysis % Encountered in
Structured Data
% Encountered in
Unstructured Data
Ejection Fraction (LVEF) 2% 74%
Smoking Indicator 35% 81%
Living Arrangements <1% 73%
Drug and Alcohol Abuse 16% 81%
Assisted Living 0% 13%

14. 4 Big Data Governance
Be Transparent. Give
consumers the choice
Best Practice

15. Madrid, June 11, 2013
Krishnan Parasuraman
CTO Big Data, Digital media
@kparasuraman