“EMC CoE DATA SCIENCE - Making Sense of BIG DATA” Alon Kaufman, Ph.D. Director of Research & Innovation, RSA IL CTO

Industries Are Broadly Embracing Big Data Big Data & Data Science Becoming Central to Enterprise Strategy Advertising & Public Relations Ad Targeting Sentiment Analysis Customer Acquisition Media & Telecommunications Network Optimization Churn Prevention Fraud Prevention Energy Smart Grid Exploration Healthcare & Life Sciences Pharmaco-Genomics Bio-Informatics Pharmaceutical Research Retail CRM – Customer Scoring Store Siting and Layout Supply Chain Optimization Financial Services Algorithmic Trading Fraud Detection Portfolio Analysis Manufacturing Product Research Process & Quality Analysis Distribution Optimization Government Market Governance Counter-Terrorism Econometrics

The Fraud Detection & Prevention World Dynamic environment Usability Stopping fraud The ProblemThe Solution Not realistic to challenge 100% of the transactions Machine learning based Risk Engine, that adjusts online √

Risk Engine Case Mgmt Activity details Policy Mgr. BehaviorBehavior DeviceDevice FraudFraud Authenticate Continue Deployment: The RSA Risk Engine Step-up Authentication Feedback Challenge Out-of- band Others Knowledg e

Online Banking Fraud Detection Results Top 10 US Bank 91% Fraud Detection, Preventing ~$1.3M in 1 month,0.35% Challenge Rate

RSA & EMC Data Science Activities Vast experience in applying DS to business solutions  Over 8000 customers, and 7 years for building proven ROI products based on machine learning  In Israel, team of 20+ data scientist, 7 PhD’s focusing on: –Financial fraud detection (online banking & ecommerce) –Cybercrime, and security risk analytics –IT advanced solutions –General data science services for companies entering the field  End-to-end business solution; from the business understanding via data manipulation, modeling, deployment and ongoing service operations and adaptations

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