Analytics Wednesday Evening Team 7 Michelle Hansberry Katie

Analytics Wednesday Evening – Team 7 Michelle Hansberry, Katie Heineman, John Wright, Lisa Wright

Agenda � Explanation of Analytics � How Analytics are used � Current Case Studies � Watson � Future Implications

What are Analytics? � AKA business analytics and data analysis � The software and methods that organizations use to understand data

Why do we need Analytics? Big Data Create Value Productivity Growth Competitive Advantage Multiple Data Sources

Forms of Analytics? Analytic Decision Making Business Intelligence Performance Management Predictive Analysis Risk Analysis

Which Industries can use Analytics? • Health Care • Insurance • Finance Diagnose & Decide Treatment Investment Decisions Pricing & Program Design Consumer Needs • Marketing

BASP

Pillars 1 & 2 Business Challenges Data Foundation

Pillars 3&4 Analytics Implementation Insight

Pillars 5 & 6 Execution and Measurement Distributed Knowledge

Pillar 7 Innovation

Example 1: �MNOs in Africa ◦ Anticipate ◦ Combine and analyze ◦ Savings

Example 2: �Macys. com ◦ Unsubscribe rates ◦ Marketing use ◦ Scores

What is the Watson? Cognitive Computer Natural Language Processing Watson Analysis Capability Hypothesis Generation Evidencebased Learning

Watson You. Tube � http: //www. youtube. com/watch? v=WFR 3 l. Om _xh. E �Watch for 2 minutes

What sets Watson apart? Ability to learn & understand Recognizes irony & sarcasm Operates in real time Makes decisions

Watson in Business? � Feeds big data � Creates sales databases, web pages, social networks � Analyzes and makes predictions � Provides evidence based recommendations

Discussion � Have you made an important business decision based off of analytics? If so, what?

Future Implications of Analytics � Predictive � Smart � The Analytics Planet need for strategy

Predictive Analytics � Predictive Analytics: Software + Model + Strategy � � Knowing what’s already happened is useful; predicting what WILL happen gives competitive edge. Evolving beyond knowing past performance: Knowing realtime performance

Predictive Analytics � 1. Video: Predictive analytics in public safety (~30 sec) ◦ http: //www. youtube. com/watch? v=_Zy. U 6 po_E 74 � 2. Video: Predictive analytics in everyday businesses (~30 sec) ◦ http: //www. youtube. com/watch? v=Fp. Wo. FMSf 73 g � Predictive Analytics jobs & roles are becoming higher priorities for companies

Smart Planet � � Using analytics can improve many areas of society. By using analytics to increase efficiencies, society can put resources where they are needed most & will make the MOST EFFECTIVE IMPACT.

Smart Planet � Video ◦ “IBM: Smarter Cities Using Analytics” http: //www. youtube. com/watch? v=TULPgblz-UA (~2 min)

Analytics Still Require Strategy � Analytics still need to be backed by strategic business strategy � Video - SAS: Myths of Predictive Analytics (watch until 1: 45 min) ◦ http: //www. youtube. com/watch? v=NLdb. Ygre. Gi. Q

Analytics Still Require Strategy � Predictive Analytics: Software + Model + Strategy � The predictive model must be carefully thought out. Great software/ tools still need the dots connected correctly. � Must strategize to move model into business decisions

References 1. IBM. Business Analytics from IBM: http: //www-01. ibm. com/software/analytics/infographics/what-is-analytics/index. html 2. Mckinsey. Big data: The next frontier for innovation, competition, and productivity: http: //www. mckinsey. com/insights/business_technology/big_data_the_next_frontier_for_innovation 3. Earnix. Insurance Companies are Increasingly Using Advanced Analytics to Better Understand Customers – New Earnix Survey Shows: http: //earnix. com/insurance-companies-are-increasingly-using-advanced-analytics-to-betterunderstand-customers-new-earnix-survey-shows/3432/ 4. Forbes. Big Data, Analytics And The Future Of Marketing And Sales: http: //www. forbes. com/sites/mckinsey/2013/07/22/big-data-analytics-and-the-future-of-marketing-sales/ 5. Biztech Africa. Mobile operators to gain almost $4 bn from applying analytics to reduce churn: http: //www. biztechafrica. com/article/mobile-operators-gain-almost-4 bn-applyinganalytic/7043/? section=computing#. Ulrl. V 1 Csi. M 5 6. Apparel. Top Apparel Companies Transform Their Processes with Business Intelligence: http: //apparel. edgl. com/casestudies/Top-Apparel-Companies-Transform-Their-Processes-with-Business-Intelligence 88796 7. American Marketing Association. Pillars for Successful Analytics Implementation: http: //www. marketingpower. com/Resource. Library/Publications/Marketing. Insights/2013/Spring/7%20 Pillars. pdf 8. IBM. The Science Behind Watson. http: //www-03. ibm. com/innovation/us/watson/science-behind_watson. shtml 9. Forbes. IBM's Watson Set To Revolutionize Marketing. http: //www. forbes. com/sites/markfidelman/2013/09/04/ibmswatson-set-to-revolutionize-marketing/ 10. Information Management. How Will Business Analytics Change in the Near Future? : http: //www. informationmanagement. com/resource-center/? id=10024267 11. Cite World. Predictive analytics shine a light on the future: http: //www. citeworld. com/consumerization/22340/predicitive -analytics-shine-light-future? page=1 12. Forbes. Wearable Technology, Spatial Analytics: Future Of Sport Is Now: http: //www. forbes. com/sites/sap/2013/09/26/wearable-technology-spatial-analytics-future-of-sport-is-now/