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Booz Allen Innovation Center, Washington DC Kirk Borne Principal Data Scientist @KirkDBorne DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY JUNE 14, 2017
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Page 1: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

Booz Allen Innovation Center, Washington DC

Kirk Borne

Principal Data Scientist

@KirkDBorne

DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY

JUNE 14, 2017

Page 2: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

AGENDA FROM BIG DATA TO SMART DATA

TAMING BIG DATA WITH DATA SCIENCE & ANALYTICS

THE INTERNET OF THINGS (INTERNET OF CONTEXT)

RISK VERSUS REWARD

THE MATHEMATICAL CORPORATION

Booz Allen Hamilton Internal 1

Page 3: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

AGENDA FROM BIG DATA TO SMART DATA

TAMING BIG DATA WITH DATA SCIENCE & ANALYTICS

THE INTERNET OF THINGS (INTERNET OF CONTEXT)

RISK VERSUS REWARD

THE MATHEMATICAL CORPORATION

Booz Allen Hamilton Internal 2

Page 4: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

EVER SINCE WE FIRST EXPLORED OUR WORLD…

3Booz Allen Hamilton Internal

http://www.livescience.com/27663-seven-seas.html

Page 5: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

…WE HAVE ASKED QUESTIONS ABOUT THE WORLD…

4Booz Allen Hamilton Internal

https://atillakingthehun.wordpress.com/2014/08/07/atlantis-not-lost/

Page 6: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

…AND WHERE HAS THAT LED US?WE HAVE COLLECTED EVIDENCE (DATA) TO ANSWER OUR QUESTIONS, WHICH

LEADS TO MORE QUESTIONS, WHICH LEADS TO MORE DATA COLLECTION,

WHICH LEADS TO MORE QUESTIONS, WHICH LEADS TO BIG DATA!

5Booz Allen Hamilton Internal

y ~ 2 * x (linear growth)

y ~ 2 ^ x (exponential growth)

https://www.linkedin.com/pulse/exponential-growth-isnt-cool-combinatorial-tor-bair

y ~ x! ≈ x ^ x→ Combinatorial Growth!(all possible interconnections,linkages, and interactions:high variety for discovery!)

3+1 V’s of Big Data:Volume = most annoying VVelocity = most challenging VVariety = most rich V for discoveryValue = most important V

Page 7: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

ALL THOSE COMBINATIONS = SMART DATA !MAKING SENSE OF THE WORLD WITH SMART DATA:

6Booz Allen Hamilton Internal

Semantic, Meaning-filled Data:

• Ontologies (formal)

• Folksonomies (informal)

• Tagging / Annotation– Automated (Machine Learning)

– Crowdsourced

– “Breadcrumbs” (user trails)

Broad, Enriched Data:

• Linked Data (RDF)

– All of those combinations!

• Graph Databases

• Machine Learning

• Cognitive Analytics

• The 360o view

• Context

The Human Connectome Project:mapping and linking the major pathways in the brain.http://www.humanconnectomeproject.org/

Page 8: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

“ALL THE WORLD IS A GRAPH” – SHAKESPEARE?

7Booz Allen Hamilton Internal

(Graphic by Cray, for Cray Graph Engine CGE)

http://www.cray.com/products/analytics/cray-graph-engine

Page 9: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

“ALL THE WORLD IS A GRAPH”

8Booz Allen Hamilton Internal

EXAMPLES

Connecting the nodes in the graph and labeling the edges (with context and relationship information) can lead to deeper insights than simple transactional databases.

• Customer Journey modeling

• Safety Incident Causal Factor Analysis

• Medical Research Discoveries across disconnected journals, through linked semantic

assertions

• Marketing Attribution Analysis

• Fraud networks, Illegal goods trafficking networks, Money-Laundering networks

The connection between black hat entities {1} and {3} never appears explicitly within a transactional database.

{1} {3}{2}

Page 10: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

AGENDA FROM BIG DATA TO SMART DATA

TAMING BIG DATA WITH DATA SCIENCE & ANALYTICS

THE INTERNET OF THINGS (INTERNET OF CONTEXT)

RISK VERSUS REWARD

THE MATHEMATICAL CORPORATION

Booz Allen Hamilton Internal 9

Page 11: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

THE WORLD OF BIG DATA IS ON FIRETame the flames with Data Science and Advanced Analytics, through Machine Learning (= mathematical algorithms that learn from experience)

(Is that why we are meeting at the Houston Heights Fire Station?)

10Booz Allen Hamilton Internal

1) Class Discovery: Find the categories of objects

(population segments), events, and behaviors in your data. + Learn the rules that constrain the class boundaries (that uniquely distinguish them).

2) Correlation (Predictive and Prescriptive Power) Discovery: Find trends, patterns, and

dependencies in data, which reveal new governing principles or behavioral patterns (the “DNA”).

3) Novelty (Surprise!) Discovery: Find new,

rare, one-in-a-[million / billion / trillion] objects, events, and behaviors.

4) Association (or Link) Discovery: (Graph and

Network Analytics) – Find the unusual (interesting) co-occurring associations / links / connections.

Page 12: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

THE 5 LEVELS OF ANALYTICS MATURITYData Science can be applied at any level, depending on the level of analytics maturity required.

11Booz Allen Hamilton Internal

1) Descriptive Analytics

– Hindsight (What happened?)

2) Diagnostic Analytics

– Oversight (real-time / What is happening?

Why did it happen?)

3) Predictive Analytics

– Foresight (What will happen?)

4) Prescriptive Analytics

– Insight (How can we optimize what happens?)

(Follow the dots / connections in the graph!)

5) Cognitive Analytics– Right Sight (the 360 view , what is the right

question to ask for this set of data in this

context = Game of Jeopardy)

– Finds the right insight, the right action, the

right decision,… right now! = Next Best Action!

– Moves beyond simply providing answers, to

generating new questions and hypotheses.

Page 13: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

PREDICTIVE VS PRESCRIPTIVE : WHAT’S THE DIFFERENCE?

12Booz Allen Hamilton Internal

PREDICTIVE

Analytics

Find a function (i.e., the model) f(d,t) that

predicts the value of some predictive

variable y = f(d,t) at a future time t, given

the set of conditions found in the training

data {d}.

=> Given {d}, find y.

PRESCRIPTIVE

Analytics

Find the conditions {d’} that will produce a

prescribed (desired, optimum) value y at a

future time t, using the previously learned

conditional dependencies among the

variables in the predictive function f(d,t).

=> Given y, find {d’}.

Page 14: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

PREDICTIVE VS PRESCRIPTIVE : WHAT’S THE DIFFERENCE?

13Booz Allen Hamilton Internal

PREDICTIVE

Analytics

Find a function (i.e., the model) f(d,t) that

predicts the value of some predictive

variable y = f(d,t) at a future time t, given

the set of conditions found in the training

data {d}.

=> Given {d}, find y.

PRESCRIPTIVE

Analytics

Find the conditions {d’} that will produce a

prescribed (desired, optimum) value y at a

future time t, using the previously learned

conditional dependencies among the

variables in the predictive function f(d,t).

=> Given y, find {d’}.

Confucius says…

“Study your past to know

your future”

Page 15: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

PREDICTIVE VS PRESCRIPTIVE : WHAT’S THE DIFFERENCE?

14Booz Allen Hamilton Internal

PREDICTIVE

Analytics

Find a function (i.e., the model) f(d,t) that

predicts the value of some predictive

variable y = f(d,t) at a future time t, given

the set of conditions found in the training

data {d}.

=> Given {d}, find y.

PRESCRIPTIVE

Analytics

Find the conditions {d’} that will produce a

prescribed (desired, optimum) value y at a

future time t, using the previously learned

conditional dependencies among the

variables in the predictive function f(d,t).

=> Given y, find {d’}.

Confucius says…

“Study your past to know

your future”

Baseball philosopher Yogi Berra says…

“The future ain’t what it

used to be.”

Page 16: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

AGENDA FROM BIG DATA TO SMART DATA

TAMING BIG DATA WITH DATA SCIENCE & ANALYTICS

THE INTERNET OF THINGS (INTERNET OF CONTEXT)

RISK VERSUS REWARD

THE MATHEMATICAL CORPORATION

Booz Allen Hamilton Internal 15

Page 17: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

THE INTERNET OF THINGSThe (Industrial) Internet of Things (IIoT / IoT) consists of an interconnected (Graph!) universe of Dynamic Data-Driven Application Systems (dddas.org) =>

Combinatorial Explosive Growth of Smart Data!

IoT / IIoT / M2M demands we deploy intelligence at the point of data collection! (= Machine Learning at the edge of the network) =>

Edge Analytics!

16Booz Allen Hamilton Internal

https://www.nsf.gov/news/news_images.jsp?cntn_id=122028

https://www.linkedin.com/pulse/can-elephant-bigdata-dance-iot-internet-things-tune-lambba

Internet of Everything

Page 18: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

SMART THINGS IN THE IOT (THE INTERNET OF CONTEXT):INTELLIGENCE AT THE EDGE OF THE NETWORK(AT THE POINT OF DATA COLLECTION = EDGE ANALYTICS)

17Booz Allen Hamilton Internal

http://www.smarttechforyou.com/2015/03/smart-manufacturing-iot-fourth-industrial-revolution.html

• Smart business ops (context-aware)

• Smart maintenance

• Smart operations & controls

• Smart workforce deployment

• Smart manufacturing & inventory

• Smart supply chain & pricing

• Smart logistics (people, things)

• Smart customer engagement

Embedded IoT-driven Streaming Analytics = a top focus of Machine Learning projects: http://searchdatamanagement.techtarget.com/feature/Embedded-analytics-to-feel-widest-impact-of-machine-learning-projects

From IoT-enabled products to the IoT-enabled organization = multi-use data will dominate future IoT implementations:http://internetofthingsagenda.techtarget.com/feature/Multiuse-data-dominates-Future-of-IoT-implementation

Page 19: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

CONTEXT IS KING!“You can see a lot just by looking.” – Yogi Berra

18Booz Allen Hamilton Internal

• Context is “other data” about your data = i.e., Metadata!

• The 3 most important things in your data are: Metadata, Metadata,

Metadata!

• Metadata are…

– Data that describes Data

– Other Data that describes Your Data

– Your Data that describes Other Data

• e.g., Connected “Smart” Cars = that car that is braking 3 vehicles

ahead of you = informs your vehicle to brake now!

• The Smart Enterprise = predictive / prescriptive maintenance

algorithm alerts the corresponding asset, the right skilled technician,

the right part, & the right tool to be at right place at the right time!

• IoT sensors + Open Data provide a lot of context data (metadata!):

The Interconnected Graph of data, information, and knowledge!

• Contextual data empowers both Prescriptive and Cognitive Analytics.

Page 20: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

HOT APPLICATION (THE KILLER APP) FOR IOT : THE DIGITAL TWINREAD THIS: “DIGITALIZATION, DIGITAL TWINS AND CYBER -PHYSICAL SYSTEMS…”

http://blogs.dnvgl.com/software/2016/04/digital-twins-structural-engineering/

19Booz Allen Hamilton Internal

The digital twin is a virtual image of your asset, maintained throughout the lifecycle and easily accessible at any time, able to replay (simulate) any physical scenario.

Page 21: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

“INDUSTRIES TURN TO DIGITAL TWINS AND IOT TO BOOST PROFITS…”

http://searchmanufacturingerp.techtarget.com/tip/Industries-turn-to-digital-twin-technology-IoT-to-boost-profit

20Booz Allen Hamilton Internal

Some key players (capitalizing on the IoT):

• NASA• GE• DNV-GL• Siemens• TWI Ltd• ANSYS

HOT APPLICATION (THE KILLER APP) FOR IOT : THE DIGITAL TWIN

Page 22: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

AGENDA FROM BIG DATA TO SMART DATA

TAMING BIG DATA WITH DATA SCIENCE & ANALYTICS

THE INTERNET OF THINGS (INTERNET OF CONTEXT)

RISK VERSUS REWARD

THE MATHEMATICAL CORPORATION

Booz Allen Hamilton Internal 21

Page 23: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

DATA SCIENCE AND ANALYTICS IMPROVE YOUR ODDS IN THE FUNDAMENTAL BUSINESS GAMBIT:

RISK VERSUS REWARD

22Booz Allen Hamilton Internal

http://www.telegraph.co.uk/news/worldnews/europe/russia/10061780/Russian-convicts-beat-Americans-in-cyber-chess-battle.html

Page 24: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

SMART DATA ANALYTICS –-- DATA-TO-ACTION TRIAGEGENERAL EXAMPLE -- IOT EVENT MINING IN BIG DATA COLLECTIONS FOR ACTIONABLE INTELLIGENCE:

Listen: Behavior modeling (anomaly & trend detection), ad hoc inquiry for Discovery!

Learn: Identifying, characterizing, & understanding events for data-driven Decisions!

Act: Deciding which events need immediate investigation and/or intervention = Action!

… producing rewarding outcomes for people, products, and processes!

23Booz Allen Hamilton Internal

MANY OTHER EXAMPLES:

Customer churn early warning (from 360-view customer data)

Predictive Maintenance alerts (from ubiquitous machine / engine sensors)

Prescriptive efficiency modeling and implementation (from process mining)

Supply chain monitoring (from manufacturing & shipping sensors)

Predictive personnel & asset logistics (trajectory modeling from tracking data)

Cybersecurity alerts (from network logs)

Preventive Fraud alerts (from financial applications)

Health alerts (from electronic health records and national health systems)

Tsunami alerts (from geo sensors everywhere)

Social event alerts or early warnings (from social media)

Ris

k M

itig

ati

on

Page 25: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

AGENDA FROM BIG DATA TO SMART DATA

TAMING BIG DATA WITH DATA SCIENCE & ANALYTICS

THE INTERNET OF THINGS (INTERNET OF CONTEXT)

RISK VERSUS REWARD

THE MATHEMATICAL CORPORATION

Booz Allen Hamilton Internal 24

Page 26: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

INFUSING ANALYTICS CAPABILITY INTO YOUR ORGANIZATIONDRIVING COMPETITIVE ADVANTAGE THROUGH DATA-TO-ACTION:

• AI (AUGMENTED INTELLIGENCE = MACHINE-ASSISTED HUMAN, AND VICE VERSA)

• MACHINE INTELLIGENCE

• THE MATHEMATICAL CORPORATION!

25Booz Allen Hamilton Internal

Activities• Enrich• Integrate

and Transform Data

Methods

• Descriptive Statistics

• Filtering• Aggregation

Activities• Reveal trends• Identify

Correlations• Learn

Patterns

Methods

• Unsupervised Learning

• Clustering• Outlier

Detection

Activities• Classify

Signals

• Predict Risks• Forecast

Resources

Methods

• Random Forest

• Neural Networks

• Bayesian Analysis

• Collaborative

Filtering

Activities•Optimize Resources

•Simulate Decision Outcomes

Methods

•Genetic Algorithms

•Integer Programming

•Non-Linear Programming

•Discrete Event

Simulation

Acquisition, aggregation and enrichment of information from multiple entry points will help create a holistic view that can enhance operations, reduce risk, provide powerful insight, and create value.

… Enables Effective Operations and Decision-Making

• Allows for accurate analysis of trends across the organization against defined KPI’s

• Supports strategic C-Suite decision making

• Reveals operational risks and potential bottlenecks in real-time

• Supports critical information infrastructure protection efforts by early detection of vulnerabilities

Products

Reports | Dashboards | Mitigations

360o Data Acquisition …Business Operations and

Performance Data

Logs: Systems, Customers,…

Reports, e-Docs, and Manuals

Open Data

The foundation is Data!

Page 27: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY

26Booz Allen Hamilton Internal

• Design Patterns for Streaming Data Analytics:– Detecting POI (Person of Interest, or Pattern of Interest, or any Point of Interest)

– Detecting BOI (Behavior of Interest from any “dynamic actor”)

– Precomputed scenarios and their responses (to speed up “next best action”)

– Design Thinking : DX, UX, CX, EX (Digital / User / Customer / Employee eXperience)

• Edge Analytics (what else is happening now at the point of data collection?)

– Locality in Time

• Near-field Analytics (who / what is local to this person / place / thing?)

– Locality in Geospace

• Related-entity Analytics (what else is similar to this entity / event?)

– Locality in Feature Space

• Agile Analytics: DataOps, Fail-fast, Iterative, MVP, Learning Energy Systems

Minimum Viable Product= your POV (Proof of Value)

http://www.agilebuddha.com/agile/demystifying-devops/

Page 28: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY

27Booz Allen Hamilton Internal

DevOps for Data Analytics = DataOps

Minimum Viable Product= your POV (Proof of Value)

http://www.agilebuddha.com/agile/demystifying-devops/

Page 29: DATA ANALYTICS ROADMAP FOR THE ENERGY INDUSTRY · data analytics roadmap for the energy industry june 14, 2017 . agenda from big data to smart data taming big data with data science

THANK YOU!

28Booz Allen Hamilton Internal

@KirkDBorne

@BoozDataScience

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