Monday, September 17, 2018

ANALYTICS SPECIAL ....Why data culture matters PART II


Why data culture 
matters PART II

Tak Nagumo, MURC: 
For MUFG, data culture is a part of our value system. Like eating rice or bread—if you don’t eat it, you miss the day. Ultimately, everyone in the organization has to adopt a mind-set of data culture, but it doesn’t happen overnight. Creating a cross-cutting data set across the organization is a key for success.
Cameron Davies, NBCU: 
Just getting the people the data gets them excited. I’ve never met anybody in all my time at NBCU, or in my past 20 years at another very highly creative company, where I had someone look at me and say, “No, please don’t give me any information to help me make a better product.” At the same time, I don’t believe in the Field of Dreamsphilosophy that seems to be inculcated through a lot of data analysis, which is, if you just build it, build something cool, it’ll come. I’ve never seen that work.
Ted Colbert, CIO, Boeing: 
You have to figure out how to really democratize the data-analytics capability, which means you have to have a platform through which people can easily access data. That helps people to believe in it and to deliver solutions that don’t require an expensive data scientist. When people begin to believe in the data, it’s a game changer: They begin to change their behaviors, based on a new understanding of all the richness trapped beneath the surface of our systems and processes.
Ibrahim Gokcen, Maersk: 
Data has to flow across the organization seamlessly. Now that our data is democratized, thousands of people can access it for their daily work. We see a lot of energy. We see a lot of oxygen in the organization, a lot of excitement about what is possible and the innovation that’s possible. Because data, applied to a business problem, creates innovation. And our people now have the ability to act on their innovative ideas and create value.
Ted Colbert, Boeing: 
For Boeing, safety always comes first. There’s no “sort of” in it. Always comes first. The certification requirements for software embedded on our products are tremendous, for example. Data about how people use a system can help us understand exactly what they’re doing, so that productivity and safety go hand in hand.
Cameron Davies, NBCU: 
There are things we demand about our data and how we treat and consume it. For example, we take PII1 very seriously. It’s a written rule: “This is what you can and can’t do.” We have policies that are allowed and things that are not allowed. And going against those policies will probably end up in you losing your job. There are expectations that if I do get the data, I treat it safely and effectively. If I transform it or I move it, it’s in a place where most people can get to it with the controls in place.
There also is the risk of getting [analytics] wrong. Solutions now are starting to help us understand what’s happening inside the box. And it’s important to understand that as you build up these capabilities, there is a support cost you’re going to have to take on. You should have people monitoring to make sure it makes sense. You should build alerts into place. Sometimes the data goes south, which I’ve seen happen, and nobody realizes it. I won’t throw anybody under the bus, but we had a vendor that couldn’t recognize an ampersand. But that’s how somebody decided to title one of our shows. We think that issue cost us tens of millions in potential revenue—an ampersand!
We used to think we could build these systems and hand them to people, and they’d be sophisticated enough to run them. We found very quickly that wasn’t always the case. We ended up actually staffing to help run it or assist them with it.
Tak Nagumo, MURC: 
It’s almost like a yin and yang, or a dark side and a sunny side. Introduction of the data-management policy documents, procedures, data catalog, data dictionary—the fundamental setting is common for the [financial] industry. And the mind-set necessitated to this area is more of “rule orientation.” The other side, the sunny side, I would say, is more Silicon Valley–oriented, more of the data usage, data science, data analytics, innovation, growth. Housing those two ideas into one location is so important.
If you don’t have a solid foundation, you can’t use the data. If you have a solid foundation but are not using the data creatively, you’re not growing. This mixing of those two is a key challenge for our entire industry. You have to combine both, that’s the bottom line.
Ibrahim Gokcen, Maersk: 
Every company has constraints. Even the Silicon Valley companies have a lot of constraints. Clearly, we are regulated. We have to comply with lots of rules and regulations across the globe. We are a global company. But failing fast and cheap doesn’t mean making bad decisions. It means complying within the constraints that you have, and learning how do you go faster or how do you test things faster. And then implementing the decisions properly. So I think it’s really all about the culture of using data, experimenting, building stuff, doing all that as fast as you can—and delivering that to the front line, of course with the right mechanisms.
Cameron Davies, NBCU:
You can talk about a CEO-mandated thing. It only goes so far. People work, breathe their business every day. Nobody knows it as well as they do.
We had a business unit that needed to produce forecasts on an annual basis. There are a lot of players in that process. We went into the organization and found one of the key researchers, who seemed the most open, and we said, “Hey, what do you think? Let’s bring you in and you work with us.” He became our point person. He interfaced with all his peers throughout this process. Anything we needed to do, this person was the interpreter.
Then we built a set of algorithms, largely machine-learning-driven, with a lot of different features that proved to be fairly accurate. We surfaced them into a tool. And this evangelist on the team was the first to adopt it. He then went out and trained other people how to use it. He brought feedback to us, and through that process took on ownership. Now it’s, “This is my project. I’m responsible for making sure this happens.” Nice for us! I don’t have to have a product manager now that’s meeting with seven different people every month. They’ve fully taken it on and adopted the process.
Tak Nagumo, MURC: 
A key role for us is middle management. They’re a kind of knowledge crew, conceptualizing and really justifying ideas from upper management, and also leading implementation throughout the entire organization. So that’s up, middle, and down. We’ve also found that “expats” are really well-suited to blend different elements, particularly as we become more globalized. Understand that we have people who work in, among other places, Tokyo, London, New York, or Singapore. No one can communicate better in Tokyo, for example, the needs of employees in the United States than someone who has actually lived and worked in the United States.
Jeff Luhnow, Houston Astros: 
We decided that in the minor leagues, we would hire an extra coach at each level. The requirements for that coach were that he had to be able to hit a fungo, throw batting practice, and program in SQL. It’s a hard universe to find where those intersect, but we were able to find enough of them.
What ended up happening was, we had people, at each level, who were in uniform, who the players began to trust, who could sit with them at the computer after the game, or before the game, and show them the break charts of their pitches or their swing mechanics and really explain to them, in a lot more detail, why we’re asking you to raise your hand before you start swinging or why we’re asking you to change your position on the rubber or how you deliver the ball. Once we got someone in uniform to be part of the team, ride the buses with them, eat the meals with them, and stay in the motels they have in Single A, it began to build trust. They were real people there to help them.
That was great, and that transition period worked for about two years, until the point where we realized that we no longer needed that, because our hitting coaches and our pitching coaches and our managers are now fully technology enabled. They can do the translation. And they’re actually real baseball people who have had careers in coaching and playing. The “translators” have essentially become the coaches themselves.
CONTINUES IN PART III

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