Big data webinar

Big Data Supply Chains
Supply Chain Insights LLC Copyright © 2014, p. 1
October 23, 2014

Our Panel
Joseph Selle,
IBM
Glenn Wegryn,
Analytic Impact
Lora Cecere,
CEO of Supply
Chain Insights

Let’s start with a game of tennis, shall we?
Similar Big Data & Analytics
techniques optimize our
supply chain for happy
customers & positive
business impact
Business challenge
 Efficiently enable truly compelling user experiences during and after
the US Open Tennis competition in 2013
Solution
 Built predictive viewership models, and mined social networks to
enable real-time demand analysis
 Provisioned dynamic network for high performance & lowest cost
 Developed interactive mobile app for faster and better insight
 Analyzed player performance by mining data from the past 8 years
of competition
 Provided ‘fast, fun, useful’ content & satisfied users
ISC at a Glance
 Cash collection: $99B
 Managed spend: $53B
 Procurement savings:
$7B
 20K employees
 18K suppliers on line
 30+ smarter analytics
initiatives

The supply chain power play = big data + analytics +
What should we do about it?
Collaborate for maximum business
value, informed by advanced analytics
Watson Analytics
Velocity (data in motion)
Variety (many forms of data)
Volume (data at rest)
Veracity (data in doubt)
business process
Analytics 1.0
Analytics 2.0
Descriptive
Get in touch with reality, a single source
of the truth, visibility
Prescriptive
Predictive
Understand the most likely future
scenario, and its business implications
Cognitive
Deeply analytical computing systems that
learn & interact naturally with people
What happened?
What will happen?
How do we optimize a dynamic, Big
Data environment?
Big Data = All Data (structured, semi-structured,
unstructured, internal, partner, macro environment)
Optimized, intelligent,
agile business process
Key

Supply Chain Social Listening is an essential part of
IBM procurement & supplier total risk mgt
Entities
 Commodity
−Memory
−Other
 Country
− China
−Other
 Hub
−Dublin
−Other
 Supplier
−Supplier A
−Other
 Supplier Site
−Supplier A - - ECAT
−Other
 Supplier Site Pandemic
−Supplier B OEMStorage
−Other
 Brand
− x
−Other
Alert rating threshold analysis
Alert type determination
Recipients analysis
Sub-entity
Current
rating
Previous
rating
Alert Alert Type
Memory Green Green
RSS Yellow Yellow
China Yellow Yellow
Taiwan Green Yellow  Improvement
Dublin Red Red
New York Green Green
Samsung Yellow Green  Degradation
Intel Green Green
Liteon Unassessed Null  New Questionnaire
Celestica Green Unassessed  Initial Rating
Risk Database
Rules Engine Alerts – target commodity councils
History Log
Risk Intelligence
Risk Mgt.
Engine BI Reporting
Risk ratings by
 Country
 Supplier
 Etc
Reports generated
 Global View
 SC Report
 Pandemic
Questionnaire…
Mitigation plans
 Step A
 Step B
 Step C
Social
Listening
Predictive
indicator
analysis
Enablers Social Mobile Analytics

Mining big data from automobiles with advanced
analytics has a very large value proposition
Solution Scope
 Streaming data from vehicles
 Real time analysis performed
 Results available nearly immediately
39 months
172,099 vehicles
1525 warranty claims
Analytics Alert
Who wins? – Everybody !!
 Drivers: safer vehicle, predictive alerts
 OEM: lower warranty costs, design improvements
 Service/aftermarket: operational improvements, readiness
Enablers Cloud Mobile Analytics

Big Data capabilities mean huge value creation at
IBM chip fabs & for our clients as well
$13M+ Savings in
first two years
150% ROI expected
from fault pattern recognition analytics
The challenge at IBM Burlington: As IBM moves from 45-nm to 32-nm to
22-nm technology, the number of transistors on each chip is growing
significantly, and so is the data volume required for testing
The solution: Capable of capturing and analyzing 500 live feeds sets of
complex data for near-real-time anomaly detection, alerts, predictions and
diagnostics
50% reduction in time
for data collation and analysis
The challenge at IBM Fishkill: Quality issues were expensive and hard to
predict; process was hard to optimize
The solution: Proactive analytics drives actions for tool stability and control,
process centering, yield learning, scrap avoidance
1-5 point increase in Yield*
Enablers Cloud Analytics
*Yield numbers highly confidential

Imagine the possibilities…
Data can show you how to win, no matter what industry you are in…

Supply Chains Don’t Play by the Rules
9
But,
what if
they
could?

Could the Answer Lie in….
Clouds?
Streams?
Lakes?

Big Data Supply Chains are Evolving
11
Challenges:
• Transactional
• Time phased data
Structured
Data
• Social
• Channel
• Customer Service
• Warranty
• Temperature
• RFID
• QR codes
• GPS
• Mapping and GPS
• Video
• Voice
• Digital Images
Unstructured
Data
Sensor
Data
New
Data
Types
Volume
Velocity
Variability

Big Data

We have a Big Data Opportunity

Big Data Initiative

Top Elements of Supply Chain Pain Include Alignment,
Volatility, Visibility, and Data Usage

Top Supply Chain Trends Include Data Visualization,
Demand Sensing, Supply Chain Visibility, and Big Data

Collaboration Is Among Most Important
Capabilities for Supply Chain Success

Only 9% Are Considering Adopting Cognitive Learning

Top Challenge for Cognitive Computing:
Actionable Insights

Slides for Verizon
-Who is Verizon
-Verizon’s Current State on Data and Data
Usage
-The Big Data Opportunity
Verizon’s Story

Slides for IBM
-Who is IBM
-IBM Current State on Data and Data Usage
-Definition of The Big Data Opportunity
IBM’s Story

About Lora Cecere
• Founder of Supply Chain Insights
“LinkedIn Influencer”
Guest blog for Forbes
Author of 2 books: Bricks Matter (2012) and
Metrics That Matter (to publish Fall of 2014)
• Partner at Altimeter Group (leader in open research)
• 7 years of Management Experience leading Analyst Teams at Gartner and
AMR Research
• 8 years Experience in Marketing and Selling Supply Chain Software at
Descartes Systems Group and Manugistics (now JDA)
• 15 Years Leading teams in Manufacturing and Distribution operations for
Clorox, Kraft/General Foods, Nestle/Dreyers Grand Ice Cream and
Procter & Gamble.
Contact Information:
• Email: lora.cecere@supplychaininsights.com
• Blog: www.supplychainshaman.com (6000 pageviews/month)
• Forbes: http://www.forbes.com/search/?q=lora+cecere
• Twitter: lcecere (4800 followers)
• LinkedIn: linkedin.com/pub/lora-cecere/0/196/573 (7000 in the network)

Countdown for Next Year’s Event
www.supplychaininsights.com
Global Summit
September 8th-10th, 2015
#sciwebinar

Books for your Bookshelf
Self-publish
September 2014
Wiley
Fall 2014
Wiley
December 2012

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