Managing information in the digital age

©InfoSightPartners,2016,AllRightsReserved
A new Information Approach for the Digital Economy
Welcome to the Exponential Age
The Exponential Age is the
Fourth Industrial Revolution
Mark Albala
President, InfoSight Partners

We are in the midst of what is called the fourth industrial revolution
Information is the great enabler, but few manage it as an enabler
Each phase of the Industrial Revolution builds
on its predecessor
Enabler
1st Machinery
2nd Mass Automation (Electricity)
3rd Computer Aided Automation
4th Systematized Process (Information)
INDEXThe Exponential Age is the
Fourth Industrial Revolution
The purpose of this
material is to derive
a roadmap to
managing
information as an
organizational asset
Processes change more
regularly when information
is reconfigured rather than
machinery requiring
reconfiguration

Time is a Major Factor Information Assets
Because it takes less time
to repurpose information,
disruption will be more
commonplace in the
fourth industrial revolution
Companies that thrive in
the fourth industrial
revolution will manage
information as an
organizational asset
Those who Flourish in the Fourth Industrial Revolution Wield Information
In the Fourth Industrial Revolution, information used in business the right
business processes is worth more, understanding which ones is key and is
one of the major roles of the Chief Data Officer
INDEX

Index
Click to navigate to
the sections

Leader in the 3rd
Generation
An example of a
leading disruption
Disruptions in
flight
More
examples
In 1998, Kodak had 170,000
employees and sold 85% of all
photo paper worldwide. Within
just a few years, their business
model disappeared and they went
bankrupt. What happened to
Kodak will happen in a lot of
industries in the next 10 year, and
most people don't see it coming.
Did you think in 1998 that 3 years
later you would never take pictures
on paper film again?
Yet digital cameras were invented
in 1975. The first ones only had
10,000 pixels, but followed
Moore's law. So as with all
exponential and disruptive
technologies, it was a
disappointment for a while, but
within a few short years became
mainstream.
It will now happen with Artificial
Intelligence, health,
autonomous and electric cars,
education, 3D printing,
agriculture and jobs. Welcome
to the 4th Industrial Revolution.
Welcome to the Exponential
Age.
The ability to wield information will
disrupt most traditional industries in the
next 5-10 years. Uber’s product is
excellence in managing information. Uber
is the biggest taxi company in the world,
yet does not own cars, they own
information. Google and Amazon manage
information. Airbnb is now the biggest
hotel company in the world, although
they don't own any properties, what they
own is information.
There is a Chinese blessing and curse: May you live in interesting times.
Welcome to some interesting times.
Welcome to the Exponential Age
Introduction
INDEX

We are in the midst of a major shift
The four phases of the Industrial Revolution (each phase is 50 – 100 years)
First
1760 - 1850
Second
1870 - 1930
Third
1940 - 2005
Fourth
2010 – 2060 (?)
Railroads
Steam Engine
Mechanical production
Electricity
Assembly Line
Mass
Production
Computing & Internet
Semiconductors
Computing Aided
Processes
Mobile
Internet of Things
Systemic Intelligence
Source: The Fourth Industrial Revolution, World Economic Forum, 2016
Each phase of the industrial revolution was met with a high degree of disruptions. We are in the midst of a highly disruptive period.
The first phase was mechanical, where those who were able to wield mechanics flourished.
The second phase was electronic, where those who could make their processes repeatable flourished.
The third phase was computing, where those who could wield computing technology flourished.
The fourth phase wields information, where those who could wield information in their value propositions are flourishing.
OUTPHASINGOFSLAVERY
DEPRESSION
2008MELTDOWN
Major Economic Disruptions
COLONIALISM
Mechanical Electricity Computing Information
INDEX

ACTIVE
INTERNET USERS
TOTAL
POPULATION
ACTIVE SOCIAL
MEDIA USERS
UNIQUE
MOBILE USERS
ACTIVE MOBILE
SOCIAL USERS
GLOBAL DIGITALSTATSHOT
THE NUMBER OF PEOPLE USING DIGITAL, SOCIAL &MOBILE MEDIA AROUND THEWORLD
Source: see We Are Social’s Digital inAPAC2016 report: bit.ly/DSMAP16
SE
P
2016
7.448
BILLION
3.630
BILLION
49%
2.671
BILLION
36%
4.779
BILLION
64%
2.438
BILLION
33%
+1% +14% +21% +28% +27%
INDEX
Growth
Rate
(YOY)
Penetration

The Disruptions Have Started
Companies which live in the digital ecosphere were
first; their product is information (e.g., Google,
Facebook, Amazon, Adobe, etc.)
Postal Disruption
Postal Services have been disrupted by email,
which is being disrupted by instant messaging and
Social Media
Publishing Disruption
The publishing industry has gone from a paper
model to an electronic one, effecting postal services
Entertainment Disruption
The traditional model of a few advertising avenues
has mushroomed, thereby driving advertising
revenues lower. Netflix, Hulu and others are
disrupting this model even further
This level of Interruption is not an outlier
Uber, the taxi company owns no taxis.
AirBnB owns no hotels.
What they own is information.
INDEX
“We’re seeing brick-
and-mortar retailers
meld with the digital as
more locations offer in-
store pick-up for online
orders, while on the
other side, virtual-only
services, such as
Birchbox, open physical
stores”
Trends, 2015

The high speed of business change in the marketplace,
thanks to the digitization of most markets requires a
very fluid information fabric tightly aligned with the
processes that use it by the actors who execute the
processes.
Few if any companies are equipped to deal with this
level of upheaval.
To complicate matters, the time it takes to identify,
model and publish information for this new world order,
which is ill equipped to handle the speed of the
marketplace.
It is not that the processes cant handle the rapid flow,
it’s that they are focused on what is aligned and the
clutter that is not aligned nor capable of producing any
value.
Left without change,
the process actors will
have a choice:
Slow down processes to
identify, validate and
use information
Introduce risk by using
information that may
indeed be noise to the
process
Have data scientists
perform the data to
information
transformation
Use information but
make decisions based
on what “feels right”
Few if any companies are equipped to deal with this
level of upheaval.
The high speed of business change in the marketplace,
thanks to the digitization of most markets requires a
very fluid information fabric tightly aligned with the
processes that use it by the actors who execute the
processes.
To complicate matters, the time it takes to identify,
model and publish information for this new world order,
which is ill equipped to handle the speed of the
marketplace
It is not that the processes cant handle the rapid flow,
it’s that they are focused on what is aligned and the
clutter that is not aligned nor capable of producing any
value.
The SolutionThe Solution
Slow down processes to
identify, validate and
use information
Introduce risk by using
information that may
indeed be noise to the
process
Have data scientists
perform the data to
information
transformation
X
X
X
Use information but
make decisions based
on what “feels right”
X

The ability to wield information is a key differentiator
Data Information
Organization
Aligned to sources to optimize drill back
to source data
Aligned to business processes that
consume the information
Governance
Resolve definitional conflict, prioritize
reference data & metadata initiatives
Eradicate resistance to using
information in business processes
Clutter
Improve the analysis capabilities to be
able to find identified patterns
Eradicate clutter through a number of
techniques
Context
Provide context to data warehouses,
subject data marts and analytic models
Provide context specific to information
as it will be used in business processes
Most organizations manage data and organize it so it can fit a large number of analytical needs. They do not manage
information, which is organized to be consumed by business processes specifically devised to deliver on a value proposition.
It is for this reason that information is heavily utilized for reporting, basic analysis and Business As Usual (BAU) situations,
leaving process actors to corral their own information in Non-BAU and disruptive situations.
The new approach for managing information mandates migration from a storage paradigm to a usage paradigm
INDEX

Internally Sourced Data, storage organized
Internally Sourced Data, usage organized Market Sourced Data, usage organized
Market Sourced Data, storage organized
Information made available to analysts is tightly
controlled and published from internal
production applications.
To facilitate drill through to data, the
organization of data is tightly coupled to the
data sources and data owners of the
applications souring the data.
Information internally and externally sourced
goes through a transformation process which is
regularly updated to align to the current
portfolio of business processes which yield the
value propositions of business models.
Transactional internal data and heard and
learned inferences are synthesized to meet the
needs of business.
Information made available to analysts is
consumed from sources outside the
organization. While transaction data is
important, the data made available from outside
the organization (heard and learned inferences)
is much more prized than the introspective
information available from internal transactional
systems. Information is stored by the source of
the data.
Internal, mostly historical, master and reference
data are used to derive directional guidance to
identify anomalies from internal transaction
streams. The organization of the results are
aligned to processes which yield the value
propositions of business models.
Data lineage is stored to meet the needs of drill
through because data organization does not
align to sourcing.
Typical Drivers
Data Scientist
driven
integration
Data Lineage
Information
Usage
Resistance
Typical Drivers
Data Quality
MDM
Data Lineage
Typical Drivers
Information to
Business Model
Alignment
Information Gap
Remediation
Information
Usage
Resistance
Typical Drivers
Social Media
Log Analysis
MDM
Data Alignment
Clutter Mgmt
Which most typically represents your management of information?
Typically Blindsided by disruptions
Typically Exploits Disruptions
The Four Quadrants of Information Management
TargetQuadrant
TypicalITDrivenQuadrantTypicalCAODrivenQuadrant
Typically Late to Disruptions
Thrives in disruption, but not stable markets
OpportunisticQuadrant
INDEX

Measure the potentially consumed and actually consumed information by usage scenario
(marginally aligned, BAU, NON-BAU, disruptive)
Switch the focus of the technology organization from managing data sources to managing
consumable information products
Change governance intents from improving sourced data to eradicating resistance to
consuming data in business processes
Ensure information made available to business process is prepared in a way that is
orchestrated through controls that are repeatable
Meter the consumption of information by business process using a managed repeatable process
Organize to manage information assets consumed by process, not as sourced data
The New Strategic Intents of
Information Management
Manage
Meter
Orchestrate
Govern
Engineer
Measure
INDEX
STRATEGY:
Manage
information
as an
intangible,
non-depleting
(but expiring)
asset of the
organization
aligned to the
organization’s
current value
propositions
Strategy

Process
Information
A non-expiring
asset consumed
in business
processes
Methods
Prepared by
Inventory
Machinery
Strat
Influenced By
Not all use of
information is
equal
Realized
Realized by
Information not
measured has
limited value
When is it Information?
Information is a non-
expiring asset of an
organization that
only obtains value
when it is consumed
in business processes
associated with a
value proposition.
Machinery is applied
to convert data into
information. The
machinery must be
able to prepare
information faster
than the business
process cycle time.
Information is worth
more when it
influences
realization of large
amounts of value.
This realization is
stratified by the use
class of information.
The value
attributable to
information must be
measured or
achieved value will
be applied elsewhere
Information is constructed from data; machinery is used to align information with
processes orchestrated by a business model that produces value for the organization
Value
Value Applied
Information
receives a % of
the value of
business models
While information
value is measurable,
there are too many
soft measures in
measurement.
Rather, an approach
similar to royalties
will be applied.
INDEX

Information Inventory
The finished goods inventory which is managed similarly to other
non-depletable intangible assets of the organization. In a perfect
world, all impediments, such as information trustworthiness, are
removed from information in the WIP processes.
Work in Process Inventory
The interim state which is processed by the machinery which
prepares data for tight alignment with processes specifically
devised to deliver organizational value per the value propositions
of business models.
Data Inventory
The corporate knowledge, heard inferences, learned inferences
and innovations not yet aligned with business processes. The
raw materials of data must continually be managed in WIP
processes to ensure alignment with business processes as they
are transformed into consumable information.
Exactly what are information assets?
Data is the raw material asset which is constructed into information
Information is the finished goods inventory which is consumable by business processes
ValueoftheInformationAssets
INFORMATION
INVENTORY
WIP
INVENTORY
INDEX

The platforms adopted by your stakeholders will be complex
Below is a list of technologies available to one of the functions, marketing, each having its own underlying data requirements
INDEX

CHANGE
VISION
CLUTTER
MAPPING
Because business process changes
more rapidly, the mapping of
information will similarly change.
This will require information models
to be highly fluid.
Algorithms to serve as early
warnings using information created
outside the organization will serve
as triggers to action
Information no longer mapped is
clutter and will be either archived
or de-emphasized
Information is mapped to business
processes as part of a CDO
blueprint. This blueprint is
foundational.
THE NEW
ORDER
Mapping to process,
not information source
In order to participate in
the digital age,
information must align to
business processes, not
data sources
INDEX
Bringing the information house in
order will necessitate major
changes to the way information is
managed, it is not simply a
document that maps source to use
but a more fundamental shift in
managing information assets.

USABILITY
ACTIONABLE ACCESS
CLUTTER FREE
The technology to insulate process actors from the
complexities of information must be available at the
convenience of process actors
The information must be organized in such a way so
that it can be accessed for action without
transformation at the convenience of process actors
The information must be clutter free so it and its
context can be found without significant effort
Managing
Resistance
CONTEXT
Context for the scope, derivation, definition and
applicability of information must be available at all times
TRUST
Information published for consumption must be
considered de facto trustworthy
INDEX
The governance function should be mandated to identify and eradicate
resistance to using information in non-BAU and disruptive scenarios

Measure
Influence
Accelerate
Optimize
Metrics
• Measure the value of information consistent with
the methods used for other organizational assets.
• Positively influence the impact of information
as a competitive weapon.
• Accelerate the processes used to deliver
information.
• Optimize the value of information (CDO Blueprint,
Governance elimination of resistance).
• Publish metrics to drive the new strategy
In the digital economy, while most organizations believe
information is a valuable asset of the organization, few have
found a way to measure the value of information
Measure INDEX

1 2 3
Finished Goods
Inventory of
information is
engineered from the
CDO blueprint and
aligned to a value
proposition .
The value propositions of
business models are
dependent on usage
scenarios (BAU, Non-
BAU, Disruptive).
Information carries the
same usage dependency.
A proactive repeatable
process which manages
the consumption of
information assets and
records value is
required. This generally
does not exist today.
4
The new strategy will
require re-alignment
of roles to shift from
managing information
by source to managing
information by use.
INDEX

©InfoSightPartners,2016,AllRightsReserved©InfoSightPartners,2016,AllRightsReserved
t
FV = PV(r) ∑
t=0
PV(r)
+ Tax
Benefit
Revenue
Expenses
CapEx/WC
Taxes
The case for a royalty approach to attributing value to information
Information is an intangible asset which is allocated a pre-determined % of a value proposition
t
FV = PV1(r) ∑
t=0
Expenses
CapEx/WC
Taxes
Revenue
t
– PV2(r) ∑
t=0
Revenue
Expenses
CapEx/WC
Taxes
Benefit
PV3(r)
+ Tax
While the math is entirely possible, the
measurement of the percentage of
value proposition attributable to the
information consumed is still going to
be subjective.
A much more defensible approach is to
use a royalty type approach to
measuring information value.
Innovated ValueNon-Innovated Value
INDEX
Source: Canadian Institute of Chartered Business Valuators

Producer Split
Governance, machinery
costs offset
Incremental Value
recognized revenue split
Promotion Split
CDO, DAM Cost Offset
Production Costs
Provisioning + Machinery
DevOps
Operations Costs
Continuous realignment
of business process with
information, operations
associated with
algorithms
Promotion Costs
Processes to ensure the
availability of the
appropriate fully
contextualized, just-in-
time, trustworthy,
actionable information
The Data Asset Manager
(DAM) orchestrates the
Information Asset Royalty
Recognition (IAR) processes
The net value of information assets is the
equal to the recognized revenue split (as
defined in the IAR processes) less the
production and promotion cost offsets
Costs Revenues
People
Recognition
Recognition of
value associated
with information
assets
Royalty Approach to Information (Click the center circle for more information)
Production Costs are:
• The costs to obtain raw materials
(data),
• Standardization instructions
(reference data),
• Developed Code used to align
information with processes,
• Instructions required to eradicate
resistance
• And operational instructions to ensure
that information is available just in
time for processes
Production Costs
Provisioning + Machinery
DevOps
The promotion costs are those spent on
the publication of a catalog which is used
to communicate
• What information is available
• What has been done to improve the
context, trustworthiness and action-
ability of the information
• What has been done to ensure the
alignment of process with information
• Communication of the information
lineage and proof of it’s accuracy
Promotion Costs
Processes to ensure the
availability of the
appropriate fully
contextualized, just-in-
time, trustworthy,
actionable information
The operations Costs are related to the
operational controls put in place to
ensure that information is available for
manually and automated processes
(models, algorithms) just in time for the
execution of the business processes
Operations Costs
Continuous realignment
of business process with
information, operations
associated with
algorithms
Production
Costs
Promotion
Costs
Operations
Costs
Value
Recognition
Recognizing Revenue
Producer Split
Promotion Split
Most organizations do not measure the
sharing of value produced by the
consumption of information in business
processes.
By using a royalty approach to measuring
this information, a pre-determined split
based on how information was consumed
(reports, BAU, non-BAU, disruptive) is
applied to compute a value for
information used in business processes.
How it’s
done
Most organizations would consider
themselves delirious if they did not
actively manage inventories or receivables.
But that is exactly what they are doing
with information. That is because they do
not treat information as an asset of the
organization.
Just like a person is assigned to manage
inventories and receivables, a person is
required to manage the information assets
of the organization, the Data Asset
Manager (DAM)
A repository containing what information
is consumable by process is available to
the data asset manager.
When information is consumed, it’s use is
recorded (new capability), and the Data
Asset Manager will use the repository to
assign value to the consumption of the
data asset.
The data asset manager administrates
data, WIP and information inventories.
Click here to continue
INDEX

The recording of the availability
and use of Information Assets is
at the heart of the information
value recognition process
Potential and actually achieved
information value is recorded in
the registry
CDO
CIO
Administering the Royalty Approach to Information
The
Information
Asset Registry
Actors
The people who are accountable,
responsible and participate in a business
process
Processes
The processes that participate in
achieving a business model value
proposition
Information
The information consumed in a business
process
Potential
The value that can be achieved when
information is consumed
Actual
The value of information actually
achieved by being consumed in
business processes
Resistance
Information that can be consumed by
business processes but for one reason
or another was not consumed
Attributes of the mandatory process:
Administered through a repeatable
orchestration layer that ensures
uniformity in the value recognition
process
Utilizes a central repository shared by
all who participate in the information
creation and valuation processes
Records the results of the information
valuation process so that it can be
reviewed by third parties
INDEX

Business Model
The Business Model and business
model components that encompass
the strategies and tactics that create,
capture, extend and protect
organizational value.
Process
The processes that are executed
as a means to realize the
strategies and tactics of the
business model.
Information
The information consumed in
processes used to capture, enhance,
expand and protect organizational
value.
Resistance
The items that discourage usage of information
in processes, such as information clutter, lack
of context, trustworthiness and other factors.
A Model to Map the Value of Information
Processes consuming information within business models
Ways to
Obtain
Value
CREATE
CAPTURE
EXTEND
PROTECT
Thwart
Risk
Cross/ Upsell
Capture
Opportunity
Innovate
Business Models represent the
intents of the business. They are
executed by business processes of
the organization, and each of
those processes source and/or
produce information (not data)
The value of information is
measured as an enabler of the
processes consuming the
information. The information is
an intangible asset which has
value by the fact that it was
instrumental in making the
outcome of the business process
successful.
Value: % split of value
propositions which protect,
extend, capture or create value
Potential: CDO consumption map
Resistance: The forces that make
it difficult to use information in
business processes.
Strategic: Eradicate resistance to
enable use of information when it
is worth most, namely in non-BAU
and disruptive scenarios.
Accountability: Governance
Metrics: % Potential Value (CDO
map) Realized
INDEX

Mapping the intersection of processes and information
The potential value of information is registered at the intersection of processes and information.
Through use of benchmarks, interviewing
and other methods, an inventory of
processes, information and actors (RACI)
is constructed.
Key initiatives that will improve the use of
information in situations where premium
value is achievable are prioritized.
Resistance, or the items which impede
the use of information at the most critical
times, are identified and prioritized by
governance for elimination.
The potential value of information is
equal to the consumption points of
information in business processes
devised to obtain a value proposition.
Business Models
and
Associated
Processes
Information Assets
and Source Data
Actors and
Accountabilities
Potential Value (Possible Intersection)
Actual Value (Consumption of Information)
Resistance (impediments to using information at critical times)
Less
Equals
INDEX

Mapping Information Flows to Business Processes
Each process orchestrated to
complete the expected outcomes
of the business model either
consumes, creates or dispatches
information.
Each of those information flows
are associated with achieving
value to the organization.
A set agreement detailing how
value will be associated with the
consumption of information is
negotiated and the value.
There are information inputs and outputs from each business process. The consumption of these information
assets as inputs and outputs of the business process are registered as achieved value of the information assets.
The value of information is the
accumulation of information
consumed in business processes,
either as input, output or process
managed information.
Information Input
(used for analysis)
Critical Information
Input
Process
Information
Output
(execution
plan)
Process Managed
Information
Execution Feedback
Collaboration
Information
Triggering Information (critical info)
ClosureInformation
Process Managed
Information
Information
Output
(execution
plans)
Information Input
(used for analysis)
Critical Information
Input
Execution Feedback
Some important notes:
The triggering process is information
used to identify when a process should
be triggered
In Non-BAU and disruptive scenarios,
this triggering information is an early
warning system and has exceptionally
high value if utilized.
Some important notes
Critical information will be obtained
from a variety of sources as deemed
necessary to identify what has
happened, derive and test hypotheses,
and derive and coordinate action plans.
Algorithms and models are vehicles to
pre-wire information in a specific way
so that it can be consumed quickly.
The ability to collaborate execution
plans quickly so that the information is
used in a consistent manner is as much
a determinant of success as is utilizing
the right information.
Algorithms and models force a level of
consistency, as long as they are aligned
to the process they are integrated into.
Without this integration, they are little
more than another reporting source.
An alignment validation is a process
which uses the repository of processes
and information as its source and
validates that the alignment baked into
the information and the algorithms and
models that automate the consumption
of this information still holds true.
If there is a misalignment, then the
information machinery is adjusted, the
information is recast and any
automation is retrofitted.
This process should occur regularly.
Alignment
Validation
Collaboration Fit
(RACI validation)
Information
Output
(execution
plans)
Information Input
(used for analysis)
INDEX

The process to record information value
1
The Chief Data Officer (CDO) records the potential value
achievable into the Information Value Base based on the
Information / Process / Actor Map and the agreed to
information value % allocations of value propositions
2
When a process is run, a call to an object is made which
records a transaction of when the process was executed and
whether information available to the process was retrieved
3
The Data Asset Manager (DAM) uses the information / process
/ actor map and the usage transactions through an analyzer
application (a function of the orchestration process) to
determine the appropriate royalties for the period.
The repository is central to the recognition of information consumption
4
The Data Asset Manager (DAM) uses an orchestration process
to record information value for the period and computes
resistance based on processes executed but information
mapped to a process not consumed.
Info / Process Map
Royalty Splits
Potential
Information
Value Base
Step 1
OBJ
Step 4
Value is
assigned
Royalty Analysis
Application
Step 3
Analyzer
Process
Step 2
Usage of a
information is
recorded
Information
INDEX

The information leaders in the digital economy
New roles for the digital economy
CDO
DGC
Chief Data Officer (CDO)
The CDO is accountable for
managing and directing the
alignment of information and
process and is measured by the
value achieved through the use
of information.
Chief Risk Officer (CRO)
The CRO is responsible for
identifying and prioritizing the
eradication of systemic risks to
the organization, which have
information centric implications.
Chief Information Officer (CIO)
The CIO is the engineer for the
machinery that turns data into
information and eradicates
resistance from the
information.
Chief Analytics Officer (CAO)
The CAO is accountable for the
automated models and
algorithms used to achieve
information value, which
consume information, not data.
Data Governance Council (DGC)
The DGC is accountable for
eradicating resistance in the
overall framework.
Data Asset Manager (DAM)
The DAM is accountable for
managing the information
assets of the organization and
recording a revenue split for
use of the assets.
Organize
INDEX

©InfoSightPartners,2016,AllRightsReserved©InfoSightPartners,2016,AllRightsReserved
Some Key Metrics in Information Valuation
WHO WHAT METRICS USED FOR MEASUREMENT
Chief Data Officer Responsible for elevating the potential value
of information, forging information valuation
splits
Year over Year change in information asset
valuation, % of non-actionable information
recorded as potential value
Data Asset Manager Maintain the repository used for recording
potential information asset valuation
% of processes mapped, % of adjustments
made to the information valuation process
Data Governance Council Identify and eradicate impediments to using
information in business process
Actual / Potential Information Value
Data Governance Council Identify and foster the repeatability of
analytic models and algorithms
% of models and algorithms automated
Chief Information Officer Develop and Maintain the processes that
transform data into aligned information with
minimal usage resistance
% of Transformations managed by Data
Scientists, business professionals
Chief Risk Officer Assess the % of disruptive (require business
model innovation) uses of information
% Disruptive Index, by Internal (Fraud, etc.)
and External (competitive) Disruption
INDEX

In the digital economy, the repository is a
central requisite to managing information
The repository
houses the
basis of
information
value
CDO
I eradicate
resistance
and foster
repeatability
I define the
alignment
I find risks
DGC
CRO
DAM
I administer
the assets
and the
repository
CIO
INDEX

Major Organizational Roles INDEX

Business Process
01
Business Models
Business Models are
collections of business
processes which
together reap
incremental value for
the organization.
04Governance
Governance is the
body accountable to
eradicating obstacles
that prevent
consuming data as
part of the business
processes.
02
Information
Information is a
collection of non-
expiring assets
aligned to business
processes.
03 Data
Data is the raw
material which is
transformed into
information through
governed machinery.
The altered Role of Governance
Governance is the body that eliminates obstacles to using information in business
processes and improves repeatability in analytic models and algorithms
IT IS IMPORTANT
Just like electricity, resistance is highest when the flow, or need for information, is greatest
Governance’s worth is earned with eliminating obstacles on disruptive and non-BAU situations
The
consumption
of information
by process
yields value
Machinery
Govern
INDEX

01
Data Quality
Programs
Data Lineage
Programs
04
Alignment and
Prioritization
programs
02
Information
Half Life
Programs
03Metadata,
Reference Data
and Master Data
Programs
TRUSTWORTHINESS
Information can not be put to
work quickly if it is not
trustworthy.
ACTIONABLE
Having information trivia,
expired information and easily
misused information hiding a
pathway to what is actionable
is a great source of
information resistance.
CLUTTER
If what is important is hidden
with information clutter, then
finding what is important will
be an impediment to using
information at critical moments.
CONTEXT
An understanding of the
context and scope of
information is necessary to
properly use it at critical
moments.
What does eradicating resistance mean?
The Information / Process map defines what resistance needs to be addressed
CDO Information / Process Map
Governance’s primary role is prioritizing and sponsoring the efforts to eradicate resistance.
INDEX

Mapping Resistance as a Prerequisite to Eradicating it
The more critical and time sensitive a business process is, the higher the effects of resistance to the use of information in business processes.
It is a primary role of governance to eradicate resistance through well defined programs. In this way, governance directly impacts the value of
an organization’s information assets.
Trustworthiness Information is de-facto expected to be validated prior to
consumption by business processes.
Clutter More is not better, especially when clutter obfuscates the
important information that would make a difference.
Context Providing meaning to the information through metadata and
semantics gives the necessary context to use information.
Expiration Information has a half life, and keeping expired information
available to analyses compromises trustworthiness, adds to clutter and
often leads to inappropriate actions.
Trustworthiness
Clutter
Context
Alignment
Expiration
Alignment The alignment and timing of information to business
processes changes regularly as market forces change, not performing
the necessary adjustments leads to misalignment.
The cost to fix a data error at the time of entry is $1.
The cost to fix it an hour after it’s been entered is $10.
And the cost to fix it several months later is $100+.
Trustworthiness Factoid to think about
Stephen Hawking
Clutter Factoid to think about
Trying to drink from a firehose of information has harmful cognitive effects.
Newsweek
Measuring Information Expiration
All information expires, and it’s expiration is based on its quantitative value. The
quantitative value decay is called the information half life, which is measured by the
following formula:
Qualitative Data Value = ((Data Usefulness) X
(Loss to Competitive Advantage) X (Timeliness))
INDEX

Valued
Actual
Information is constructed from heard inferences, learned
inferences, the body of enterprise knowledge and innovations
Data transformed by machinery administered by the CIO to align
to business processes and eradicate usage resistance
Information (transformed data) cataloged for consumption by
business processes
Information that has been consumed (it can be consumed more
than once up to the expiration date)
Information whose consumption has been recognized by the
Data Asset Manager
The Data Asset Manager (DAM) administrates the inventory of information assets
Actual
Potential
WIP
Data
The Classes of Information Assets managed by the DAM
INDEX

Governance’s Toolkit
Governance eradicates resistance through several programs
Quality
Governance ensures
consistent operational quality
of data and information
Quality must be encapsulated
in a repeatable, measurable
process
Clutter
The culling /
demotion of expired
and once required
information.
Meta, Reference
& Master Data
The metadata,
master data and
reference data
programs that ensure
consistent definition
of information
Enlightenment
Governance
promotes the use of
the information
catalog as a vehicle
for finding the right
information
Context
The context of
information available
for analysis made
available through
metadata and other
means.
Conflict
Governance ensures
the publication of
metadata lineage and
operational lineage,
where available
Lineage
Governance ensures the
publication of metadata lineage
and operational lineage, where
available
It is important for organizations
to determine whether they will
deliver operational lineage
(procedural exceptions)
Security & Privacy
The assurance that
information made
available is protected
from influencing damage
through reputation,
breach regulatory and
other security and
privacy concerns.
The effectiveness of governance is measured as actual value achieved / potential value achievable
INDEX

Valued
Actual
If data aligned with its sources is not transformed into
information aligned with business processes then it wont be
used at the critical moments.
The time available to re-align data into information in lockstep
with business process changes is critical to ensure usage of
information
Eradicate resistance and enhance re-usability of models
and algorithms
Ensure that information is utilized in BAU, Non-BAU and
disruptive business scenarios
Information usage not captured will not be recorded
Governance needs a repeatable framework to ensure trustworthiness of created metrics
Actual
Potential
WIP
Data Information
What and how does Governance Orchestrate
Govern the rate of
change and % non-
actionable
information (clutter)
Govern the time required
to alter the processes
A repeatable governance facility and associated orchestration layer (workflow) is required to
Govern the ratio of actual to
potential information value
Govern the value achieved
by type of business scenario
Orchestrate the process to
recognition of information value
through a repeatable process
INDEX

For Information to be managed as an asset
The governance mandate requires redirection
Eradication of Resistance
Eradication of resistance to using
information when it is most valuable is the
means in which governance will participate
in value creation.
Agent for Repeatability
Ensure as much information alignment to
process, particularly in the cases of
analytics, is repeatable.
Marketing the Catalog
Facilitating the ability for business
process owners to know how to find
the information they need .
Resolving Information Conflict
The traditional governance role
survives but for information aligned
with process, not all data.
Coordinative Role
The coordinative glue between the
CIO, CDO, CRO and DAM.
Governance Effectiveness % equals
(actual value achieved divided by potential value achievable)
INDEX

Measuring Governance Effectiveness
Extending the role of governance for managing information assets
Cost of Data Assets
The cost of obtaining and
maintaining data
Governance provides organizational
value by culling out processes that
propagate machinery used to
construct information no longer
aligned to business processes
Agreements to acquire data no
longer used will be cancelled
1
2
Eradicating Conflict
The traditional definition of
governance is eradicating conflict in
the definition and use of data, not
information (data is not aligned with
process, information is)
3
Eradicating Resistance
The difference between potential and
actually achieved value associated
with information assets
4
Repeatability
Ensure as much analytics are
repeatable as possible to enable their
prep time to be minimized, required
for disruptive and NON-BAU situations
Governance Effectiveness % = (actual value achieved / potential value achievable) * 100
INDEX

Information has value only when consumed by business processes
The value of information is highly correlated with the value propositions of business models
Value Category Information’s Role Business Terms Value Measurement
Capture
(% of Incremental value)
Sales Campaign Information
Identify Opportunistic Items
Sales Campaign Results
One Time Opportunities
Systemic Opportunities
Present Value of the information’s role in
identifying and capturing value from others
Extend
Identify Extensions to
customer relationships
Up Sell and Cross Sell
Sales Funnel Activities
Present value of the information’s role in
identifying and capitalizing on deeper customer
relationships
Protect
Eradicate risks which would
otherwise erode value
Opportunity Risk
Operational Risk
Fraud and Process
Aberrations
Present value of the information’s role in
protecting from other’s attempts to capture value
and protection from regulatory fines
Create
(Greenfield)
Innovate which in best cases,
ripples a disruption through
the marketplace
Innovation Introductions
New Product Lines
New Methods
Present value of the information’s role in realizing
discounted cash flows associated with market
revenues realized from the innovation
INDEX
Orchestrate

Value
Metrics
Royalty approach to measuring information value
The registry is the central
repository of information that can
be consumed by processes
mapped to business models (BMC)
A pre-arranged % split of value propositions is applied to the information consumed by business processes used to execute a business model,
the % split is potential information value.
The value is highly dependent on the situation in which it is consumed (static or standard BI, prescriptive and predictive analytics in BAU
situations, and NON BAU situations.
Chief Data Officer
Optimize the Value
Framework
Obtain Information
Value Split
agreements
Data
Governance
Eradicates
Resistance
Influences
Analytic
Repeatability
Data Asset Mgr.
Administers
Repository
Manages
Inventory
Records Value
INDEX

CDO Tool: A representation of business models
and consumable information: The BMC
Rivers of information flow
through the processes that
together form the business
models of the organization.
In order to manage the
information assets and optimize
their value, it is important to
understand how information is
used in processes.
While the traditional business
model canvas (BMC) does not
discuss information, it is easy to
map the rivers of information
that flow through the business
model using the BMC.
Strategyzer, 2012
INDEX

©THEGROVECONSULTANTS INTERNATIONAL
DESIGNA
BETTER
BUSINESS
The 5 bold steps vision canvaswas originally designed by David Sibbet
5BOLDSTEPSVISION®CANVAS
COLLABORATION How will you collaborate your actions?
SUCCESS CRITERIA How will you measure the success towards this vision statement?
VISION STATEMENT What is the vision you are planning to execute? BUSINESS THEMES What are the themes of the playbook used to realize this vision?
5 BOLD STEPS What are the big steps towards your vision and who is accountable ?
SUPPORTS What are the supports that improve the chances of reaching your vision?
CHALLENGES What are the challenges that hinder reaching your vision?VALUE PROPOSITION What is the value proposition for this vision?
THIS VERSION BY INFOSIGHT PARTNERS, LLC 2016
INFORMATION What information is used to identify supports and challenges?
In Collaboration with business strategy leaders,
the CDO maps vision and value propositions to information via a business model
INDEX

SOURCE
PLANNINGOUTMARKETDISRUPTIONS
What new consumer needs, wants and
expectations are created by the changes?
Where and how does this trend satisfy them?
Which (new) customer groups could you apply this
trend to? What would you have to change?
How are other businesses applying this trend?
Which deep consumer needs & desires
does this trend address?
Why is this trend emerging now? What’s changing?
Shifts: Long-term, widespread macro changes Incremental changes and sentiments serving as the impetus for the disruption
Emerging Consumer Expectations
Basic Needs Drivers of Change
How and where could you apply this trend?
Innovation Potential
Inspiration Who
Innovations and planned disruptions
TREND CONTEXT
Planned target equilibrium Triggers and Tipping Points
INDEX
This version by InfoSight Partners, 2016
INFORMATION
Identifying
Tracking
Visioning
Driving

BYDESIGNABETTERBUSINESS.COM
Thisworkislicensed under a Creative CommonsAttribution-ShareAlike 4.0InternationalLicense.
http://creativecommons.org/licenses/by-sa/4.0or send a letter to Creative Commons,
171Second Street, Suite 300,San Francisco,California,94105,USA.
DESIGNA
BETTER
BUSINESS
WHATISTHESCENE
FOREXECUTION?
VISION SUBJECT What is the vision about?
VISION STORYTELLING CANVAS
The CDO maps information to the vision statement, processes used to execute the vision and supporting information
This version by InfoSight Partners, LLC 2016
VISION GOAL What should be achieved by this vision? VISION AUDIENCE?
Who is the audience?
EXECUTION
CONDITIONS
WHATISTHEAUDIENCE
A-HAMOMENT?
WHATISTHECALLTO
ACTION?
WHATARETHEDESIRED
AUDIENCEREACTIONS?
SUPPORTING
INFORMATION
TRIGGERING
INFORMATION
AUDIENCE
CONTEXT
ACTION
MODELS
MEASUREMENT
CRITERIA
INDEX
PROCESSES ENLISTEDThe storytelling canvas
represents the list of
processes that support a
vision, which when
executed properly result in
successfully realizing a
value proposition.
The processes utilized
consume information as
detailed in the storytelling
canvas.
The vision represents the
means and conditions
under which a value
proposition will be
realized.

Contents of the Registry
Actors (RACI) Information
Business Process
Registry
Data
The Registry
The Registry is the central
repository used to record
potential (information
poised to achieve value in
business processes) and
actual (value achieved by
information being used in
business process) value,
and represents the
intersection of information,
business processes
consuming information and
people using information
within business processes.
Data = Information
Data is the raw materials of information.
It becomes information through the
machinery managed by the CIO to
 align it to business process,
 align it to master, meta and reference
data,
 add context to it’s use and scope and
 provide details of its quality, vintage,
integrity and lineage.
Business Model
(BMC)
Value Proposition
Machinery
INDEX

An Information Valuation Situational Framework*
Value influenced by
redirecting business
model based on
NON-BAU forces
Value influenced by
maintaining business
model trajectory
Information used
to steer in an
expected business
trajectory
Profit center
aligned
Activity and other
reports
Cost center
aligned
Capital and expense
used to produce
information
Information
Alignment
What returns
value?
Value
Participation
DISRUPTIVENON-
ACTIONABLE
BAUNON-BAU
Not Yet Aligned
Forces at Work Info
Use
Value influenced by
recasting business
models caused by
disruption
Algorithms triggered
to create / respond to
disruptions
Information used to
collaborate actions
based on NON-BAU
forces
Risks Value
J JL
J K J
L J K
L
?
J
K
L
There is a tight correlation between the situations in which information is used and
the value the information can provide
* Assumes alignment to business processes devised to fit business models Half Life React TimeResistance
Minor
Minor
Half Life
Impact
Half Life
Cause
Resistance to using information increases from information appearing on reports to information
associated with disruptive forces.
Amount of value achieved:
1. The least resistance and lowest value recognition is associated with reports (not specifically
mapped), because the likelihood of them being directly consumable by business process is low.
2. Business as usual scenarios receive value as mapped in the business process. There are no
extraordinary gains because the value achievable by the value proposition is as expected.
3. Non-BAU scenarios potentially have added value because there are added value opportunities.
4. Disruptive scenarios have the highest potential value.
Resistance increases as scenarios go from reporting to BAU to Non-BAU to disruptive scenarios.
The mission of governance is to eradicate information resistance and ensure the information made
available for consumption as devised by the CDO’s playbook is not derailed due to resistance.
INDEX

Analytics and value
Making as much of analytics repeatable as possible
Non-repeatable
analytics best fit
BAU situations
There is not time to
form and populate
analytic models in
disruptive situations.
Governance
prioritizes
repeatability of
analytics.
What Why How
Repeatability
Methods, models and algorithms ingest information in
predictable and repeatable ways
Manual processes do as well, but it is left up to the analyst to
ensure consistency
Analytics requires information
Governance is accountable for prioritizing the
selection of analytics targeted for repeatability
and possible automation.
Governance is accountable
Governance drives the repeatability metrics of analytics
The time required to identify the data for an
analytic model, ensure the appropriateness of the
collected information and fit it to a model is not
available for explosive, disruptive circumstances
By ensuring repeatability where models and
algorithms are either executed through
automated means or are wired for execution at a
moments notice, the population of analytics
available for disruptive circumstances will be
increased.
INDEX

Business Model
The Business Model and business
model components that encompass
the strategies and tactics that create,
capture, extend and protect
organizational value.
Process
The processes that are executed
as a means to realize the
strategies and tactics of the
business model.
Information
The information consumed in
processes used to capture, enhance,
expand and protect organizational
value.
Resistance
The items that discourage usage of information
in processes, such as information clutter, lack
of context, trustworthiness and other factors.
A Model to Map the Value of Information
Processes consuming information within business models
Ways to
Obtain
Value
CREATE
CAPTURE
EXTEND
PROTECT
Thwart
Risk
Cross/ Upsell
Capture
Opportunity
Innovate
Business Models represent the
intents of the business. They are
executed by business processes of
the organization, and each of
those processes source and/or
produce information (not data)
The value of information is
measured as an enabler of the
processes consuming the
information. The information is
an intangible asset which has
value by the fact that it was
instrumental in making the
outcome of the business process
successful.
Resistance is the forces that make
it difficult to use information in
business processes. These forces
can be lack of trust in the
information or inability to find the
necessary information due to
clutter.
In this asset management
strategic approach to information
management, governance is
directly accountable for
eliminating resistance that
prevents the use of information
at critical times. By eliminating
resistance, governance is directly
impacting the value of
information.
INDEX

The expected outcome of the orchestration effort
1
The repository represents the CDO’s blueprint and changes to
the blueprint, which are codified in the data to information
processes.
2
The engine, the OBJ in the process, is a callable module which
captures information requested for business process so that
value can be applied to it. The analyzer is the process run by
the DAM to apply value to consumed information.
3
Today, the benefits of capturing information value are purely
for internal purposes. However it is not inconceivable that
there will be at some point external reporting of the
effectiveness of the information assets of the organization.
The repository contains proof of an auditable repeatable process used to orchestrate valuation of information assets
4
The value base becomes the central repository of the basis
applied for information valuation, whether reported as a
metric for potential investors, management use or other
purposes.
CDO Blueprint
(Info / Process Map
Royalty Splits)
Information Asset Value
Repository
 CDO Blueprint
 Potential Value
 Actual Value
 Resistance
 Metrics
Step 1
OBJ
Value is
assigned
Royalty Analysis
Application
Step 3
Analyzer
Process
Usage of information
is recorded
Information Step 4
Step 2
INDEX

Information Assets
Registering Value to the use of Information
When Information is consumed
by a business process, its use is
recorded and a pre-determined
percentage of value associated
with the business process is
assigned to the information.
A pre-determined premium is
assigned to the use of the
information in Non- BAU and
Disruptive instances of business
process.
A new role, the Data Asset
Manager, is accountable for
recording the recognition of
value associated with
information.
When information is used in business processes as prescribed in business models mapped to information, the
value of that information is recorded and tracked. The cost of obtaining data and transforming it into
information is subtracted from the value recorded for the use of information. The remainder is information’s
net contribution to an organizations achieved value.
The Information Assets of the
organization can be recorded as
a balance sheet item of an
organization.
Potential Information
Value Registry
Information Consumed in
a business process is
recorded
Record Information value
associated with business
process instance
Recognized Information
Value
Business Process
Source Data
Machinery
The Data Asset Manager
(DAM) administrates the
Potential information value
registry (1),
Records recognized
information value (2),
And measures the
information use resistance
(potential (1) less actual (2)).
1
2
Journey INDEX

Click the roles
(1 – 6) in order
for more
information
CDO CRO
DAM DGC
InformationAssets
CIO
Accountability for the Information Assets
New Strategies demand new roles (click roles for more information)
Chief Data
Officer
Chief Risk
Officer
Data Asset
Manager
Data Governance
Council
Chief Information
Officer
Strategic : Direction Setting
Tactical : Enhance Value
Operational : Own Machinery
The CDO is
responsible for
aligning information
with business
processes in ways
that maximize
information value
The Chief Risk
Officer is
responsible for
protecting the
information assets
and use of
information assets
The Data Asset
Manager is the
inventory manager
of Information
Assets
The Data
Governance Council
is responsible for
eradicating
resistance, or
impediments to
using information at
critical times
The CIO is
responsible for the
machinery that
transforms data into
information and
eradicates
information use
resistance
The non-depleting
but expiring
intangible assets of
the organization (raw
materials data, WIP &
finished goods
information
inventory).
1
2
3
4
5
6
Click here to continue
INDEX

Putting it all together
The Business Model Canvas is an visual
model that graphically depicts business
model.
From an information vantage point, the
BMC is being used to determine and
register information consumed within
business processes.
The valuation of information consumed in
business processes will be determined by
the criticality of the specific instance of a
business process.
The Business Model Canvas (BMC) is an easy to explain graphic depiction of business models. Information only
has value if it is used in realization of a value proposition. Rivers of Information flow through the components
of the BMC, which should be mapped and registered if information value is to be measured.
Information valuation will be recorded similarly to
processes used for royalty recognition of digital
assets.
BusinessModelCanvas
ProcessesSupportingBMC
InformationConsumedinProcesses
Machinery used to transform the raw materials of
Data into Information
The resistance to using information at critical and
time sensitive times
The willingness to use information at critical and
time sensitive times
The ability to meter the use of information in
business processes
The conversion of potential value to achieved value for the organization’s information
assets
INDEX

MachineProcess Potential Record
Initiate a program that
maps the potential
value achieved from
information within
business processes.
Create a facility that is
used to record the
potential value achievable
from information and a
corresponding process.
Develop the facilities and
accountabilities to recognize
value when information is
consumed in business
processes.
Identify and prioritize the
eradication of roadblocks
impeding the conversion
of potential to realized
value from information.
Map Information flows
in business processes
through the business
model canvas.
Record the potential value of
information by mapping
information to process and the
source data used to manufacture
consumed information.
Assign accountability to
record the use of
information in ways similar
to royalties associated with
digital assets.
Fine tune the
machinery so that
information can be
used in situations
where premium value
is achievable.
Adopting A New Information Asset Management Strategy
Map information to
business process
Develop processes to register
potential value of information
assets
Ensure the information machinery
is capable of operating in situations
of premium information value
Develop processes to record the
use of information in business
processes
The first step should be to devise a roadmap to a new information strategy which values the
wielding of information similarly to recognition of royalties from digital assets
INDEX

Assign a Data Asset Manager (DAM) and organize to perform the
information asset management processes
Architecting your next-gen information strategy INDEX

Return
to the
Index
Q & A
InfoSight Partners’ mission is to facilitate the journey companies take to
gain focus into the value of their information assets.
Once this journey is started, a new approach to managing the
organization’s information assets gains clarity.

Managing information in the digital age

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