Simulation

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Why Big Data Can Be Like A Jelly Fish: No Bones & You Might Get Stung

Jellyfish metaphor for big data without modelingWhat is it helpful to think of big data as "like a jelly fish"?

Both big data and jelly fish can be very beautiful. But if not treated with respect, you might get stung. And how you get stung, at least where data is concerned, relates to the other similarity between jellyfish and big data, which is a lack of bones, or structure.

To be in any way useful, big data needs to be used alongside an interpretive structure or model – the “bones” if you will, without which big data is as amorphous and useless as a jellyfish. The necessity of having this model is a critical challenge for any organization seeking to derive benefit from big data.

Let's prove the point about the necessity of interpretive structure with the simplest possible model.

Consider the results of a query on a joined accounts receivable table. You may have columns representing company names, owed amounts and due dates. And the meaning of the table is completely clear, but only because you know the column headers and table name, which comprise a simple "model" providing the meta-data meaning of the table. Without this "interpretive model" the table could just as easily imply accounts payables as account receivables! . . . read more

A Story Of Installed Base Upgrades, Lost Business, MDM, Analytics And Politics

Lost business. The phrase strikes a chill into any CEO or line-of-business ("LOB") executive.

Lost business is also a special data management challenge.

So, let's see how a story about the "business of lost business" plays out between LOB execs and IT.  There is a data management angle on this story, and e
ventually we might even find some leverage for master data management (MDM) and analytics, but first we need to understand the all-important business drivers behind the scenes.

In our example, based on real events, imagine a technology services business employing close to a 1,000 people, and with accelerating product life-cycles. In only a half decade, the field refresh period for installed systems has fallen from seven years to five. This change means system sales reps must be on their toes for the upgrade sale, and ensuring the upgrade is even harder when smaller systems are sold through channels where warranty registration isn't complete.

What kinds of lost business events are there? First you have to understand that "lost business" as defined by Field Service means a "lost service contract" -- not a "lost system sale", although of course the two are closely linked. And in the distinction between services sales and systems sales we see the collision between three huge organizations: engineering, systems sales and services sales, each with different metrics and P&Ls! And to make matters more interesting, the engineering bill-of-materials ("BOM") has never been shared with customer services!
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When Worlds Collide -- Or Don't -- BPM & Business Simulation

BPM prospects often ask a question about "simulation".  Our standard answer is "simulation is best done by a best-of-breed business simulation product, outside of BPM".  This answer is usually delivered after some qualification to discover what the prospect means by "simulation".  Some of the time the prospect is concerned about technical simulations and the regular process of software QA.  But the majority of the time the prospect wants to be able to do business what-if simulations to answer questions such as "how many warehouse staff should we have" or "should we add a new warehouse in the Midwest".

Why is the BPM business simulation question so frequently asked?  The reason is that the question is directly related the two main business cases for BPM.  BPM is justified either on efficiency terms or on business model terms.  The BPM efficiency business case is the same IT efficiency business case that has driven most IT investments for two generations.  Efficiency in the best of situations is about dramatically reducing costs for a given business process; in the worst of situations, it's about "paving the cow path"!

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