Met Big data bezig? BIG data: BIG challenge, BIG threat, BIG value or. BIG hype?

(1)

BIG

data:

BIG

challenge,

BIG

threat,

BIG

value or….

BIG

hype?

STOHA

congres:

De

civiele ingenieur in

'The

Matrix‘

19

mei

2016

Objectives

Objectives/Agenda

1) BIG data Whatis different?

2) Whyis BIG data relevant?

3) How can big data drive business model innovation? 4) Inspire: examples of data‐driven business innovation.

5) ?

Prof. Dr. J.F.M. (Frans) Feldberg

Professor Data‐Driven Business Innovation Faculty of Economics & Business Administration VU University Amsterdam

Department: Information, Logistics and Innovation

Business Consultant.

FransFeldberg

[email protected]

INTRO

Knowledge, Information and Innovation (www.kinresearch.nl) Research/Education:

• Business Intelligence & Analytics/BIG data • Data‐driven business model innovation • Online decision making (DSS & GDSS)

• Online (buying) behavior(emerging technologies)

•Bachelor and Master Business Analytics

•Multidisciplinary Research Center

•Eco System: Businesses & Science

•One stop shop: Access to all relevant academic Expertise

•Post Graduate Education: Business Analytics & Data Science

(http://www.feweb.vu.nl/nl/opleidingen/postgraduate‐opleidingen/business‐analytics/index.aspx)

INTRO

www.acba.nl

(BIG)

Data……

What is

going on?

Met

Big

data

bezig?

(2)

(BIG)

Data……

What is

going on?

BIG

Data……

Hype,

kans

of

bedreiging?

(BIG)

Data……

What is

going on?

Some quotes:

• “….Bedrijven gaan er heel veel mee doen en aan verdienen….”

• “…..Voor een kennisland als Nederland geeft dit enorme mogelijkheden…”

• “…..Je kunt een bedrijf starten die de bestaande informatie gaat vergaren, je kunt

een service starten die informatie bij elkaar verzamelt en beschikbaar maakt”

• “…..Je kunt technologie ontwikkelen die dit ondersteunt, of je kunt er diensten in

verkopen, er zijn verschillende mogelijkheden om er heel snel iets mee te doen”…”

• “…..Ondernemers ruiken hun kansen met nieuwe diensten en nieuwe producten…”

(BIG)

Data……

What is

going on?

What

is

BIG

data?

(www.intel.com)

VOLUME

VARIETY

VELOCITY VERACITY

4 times different: 4V

What

is

BIG

data?

What

is

BIG

data?

VOLUME

“We’ve reached a tipping point

in history: today more data is

being manufactured by

machines, servers, and cell

phones, than by people”

Michael E. Dricoll

(CTO and co‐founder at Metamarkets)

“Today a street stall in Mumbai

can access more information,

maps, statistics, academic

papers, price trends, futures

markets, and data than a U.S.

president could only a few

decades ago”

Juan Enriquez

(3)

What

is

BIG

data?

VOLUME

How data is changing the car game for Ford.

Generates up to 25 GB of data per hour.

90%

Las

t

2

Ye

ar

s

BIG

da

ta

What

is

BIG

data?

VOLUME

(McKinsey Global Institute, 2011)

What

is

BIG

data?

VARIETY

•Structured data

•Unstructured data

What

is

BIG

data?

VELOCITY

Three aspects:

•Speed of data creation

•Speed of data processing

•Speed of data analysis (delivery)

What

is

BIG

data?

•Single Version of the truth…..

VERACITY

•1 in 3 business leaders don’t trust the information they use to make

decisions.

(http://www‐01.ibm.com/software/data/bigdata/)

• Unintentional (Expert‐based versus lay cultures).

• Unmanageable.

• Constant renewal/updating.

What

is

BIG

data?

(4)

What

is

BIG

data?

BIG data is more than simply a matter of size: it is

also about creating insights!

Discovering what you don’t know you don’t know……

(Courtesy: Andrew McAfee)

New measurement tools give us new insights.

Microscope marked a change in era (in an era of change) “GOLDEN AGE”

What

is

BIG

data?

Rene Penning de Vries (Boegbeeld ICT MinvEz)

Onze toekomst in 6Ds 1. Digitized 2. Demonetized 3. Democratized 4. Delocalized 5. Deceptive 6. Disruptive

Why

BIG

data?

7. Datafied

Additional D added:

Moore’s Law

Imagine this will happen for a technology that is fundamental for

businesses….

Why

BIG

data?

Why

BIG

data?

Erik Brynjolfsson & Andrew McAfee

Why

BIG

data?

(5)

In technology strategy, the second half of the chessboardis a phrase, coined by Ray Kurzweil in reference to thepoint where an exponentially growing factor begins to have a

significant economic impact on an organization's overall business strategy.

(http://en.wikipedia.org/)

Andrew McAfee: When do we enter the second half of the chessboard?

1958

+

32

*

1,5

=

2006

US Bureau of Economic Analysis starts tracking IT Moore’s Law doubling period

Why

BIG

data?

Why

BIG

data?

Why

BIG

data?

At

some

point

a

difference

in

degree

becomes

a

difference

in

kind.

Why

BIG

data?

We

leven

niet

in

een

tijdperk

van

veranderingen

maar

in

een

verandering

van

tijdperken.

(Jan Rotmans)

Planets2013.jpg

Why

BIG

data?

(6)

Not only data, but also:

•Internet as a Service

•Cloud Computing

•High Performance Computing

•Crowd Sourcing

Why

BIG

data?

•Powerful Software (Open Source!)

•High Performance Analytics

Why

BIG

data?

Why

BIG

data?

Why

BIG

data?

Why

BIG

data?

Producten/Diensten Markten Bestaand Nieuw Nieuw Bestaand

Ontregelaar: wij of zij? Ontregelaar: wij of zij?

Ontregelaar: wij !!

Ontregelaar: wij of zij?

Why

BIG

data?

(7)

“We view big data and big data analytics as the mother lode of disruptive change in a networked business

environment.”

(Baesens, Bapna, Marsden, Vanthienen, Zhao, 2014)

Why

BIG

data?

Strategy making: New Games, New Rules!

Why

BIG

data?

(Constantiou & Kallinikos, 2014)

Nature of data and information

Standard Strategy Context Big data‐digital ecosystem

Relatively Homogeneous Heterogeneous

Structured Unstructured or Semi‐structured

Purposeful, Theory‐driven Agnostic, Haphazard

(“sorting in the way in”) (“sorting in the way out”) Mono‐semiotic, Alphanumerical Trans‐semiotic (Text, Image, Sound)

Deductive, Top‐Down Inductive, Bottom‐Up

Long‐Term Horizon Short‐Term Horizon

Forecasting Nowcasting

The use of big data to craft strategy and business models:

(source: Woerner & Wixom (2015))

IMPROVE

the business model

INNOVATE

the business model

• New Data

• New Insights

• New Actions

• Data Monetization

• Digital Transformation

Howcan Big Data drive Business Model Innovation?

IMPROVE the business model : New Data

Markets Manufacturer Trade Partners Data Aggregators

DESCRIPTIVE PREDICTIVE PRESCRIPTIVE (how to achieve the best outcome?)

IMPROVE the business model : New Insights

New Data + New Insights => New Actions

• Prescriptive

(8)

INNOVATE

the business model

Data Monetization Exchange of data based products and services for something of perceived value.

• Selling

• Barter

• Wrapping

Digital Transformation Emergence of business ecosystems, coordinated networks of companies, devices, and consumers that create value.

Competition not defined by traditional industry offerings but by shared customers.

Data Monetization & Digital Transformation: some examples.

10

Top

Apps

For

Eating

Healthy

(www.forbes.com) Examples of data‐driven business innovation

http://www.marketingfacts.nl/

Examples of data‐driven business innovation

Myfitnesspal.com

Myfitnesspal.com Examples of data‐driven business innovation

(9)

http://nieuws.nl.softonic.com/gezondheid‐en‐fitness‐

verkopen‐lifestyle‐apps‐jouw‐informatie

Data Monetization: selling.

Data Monetization: selling(aggregator)

(Source : nu.nl)

Data Monetization: barter

Data Monetization: wrapping

Digital Transformation: new ecosystem.

Retailer ‐> Insurances

(10)

Digital Twins

(Source: http://www.gereports.com/digital‐twin‐technology‐changed‐formula‐1‐online‐ads‐planes‐trains‐power‐next/)

Impact business model.

Data‐driven business innovation

(Source: http://www.businessmodelsinc.com/method/businessmodelexamples/)

BIG

data:

Challenges,

Risks

•Data Privacy and Ethics: BIG Dilemma’s!

•Data Obsession (“the dictatorship of data”)

•Data Quality: new paradigms?

•Skills: Data Scientists

•Energy

Question: “What are we going to do with the ‘new thing’”, must be

changed in: “How are we going to change the old idea”!

What must be taken out of our head and left behind?

Big

data:

Big

Change….

Big

data:

big

change….

Journey……

Deceptive, Disruptive…..

(11)

Data Science Alkmaar

Data Science Alkmaar is een kennis‐en innovatiecentrum waar regionale

organisaties, overheden en wetenschap samenkomen om de kansen die big

data en data science bieden te benutten ten behoeve van economische groei

en ontwikkeling in Noord‐Holland Noord (www.datasciencealkmaar.nl)

100101101001001001001011 1001011010010010010010 010110100100001001011 01011010010100100100 0011100100100100100 100111100100100100 1001111001001001 Wat Laagdrempelig Verbinden! Hoe Effect

‘Door de interactieversterken onderzoek, onderwijs,

overheiden ondernemerschapelkaar en zo ontstaat er een sterke basis voor economische groei en ontwikkeling voor de

regio Noord‐Holland Noord.’

• Ondersteunt bedrijven en overheden (gezamenlijke

projectagenda, ondersteuning datagedreven struring)

• Stimuleert regionale bedrijvigheid

• Creëert zo een ondernemende broedplaats

• Ontwikkelt, stimuleert en voegt kennis en talent samen

• Biedt zo een laagdrempelig platform voor verbinding Resultaten