Turning Crisis into Competitive Advantage

Big Fast Data World
Robin Gilthorpe, CEO, Terracotta, Inc.
October 9, 2013

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©2013 Software AG. All rights reserved. For internal use only

Turning Crisis into Competitive
Advantage
The Power of Real-time Adaptive Intelligence on
Big Fast Data
Dr John Bates,
Senior Vice President, Big Fast Data
October 9, 2013

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Big Fast Data
Volume, Velocity, Variability

The time window to
analyze & act

3 |


Big Fast Data Challenge: Identifying Crises in Capital Markets
Market
manipulation
Ever-evolving
regulation
“Fat Finger”
trading errors
Rogue traders
Wild algorithms

4 |


Most Data Apps & Business Intelligence = Rear View Mirror

5 |


Most Data Apps & Business Intelligence = Rear View Mirror

6 |


The Shrinking Time Window to Respond to Critical Information Is a
Mega-trend That Shows No Sign of Abating
Big, Fast Data Intelligence
Techniques Needed

Traditional Business Intelligence
Batch Analytics/
Data Warehouse

Intra-day Batch
Analytics

Continuous In-memory
Analytics

Low Latency Analytics
100 ms

Rapid and proactive
response is the key to
surviving the pace of
competition

20 min

30 sec

8 hr

Track financial position

15 min

3 days

Supply chain updates
1 min

1 week

Phone activation

0.5 hour

5 days

Refresh data warehouse

2 hours

Trade settlement
Build-to-order PC

1 day

weeks

7 |

Call center inquiries

5 min

1 day

days


Algorithmic trading
Airline operations

10 sec

1 day

4 weeks

< 1 ms

Typical Business SLAs

hours

minutes

seconds

milliseconds

Complement Traditional BI with Continuous & Actionable Real-time Analytics
Periodic
Reports

Traditional BI
Statistical Analytics
Data Mining
Other off-line Analytics

Ad Hoc BI
Analytics

Data Mart/
Warehouse

Store data
“at rest”

8 |

Continuous
Embedded
Analytics

Capture Event
Data “in motion”


Take Action
(Operational
Decisions)

Strategic and
Tactical
decisions

Periodic
Reports

Traditional BI
Data Mining

Ad Hoc BI
Analytics

Data Mart/
Warehouse

Store data
“at rest”

Continuous
Embedded
Analytics

Capture Event

Take Action
(Operational
Decisions)

Run-the-business Operational Systems

9 |

Traditional
Business
Intelligence


Strategic and
Tactical
decisions

Real-time “Adaptive
Intelligence”

Periodic
Reports

Traditional BI
Data Mining

Ad Hoc BI
Analytics

Data Mart/
Warehouse

Store data
“at rest”

Capture Event

Take Action
(Operational
Decisions)

Run-the-business Operational Systems

10 |

Traditional
Business
Intelligence


Strategic and
Tactical
decisions

Real-time Adaptive
Intelligence on Big,
Fast Data

Real-time Adaptive Intelligence Enables Citi Avoids Regulatory Fines & Resolve
Suspicious Trading Activity Proactively
Compliance staff
visualize trade
abuse alerts; drill in
to investigate
Trades
Quotes
News
Trader Behavior
Social Media

Unusual trading activity just
before news release suggests
insider trading

11 |


Notify relevant
Compliance
Officer

Real-time Adaptive Intelligence Enables Citi Avoids Regulatory Fines & Resolve
Suspicious Trading Activity Proactively
Big, Fast Data
Intelligence
Trades
Quotes
News
Trader Behavior
Social Media

12 |


Historical Data &
Analytics
Real-time Analytics

Intelligent Action Rules
Suspicious Trading
Case Management

Crisis for Retail Banks, Telcos & Retailers – Threat of Disintermediation…

Retail banks

Fear

Telcos

Fear

Retailers

Fear

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Could they go the way of the Dinosaurs…

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But, these organizations…

…are unique in their
access to customer
behavior in the real
world

15 |


Increased Revenue
per Customer

Improved Campaign
Effectiveness

They can offer a personal
concierge for every customer
Improved Customer
Stickiness

16 |


Reduced Fraud

Big Fast Data Challenge:
How to Make Customer Experience “Mind Reading” & Location-Aware

Customer
Experience
Layer
(Promotions)

17 |


Location &
Context

Internal
Systems &
Platforms
(Transactions)

Big Fast Data Challenge:
How to Make Customer Experience “Mind Reading” & Location-Aware

Customer
Experience
Layer
(Promotions)

18 |


Location &
Context

Internal
Systems &
Platforms
(Transactions)

Intelligent Offers: Right Place, Right Time, Relevant
Adaptive
Intelligence
Real-time Analytics

Purchase flat
screen TV at
partner store
using bank
credit card

§  Low current account balance
§  History of response to attractive credit offers
§  Push payment plan to mobile phone

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Real-time,
One-to-One
Marketing

Dynamic Customer
Profile
Transaction and
Contact History

Thank You for Using
Our Credit Card. We
are offering 2% APR
finance over 60
months on this TV to
loyal bank customers.
Click here to accept.

Retail Partners and Real-time Up-sell
Adaptive
Intelligence
Real-time Analytics

iPad
purchased

Dynamic Customer
Profile

§  This customers tends to shop around for
accessories
§  Partner store will offer 20% off iPad case if
purchased now

20 |


Real-time,
One-to-One
Marketing

Transaction and
Contact History

Thank You for
Using Our Credit
Card, Enjoy 20%
off iPad cases if
buy here within
10 minutes

Location and Context-Aware Promotions
Adaptive
Intelligence
Real-time Analytics

Customer
location
detected
entering
Mall

§  Customer who subscribes to the “Live Sports
Results” package enters a Mall
§  Partner “Sports Bar Diner” has capacity
§  Push offer of 15% off any main meal this lunchtime

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Real-time,
One-to-One
Marketing

Dynamic Customer
Profile
Transaction and
Contact History

Enjoy 15%
discount off any
main meal at
Sports Bar Diner
in Wellington Mall
this lunchtime

An Emerging Big, Fast Data Challenge: Massive Scale, Personalized
Augmented Reality

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Big Fast Data Challenge: Proactive Customer Care

Violated SLA
Order bungled
Delivery late

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Global E-commerce Avoiding “Black Friday” Blackouts
FORTUNE 150
ATHLETIC
BRAND
Crisis: Huge spikes in customer traffic
at peak times
Legacy Approach: Product catalogue
& shopping cart pulled from multiple
disk-bound databases

24 |


Global E-commerce Avoiding “Black Friday” Blackouts
FORTUNE 150
ATHLETIC
BRAND

Big, Fast Data Approach: Move data
access to in-memory
Results:
•  90% of product requests served instantly
•  Backend services load slashed by 40%
•  Average page load time reduced by 16%
•  Search time reduced by 30%

25 |


Dell’s Global Command Centers Fix Problems
Before They Hit the Customer

SLA Events
Inventory
Equipment Locations
Social Media
Weather Patterns

Analyze & predict when an SLA
could be violated

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Visualize status & address
impending problems

Big, Fast
Data –
Capabilities
Required

Cloud

Real-Time Visual
Analytics

Hadoop & Data
Warehouse

Real-Time Analytics
& Intelligent Action
In-Memory Data &
Analytics

Mobile people &
devices

£
$¥€

Financial Events

27 |


Social Media Events

Low Latency
Universal Messaging

System alerts,
sensors & machines

Adaptive
Intelligence
for Big, Fast
Data

Cloud

Visual Analytics

Hadoop & Data
Warehouse

Real-Time Analytics

Mobile people &
devices

In-Memory Data

Social Media Events

Universal Messaging

£
$¥€

Financial Events

28 |


System alerts,
sensors & machines

Adaptive Intelligence – The Brain of the Digital Enterprise
SCALABLE PLATFORMS THAT PROVIDE:
Intelligent Actions

(intelligence + automatic action)

§  Optimize
§  Learn
§  Improve

From Big Data

(data at rest and in motion)

Immediately
(at business speed/real-time)

To and From Anywhere
(mobile, Web, POS, sensors, etc.)

29 |


Turning Crisis into Competitive Advantage

Turning Crisis into Competitive Advantage

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