Welcome: Gartner Briefing

Data and Analytics in the Digital Platform

– and Where to Begin

Alan Duncan
Vice President for Data and Analytics Strategy
and Chief Data Officer (CDO)

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copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. © 2015 Gartner, Inc. and/or its affiliates.
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 Agenda
1 08:30 – 09:00 Registration & Coffee

09:00 – 09:05 Welcome and introduction

by Kristian S. Jensen

09.05 – 10.00 Data and Analytics in the Digital Platform – and Where
to Begin
by Alan Duncan, Research Vice President

10:00 – 10:30 Coffee Break and networking

10:30 – 11:00 Ask the Analyst: How Leading Organizations are

Innovating and Transforming with Data & Analytics.
Bring your questions and be inspired!

11:00 Event Close

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 30 Oct – 2 Nov | Gold Coast, Australia

Data & analytics in the Digital Platform

Putting the “Intelligence” into “Business Intelligence”

Alan D. Duncan, Research Vice President

Data & Analytics Strategy, Chief Data Officer
@Alan_D_Duncan
CONFIDENTIAL AND PROPRIETARY This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended
Gartner audience or other intended recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further
copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. © 2017 Gartner, Inc. and/or its affiliates. All rights reserved.
Gartner and ITxpo are registered trademarks of Gartner, Inc. or its affiliates.
Digital Context: Data and Analytics at the Heart of It All

Data and analytics

are central to … and this is only
competitive going to get more
differentiation, complex, with
innovation, Data &
data and analytics
Data Analytics Analytics
process pervasive to
automation and every industry,
powering process, role
new business and decision.
models …

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 And it’s only
getting harder!

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 And it’s only
getting harder! More and
less human
SEK

Virtual and Autonomous

physical blend technologies
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 A
Digital Society More and
Is Emerging … less human
SEK

Virtual and Autonomous

physical blend technologies
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 … and established practices don't work any more.
Data Uncanny
ownership Valley

Privacy

Deterministic Transactions
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Beyond the hype –
value opportunities in a
digital world
“Do not quench your inspiration and your
imagination; do not become the slave of your model.”
— Vincent Van Gogh

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 “A lot of people think well, you know if we
can buy a certain tool, that will solve all of
our problems. But the problem is…if you
buy a tool for artificial intelligence, you still
have to train the tool to make intelligent
conclusions based on the data that’s
provided”
Jan, Insurance

CONFIDENTIAL AND PROPRIETARY

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other intended recipients. This presentation may contain information that
is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. © 2018 Gartner, Inc. and/or its affiliates.
All rights reserved.
Technology-Driven Deployments Fail to Deliver the
Expected Levels of Business Outcomes
Deploy

Analytics Capabilities Business Context Business

Outcomes

Analytics
Capability
People and
Analytics Organization
Capability
Data
Analytics
Capability

Analytics
Capability

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Data & Analytics Must Be Driven by Business Outcomes
Plan
1
Analytics Capabilities Business Context Business
People and
Organization Outcomes
Analytics Data
Block
Business
Processes
Analytics
Block Decisions

IT Systems
Analytics
Block Customers

Analytics Ecosystems
Block

Things

2 Deploy
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Technology: the Data and Analytics Environment Is
Complex and Continues to Evolve Quickly
Self-Service
Analytics Dashboards
Data
Data Preparation
Predictive
Engine
Discovery External
Big Data Audio & Platforms
OLAP Discovery Video
Reporting Self-Service Behavioral Graph Analytics
Analytics Analysis Simulation
Reporting & Optimization
Engine Prescriptive
Semantic
Layer Web Engine
Analytics

Data Data
Lake
EDW Local
SQL Database Data Marts
Ad Hoc Other IoT Web & Other Complex
Tabular Data
From BA Files Sources Sensors Mobile Data Sources

Sample List of Analytics Components and Most Relevant Touchpoints.

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Enabling D&A Services:
From Self-Service to Advanced and Automated

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Consider the Impact of Artificial Intelligence
Massive
Personalization
Efficiency
The value received Gains
from incorporating
AI into your
Render Reinvent
strategy will be Insights Decision Making
proportional to how
much you rethink
your business Capture
Knowledge
Share
Expertise

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 Hype Cycle for
Artificial
Intelligence,
2017

Labor to
Software Guru 20:1 Expert 9:1 Implementer 3:1
Cost Ratio

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Artificial Intelligence is in early adoption
Percentage of Respondents

14% 35% 25% 21% 4%

No interest On the radar, no In medium or long- In short term Have already

action planned term planning planning/actively invested and
experimenting deployed
Q: What are your organization's plans in terms of artificial intelligence?
Base: All Answering, n = 3.138
Source: Gartner 2018 CIO Survey © 2018 Gartner, Inc.

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Select the Right Use Cases. Right for You!

•Artificial Intelligence in retail has redefined customer

Sentiment Retail segmentation, marketing and customer experience
Information Spam filtering
Search engines analysis (or
Retrieval for email (provide examples)
opinion mining)

Speech and Spoken Structural

handwriting language Stock analysis health
recognition understanding monitoring •This sector has seen a tremendous shift to artificial
Automotive
intelligence through autonomous cars
Syntactic Topic spotting:
Weather
pattern categorize Face Detection
prediction
recognition news articles
•Disruptive models powered by AI are eliminating the
Finance – Logistics
Platform/Softw Internet fraud need for traditional Driver and Package Handler jobs
Derivatives Game playing
are As a Service detection
Trading

Brain machine •Artificial Intelligence has led to development of

Machine Medical
Mood analysis interface in health management functions like lifestyle
translation diagnosis Healthcare
prosthetics management, drug discovery, hospital management
etc.
Optical
Recommendati Robot Advertising -
character
on systems locomotion Targeting
recognition
•Applications of Artificial Intelligence finds their way
Medical in diagnosing Cancer. Deep Learning drops error rate
Automatic Computer for breast cancer diagnoses by 85%
Classifying DNA
Bioinformatics word Vision – Object
Sequences
completion Recognition

Detecting •Companies are leveraging machine learning and AI

Customer
Credit Card Oil and Gas technologies to increase production and to optimize
Segmentation
Fraud costs

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 Apply Different Approaches for Different Problems

1 2 3 4 5

Innovation Exploration Prototyping Refinement Firefighting

Challenging
100% 80% 60% 20% 0%
Status Quo
Data Scientists Innovators or
Investigators or detectives Engineers Engineers Investigators
Work as inventors
Main Objectives  Disruptive ideas  Transformative ideas  Evolutionary ideas  Effective ideas  Remediating ideas
 Discover new business  Explore unknown issues  New problem solving  Improve existing  Diagnosis
moments  Look for discontinuities  Improve existing solutions by 1% to 10%  Hypothesis validation
 Deductive thinking  Inductive thinking solutions by 20%
to 300%
Plan  Look for cross-industry  Fund nondirected  Require ROI justification  Go deep in LOB activity  Tackle cross-function
insights exploration  Ideal for data science  Look for efficiency levers tactical projects
 Research disruptive  Leverage deep data lab involvement  Focus on critical  Build versatile skills
indicators science skills  Close the business variables  Promote SWAT analytics
 Data scientists must  Exploit existing market monitoring loop
participate in innovation inefficiencies
Use of Data Audacious Massive Selective Selective Selective
Data Supply Model None Data lake Data lake Data warehouse Data lake

"Five Ways Data Science and Machine Learning Deliver Business Impacts" (G00343858)
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 Innovation:
Betting the Farm on Information
 Opportunity:
– Improved farming productivity, growth and margins
 Data and analytics:
– Soil tested with electrical charges and mapped for precise fertilizer
dosages applied automatically
– Drones equipped with infrared cameras survey for flood, irrigation and
crop stress
– Combines take continuous readings, analyzing data in real-time data on
moisture, yields, etc. via iPads
 Results:
– Ability to farm 20,000 acres, up from 700 acres in the 1970s, with only
25 employees
– ROI growth from 14% to 21%, despite 8x increase in cost of
sensor-loaded combines
– Eliminated need for crop diversification to hedge against weather, disease
and market conditions
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 Exploration:
Dark Data Shedding Light on Retail Space Optimization
 Opportunity:
– Improve in-store customer experience
 Data and analytics:
– Historical video feeds from existing security cameras
– Video analytics and visualizations from Prism Skylabs to
understand shopper profiles (e.g., sex and estimated age)
and shopping traffic patterns
 Results:
– Heat maps identified customer wait times, enabling the
businesses to improve store flow
– Optimized relative product placement
– Improved employee assignments and scheduling improve
customer service levels

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Prototyping:
Immonet Optimizes Its Product Portfolio With Analytics
 Opportunity:
– Target the most valuable real estate agents, who are likely to list most or all of
their properties on its real estate business platform and reduce churn.
 Data and analytics:
– Use Oracle Exalytics In-Memory Machine to analyze customer buying
patterns, such as increasing mobile applications usage and studying real
estate agent behavior to optimize the company's property portfolio.
– Was able to segment customers into key accounts, regular agents and private
customers to target the most valuable customers in each segment.
 Results:
– Increased customer requests by 300% through better search engine
advertising.
– Improved the company's sales by 200% bringing it to the number ʺtwoʺ
position among Germany's real estate platforms.
– Reduced agent churn rate by over 50%.

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 Refinement:
Driving Fleet Safety and Performance
 Opportunity
– Improving driver competence and retention
 Data and Analytics
– Telematics from drivers gathered into a data warehouse and combined with
employee data from other systems
– Sophisticated analytics using IBM SPSS assess drivers for risk factors
such as miles driven, sleep opportunities and pay levels, compared to
company averages
– Analyzing drivers' pay compared versus peers and industry averages, in
combination with other stress factors and employment history
 Results
– 20% overall reduction in accidents; 80% reduction in severe accidents (e.g.,
roll-overs)
– 30% reduction in employee turnover leading to savings on recruiting
and training
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Firefighting:
Big Data Helps Vitens Detect and Remedy Costly Pipe Leaks
 Opportunity:
– Vitens water supply company needed to simplify the maintenance of 96
water production facilities and 49,000 kilometers of pipes.
 Data and analytics:
– CGI developed a proof of concept solution. It gathered and analyzed data
on variables such as pressure, flow, temperature and physical location.
– Using predictive analytics and visualization software, it searched for data
patterns that could be used to detect or predict incidents.
 Results:
– It was able to detect leaks within a 2.5 kilometer radius in 50% of cases
demonstrating that, by using big data and predictive analytics, leaks can
be detected and repaired faster.

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Questions to Ask Your Vendors

1. What does “data & analytics” mean to you (the vendor)? How does this product/
service fulfill that definition?
2. How is your product superior to other current options?
3. Once I have your product installed, how will my business performance
improve?
4. How should I expect to devote staff and time to such improvements?
5. How can I see that will happen with data that is related to my project?
6. What data and compute requirements will I need to build the models for
the solution?
7. What resources are available to gather and refine data that the solution can use
such that its outcomes improve?

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Strategic Planning Assumption

By 2019, AI platform services will

cannibalize revenues for 30% of
market-leading companies.

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Using infonomics practices to
monetize data assets

“Science is organized knowledge.

Wisdom is organized life.”
— Immanuel Kant
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What Would You Say? How Would You Prove It?

What is our How are we

organization's maximizing the
information Your Board of Directors ways its
worth? monetized?

How are we treating it like any

other asset?

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 “We don’t inventory our data, but…”

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The 3-Dimensional Challenges and Opportunities of
Infonomics
Monetizing Managing Measuring
Information Information Information

Generating Applying traditional Gauging and

measurable asset management improving
economic benefits principles and information’s
from or attributable to practices to economic
available information information characteristics
assets

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Governance: Treat Your Information as an Asset

Curate Inventory of Collaborate for Communicate

Information Assets Accountability and Shared Semantic
Governance Meaning

Facilitate, Broker, Enable, Share, Orchestrate

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Generating Economic Benefits from Information

100
INDIRECT DATA MONETIZATION
100

 Using data to improve efficiencies

 Using data to develop new products, markets

 Using data to build and solidify partner relationships

 Branded indices

DIRECT MONETIZATION
 Bartering/trading with information
100
or
100
 Information-enhanced products or services

 Selling raw data through brokers

 Offering data/report subscriptions

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Strategic Planning Assumption

By 2020, 10% of organizations will

have a highly profitable business
unit specifically for productizing and
commercializing their information
assets.
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Foster a more
data-driven culture

"Not everything that can be counted counts, and not

everything that counts can be counted.”
— Albert Einstein
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 “If you’re bringing technology that’s
going to displace people, what a lot
of companies are going to do is just
lay people off. So I think again in
terms of workforce, preparation to
me is key…it should be part of a
longer term plan as opposed to an
afterthought” Klaus, Gaming

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Can Your Organization Mine and Exploit Data?

Source: 2017 Gartner CIO Survey

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 CDO Survey: Internal Roadblocks to Success
1st choice 2nd 3rd Sum

Culture challenges to accept change 15% 16% 9% 40%

Cultural issues
Poor data literacy 13% 9% 13% 35%
Lack of relevant skills or staff 11% 13% 9% 33%
Lack of resources and funding to support the programs 14% 9% 5% 28% Organization, roles and skills
Lack of focus in defining the most important initiatives 11% 9% 8% 28%
Resistance to change in the business model 6% 6% 13% 25%
Not enough authority to execute the CDO responsibilities 7% 6% 6% 19%
Unclear understanding of the role of the CDO 7% 6% 6% 19%
Confusion over information governance 5% 3% 6% 14%
Resistance from the CIO and other IT staff 3% 7% 4% 14%

Lack of stakeholder involvement and support 3% 7% 4% 14%

No internal roadblocks 6% 6%
Other internal roadblocks 5%
Percentage of Respondents

2017 CDO Survey: Base: Full/Partial Office of CDO, Excluding Unsure, n = 152
What do you see as the internal roadblocks to the success of the Office of the CDO? Rank top 3.
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Defining Data Literacy:
The New Core Capability of Digital Society
While conversant in the "people, process and technology" capabilities of business change, most executives and
professionals do not speak "data" fluently as the new critical capability of digital society.

Gartner formally defines data literacy as:

The ability to read, write and communicate data in context, including an understanding of data sources and constructs,
analytical methods and techniques applied, and the ability to describe the use-case application and resulting value.
Informally … do you "speak data?"

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The Case for Change: We Don't Speak a Common Language

Diverse backgrounds: CEOs and Boards

CIOs Chief Data Officers While diversity
 Veterans vs. rookies CTOs Chief Analytics Officers
is desired and
 Data vs. healthy,
analytics backgrounds Data Architects, Data
Engineers, Application
Business Analysts,
Data Scientists it naturally creates
Diverse
 Industry
Architects
Roles communication
vertical experience Creators and challenges.
Consumers
 Business Creating a
Business Professionals
domain experience (e.g., Managers, Marketers,
Data and Analytics
Service Providers,
Sales, HR, Finance)
shared
 Scope of experience: Consultants
language is
– Local vs. global
fundamental.
– Business unit
Data Brokers,
vs. enterprise Technology and Front-Line Associates (e.g.,
Solution Providers Doctors, Drivers, Customer
Service Reps, Agents)
Academia,
Research

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 Chief Data Officer
(Chief Analytics Officer)

Information Information
Organisation: Product Manager Strategist

Get Ready for Data People Information

New Roles in Modeller Architect

the 21st Century Data

Data
Info-Literate Data
Engineer Process Technology
Scientist
Organization
Information Citizen
Steward Analyst

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 30 Data & Analytics Capabilities You May Be Lacking …
User engagement procedures
Requirements intake and prioritization
Change management
Project Project collaboration
Projects monitoring
Mission statement Success measurement
Steering committee
Roles and responsibilities
Project management office (PMO) involvement Vision setting

Expert roster Communicating capabilities and results

Talent acquisition
Organization Education Experimentation and innovation

Partner and vendor relations Self-service enablement

Evangelism Training
Trends

Data curation
Reference architecture
Information asset directory
Infrastructure
Function library
Tool standards
Governance Data Technology Application integration
Data science
Enterprise reporting

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 People Change at Different Speeds

Runners
First on board and
want to be involved Spend Most
Joggers Runners Time Here
"Follow the leaders"
Capability to change

will look to early-

adopter runners Joggers

Walkers
Walkers
Wait and see" will go
along once others do
Won't Run Not Here

Won't Run
Don't want to change or can't
make the transition Change Readiness

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 People Change at Different Speeds

Coaching
Runners

Spend Most
Runners Time Here
Joggers
Capability to change

Joggers

Walkers

Walkers
Won't Run Not Here

Won't Run

Change Readiness

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Strategic Planning Assumption

By 2020, 80% of organizations will

initiate deliberate competency
development in the field of
information literacy, acknowledging
their extreme deficiency.
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Data & Analytics Strategy: Balancing Act of Four Elements

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Recommended research – Data & Analytics Strategy for
Digital Business
 Survey Analysis: Third Gartner CDO Survey — How Chief Data Officers Are Driving
Business Impact
Valerie A. Logan | Michael Patrick Moran | James Laurence Richardson | Roxane Edjlali |
Mario Faria (G00332689)
 Build Your Digital Business Platform Around Data and Analytics
Andrew White | W. Roy Schulte | Roxane Edjlali | Joao Tapadinhas | Svetlana Sicular
(G00350435)
 Use the Gartner Data and Analytics Compass to Drive Strategy
Thomas W. Oestreich | Kurt Schlegel | Mike Rollings | Saul Judah (G00331789)
 Master Four Types of Strategy to Perfect Your Digital Transformation
Frank Buytendijk | Mike Rollings | Thomas W. Oestreich (G00326340)
 Five Ways to Evolve Traditional Approaches to Data and Analytics — Gartner
Keynote Insights
Frank Buytendijk | Rita L. Sallam | Alan D. Duncan et al (G00297905)
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 Recommended Gartner Research – Infonomics &
Business Value
 Data and Analytics Strategies Need More-Concrete Metrics of Success
Frank Buytendijk, Ankush Jain, Thomas W. Oestreich and Others (G00297356)
 How Chief Data Officers Can Succeed by Driving Measurable Business Value
Alan D. Duncan and Frank Buytendijk (G00340474)
 Digital Business KPIs: Defining and Measuring Success
Hung LeHong (G00297283)
 Why and How to Measure the Value of Your Information Assets
Douglas Laney (G00277972)
 Seven Steps to Monetizing Your Information Assets
Douglas Laney | Mario Faria | Alan D. Duncan (G00291622)
 How Data and Analytics Leaders Can Leverage GDPR for Increased Business Value
Lydia Clougherty Jones | Roxane Edjlali (G00332563)
For more information, stop by Gartner Research Zone.

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Recommended Research – Infonomics & Governance
 Reset Your Information Governance Approach by Moving From Truth to Trust
Andrew White | Thomas W. Oestreich (G00319696)
 Generally Accepted Information Principles for Improved Information Asset
Management
Douglas Laney (G00333432)
 Establish a Framework for Analytic Governance
Thomas W. Oestreich (G00268221)
 Gartner's Three Rings of Information Governance Help You Prioritize Different
Types of Data
Andrew White | Saul Judah (G00260885)
 Applied Infonomics: Use a Modern Data Catalog to Measure, Manage and Monetize
Information Supply Chains
Alan D. Duncan, Douglas Laney, Ehtisham Zaidi, Guido De Simoni (G00342785)

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Recommended research – data-driven culture & literacy

 Fostering Data Literacy and Information as a Second Language: A Gartner Trend

Insight Report
Valerie A. Logan (G00342240)
 How CDOs Engage With Their Stakeholders to Foster Data Literacy and Deliver
Measurable Business Value
Alan D. Duncan | Valerie A. Logan (G00352067)
 How Chief Data Officers Show Leadership in Influencing the Data-Driven Culture
Alan D. Duncan | Frank Buytendijk | Valerie A. Logan (G00304771)
 Artificial Intelligence Demands That CIOs Foster a Data-Literate Society
Alan D. Duncan (G00331626)
 The 30 Capabilities That Your Analytics Center of Excellence May Be Lacking
Douglas Laney | Jamie Popkin | Alan D. Duncan | Cindi Howson (G00323119)
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 “It is the groundbreaking work
that firmly put data and data
leadership in the middle of the
business arena."
— Althea Davis, Chief Data
Officer, ABN AMRO

www.gartner.com/infonomics

“Must Read” book

of the year.
Amazon.com

52 CONFIDENTIAL AND PROPRIETARY I © 2018 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or its affiliates.
 Discussion – “Ask the Analyst”
How Are Leading Organizations Innovating and
Transforming with Data & Analytics?

53 CONFIDENTIAL AND PROPRIETARY I © 2018 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or its affiliates.
Question 1: What business problems are you trying to
solve?
If you have started a data & analytics initiative (or intend to) what
are your desired outcomes? What would “good” look like?
 Financial and operational drivers
 Staff recruitment & retention
 Improving services to customers / citizens
 Improving the customer experience
 Attracting further investment
 Open data, transparency and accountability
 Other
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 Question 2: Barriers to Starting with Data & Analytics

What are the major barriers to getting started with data & analytics
in your institution?
 Obtaining executive buy-in.
 No culture for data & analytics.
 Lack of required skills and experience
 We didn’t/don’t capture the requisite source data
 Others

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 Question 3: What data can you make use of?
Which data sets would you need in order to address the business
areas you identified? Do you have access to these? Who is
responsible for them?
 Customer / citizen interactions
 Services schedules
 Programmes & assignments
 Financial performance – revenues & costs
 Sociodemographics, economic forecasts
 Etc.

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 Question 4: Next Steps

Thinking about your own organization and your next steps:

 How is your organization's current data & analytics capability compared to what you
have heard today?
 How many of suggested practices do you think your organization has adopted?
 What project/process should you focus on and why?
 What are your next steps to improve?

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