1. Copyright © 2010, SAS Institute Inc. All rights reserved. How do you respond to a Data Tsunami? Keith Collins CTO, SAS Institute January 28 th, 2010

2. Copyright © 2010, SAS Institute Inc. All rights reserved. A little inspection for context IT Analytics SAS

3. Copyright © 2010, SAS Institute Inc. All rights reserved. 80’s & 90’s – Fixing the Plumbing

4. Copyright © 2010, SAS Institute Inc. All rights reserved. The Rise and Fall and Rise of ERP SAT, NOVEMBER 15, 2003 — CIOCIO 1970s SAP formed in Mannheim, Germany, by five former IBM software engineers. Early 1980s MRP evolves into MRP II. Early 1990s MRP II evolves into enterprise resource planning. 1999 ERP becomes ubiquitous as companies rush to meet Y2K deadline. 2001 CFOs discover maintaining ERP is almost as expensive as installing it 2002 ERP blamed for falling profits, poor stock performance and bad weather.

5. Copyright © 2010, SAS Institute Inc. All rights reserved. Still Disconnected in 2010 Top 10 Business PrioritiesTop 10 Technology Priorities Business Process ImprovementVirtualization Reducing Enterprise CostsCloud Computing Increasing the use of Information/AnalyticsWeb 2.0 Improving Enterprise Workforce EffectivenessNetworking, Voice & Data Communications Attracting and Retaining New CustomersBusiness Intelligence Managing Change InitiativesMobile Technologies Creating New Products or Services (Innovation)Data/Document Management & Storage Targeting Customers and Markets more Effectively Service-Oriented Applications & Architecture Consolidating Business OperationsSecurity Technologies Expanding Current Customer RelationshipsIT Management Source: Gartner EXP (January 2010)

6. Copyright © 2010, SAS Institute Inc. All rights reserved. 3 Business, Market, and Analytic Patterns Collide

7. Copyright © 2010, SAS Institute Inc. All rights reserved.

8. STANDARD REPORTS Answer the questions: What happened? When did it happen? 1 AD HOC REPORTS Answer the questions: How many? How often? Where? 2 QUERY DRILLDOWN (OR OLAP) Answer the questions: Where exactly is the problem? How do I find the answers? 3 ALERTS Answer the questions: When should I react? What actions are needed now? 4

9. Copyright © 2010, SAS Institute Inc. All rights reserved. STATISTICAL ANALYSIS Answer the questions: Why is it happening? What opportunities am I missing? 5 FORECASTING Answer the questions: What if these trends continue? How much is needed? When will it be needed? 6 PREDICTIVE MODELING Answer the questions: What will happen next? How will it affect my business? 7 OPTIMIZATION Answer the questions: How do we do things better? What is the best decision for a complex problem? 8

10. Copyright © 2010, SAS Institute Inc. All rights reserved. $114 million BUREAU OF INTERNAL REVENUE, PHILLIPINES

11. Copyright © 2010, SAS Institute Inc. All rights reserved. Fewer patient deaths Save $10 Billion Sweden

12. Copyright © 2010, SAS Institute Inc. All rights reserved. #1 in profits Increased share 36% - 1998 45% - today

13. Copyright © 2010, SAS Institute Inc. All rights reserved. Cut Costs $50 million Analytics to optimize marketing, shipping, distribution and manufacturing

14. Copyright © 2010, SAS Institute Inc. All rights reserved. 500 store retailer Analytics allow Wet Seal to quickly respond to trends

15. Copyright © 2010, SAS Institute Inc. All rights reserved. So what about the Data Tsunami?

16. Copyright © 2010, SAS Institute Inc. All rights reserved. Information Explosion

17. Copyright © 2010, SAS Institute Inc. All rights reserved. “Divide and Conquer” Shared storage Traditional Architecture Distributed Architecture

18. Copyright © 2010, SAS Institute Inc. All rights reserved. “Divide and Conquer” Move Data to Compute Traditional Architecture Message Passing Architecture

19. Copyright © 2010, SAS Institute Inc. All rights reserved. “Divide and Conquer” Move Compute to Partitioned Data Traditional Architecture Partitioned Data Architecture

20. Copyright © 2010, SAS Institute Inc. All rights reserved. “Adding Present to Past/Future” ex. Realtime/Streaming/CEP Data Traditional Architecture Realtime Architecture Devices Systems Data Warehouse / Database Devices Systems

21. Copyright © 2010, SAS Institute Inc. All rights reserved. North Carolina State University Future of Computer Science?

22. Copyright © 2010, SAS Institute Inc. All rights reserved. Are You Ready?