Analytic Maturity: Bringing Predictive into the Mainstream

transcript

Grab some coffee and enjoy the pre-show banter before the top of the hour!

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Welcome

Host: Eric Kavanagh

eric.kavanagh@bloorgroup.com @eric_kavanagh

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Mission

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Topics

This Month: ANALYTICS & MACHINE LEARNING

July: INNOVATIVE TECHNOLOGY

August: BIG DATA ECOSYSTEM

2014 Editorial Calendar at www.insideanalysis.com/webcasts/the-briefing-room

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Database

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Analyst: Dean Abbott

Dean Abbott is President of Abbott Analytics, Inc. Dean has more than 21 years of experience applying advanced data mining, data preparation and data visualization methods in real-world data-intensive problems, including fraud detection, response modeling, survey analysis, planned giving, predictive toxicology, signal process and missile guidance. He has developed and evaluated algorithms for use in commercial data mining and pattern recognition products, including polynomial networks, neural networks, radial basis functions and clustering algorithms. He is a seasoned instructor, having taught a wide range of data mining tutorials and seminars.

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TIBCO Spotfire

!   TIBCO Spotfire is a BI and analytics platform known for its robust visualizations and data analysis capabilities

!   The platform offers predictive analytics, and includes Statistics Services, Enterprise Runtime for R and predictive modeling tools

!   The TIBCO platform applies real-time, event-driven analytics against streams of data, and it provides workflow guidance and automation

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Guest: Lou Bajuk-Yorgan

Lou Bajuk-Yorgan leads Predictive Analytics product strategy at TIBCO Spotfire, including the development of TIBCO Enterprise Runtime for R (TERR), an enterprise deployment platform for R-language analytics. With a background in Physics and Atmospheric Sciences, Lou was a Research Scientist at NASA JPL before focusing on Advanced Analytics and Business Intelligence software. Since then, Lou has worked with scores of customers across many industries to understand their analytic goals and challenges, and helped them to attain strong results through the use of Predictive Analytics. An avid runner and gamer, Lou frequently speaks and tweets (@LouBajuk) about the value of Predictive Analytics.

As Simple as Possible !Put Advanced Analytics into the Hands of Business! Lou Bajuk-Yorgan!Sr. Director Product Management!TIBCO Software!

E V E R Y T H I N G S H O U L D B E M A D E A S S I M P L E A S

P O S S I B L E …

But no simpler. Albert Einstein!

•  Quick Overview of the Spotfire Analytics Approach!•  Advanced Analytics for Business Users !

–  As Simple As Possible!–  But No Simpler !

•  Benefits !•  Demonstration !

Today’s Discussion!

Everyone looks at data. Inevitably, you see something unexpected, maybe one bar in a bar graph is higher than anticipated; or some points on plot are in the far corner.! !Naturally, you want to learn more and understand why. !

The Fundamental Challenge!

TIBCO Spotfire is the easiest and simplest tool for understanding why.!!Unlike other approaches, Spotfire was created to help users quickly drill into information and gain insight. !

Spotfire Solution

The TIBCO Spotfire Solution !

All Users!Business ♦ Analysts ♦ Data Scientists ♦ App Developers ♦ Sys Admins!

Analytics Platform!Empowers You Every Step of Your

Analytics Journey"!

All Data !Historical & Real-Time ♦ Internal & External ♦ Structured Unstructured!

Visual Data Discovery ♦ Analytic Applications & Dashboards !Predictive Analytics ♦ Real-Time Analytics ♦ Location Analytics!

!Governed Data Discovery !

Cloud and On-Premises Deployment!

Discover Value At Every Step!

Measure!

Diagnose!

Predict &Optimize!

Operationalize!

Automate!

Transform!

ANALYTICS MATURITY!

Descriptive!

Exploratory!

Proactive!

Repeatable!

Real-Time!

Continuous!

Value With Predictive Analytics!

Measure!

Diagnose!

Predict & Optimize!

Operationalize!

Automate!

Transform!

ANALYTICS MATURITY!

Descriptive!

Exploratory!

Proactive!

Repeatable!

Real-Time!

Continuous!

Advanced Analytics for

Business Users?!

Yes!!!!

Everything Should Be Made As Simple As Possible.!

!But no Simpler.!

Advanced Analytics for Business!

Easy for Business Users…!•  Improve decision-making, increase competitiveness!

–  Powerful, advanced analytics embedded “under the hood” to discover meaningful patterns and trends!

–  Integrated within the analytics decision-making process, side-by-side with descriptive analytics & visualizations!

•  Get the answers you need, when you need them !–  Self-service, easily discovered and shared!–  Targeted and relevant!

Advanced Analytics for Business!

Flexible for Business Analyst / Analysis Author…!•  Easy to create analytics dashboards & applications !

–  Support rich, multi-step analytic workflows!–  Intuitive tools for predictive modeling and forecasting!

•  Secure usage !–  Ensure compliance & proper usage of analytics & models!–  Incorporate & share best practices and consistent workflows !–  Control access to applications and data with standard enterprise

security!

Does “Simple” Mean

Simplified Analytics?!

Everything Should Be Made As Simple As

Possible.!!

But no Simpler!

The Power of Advanced Analytics!

TIBCO Spotfire!S+!

Open Source R!

TIBCO Enterprise

Runtime for R (TERR)!

SAS®!

MATLAB®!

Teradata Aster!

Powerful for Statisticians…!•  Full breadth of Advanced

Analytics native within Spotfire!–  Find the best analytic approach for a

given problem!–  Develop cutting-edge & proprietary

analytics in the popular R language!•  Enterprise Class Engine for

R Language (TERR)!–  Agile development & iteration!–  Enterprise-ready deployment to

applications, real-time system, and cloud services!

•  Leverage existing Predictive Analytic investments!

–  Rich Advanced Analytic ecosystem!•  SAS®, MATLAB®, R, S+, Teradata

Aster!

Value with Spotfire Advanced Analytics!

Increase market competitiveness !•  Put advanced analytics into the hands of

business decision makers, you increase confidence & effectiveness of decisions across the organization!

Take advantage of market opportunity and threats!

•  Anticipate and react to emerging trends!•  Identify and respond to potential threats!

Reduce uncertainty & manage risk!•  Scenario planning, forecasting, fraud

detection!•  Aggregate and evaluate risk!

Proactively act on analysis…!•  Segment customers into distinct markets !•  Identify opportunities to cross-sell & upsell

products/services!•  Forecast unhappy customers and turn

them into fans !

E V E R Y T H I N G S H O U L D B E M A D E A S S I M P L E A S

P O S S I B L E …

But no simpler. Albert Einstein!

Analy9cs on Any Device

Empower All Users

Re-‐Usable Enterprise & Applica9on Objects

Fastest Data Processing Engine

Broadest Integra9on of Data Sources

Enterprise Analytics Architecture !

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Perceptions & Questions

Analyst: Dean Abbott

What is Analytic Maturity?

•  Sophistication

•  Usability

•  Automation

What Do We Mean by Predictive Analytics?

•  Algorithms?

•  or Process?

•  CRISP-DM

Algorithms and Maturity •  Linear Regression: 1890s

•  K-Means: 50s / 60s

•  K-NN: 50s / 60s

•  Decision trees: 60s / 70s

•  Neural networks: 60s (70s) 80s

•  Support Vector Machines: 90s

•  Ensembles: •  Bagging and Boosting: 90s •  Heterogeneous ensembles: 2000s

Who’s Going to do this?

The Most In-Demand Skill Today

"If you are looking for a career where your services will be in high demand, you should find something where you provide a scarce, complementary service to something that is getting ubiquitous and cheap. So what’s getting ubiquitous and cheap? Data. And what is complementary to data? Analysis. So my recommendation is to take lots of courses about how to manipulate and analyze data..."

- Hal Varian, Chief Economist at Google

From http://www.teamleada.com

Where are these Analytics Coming From?

Degrees in 2011-2102 Humanities

Social and behavioral science

Natural sciences and mathematics

Computer sciences and engi-neering

Education

Business

Other fields

But do these analysts need to know the math?

•  Can software overcome the gulf between the mathematics and the use of the mathematics?

•  Can the mathematics be a tool without knowing why it works?

But we use software! •  In the 70s and 80s, analysis / statistics software was

commandline. •  SAS, SPSS, S •  Others: specified “control files” or “command line options”

and run the Unix or DOS executable

•  In the 90s, GUIs emerged for pattern recognition and data mining •  Most often, Windows, drop-down interfaces •  Some workflow

•  Late 2000s and currently, workflow interfaces have won the day for commercial and most open source tools

•  Now: are we really back to commandline interfaces? •  R, Python

Automation

•  What gets automated -- development •  Data preparation—80%+ of time spent here

•  Building predictive models

•  Assessing predictive models

•  What gets automated – deployment •  Data preparation – reproduce what one did

during model building

•  Decisioning from model predictions

•  A/B testing of model performance

Questions

•  What is simplified by Spotfire? Which parts of the CRISP-DM process…

•  For Predictive Analytics, what is the expectation placed on the modelers? •  R, SAS, Matlab are all programming languages. S+ is

both language and GUI. Spotfire Miner?

•  How does Spotfire integrate with back-end deployment of models (operational or visualization)?

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2014 Editorial Calendar at www.insideanalysis.com/webcasts/the-briefing-room

This Month: ANALYTICS & MACHINE LEARNING

July: INNOVATIVE TECHNOLOGY

August: BIG DATA ECOSYSTEM

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Analytic Maturity: Bringing Predictive into the Mainstream

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