From BI to Big DatA

IT infrasructure and the Organization Technology Push Competitive Pull Cost performance trends Connectivity capabilities Innovative IT-enabled applications to obtain differential benefits in the marketplace to stay competitive IT as a Strategic Resource Enhancing Productivity Leveraging IT

ERP Enterprise Systems Also called “enterprise resource planning (ERP) systems” Suite of integrated software modules and a common central database Collects data from many divisions of firm for use in nearly all of firm’s internal business activities Information entered in one process is immediately available for other processes This slide describes the main purpose of enterprise systems. Ask students for examples of why it might be valuable to have information from one process instantly available to another process.

ERP © Pearson Education 2012

Integration of a Firm’s processes 6

BI Business Intelligence

What is Business Intelligence? Business Intelligence enables the business to make intelligent, fact-based decisions Aggregate Data Present Data Enrich Data Inform a Decision Database, Data Mart, Data Warehouse, ETL Tools, Integration Tools Reporting Tools, Dashboards, Static Reports, Mobile Reporting, OLAP Cubes Add Context to Create Information, Descriptive Statistics, Benchmarks, Variance to Plan or LY Decisions are Fact-based and Data-driven

Business Intelligence: Tools for consolidating, analyzing, and providing access to vast amounts of data to help users make better business decisions Principle tools include: ETL Online analytical processing (OLAP) Data mining This slide discusses the role of business intelligence in helping firm’s make better decisions. The text uses the example of Harrah’s Entertainment: “For instance, Harrah’s Entertainment, the second-largest gambling company in its industry, continually analyzes data about its customers gathered when people play its slot machines or use Harrah’s casinos and hotels. Harrah’s marketing department uses this information to build a detailed gambling profile, based on a particular customer’s ongoing value to the company. This information guides management decisions about how to cultivate the most profitable customers, encourage those customers to spend more, and attract more customers with high revenue-generating potential. Business intelligence has improved Harrah’s profits so much that it has become the centerpiece of the firm’s business strategy.”

BI Business Intelligence Data mining The Data Marts E MAILING Website History Social Network DATAWAREHOUSE OLAP ETL 2 1 3 Data mining The Data Marts HRM MKTG Acc Finance HRM MARKETING Accounting Finance

What does a Multi-Dimensional Database look like? MEASURE The word “measure” is exactly what it means: a number that we want to analyze, what we want to measure in our analysis In this example: 410 is the number of packages delivered

What does a Multi-Dimensional Database look like? The business attribute that “describes” the measure. In this example: We find that the 410 measure has important context, it represents the intersection of: - Route - Source - Time

What does a Multi-Dimensional Database look like? MEASURE CONTEXT Specifically, the 410 packages are related to: ROUTE: Non-Ground / Air SOURCE: Eastern Hemisphere / Australia TIME: 2nd Half / 4th Quarter on November 27, 1999

What does a Multi-Dimensional Database look like? HIERARCHY Literally, from the highest level “grain” to the most detailed grain. Think: Year/Qtr/Month/Week/Day In this example: The Source dimension can be drilled-down into increasing levels of detail. Each time we do this, the cube recalculates all measures at the intersections. 1 2

What does a Multi-Dimensional Database look like? TIME INTELLIGENCE One of the very special attributes of cubes is their ability to understand time concepts, like: - This year vs. Last year (Q/M/W) - This month/This year vs Same month/Previous year - This is inter-period analytical span…a huge win for management decision support!

Big Data EveryWhere! Lots of data is being collected and warehoused Web data, e-commerce purchases at department/ grocery stores Bank/Credit Card transactions Social Network

4V

Type of Data Relational Data (Tables/Transaction/Legacy Data) Text Data (Web) Semi-structured Data (XML) Graph Data Social Network, Semantic Web (RDF), … Streaming Data You can only scan the data once

Example: The Earthscope 1. Example: The Earthscope The Earthscope is the world's largest science project. Designed to track North America's geological evolution, this observatory records data over 3.8 million square miles, amassing 67 terabytes of data. It analyzes seismic slips in the San Andreas fault, sure, but also the plume of magma underneath Yellowstone and much, much more. (http://www.msnbc.msn.com/id/44363598/ns/technology_and_science-future_of_technology/#.TmetOdQ--uI)

Maximilien Brice, © CERN

What to do with these data? Aggregation and Statistics Data warehouse and OLAP Indexing, Searching, and Querying Keyword based search Pattern matching (XML/RDF) Knowledge discovery Data Mining Statistical Modeling (using R)