1. SPONSORED BY ​ Becoming Data-Driven ​ Tom Davenport, Babson College ​ Bill Franks, Teradata ​ August 5, 2015

2. 2 Bill Franks is the Chief Analytics Officer for Teradata and author of the books Taming The Big Data Tidal Wave and The Analytics Revolution. Franks is a faculty member of the International Institute for Analytics, and an active speaker who has presented at dozens of events in recent years. His blog, Analytics Matters, addresses the transformation required to make analytics a core component of business decisions. Tom Davenport is the President’s Distinguished Professor of IT and Management at Babson College, he is also the co-founder of the International Institute for Analytics, a Fellow of the MIT Center for Digital Business, and a Senior Advisor to Deloitte Analytics. He teaches analytics and big data in executive programs at Babson, Harvard Business School, MIT Sloan School, and Boston University. © 2015 Teradata Featured Speakers

3. 3 © 2015 Teradata What does it mean to be Data-Driven?

4. 4 © 2015 Teradata Varieties of Data-Driven Data-driven organizations Data-driven culture Data-driven strategy Data-driven decision-making Data-driven marketing Data-driven executives Data-driven industries Data-driven supply chain Data-driven design The Data-driven life Data-driven programming

5. 5 ​ Data and analytics drive most aspects of the company! – Most decisions and actions based on data and analytics – Business processes digitized and create data as they operate – Data is consistent throughout organization and of high quality – Data heavily used in operations and in customer offerings Data-driven organizations don’t have perfect data – But it’s governed well, and is good enough for widespread use © 2015 Teradata What Does it Mean to Be a Data-Driven Organization?

6. 6 © 2015 Teradata Can you share some of the benefits of being a Data-Driven organization?

7. 7 ​ Customer Insight Gathering and analyzing data from all customer transactions – Demographics – What you buy – What you look at online – Etc. Examples of data-driven customer insights – A billion dollar loyalty database at Caesars – Data-driven customer relationships at RBC © 2015 Teradata Benefits of Being Data-Driven

8. 8 ​ Operational Efficiency Using data and analytics to deliver dramatic improvements in operational performance – Supply chain – Manufacturing – Service and sales processes Examples of data-driven operational efficiency – New metrics and optimized manufacturing operations at McCain Foods – Using sensors in POS devices at NCR to identify likely failures before they happen – Shorter waiting times, lower blood use at Cleveland Clinic © 2015 Teradata Benefits of Being Data-Driven

9. 9 ​ Better Financial Management Optimize use of financial resources and understand what drives performance – Risk analysis – Testing capital investments – Predictive performance management Examples of data-driven financial management – Real-time, one-version-of-the-truth financial decisions at Boeing – Assessing service-based profitability at TD Bank © 2015 Teradata

10. 10 ​ Creation of New Products and Services Offering products and services based on data and analytics – Online companies – Traditional industrial firms – New business units Examples of data-driven products and services – Precision agriculture services at Monsanto – Predictive maintenance services at GE Aircraft and Energy – “People You May Know” and others at LinkedIn © 2015 Teradata Benefits of Being Data-Driven

11. 11 © 2015 Teradata What are the key choices an organization needs to make when becoming data-driven? Can you provide some real-world examples?

12. 12 © 2015 Teradata Key Choices in Being Data-Driven Internal or external focus? Offense or defense ? Infrastructure or business applications ? Transactional or behavioral data? Descriptive analytics or predictive and prescriptive? Human or automated decisions?

13. 13 © 2015 Teradata Can you explain the various levels of data-driven organizations?

14. 14 Data-Driven Strategy and Competition Data products and services Operational and pervasive data-driven decisions Management of structured and unstructured data Enterprise focus on data and analytics Data-Driven Competencies Advanced analytics usage Evidence-based culture Big data exploration and pilots Executive engagement in data initiatives Organizations progress through defined stages of being data- driven Doesn’t work to strive for the highest stages without achieving the lowest But useful to know the purpose of completing the initial stages – Not just for their own sake © 2015 Teradata Three Stages of Data-Driven Organizations Foundation Transaction systems Data warehouse Sturctured data reporting Basic governance

15. 15 Good transaction systems to provide data – ERP, CRM for example A place to store the data for analysis – typically a warehouse or mart Some ability to do descriptive analytics on the data – Reports, scorecards/dashboards, queries A governance structure for key data – For integration, common data © 2015 Teradata Foundation Stage Foundation Transaction systems Data warehouse Sturctured data reporting Basic governance

16. 16 Widespread use of predictive and prescriptive analytics A culture that emphasizes analytical decisions Some exploration and analysis of unstructured “big data” – Clickstream, social media, text Executives on board – Aware of the potential, engaged in the execution © 2015 Teradata Data-Driven Competencies Stage Data-Driven Competencies Advanced analytics usage Evidence-based culture Big data exploration and pilots Executive engagement in data initiatives Foundation Transaction systems Data warehouse Sturctured data reporting Basic governance

17. 17 Some development of data and analytics-based products and services for customers Analytics and automation embedded within systems and processes Widespread use and integration of both structured and unstructured data – Experiments with Hadoop, data discovery, data lakes, etc. Enterprise roles and responsibilities for data and analytics – CDO, CAO, etc. © 2015 Teradata Data-Driven Strategy and Competition Stage Data-Driven Strategy and Competition Data products and services Operational and pervasive data-driven decisions Management of structured and unstructured data Enterprise focus on data and analytics Data-Driven Competencies Advanced analytics usage Evidence-based culture Big data exploration and pilots Executive engagement in data initiatives Foundation Transaction systems Data warehouse Sturctured data reporting Basic governance

18. 18 ​ Financial Services Firms Wells Fargo Capital One Citi JPMC RBC TD ​ Online Businesses ​ “data-driven from birth” Google eBay LinkedIn Facebook ​ Retailers WalMart Target Williams-Sonoma Macy’s Tesco 1-800-Flowers.com © 2015 Teradata Data-Driven Strategy and Competition – Who Does It?

19. 19 © 2015 Teradata Questions & Answers {and don’t forget to download the complimentary white paper}

20. 20 SPONSORED BY © 2015 Teradata