Data-Driven is Passé: Transform Into An Insights-Driven Enterprise

Dr. Holger Kisker
VP & Research Director, Forrester Research
Data-Driven is Passé: Transform Into
An Insights-Driven Enterprise
Dr. Anastasio Molano
Senior VP, Strategic Technical Office, Denodo
Nov 19, 2015

Agenda
01. Transforming insights-to-action with “systems of insight”
02. Data virtualization as a key enabler for “systems of insight”

Dr. Holger Kisker
VP & Research Director, Forrester Research
Transforming Insights-to-Action
with “Systems of Insight”

© 2015 Forrester Research, Inc. Reproduction Prohibited 4
Empowered customers create urgency
Age of
manufacturing
Age of
distribution
Age of
information
Age of
the customer
Empowered buyers
demand a new level of
customer obsession

This is the world we live in …

and everything’s increasingly connected

7© 2015 Forrester Research, Inc. Reproduction Prohibited
Key trend: selling an outcome
Used to sell:
› Electricity
› Aero engines
› Air conditioning units
› Lifts/Elevators
› Cars
› Agricultural machinery
› Medical testing devices
› Health insurance
› Toothbrush
› Your traditional business
Now sell, or may in future:
› Energy Services
› Units of propulsion
› The right temperature
› Moving people/goods up/down
› Ability to get from A to B
› Optimum yields
› Number of tests
› Wellness program
› Healthy mouth and teeth
› New outcome based business

Data and analytics are all the rage
Base: 3,005 business and technology decision-makers Source: Forrester’s Global Business Technographics® Data And Analytics Survey, 2015
65% of firms will be
using big data
analytics to optimize
digital experiences.
49% of firms view
improving the use of
data and analytics as
a business priority.
45% of firms have
appointed a chief
data officer.

But most firms don’t consistently turn
data into action
Source: Forrester Business Technographics®, Data & Analytics Survey, 2015
All possible data All possible actions
73% 29%
of firms
aspire to be
data-driven
of firms are
good at turning
data into action

There’s a better way to do it.

Stitch Fix embeds insights into
everything
Stitch Fix has embedded insights-to-
execution in their operating model
A Chief Algorithmics Officer drives the
insights process and strategy
Stitch Fix is in a constant state of controlled
experimentation.
The result: better customer experiences . . .
. . . And half the inventory carrying costs of
other online fashion retailers

An insights-driven business
harnesses insights to consistently
turn data into effective action.

Insights-driven businesses
systematically turn data into action
Applications DecisionsProcesses

Insights fuel your entire business
Digital
customer
experiences
Digital
operational
excellence

Consider how Tesla’s creates an insight
drive experience
• Improve CX by fixing
problems before they
happen.
• Team works together
to turn data into
action.
• Insights services let
engineers find and
test insights.
• Developers
implement insights
firmware (create
action).
Pipeline
Insights services
Engineers Firmware
developers
Data
scientists
Data
engineers

What are Stitch Fix and Tesla
doing that’s so unique?

A System Of Insight - The
business discipline and
technology to harness insights
and consistently turn data into
action.

A system of insight is an operating model:
people, process, & technology working
together
All Data Possible
Actions
Insights-to-execution
process
Insights team
Digital insights
architecture
Right
data
Effective
actions
Source: April 27, 2015, “Digital Insight Is The New Currency Of Business” Forrester report

Best Practice #1
› Key success factor - can you answer the following:
What’s the real question? Which objective are we aiming
to meet? What problem are we trying to solve? How does an
individual initiative fit into the overall business strategy?
Build Multidisciplinary Insights Teams

Business leader Manages the team to optimize a specific
business outcome
Technology
leader
Responsible for testing, implementation, and
architecture
Domain experts Recognizes insights worth the investment
Developers Test and implement insights in software and
business rules
Data scientists Build models and exercises them to reveal
potential insights
Data engineers Gathers, assesses, integrates, prepares, and
manages data
Implement multidisciplinary teams using agile
techniques
Complementwithexternalteamplayers

And you’ll have several of them

Best Practice #2
› Key success factors:
• Recognize the importance of data “housekeeping”
• Break down silos, and don’t allow data – and data
governance - to become a tech responsibility
PUT A SOLID GOVERNANCE
FOUNDATION IN PLACE

Data governance organizations must define and
optimize operational processes
Information
Security
Information
Standardization
Information
Quality
Information
Life Cycle

Governance Recommendations
1. Accept the fact that process improvement and data
governance are intimately linked and must work hand-in-
hand.
2. Involve executive sponsorship and support from IT and LoB
(align business process and data stewards).
3. Evangelize the benefits of data governance in the language
of the business, it’s NOT about the data.
4. Tackle data governance in a phased approach.
5. Establish a consistent approach and continuous
improvement process for all elements of data governance.
6. Make data governance your default approach to all process
and data related initiatives.

Best Practice #3
› Key success factors:
• Shift focus from data to business outcomes
• Aim to implement flexible data platforms
Combine The Right Tools & Processes
Into Systems Of Insights

Build/buy/subscribe to insights platforms
Insights-driven
applications
• Sales and marketing
• Operations
• Product design
• … lots more
Insights
fabric
• Services framework
• Data Virtualization
• Big data management
• Cloud data & insights services
Data feed
management
Execution
engines
Data science
workbench
Collaboration
and governance
tools

What’s different about systems of
insight?
The same
› The need for all the data
› Insights discovery
› Most of the technology
› Most skills & investment
Different
› Insights teams are
multidisciplinary and embedded
in operations.
› Insights aren’t insights until
proven valuable and
implemented in software and
customer engagement.
› The digital insights architecture
extends into collaboration,
execution, feedback, and
insights fabric.

Your best strategy – use SoI to engage

© 2015 Forrester Research, Inc. Reproduction Prohibited
We are in a new data/insights economy
1. Old World of Corp. Data
2: New
World of
Customer
Data
3: Next
World of
Internet Data
4: Future
World of
Data
Economy
Data
Virtualization
integration
analysis

We are talking about a disruptive shift
Winners
Losers
› Firms that treat big data as an IT function
› Firms without the willpower to democratize data and insight
› Vendors focused on closed insights technology systems
› Firms that link data to action through digital insights
› Insights-driven business service companies
› Service providers building insights competencies
› Vendors building digital insights ecosystems
Data-driven
Insights-driven

Senior VP, Strategic Technical Office, Denodo
Data Virtualization As a Key Enabler for
“Systems of Insight”

Agenda
01. What is Data Virtualization?
02. Reference Architecture – Data Virtualization
03. Customer Examples

© 2014 Denodo Confidential
What is Data Virtualization?
■ Data integration but… modern, agile and real-time
■ Abstraction + data services layer

Data Services
Agile BI &
Agile Apps
Optimized
Performance
Any Data,
Anywhere
Integrate New
Sources
BI
/Reporting
Analytics Visualization
Data
SharingApplication
Data Virtualization is Essential to Modern
BI and Data Architecture

Data Virtualization: Key Capabilities
Capability Key Takeaway
1 Agile Data Access Rapid access to internal and external sources
2 Logical Abstraction Virtualize physical data into logical views
3 Combine Structured and
Unstructured Data
Semantic integration of disparate data types
4 Data Services Provision in many formats with controlled security
and service levels
5 Unified Data Governance Search, explore, query canonical data with lineage

Data Virtualization: Use Cases
AGILE BUSINESS INTELLIGENCE
Replaced traditional Operational BI with the
Logical Data Warehouse.
Transitioned from old perpetual licensing model
to a new subscription-based licensing model.
AGILE SINGLE VIEW APPLICATIONS
Created ‘Unified Desktop’ that provides
integrated customer information.
Achieved customer satisfaction index of over
94%.
BIG DATA, CLOUD INTEGRATION
Created virtual layer to abstract access to
Salesforce.com; creating data lake abstraction.
Successfully reduced application licensing costs.
DATA SERVICES
Delivered commercial products developed using
data services.
Achieved faster time-to-market and increased
revenue.

Data Virtualization Architecture

The “Logical Data Warehouse”
Operational
Production
Systems
Data Warehouse
Data Virtualization Layer
…
Business
Intelligence Tools
External &
Unstructured Data
(SaaS, Web, docs, …)
Up-to-date
data
DV Cache
Analytical
Appliances,
Big Data,
NoSQL

Customer Example – Single Customer View

Customer Example – Logical Data Warehouse

DV Enabling Big Data
Data Virtualization
Hadoop
SQL Engines
E
T
L
BI / Reporting
Analytics
Enterprise
Systems
Web, Cloud and SaaS
IBM Big SQL
Hadoop

Customer Example: Telematics and
Predictive Maintenance
Dealer
Maintenance
Parts Inventory
OSI PI Hadoop Cluster
Tableau: Dealer / Customer Dashboard

Denodo at a Glance
Denodo offers unified access to corporate data assets, flexible integration and management of data of all
kinds, and real time data delivery for applications and analytics in a single solution that doesn't need to
move data from their original physical repositories.
Investors
$7B
Private Equity firm.
Headquarters
Palo Alto, CA. Main offices in New
York, London, Madrid and A Coruña.
Satellite offices in Chicago, Boise,
Houston and Munich. Worldwide sales
network through partners.
Leadership
Longest continuous focus on
data virtualization and data
services. Product leadership.
Solutions expertise.
Customers
250+ customers,
including many F500 and
G2000 companies across key
verticals, such as healthcare,
life sciences, technology,
media, telecommunications,
insurance, financial services,
consumer/retail, energy and
public sector. Global presence
with customers throughout
North America, EMEA, APAC
and Latin America.
Financials
2014 Growth: +71%.
Solid growth projected for 2015: >100%.

Next steps…
■ Contact us:
www.denodo.com/action/contact-us/en/
■ Download Denodo Express, the free data
virtualization tool: www.denodoexpress.com
■ Follow us:

© Copyright Denodo Technologies. All rights reserved
Unless otherwise specified, no part of this PDF file may be reproduced or utilized in any for or by any means, electronic or mechanical,
including photocopying and microfilm, without prior the written authorization from Denodo Technologies.
Thanks!
www.denodo.com info@denodo.com
Dr. Holger Kisker
hkisker@forrester.com
Twitter: @hkisker
amolano@denodo.com

Data-Driven is Passé: Transform Into An Insights-Driven Enterprise

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