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June 28
Data visualisation catches up

Data visualisation has long lagged its sister disciplines of data capture, storage and analysis. However, at Karabina, data discovery is something we've been doing for close on 12 years. Business data discovery is the promise of Business Intelligence, and Business Intelligence is a key ingredient in the strategic decision making process.

 

The main benefits of data discovery and visualisation are that it significantly improves the decision making process. It allows for greater insight and analysis, as more information is presented in a visual and concise manner and it contains more insight than a standard report. Visualisation can further help the planners in the organisation to analyse their information, as they have to trawl through vast amounts of data. Moreover, it has the potential to confirm and validate assumptions about the business, answering the essential business questions such as who are the customers, what are they buying and what are my margins? Data visualisation creates a single shared view of the situation and aligns the stakeholders on the required actions.

 

An emerging trend over the last couple of years is that organisations are moving away from data reporting toward data discovery. While most of the data is available in reports, it's the analysis of that data that is essential, as the goal is to gain intelligence from your information, and not just an overview. Presenting data in tables is no longer the way to go, but graphing, mapping or charting information can instantly change perspectives and improve business insight.

 

With the emergence of Web 2.0 and other technologies such as the tablet, there has been a definite shift in how we engage with our data – we are much more visual. While a report could contain a lot of information, it's preferable to present the data on a single page with a graphic that is information dense, but not confusing. As Napoleon said, "A good sketch is better than a long speech".

June 13
Big Data Thinly Sliced

In an effort to understand the relevant concepts and architectures of Big Data practically as well as its potential value for business, we must first review the concept.

There are two main reasons why I prefer to talk about Big Data ‘thinly sliced’:
1.     Firstly, it has been said that “the only way to eat an elephant is one bite at a time”, and this rings true for Big Data.  Just as applications like Google have become synonymous with the concept of searching for information on the internet through the use of a search engine, it’s not surprising that application frameworks such as Hadoop are becoming synonymous with the concept of Big Data (it may be no coincidence that the logo for Hadoop is a yellow elephant). Breaking down Big Data into thinly sliced concepts should help us understand its nature.
 
2.     The second reason is that there is a unique mental process that cannot be ignored with regards to how humans consume data.  Malcolm Gladwell in his 2005 book “Blink: The Power of Thinking Without Thinking” defines the “theory of thin slices” as “How a little bit of knowledge goes a long way”, in allowing the individual to decide what is truly important.  Gladwell poses the question “How is it possible to gather the necessary information for a sophisticated judgement in a short space of time?”  The principle of Business Intelligence is to consolidate disparate data, big or small, distil it to a simple truth, so that a business user can consume it and make a decision whether it is operational or strategic in nature.
 

Three claims about Big Data you should understand:

1.     Big Data is a new concept.

Back in 2008, articles were being published regarding the challenge of growing data volumes and the ability we have to manage, consume and visualise it.  According to the Mike 2.0 definition, “Big data can be very small and not all large datasets are big”.  Big then refers to big complexity rather than big volume and this complexity has been challenging humanity from the day it started consuming and interpreting data.
 
2.     Big Data decommissions the concept of a data warehouse.
Just as the vendors claimed that in-memory analytics applications would negate the need for data warehouses, so these sales executives are suggesting the same regarding Big Data.  Dr Ralph Kimball, an author on the subjects of data wharehousing and Business Intelligence, put Big Data in context in his 2011 white paper The Evolving Role of the EDW in the Era of Big Data Analytics in saying, “big data is a paradigm shift in how we think about data assets”, and that now “Data is an asset on the balance sheet”.  He points out that “With the benefit of hindsight gained from the traditional data warehouse experience, the big data analytics version of data warehousing is likely to consolidate quite quickly. Only the bravest organisations with very strong software development skills should consider rolling their own big data analytics applications directly on raw MapReduce/Hadoop.”
 
3.     Enter the Data Scientist.
Interestingly the terms “Data Science” and “Data Scientist” have been emerging with the hype around Big Data.  These terms imply that there are now new ways to understand and gain insight into data and that it is best left to the experts.  Its good to note the underlying principles overlap with the collection of data and its visualisation within the realm of the well-established Business Intelligence competency.  However, these terms have been around since 2001, for example see Dr. William S. Cleveland’s article "Data Science: An Action Plan for Expanding the Technical Areas of the Field of Statistics".  In his article, “The future belongs to the companies and people that turn data into products”.  Mike Loukides explains that “merely using data isn't really what we mean by data science.  Data science enables the creation of data products.  Data scientists combine entrepreneurship with patience, the willingness to build data products incrementally, the ability to explore, and the ability to iterate over a solution.  In the past companies sought out the help of Business Intelligence consultants who would endeavour to gather from the business their requirements and the mappings of metrics to source data elements.  To a large extent this will continue to be the case, but now the area where a data scientist can operate is where a company introduces a Big Data competency and starts collecting data, but does not know the value it contains or at least has no requirement of how to define it - so they entrust the extraction of value over to the Data Scientist.
 

Delving into Big Data and its related concepts, we can extract value and insight for business and industry alike, prompting us to start asking the question we never knew needed answers.

February 09
Think big, build small: the BI roadmap

Celebrated novelist John Irving always starts his stories with the last sentence and then works his way backwards. Erwin Bisschops, principal lead in business intelligence at Karabina Solutions, says it's an approach that business intelligence (BI) professionals would do well to emulate when it comes to creating a BI roadmap.

“Change is one of the few certainties in life,” he says. “Your BI environment, whether you have a greenfield solution or you have just celebrated its five-year anniversary, is no different. Just think of changing stakeholder requirements, the implementation of that new ERP system, the possibilities of Microsoft SQL Server 2011 (codenamed Denali), or the impact of King III, to name a few.

“The impact of these and other elements can be mitigated with a BI roadmap, provided you begin with the desired goal in mind and work your way back to the present.”
 

Where to begin
The main goal of any BI environment is to maximise ROI. When dealt with incorrectly, change poses a threat, but when tackled proactively, it creates opportunities. A BI roadmap will help you to deal with change and make the most of your BI environment.
A crucial part of the roadmap is determining the desired state of the BI environment. “To gain the necessary insight, you have to record high-level business requirements and carry out advanced source analysis,” says Bisschops.
“You also have to ensure you understand the various KPIs and drivers per information area. Only then should you investigate systems to determine if your requirements can be met.”
Assessing the current state and determining the desired state will provide input to your BI strategy, enabling your organisation to bridge the gap between the two states. The BI strategy typically consists of four elements:
* Conceptual view – What are the strategic objectives?
* Data architecture – What data components are required to achieve the conceptual view?
* Technical architecture – What is the required infrastructure and what tool sets will be used?
* Implementation view – How do we build and maintain the environment?
The implementation view
An important part of the implementation view is the so-called plateau approach, which enables the organisation to deliver BI in relatively short intervals of one to two months. Bisschops says this approach has several advantages:
* Focus is maintained. Contributors see tangible results of their input in a short time period.
* End-user commitment is maintained. End-users are more willing to contribute to a process which will benefit them in the short-term.
* Issues are addressed effectively. Any potential issues that may arise are known after a short period of time and can be avoided in the rest of the implementation.
* Quick ROI. Sponsors see the benefits of BI. They get value for money quickly and BI starts to sell itself.
* Requirement changes are avoided. The changing nature of BI can be dealt with more effectively in smaller sub-sections of work delivered every few months rather than in an all-encompassing implementation.
How to build a roadmap
“BI should always be business – not technology – driven,” he says. “Big-bang exercises have long been deemed a recipe for disaster. Instead, it's advisable to grow your BI environment iteratively, focusing on business requirements one at a time. Each iteration must be driven by specific requirements, while being guided by the long-term vision of the BI strategy formulated in the BI roadmap.”
It's crucial to rate various initiatives in terms of business impact and feasibility in a prioritisation matrix. “Business impact is generally determined by ROI, potential cost savings or strategic significance,” Bisschops says. “Feasibility is determined by data availability, perceived ease of implementation, and resource availability and experience.”
Typically, initiatives like product- or client-profitability are top of the list. Rather begin with an organisational discussion to determine how indirect costs should be allocated. While you implement goals which are easily achievable (the high business impact and high feasibility initiatives), a parallel stream should be started to facilitate the organisational discussion and thus make it easier to implement the more challenging requirements six months ahead.
One of the biggest pitfalls in defining a BI roadmap is to treat this process as a once-off deliverable. In fact, it's an ongoing iterative process that begins with assessing the current state, determining the desired state, defining initiatives to bridge the gap, implementing those initiatives, and then starting all over again. That's why your overarching plan should include a review of the roadmap at least after each plateau.

February 07
7 Tips for successul SharePoint Adoption

Social business, knowledge management and change management are intrinsically interconnected. This is the glue that bonds people, business, process and technology perspectives together throughout the journey of business transformation. People, not processes or technologies, make good companies excellent companies, therefore the primary focus should always on people.

With this in mind, it’s important to address the manner in which SharePoint is introduced into an organisation and how to mobilise and engage users in the process.  Addressing these concerns with transformative adoption interventions early enables us to obtain insight when implementing SharePoint and how this has a significant impact on how efficiently and effectively the organisation is geared to utilise the solution in achieving desired business goals and objectives.  

Top down support

Every SharePoint implementation requires executive level support; their support is essential and must continue once SharePoint is live. Leaders need to walk the talk and lead by example and the organisations executive needs to use SharePoint in a very visible way.  

Get buy-in from business

SharePoint shouldn’t be rolled out in isolation - engage and mobilise the organisation and get your business users involved. They will drive your business requirements and the end result will meet their needs if they’re involved in the process. They are the best campaigners as they have a stake in making it successful.  

Influencing the organisation
Gather exciting people for an exciting journey. Select successful thought leaders, subject matter experts, go to people and enthusiasts and get them mobilised, connected, engaged and involved. They become the core community that will support the business transformation and adoption. 
 
Engage and sell
People don’t care too much about tools, but they will if it can help them. Sell the concept and demonstrate the value and benefits by establishing a meaningful connection.
 
Train your users
Strategise and plan your training approach; target your training with the right training for the right user. You should offer instructor-based training and e-learning content and training modules should be made available as refresher courses.
 
Market your world
Think big and forget corporate communications via email, as most ignore them. Treat your SharePoint launch like a new product launch; get executive and thought leaders to discuss it during meetings, put up posters, billboards and talk about it about at the “coffee coolers”.
 
Reward Use
Give awards and recognition for user who participate in ideas, wikis, blogs and discussion forums or for even providing help on SharePoint for colleagues.  Promote the behaviours you want in your organisation utilising smart concepts, tools and techniques.
 

In closing, it’s pertinent to keep your finger on the pulse of the organisations SharePoint adoption as it can’t be managed if it can’t be measured. The executive committee cannot begin to plan business transformation and adoption on SharePoint if they don’t know their business users and their desired goals and objectives.  SharePoint cannot be deployed if you don’t have a robust adoption strategy prepared - this is the key to success.

December 07
Isn't it just more red tape?

The recent phone hacking and banking scandals in Europe have again illustrated the importance of corporate governance; showcasing the manner in which organisations can incur irreparable damage to their reputation when they do not pay correct attention to their governance practices.
 
However, there are other aspects to consider when formulating an organisation’s Corporate Governance Framework® and its desired practices, and these components must be incorporated within the core of an organisation strategy to ensure they are consistently applied, monitored and measured.
 
Corporate governance constitutes amongst other, policies, procedures and guidelines; each which fulfil the appropriate measure to ensure that the appropriate people within an organisation are equipped to understand their respective roles and responsibilities.  One of its principle objectives is to ensure the organisation is directed and controlled in such a manner that it meets with the general approval of the organisation’s shareholders, as well as its stakeholders, whilst staying abreast of the law and accepted business practices.  Corporate governance is also about discipline, and applied correctly, those employees who are in leadership positions -- albeit at various levels -- will be in a far better position to regulate their decision making with the mandate to do so.  One of the aims of applying good governance within an organisation is to ensure a safe and organised operation which empowers employees to make carefully considered decisions, thereby eliminating, amongst other, poor business practices which cause unnecessary or harmful damage to the organisation and its stakeholders.
 
Whilst this is not an exhaustive list, here are six reasons to understand why sound governance and its practices are important in your organisation:
 
1.     Ensure strategy implementation
It is estimated that up to 57% of strategy failures in organisations are due to implementation failures, and not due to a poor formulation of the strategy.  The primary driver behind corporate governance should be to ensure that strategy formulation results in the desired action.  Policies and procedures should reflect the organisational objectives to ensure that decisions are made in line with the intended strategy.  Sound governance implementation, which is carefully considered and applied will provide a framework of rules and structures by which authority is delegated from the Board (i.e. strategy formulators) to operations (i.e. strategy implementers).
 
2.     Statutory compliance
Unquestionably, being a good corporate citizen implies that the organisation is observant and compliant to the various legislation, regulation, charters, policies and guidelines to which it is held accountable.  This is particularly true for the financial services industry, which by the sector’s nature, is very regulated with strict compliance provisions dealing with matters such as for example Sarbanes-Oxley Act (SOX), Basel III, King III, CPA and PoPI.  Needless to say, there are new Acts created on a regular basis, and the organisation’s governance teams need to be acutely aware of the impacts of new regulations and that these are factored within the organisation’s key policies and procedures in order that they remain compliant with the law.  Statutory compliance must be viewed as the minimum standard in any organisation. Simply complying with the law will not create an environment that attracts and retains top staff and customers.
 
3.     Reflection of corporate values
One aspect that is frequently overlooked in corporate governance is how the organisation’s governance reflects its own corporate values, and the manner in which its employees are expected to uphold these values. Corporate values may include aspects like morals, beliefs, ethics, ideology and attitudes towards aspects like sustainability, fair treatment of employees, adherence to the law, environmental concerns and CSR (Corporate Social Responsibility).  These values  are meant to guide the behaviour of all the organisation’s employees, and and should be based on principles that transcend any specific situation.
 
Corporate values are standards by which priorities are set, including the rules that must be adhered to by all levels of employees.  These values provide guidance in respect to desirable behaviour and outcomes.  Corporate values are part of an organisation’s culture, described as ‘the ethical framework that governs the organisation’s policies and practices…’ and may include aspects that emphasise innovation, flexibility, speed, efficiency, quality, customer service, risk taking, responsibility and business improvement.
 
Corporate values and culture can become quite viral -- with either positive or negative connotation as the case may be -- particularly when an organisation explicitly expresses its policies and procedures that describe how the organisation conducts itself, what it stands for and the behaviour it expects from its employees.  Strong corporate values are a typical characteristic of persistently high performers who show strong financial performance without sacrificing social or environmental responsibilities.
 
4.     Risk aversion
Governance is required to mitigate risk in organisations through explicit policies that not only guide certain actions, but also prevent undesirable behaviour.  An analysis of most corporate scandals relating to acts of greed, criminality or collapse, show that in almost all instances there is either no or poor governance practices, or poor risk management processes in place, resulting in some form of financial and / or reputational damage.
 
Risk aversion through governance requires greater transparency and openness in the way in which organisations function. This transparency must not be limited to listed companies only, but to all organisations with multiple stakeholders.
 
When directors, prescribed officers and managers face deadlines, it may be tempting for them to cut corners and deliver a product or service of inferior quality to save cost, time and resources. Sound governance and its applied principles will guide these employees in their decision making processes, thereby reducing the wide ranging risks in their organisation, for example job safety, environmental damage and so forth.
 
Organisations may use sound governance practices to improve their relationships with stakeholders, and in the case of labour matters, reduce the risks associated with strikes, workplace violence and other related matters where there are conflicting interests. When an organisation behaves in accordance with clear and inclusive policies, it is less likely to be involved in corporate scandals and controversies.
 
5.     Stakeholder expectations
The organisation needs to balance its financial performance and survival, to an all round inclusive approach of its non – financial interests to include the manner in which it treats people and the environment.  Clearly, the demands from consumers, suppliers, employees, shareholders and the community at large need to be factored as critical components for its success.  It is the responsibility of the Board to ensure that the interests of all the organisation’s key stakeholders are balanced and reflected in its policies and procedures.
 
The primary stakeholder of the organisation remains its shareholders, and the organisation needs to ensure that its policies and performances are aligned to ensure the long term sustainability and profitability of those organisations who operate for profit.  Listed companies especially are required to implement governance that ensures that its management act in good faith and that customers and trade partners are protected from fraud and unethical business behaviour.
 
Increasingly, society by and large demands equality, ethics and sustainability; however society’s demands may lead to a conflict between sustainability and profitability. Examples of such policies include charitable contributions, environmental concerns and outreach programmes. In this vein, one needs to consider to what extent will profit maximisation be justified, considering the affect that economic activity has on the environment and the increased chasm between rich and poor?
 
6.     Best practice
The last driver behind sound governance is the alignment of corporate practices and best practices.  If it is proven to have a significant competitive advantage to do business in a particular way, and assuming that this is ethically acceptable, then these practices should be reflected and supported within the organisation’s policies, guidelines and procedures.   
 
Best practices may for example include the way you do business (e.g. marketing, leads management and branding) or employee behaviour (e.g. dress-codes, e-mail and Internet policies, cell phone use and codes of conduct).
 
Aligning to best practices should therefore ensure a drive towards more efficient and effective processes in the organisation. 
 
It is imperative therefore, that an organisation intent on improving its corporate governance image and practices, not view governance simply as more red tape, but rather consciously apply itself to the principles of wanting to become a better, more responsible corporate citizen.  Undoubtedly, whilst there are more reasons an organisation could consider when it considers its Corporate Governance Framework® approach, what remains key is the fact that organisations must ensure all the interests of the stakeholders are addressed.  In order to achieve some of these objectives, organisations will need a robust strategy, clear action points and IT systems to monitor, manage and track the extent to which the organisation is complying with its overall plan.  Expectedly, there are IT systems are in place to disseminate the organisation’s key policies, making use of tools like SharePoint in order to track the organisation’s compliance and performance, furthermore with the use of Business Intelligence (BI) solutions.  Getting this wrong, would definitely cause an organisation to ‘double-loop’ itself, and in this instance trying to become a better governed organisation will simply be disregarded as just more red tape.