Jaime Fitzgerald spoke about the the challenges and importance of applying private sector methods to unlock more social benefits from the world's data.

1. Turning Big Data into Social Good
The Challenge, The Opportunity
Jaime Fitzgerald
December 6, 2011 – Turin, Italy
Architects of Fact-Based Decisions™

2. Introduction
Jaime Fitzgerald,
Role: Founder @ Fitzgerald Analytics
• Find & unlock opportunities
Mission:
via data, technology, people, + processes.
Principles: “Begin with the End in Mind” (Covey)
“Quality is Free” (McGregor)
Turning Data to DollarsTM : A Practical Approach 2

3. From Data to Dollars…
“A journey of a thousand miles….”
Fitzgerald Analytics: Converting Data to Dollars™
Better Data Better Analysis Better Results
Turning Data to DollarsTM : A Practical Approach 3

4. The Gap vs. Potential
1. So Much “Buzz” about the Potential of Analytics
 Best-selling books on Analytics (Competing on Analytics, Supercrunchers, etc.)
 New efforts (business units, teams, roles, initiatives)
2. When Analytics Works, the Impact is Buzz-Worthy!
 Selected firms have made analytics a source of competitive advantage
 It happens every day… just not as broadly as would be ideal
1 2 3 4
Right Focus Right Method Execution Results!
Let’s discuss the keys to increasing your odds of success…
Turning Data to DollarsTM : A Practical Approach 4

5. Why So Much Untapped Potential?
Long Term Vision
Turning Data to DollarsTM : A Practical Approach 5

6. The #1 Threat to Results … Complexity
2. Decisions
1. Business Models
+ Processes
Analytic
Initiatives
4. Tech Tools,
3. Analysis Options Platforms, Plug-ins,
Deployment Options
We need a way to simplify this complexity without losing the potential
Turning Data to DollarsTM : A Practical Approach 6

7. Other Root Causes of “Analytic Underperformance”
While complexity is the largest impediment to results in analytics,
there are several other challenges worth mentioning…
1
Cross-Functional Collaboration
2
The good news is…
Communication Challenges
…managing complexity
3 makes all these other
Technology and problems easier to manage
Data Management Barriers also…
4
People: Talent, Skills, Learning,
Team Effectiveness
Turning Data to DollarsTM : A Practical Approach 7

8. What if Steven Covey Were An Analyst?
Turning Data to DollarsTM : A Practical Approach 8

9. Three Simplifying Concepts
To “begin with the business goal in mind,” I recommend three concepts
Term Definition
1. Point of Opportunity  An opportunity for improvement within YOUR
business model
 Defined because it impacts key drivers of your
results
2. Causal Clarity
 Clear Definition of key drivers, cause + effect in
Cause Effect your business model, business unit, etc.
 Easy to Explain to others, preferably visually
3. Causal Model
 A visual representation of “what drives results” in
Price
Revenue
your business model
Transactions  Create this, and you have achieved “Causal Clarity”
Turning Data to DollarsTM : A Practical Approach 9

10. Causal Models: A Simple “Base Case”
Each business model has an inherent “causal model,” but the “core branches” are
similar
Example: Drivers
of Net Profit
Revenue
less
Your Has Cost of Revenue Gross Profit
Business Operating Costs
Model less Net Profit
Marketing Other Costs
Overhead
Other
Turning Data to DollarsTM : A Practical Approach 10

11. Example: A Point of Opportunity
Here is an opportunity to enhance ROI on Marketing + Sales efforts:
Point of Opportunity: “Efficiency of New Client Acquisition”
Key Driver / KPI: Acquisition Cost per New Client
Formula: [spending on new client marketing]/[# New Clients)
Transactions Price per
per Client Transaction
X
# of Clients Volume
Sales and
Marketing
Turning Data to DollarsTM : A Practical Approach 11

12. Planning Your Analysis
Planning starts with the goal, the “point of opportunity”
Your Point of Opportunity (Decision or Process)
Translates to
Insights or Information Required
Which drives
Analysis Methods Required to Create this Information
Allowing definition of
Required Data
And selection of the right
Tools, Platforms, Technology, People, and Processes
Turning Data to DollarsTM : A Practical Approach 12

13. Summary of Key Takeaways
We hope you will benefit from the concepts shared today
For All 1. Begin Your 2. Define + 3. Identify 4. Define the 5. Keep
Attendees Business Agree on Points of info needed analysis as
Model the Causal Opp. to unlock simple as
Model the opp. possible…
Tips By Executives Leadership
Role:  Establish “causal clarity” visually so that everyone understands
 Encourage teams to use this context to prioritize and target effort
 Expect recommendations to be justified by their impact on key drivers
Business Professionals Technology Professionals
 Identify points of opportunity  Insist upon understanding the
before investing time in analytic business context and causal logic
details of requests for analytic systems
and effort
Turning Data to DollarsTM : A Practical Approach 13

14. Thank You!
For more information and comments, you may reach me through the following:
Email jfitzgerald@fitzgerald-analytics.com
Twitter jaimefitzgerald
Phone 1-917-846-3759
Website www.fitzgerald-analytics.com
Turning Data to DollarsTM : A Practical Approach 14

15. Let’s Change the World Together (for the better!)
Email jfitzgerald@fitzgerald-analytics.com
Twitter @jaimefitzgerald
@fitzanalytics
@data2dollars
Phone 1-917-846-3759
www.fitzgerald-analytics.com
Turning Data to DollarsTM : A Practical Approach 15