IBM Corporate Environmental Affairs 1
Wayne Balta
Vice President, Environmental Affairs & Product Safety
IBM Corporation
IBM, Big Data, and Sustainability University of Pennsylvania
Wharton Initiative for Global Environmental Leadership March 27, 2014
IBM Corporate Environmental Affairs 2
Overview
IBM – A Brief Background A Smarter Planet, Big Data, Analytics Challenges for Sustainability Cities
Water
Food
IBM Watson & Cognitive Computing
IBM Corporate Environmental Affairs 3
IBM is a Values Based Enterprise
IBM integrates technology with business acumen for solutions that enable forward-thinking enterprises, institutions, and people everywhere to succeed on a smarter planet.
Technology is broad -- including not only I/T hardware, software, and
services but also diverse innovations and inventions across analytics, mobile, and social systems of engagement.
Business acumen extends across all global industry sectors as well as the
operations of governments.
IBM Corporate Environmental Affairs 4
IBM’s 2013 Revenue: $99.8 Billion
430,000 employees serving clients in more than 170 countries
IBM Corporate Environmental Affairs 5
Longstanding Commitment to Corporate Responsibility and Sustainability
IBM’s “founding family” – the Watsons – were visionaries Thomas J. Watson, Jr., during the 1960s:
“We accept our responsibilities as a corporate citizen in community, national and world affairs; we serve our interests best when we serve the public interest.... We want to be at the forefront on those companies which are working to make our world a better place."
IBM Corporate Environmental Affairs 6
Today We are Witnessing Huge Innovations in Information
These Innovations Can Promote Sustainability
• A Smarter Planet
• Big Data
• Analytics
IBM Corporate Environmental Affairs 7
The bad news:
The way the world works isn’t smart enough to be sustainable.
The good news:
The signs of a smarter planet are everywhere.
IBM Corporate Environmental Affairs 8
Organizations around the world are turning “too much data” into better decisions.
IBM Corporate Environmental Affairs 9
The walls between companies and customers are disappearing.
IBM Corporate Environmental Affairs 10
So are the walls between technologies, industries and even fields of expertise.
IBM Corporate Environmental Affairs 11
And while computers are thinking and acting more like people…
IBM Corporate Environmental Affairs 12
…people — along with homes, roads, farms, waterways and countless other systems — continue to be enriched with new levels of computing power.
IBM Corporate Environmental Affairs 13
The Defining Attributes of A Smarter Planet are as Relevant and Real Today as When IBM Identified Them in 2008
Instrumented We have the ability to measure, sense, and see the exact condition of everything.
Interconnected People, systems, and objects can communicate and interact with each other in entirely new ways.
Intelligent We can respond to changes quickly and accurately, and get better results by predicting and optimizing for future events.
These attributes arise from a foundation of data
IBM Corporate Environmental Affairs 14
Data Represents Both an Opportunity and a Challenge
“We have for the first time an economy based on a key resource [Information] that is not only renewable, but self-generating. Running out of it is not a problem, but drowning in it is” -- John Naisbitt
1 in 3 business leaders don’t trust the information they use to make decisions
90% of the world’s data are unstructured
Veracity – Data in Doubt
30 Billion RFID sensors and counting
Variety – Data in Many Forms
Volume – Data at Rest
40 Zettabytes worth of data will exist by 2020
Velocity – Data in Motion
IBM Corporate Environmental Affairs 15
A Closer Look at the Four Vs of Big Data
Volume
40 ZETTABYTES (43 Trillion Gigabytes) of data will be created by 2020, a 300X Increase from 2005
It's estimated that 2.5 QUINTILLION BYTES (2.3 Trillion Gigabytes) of data are created each day
6 BILLION PEOPLE have cell phones
Most companies in the U.S. have at least 100 TERABYTES (100,000 Gigabytes) of stored data
Velocity
The New York Stock Exchange captures 1 TB OF TRADE INFORMATION each trading session
It is projected there will be 18.9 BILLION NETWORK CONNECTIONS by 2016
Close to 100 SENSORS monitor items such as fuel level and tire pressure in modern cars
Variety
Veracity
4 BILLION+ HOURS OF VIDEO are watched on YouTube each month
30 BILLION PIECES OF CONTENT are shared on Facebook every month
420 MILLION WEARABLE, WIRELESS HEALTH MONITORS are expected to be in use in 2014
150 EXABYTES (161 Billion Gigabytes) The estimated size of healthcare data globally in 2011
1 IN 3 BUSINESS LEADERS don't trust the information they use to make decisions
Poor data quality costs the US economy around $3.1 TRILLION A YEAR
27% OF RESPONDENTS in one survey
were unsure how much of their data was inaccurate
IBM Corporate Environmental Affairs 16
But while Systems of Engagement plus Systems of Record enable Systems of Insight …
… we must transform data and information into knowledge along the way
IBM Corporate Environmental Affairs 17
Analytics: Extracting Knowledge from Data
The analysis of “big data” allows people to detect patterns, glean insights, and make better and faster decisions. By using advanced techniques such as text analytics, machine
learning, predictive analytics, data mining, and natural language processing … organizations of all kinds can leverage previously untapped
sources of data on their own or in concert with existing data across their enterprise to remake and improve the fundamental ways they operate.
IBM Corporate Environmental Affairs 18
So What About Sustainability?
We need to optimize interdependent and competing needs across our world’s economic, environmental, and social spheres …
… while the world’s current population of 7.2 billion increases by another
billion over the next 12 years. There are plenty of challenges. Here are a few fundamental ones:
– Cities
– Water
– Food
IBM Corporate Environmental Affairs 19
Cities
IBM Corporate Environmental Affairs 20
IBM Corporate Environmental Affairs 21
The degree of ICT adoption affects the attractiveness of
a region’s business environment
Communications
Greater commerce and growth increases the use of transport infrastructure
Energy is the reason for a substantial part of all water
withdrawals
Water quality affects the health of all community
members
Human capital determines speed of
ICT adoption
Business
Energy & Utilities
Water
Citizens
Transport
Commuting affects quality of life
Transportation is one of the primary consumers of
energy demand
Industry accounts for a large proportion of water
withdrawals
Cities: “System of Systems” with Separate But Interconnected Challenges
IBM Corporate Environmental Affairs 22
With Open Data, Infrastructure and City Performance Can Become a Consumer Play
Roads • Traffic data, journey times, road-vehicle
interactions • Road pricing - static and dynamic • Dynamic parking pricing, parking space search • Plugshare - electric car recharging points
Mass Transit • Bus timings and locations • On-line travel bookings
Environment • Detection and alerts of air and
water pollution • “Whistle-blowing” on damage to
the environment
Energy • Smart meters; consumers track consumption • Local energy generation (rooftops)
integrated with the grid
Maintenance • Phone apps - Fixmystreet.com,
Seeclickfix.com, also several homegrown alternatives created by local governments
Public Safety • Community crime mapping
and reporting
All • Spending data, even citizen budgeting • League tables of performance, citizen
satisfaction
Water • Smart meters, consumers track consumption • Support for localized water treatment and
recycling (remote quality assurance)
IBM Corporate Environmental Affairs 23
Promoting Individual Citizen Participation in Smarter Cities
Solutions for Instrumenting People
(i) Select Citizens select what type of
urban event they want to report
(ii) Collect A mobile application provides a reporting interface containing
picture, location, classification, and annotation.
(ii) Report and analyse The report is uploaded to a server and then
submitted to a series of analytics components that derive relevant information from the citizens’
reports.
IBM Corporate Environmental Affairs 24
Water
IBM Corporate Environmental Affairs 25
Stress on Water Resources Impacts Essential Dimensions of Our Lives
IBM Corporate Environmental Affairs 26
Water Also Suffers From Insufficient and Poor Infrastructure
Source: American Water Works Association 2006, OECD 2009, Agici Finanza d’Impresa 2008, China's Ministry of Housing and Urban-Rural Development 2011, Parliament of Australia, MIT Sloan 2011, African Development Bank Group 2008, Water World, ITT Corp 2010, ANA Brazil 2011, Siemans 2007, Johnson Foundation at Wingspread 2011, ASCE 2009
In the US 1.7 trillion gallons lost annually from
leakages; $330bn investment
needed over next 20 years to replace aging pipes and
treatment plants
South Africa losing up to 35% of its water supply due to
leakages and failure to pay.
6 bn cubic meters of water lost through
leaking pipes every year in China;
$128bn investment by 2015 to address inadequate water
infrastructure
Ageing pipe system in Italy creates annual losses for
operators of €3.9-5.2 billion
France needs +20% investment in water
infrastructure by 2030 to maintain current services
Brazil needs to invest $42 billion in water & sanitation infrastructure between 2011 and 2015 to
guarantee supplies to cities and treat waste
700m litres of water per day
lost due to leakages and
illegal connections in
Mumbai
$4-8bn: cost for wastewater projects to reduce flow of nitrogen into area bays and ponds on Cape Cod
3.4bn litres of water leakage daily: 26-40% of total supply in the UK
Average leakage rate in Latin American cities is 35%
IBM Corporate Environmental Affairs 27
Smarter Water Management Enables More Efficient and Effective Management of Water Resources
Source: IBM
Data
Analytics
Decisions
Integration
Real-time data analysis, visualization, and prediction generate insight on water consumption, supply, distribution, and the need for maintenance or rehabilitation.
Better manage supply, demand, storage, distribution, and treatment. Improve budgeting, forecasting, and emergency response. Eliminate previously unseen waste. Enable increased access.
Data on water supply and demand collected from sensors and smart meter systems across industrial, utility, and environmental networks. So is data on the condition of infrastructure.
Foster improved collaboration among multiple stakeholders by enabling access to shared data on a common platform.
IBM Corporate Environmental Affairs 28
Food
IBM Corporate Environmental Affairs 29 4/3/2014
Smarter Agriculture means: • enabling end-to-end visibility across the global supply chain through more connected,
instrumented and intelligent systems that provide more and better knowledge across the global web of input suppliers, growers, shippers, processers and retailers
So that: • resources are managed more efficiently and sustainably • people have more confidence in the quality and safety of their food • agricultural productivity increases • the world can be fed
Smarter Agriculture Involves Innovative Use of Technology to Improve Food Science, Safety, Sustainability, Production, and Distribution
IBM Corporate Environmental Affairs 30
Watering
70% of fresh water consumption worldwide is driven by agriculture.
Smarter decisions about watering = big impact
Pictures of fields taken from satellites can be coupled with predictive weather modeling (IBM Deep Thunder) to pinpoint conditions 48 hours in advance and make smarter decisions about watering crops
Precision Agriculture via Data & Analytics Is Smarter Agriculture Precision Agriculture
The traditional approach requires following a set schedule for planting, fertilizing, watering, and harvesting.
Precision Agriculture changes the traditional approach by using data and predictive analytics to make smarter decisions.
Data for Precision Agriculture is collected in real-time from sensors in the soil, air, and crops and augmented with weather forecasts.
Crop Maintenance & Fertilizing
Decisions are time sensitive and weather dependent
Rain = Bad time to fertilize as rain washes away fertilizer
No Rain = Good time to fertilize and irrigate
Transportation & Distribution
The logistics of transporting harvested food to distribution centers are crucial to avoid waste
Goods must be transported at right temperature and kept only as long as needed
Enhance with track & trace
Crop Analytics
Control centers collect and process data in real time to drive smarter decisions across the crop lifecycle
Planting & Sensing
Seeds are placed in the ground
Sensors placed throughout the fields are used to measure temperature and humidity of the soil and surrounding air.
IBM Corporate Environmental Affairs 31
IBM WATSON and Cognitive Computing
IBM’s Watson represents a first step into cognitive systems, a new era of computing.
Watson builds on the current era of programmatic computing but also
differs in significant ways. Natural language processing - to help understand the complexities
of Big Data – unstructured data which makes up as much as 90% of the data in the world today
Hypothesis generation and evaluation - by applying advanced analytics to weight and evaluate a panel of responses based on only relevant evidence
Evidence-based learning - to improve based on outcomes to get smarter with each iteration and interaction
IBM Corporate Environmental Affairs 32
IBM’s Project Lucy IBM announced in February 2014 a 10-year, 100 million initiative to
bring Watson and other cognitive systems to Africa to address a host of challenges hampering inclusive and sustainable
economic development, and spur business opportunities across the African continent
IBM Corporate Environmental Affairs 33
Watson & Lucy: Solving Sustainability Challenges IBM researchers in Africa, along with business and academic partners,
will use Watson to leverage its cognitive technologies to generate insight from big data and develop solutions relating to: Water and sanitation Agriculture Human mobility Infrastructure Healthcare
In addition, to build an ecosystem around Watson, IBM will also
establish a new pan-African Center of Excellence for Data-Driven Development (CEDD) Enabling research partners such as universities, development
agencies, start-ups and clients in Africa and around the world to participate in this initiative
IBM Corporate Environmental Affairs 34
The Latest on Watson
IBM Watson Group (January 2014) IBM formed a new business unit focusing on development and
research and bringing to market cognitive applications and services: Watson Analytics: delivers visualized Big Data insights based on
questions posed in natural language by user. Watson Explorer: helps users uncover and share data-driven insights
more easily and enables the faster launch of Big Data initiatives faster. $100 million for venture investments to support IBM’s recently
launched Watson Developer Cloud
The IBM Watson Mobile Developer Challenge (February 2014) A first of its kind, global competition to encourage developers to create
mobile consumer and business apps powered by Watson and spread cognitive computing apps into the marketplace
IBM Corporate Environmental Affairs 35
A Concluding Question:
What would you do with Watson?
IBM Corporate Environmental Affairs 36
Wayne Balta
Vice President Environmental Affairs & Product Safety
IBM Corporation