Connecting 400 points of voter data

US political parties are showing how organisations can use data in a targeted, sophisticated way

As the 2016 US Presidential race enters its final stages, it’s interesting to see how data is being used by American political candidates and what this means for business.

During last week’s Oracle Open World in San Francisco a panel hosted by the company’s Political Action Committee featured Stephanie Cutter, who worked on Obama’s 2008 and 2012 campaigns, and Mike Murphy, a Republican operative whose most recently worked on Jeb Bush’s primary effort against Donald Trump.

While the discussion mainly focused on the politics – “Crazy times seem to require crazy candidates” says Murphy – it was the technology aspect of modern elections that was notable.

Setting the data standard

The Obama campaign of 2008 set the standard for how modern political campaigns used social media and information, “we revolutionized how data analytics helps predict how people will vote and how they will persuade voters to turn out.” Cutter said.

“We put a big investment into it and Republicans have caught up,” she continued. “The key though was we relied on our own data and nothing that was out in the public domain. We didn’t rely on one piece of data, we had multiple sources. We had an analytics program where we were making 9,000 calls a night where we were predicting the votes.”

Murphy agreed with the political campaigns using data, “the kind of polling you see in the media has kind of vanished in campaigns where they have money to spend on research.” He said, “we don’t do telephone polling any more because we have so much data we can collect.”

Capturing everything

“We capture everything. We have about four hundred data points on the American voter and we’ll have five hundred in the next two years. We’ll be able to build massive data models without phone polling,” Murphy pointed out. “We’re waiting for the tech folk to get ahead on AI so we can predict what voters are going to do in two weeks.”

Despite the amount data collected by US political parties, the real key to success is the candidate’s organisation and management. Cutter made a strong point about the strength of Obama’s campaign team in both the 2008 and 2012 campaigns.

How the US political parties use data points to how businesses will be managing data in the future. Increasingly using information well is going to be the measure of successful organisations in both politics and industry.

Thinking about networked thinking

In a world awash with data managers may have to start thinking about networked thinking

“We want to be the Wayze of enterprise software” is the line being repeated by executives at the Inforum2016 conference in New York today.

This is an interesting strategy for Infor, who provides a range of enterprise software tools to help companies track what is going on in their business, as Wayze is built upon aggregating user data to identify traffic problems to improve commuting times. It’s no surprise that Google bought the company a few years ago.

Infor position though is slightly different as it’s aggregating individual clients’ data for them. In a world where organisations are struggling not to be overwhelmed by information, Informa are in a good position, even if their executives do overdo it on the buzzwords.

Which leads us to another buzzphrase – design thinking – which has been drifting in and out of fashion over recent years. During the opening keynotes one of the comments was about the rise of  “network thinking.”

“Eighty percent of what most companies do deals with data from outside of their organisation,” says Kurt Cavano, Infor’s General Manager of their commerce cloud division. “We’ve seen in the power of networks with sites like Facebook, LinkedIn and Wayze.”

“Nobody wants to be on a network but everyone’s on a network. It takes a long time to build but once you have one it’s magical. That’s what we’re thinking for business, they need to evolve.”

In one respect this is another take on the ecosystem idea, that one vital corporate asset in the connected world is an ecosystem of partners, suppliers and users, however the Infor view articulated by Cavano is much more about the flow of data rather than the goodwill of a community.

So we may well be entering a world of ‘networked thinking’ where thinking about the effects of data flows and being able to understand them – if not manage them – becomes a key executive skill.

Paul travelled to New York as a guest of Infor

Evolving into a data centric company

The newly demerged HP Enterprise is dealing with a shifting market and a change in product focus.

I’m currently at the HP Enterprise Seize the Data roadshow in Singapore where the recently split company is showing off its range of data analytics tools.

Like companies such as IBM and Google, HPE are looking to make money out of data feeds and analytics with a key part being a platform for developers to create applications.

In launching their Haven OnDemand service, HPE are entering a crowded field with IBM, Salesforce, AWS and Splunk – among others – offering similar products. What compelling difference HPE will add to the field will be something I’ll be asking the company’s executive later.

One of the other services, HP Vertica, looks running data analytics against structured and ‘semi-structured’ sources. Again this is a field where other companies are well established and have an advantage in being able to examine unstructured data.

The overwhelming question though is how big, and lucrative, the market is for these data products. It’s not clear exactly how all of these companies are going to monetize these services and, should they be able to, their profitability.

As a company finding its feet less than a year after being split in two with the added problem of seeing its core server hardware business being eroded, HP Enterprise is realigning its business around data analytics and cloud services.

The challenge for the company is differentiating itself and providing competitive products in these markets, this will be a tough challenge.

Actuaries and the future of Public Relations

Will actuaries become the most valued profession in the PR industry? Some think so.

One of the truisms of modern industry is we’re going to need more workers with data skills. Could it be actuaries will be the profession of the information age.

Much of the focus around how companies will deal with an information rich age come down to the need for ‘data scientists’, those with a combination of statistical, analytical and coding skills will be required to coax insights out of complex and rapidly changing data sets.

At a Future of PR meetup in Sydney earlier this week, one of the panellists raised the possibility that tomorrow’s most valued agency employees will be actuaries as data analytics comes to dominate the industry.

That boring old actuaries – one particularly cruel joke is atuaries are accountants who failed the personality test – could be the hottest profession in the sexy PR industry is quite a delicious scenario.

Should that turn out to be the case though, it won’t just be the PR industry chasing actuaries, almost every industry is going to demanding the same set of skills.

In a strange way it could be the staid professions of today that are the exciting jobs of tomorrow, we’ll reserve judgement on the actuaries though.

Building the world’s biggest small software company

Blown away by the internet, Meltwater founder Jørn Lyseggen planned to build the world’s smallest software company. Fate had different plans

“The next day I quit my job. I remember walking home that night and thinking I felt incredibly privileged to be living right at this point and I was going to see how the internet would unfold.”

Jørn Lyseggen, the founder and CEO of media monitoring service Meltwater, was describing his first encounter with Netscape 2.0 in 1995 while working on artificial intelligence at the Norwegian Computer Centre.

Today, Meltwater has 1,100 employees in 41 cities across 21 counties and Jørn spoke to Decoding the New Economy in the company’s San Francisco head office last week.

Having quit his job as a researcher, Jørn became what he describes as ‘an Internet evangelist’ in the early days of the Norwegian web and founded a series of online businesses including Norway’s first web mall.

The fourth business Jørn set up was Meltwater which they originally operated out of a shed in a disused shipyard, Shack 15. “We got free office space from one of my former clients,” he recalls. The old customer also gave them 25 old computers which they patched together to become the company’s first server farm.

Building the world’s smallest software company

“Our aspiration originally was to create the world’s smallest software company,” recalls Jørn. “We wanted to be four engineers creating the most sophisticated technology in our industry then we would sign up resellers then sit back and watch our revenue go through the roof.”

At the time media monitoring was largely made up of clipping services that would hire armies of contractor to physically cut and paste newspaper articles.

“What we wanted to do was build software that could keep track of everything that was published online,” Jørn explains. “When news started to come onto the internet then you could start to analysie it automatically. We thought there would be a better way to do this with algorithms and software.”

The best laid plans

It turned out however the plans to have a small software company didn’t work out. “We poured our heart into our technology for the first year and then we got really excited when we signed up two really respected resellers in the Norwegian market.

“They presented to 1500 companies, which is a really big number in Norway, and the results were devastating with 1499 ‘no’s and one maybe.”

For Meltwater’s founders it was a time for re-evaluating the idea. “That was a pivotal point in the company as we had to ask ‘is this a business?’. What we realised was that we were too focused on the technology and what clients are really worried about at the end of the day are the pain points.”

“Once we did that switch we started to get business and then we grew very quickly so instead of being the smallest software company in the world we set out to become the biggest in our industry.”

Going global

From there the spread across Northern Europe and the UK, “every time you start up in a new country it’s like starting a new company.” Jørn ruminates. Strangely it was Germany that proved to be the most difficult to break into. “It’s counterintuitive, you’d think the shared culture would make it easy for a Norwegian company. It wasn’t.”

The big move though was the United States, on the basis that any company with global aspirations has to be in the world’s biggest market. “Norway is a small country, we used to joke there are bus stops in New York with a bigger population than Norway.”

Jørn was surprised to find the US was an easy market to break into than the United Kingdom or Germany, “I love their open mindedness and the welcoming factor of the US culture,” he smiles.

“They are very open minded in the US, it’s a strength in their culture. In the US if you present something interesting to them they’ll accept it. The flip side is if they are open minded to you then they’ll be open minded to your competitors.”

Hiring as a key factor

Choosing the right people is the key to business success Jørn believes, with local hires being essential when expanding into foreign markets, “You need some local credibility.”

More importantly though is the importance of getting the right people early in the life of a startup business, “It’s all about culture.” He states, “make the first five to ten people the base for your platform.”

Having the right people also made it easier for his management team to delegate as executives focused on the international expansion. “We’ve got really smart young people working here, they don’t miss me when I’m not around,” he smiles.

Romanticising startups

“Back in the day it was considered you started a company because you couldn’t get a job,” Jørn laughs. “I’m the first to encourage entrepreneurship but it worries me when it becomes trendy.”

“It’s important that entrepreneurship doesn’t become too romanticised. Because it’s really hard work and most startups fail and most people have to work for years while barely getting by financially and it’s high stress”

“I never saw myself as a business person,” Jørn remembers. “I had a healthy scepticism to the commercial world, that’s why I became a research scientist because I thought it was a better use of my time.”

Becoming an entrepreneur

However the revelation of Netscape 2.0 changed all that, “it really blew my mind,” he grins as he recalls how he decided “the best way to be part of this was to be in my own business.”

Building your own business though is not an easy process and there’s tough decisions to be made. Jørn though believes that the hardest times running your own business are not when cash is tight but when the tough decisions have to be made, “sometimes you have to make calles that are challenging.”

For Jørn, he only sees more exciting times ahead as the internet evolves, “social is still in its early stage. A lot of companies struggle and worry that they haven’t figured it out, but the truth is most people haven’t figured it out.”

Paul travelled to San Francisco as a guest of Oracle

 

 

Management in time of data transparency

More accessible data will change the way we manage companies believes Splunk CTO Snehal Antani

Management is going to become flatter and organisations more transparent as the physical and the digital start to become start to merge  says Splunk’s CTO Snehal Antani.

Antani, who was appointed the company’s CTO in May was previously CIO for multiple divisions of GE Capital and before that numerous IT strategy and technology roles at IBM. He spoke to Decoding the New Economy at last week’s Splunk.conf in Las Vegas.

“It’s an opportunity to change organisational structure,” Antani says in regards to how data analytics is changing business. “Transparency across managers allows me to see quantitatively and qualitatively”

An age of transparent data

“Everyone has access to the data so the question becomes ‘what decision do we need to make?“ He claims, “transparency really transforms the management style and culture of an organisation. It gets rid of middle managers trying to massage the message and allows me to be the leader.”

While at GE, Antani put this transparency into action with a serious of real time indicators to hold staff and contractors to account. “I was tired, as a CIO, of middle managers showing me status reports with every box was green.”

“For my software development process I’d built a fully instrumented continuous delivery process. When a developer checks in code, I run a fully automated set off steps and a developer would get immediate feedback. In real time I could tell you who were the best developers.”

“I could pit my vendors up against each other,” “the cute thing there was transparency. Everyone had access to that data so we got out of Powerpoint into real time dashboards.”

Moving IT from the back office

That access to technology changes the role of the IT department, Atani believes. “We’ve evolved IT from a being a back office function to being a core part of the value they deliver to their customers,” he says. “In the past, when IT walked into the room people assumed they were there to fix the projector.

This changing role is where he sees opportunities for his current company, “one of the really cool things about Splunk is that it’s a very versatile technology platform. So we were never prescriptive about up front about we were never going to solve a healthcare problem or we were going to solve a financial services problem. Our customers discovered they could apply Splunk to solve these problems”

“We’re equally amazed as we never envisioned how the product would be used. We’re seeing really amazing use cases across health care, financial services and it’s really interesting to see how partners’ uses have evolved over the last few years.”

Data changing management

For companies though this means a change in the way of doing business, which can challenge management, “In order for an organization to move at market speed you have to be able to respond fast and transparency is absolutely critical to management.”

A flatter, more transparent workplace means a radical change to the way many companies manage their organisation. It’s one of the challenges facing the modern business as we enter an age of almost unlimited data.

Paul travelled to Splunk.conf in San Francisco as a guest of Splunk

Analysing the value of IoT data

Startup Orion shows the value in mining IoT data

How do companies analyse the data coming off wearable devices? At the Las Vegas Splunk.Conf, the developers of wearable communications device Onyx showed off how they use data to enhance their business.

A lightweight push to talk device that can be clipped to a shirt, jacket or bag strap the Onyx is designed for teams to easily communicate. The device has a microphone, speaker and GPS that tethers with a smartphone, which in turn connects to Orion’s cloud network and communicates with groups defined by the user.

“Our goal and mission at Orion is to make this as easy and seamless at possible,” says Dan Phung, the company’s software engineer. “Technology is something you shouldn’t have to deal with.”

Some of the data Orion collects are the battery levels in the devices, time spent on conversations and volume levels that gives the company insights into useage patterns. One of the big benefits they’ve found as a startup is in tracking what operating systems are being used, enabling them to carry out what Phung calls “data driven engineering decisions”

As a startup with a team of 35, they managed to get the Onyx to market in a year, having that ‘operational intelligence’ has allowed the startup to focus its scarce resources in the areas where the device is being used and not waste time developing for systems that are less popular.

The Orion Onyx is a good example of how a business can get valuable information from a limited data set from a relatively simple device, their use of Splunk also shows the value of being able to analyse that data quickly.

Paul travelled to Splunk.conf in Las Vegas as a guest of Splunk

Splunk and the marathon to make IT sexy again

Can Splunk use data analytics to make IT sexy again?

“We’re early in the marathon but making good progress”, opened Godfrey Sullivan, the CEO of Splunk, as he opened the company’s annual conference in Las Vegas today.

Helping businesses understand their data has proved lucrative for Splunk with the analytics company seeing a 46% increase in year on year revenue to $148 million for the last quarter with the organisation narrowing its losses over the same period.

As with all tech conferences, the focus in the opening keynote is on new product announcements. For Splunk, the main release is its latest enterprise version of Splunk Enterprise 6.3 billed as delivering faster results, better analytics and tying into the masses of machine data being collected from the Internet of Things.

Machine data as a cornerstone

That IoT data is a key part of Sullivan’s strategy of “making machine data more accessible usable and valuable to everyone.” The company also highlights their alliances with IoT data consolidator services such as Xively and Octoblu.

Security is another focus of Splunk with the launch of  Splunk User Behavior Analytics (UBA) that analyses usage patterns on networks to identify risky or suspicious activity and a version upgrade of their their Enterprise Security.

The original business of Splunk was to monitor server log files and that IT focus remains with their new IT Service Intelligence (ITSI), an improved IT monitoring and analytics service.

Sullivan’s key message was that IT departments can be offering ‘operational intelligence’ as they gather and analyse data from all aspects of a business. “IT departments have to earn a seat at the table”, as Splunk’s CTO Snehal Antani says and providing rich data analytics, in his view, enable this.

Surprising a bank

Antani cited one of his previous clients, a bank which would ordinarily would deal with ten million dollars of deposits a day so an alarm had been set for when less than half of that had been received by midday.

One day that alarm sounded, and the IT department assumed there was a problem with the bank’s systems. After checking, they found everything was running normally so flagged deposits were unusually low to senior management.

It turned out to be a competitor had launched a successful campaign to open new accounts which had caught the bank by surprise. “The CMO acted as if he’d been hacked,” Antani recalls.

Antani’s anecdote illustrates how business data is no longer just the concern of the IT department and a small group of geeky business analysts, with real time information every part of an organisation can improve its performance.

For Splunk, using data to improve all aspects of business its key message to the market and one it hopes to drive its business forward although it’s highly unlikely they’ll achieve Antani’s hopes of “making IT sexy again.” That would take much more than a marathon.

Paul travelled to the Splunk.conf in Las Vegas as a guest of Splunk

 

Managing the data stream

Managing the data deluge is where Salesforce is focusing its efforts in a competitive market

One of the world’s biggest tech events – if not the biggest of the vendor shows – is Dreamforce, Salesforce’s annual spectacular that this this year attracted a 150,000 attendees to San Francisco’s Moscone Center.

Every year sees the company – which now holds the title of the world’s fourth biggest software company – and its CEO, Marc Benioff, defining the direction of the company in the face of a rapidly changing market. Despite being a pioneer in cloud computing, the company is as vulnerable to disruption as anyone else in a rapidly changing marketplace.

This year, the focus is on analytics and automation along with a strong leaning towards the Internet of Things and app development on the Lightning platform they announced last year.

With the Thunder platform, Salesforce is offering a service that allows businesses to connect devices onto their platform where users can build up rules based business automation. One notable part of this is the integration with Microsoft Office 365, another example of Microsoft’s reaching out to previously hostile companies.

For Automation, Salesforce is building upon its RelateIQ acquisition from last year, now branded as SalesforceIQ. The company says “Relationship Intelligence technology that utilizes advanced data science to analyze company relationships and drive actions.”

The Wave analytics service, which was also announced at last year’s Dreamforce, is a key part of the the business automation and IoT services in providing the insights into the data being collected. In many respect, Wave is going to be the glue that holds most of the products being announced this year.

Complementing the Wave, Thunder and SalesforceIQ products is the Lightning platform, again announced last year, that allows users to use the company’s AppCloud to quickly build business applications.

For Salesforce, the direction being laid out from this Dreamforce conference is in making helping customers deal with the masses of data coming into the enterprise. As Tod Neilsen, the company’s Executive Vice President of the App Cloud says, “we’re look at making the data usuable for spreadsheet users.”

As businesses struggle to manage and understand the masses of data flowing into their organisations, this may well be a powerful selling point for Salesforce.

Paul travelled to Dreamforce 2015 in San Francisco as a guest of Salesforce

Putting machine learning into wine

Two South Australian students are showing how the wine industry can use machine learning and cloud computing

As we gather more data, the opportunities to apply it become wider. A good example of this is Seer Insights, a South Australian company started by pair of university students that calculates the likely grape yields for vineyards.

Seer Insights’ product Grapebrain is made up of two components, a mobile app that the farmer uses to count the grape clusters on the vines and then a cloud service that analyses the data and produces web based reports for the farmers.

The current methods are notoriously unreliable with Seer Insights estimating mistakes cost the Australian viticulture industry $200 million a year as harvests are miscalculated resulting in either rotting fruit or wasted contractor fees.

Born in an elevator

Seer’s founders, Harry Lucas and Liam Ellul, started the business after a chance meeting on their university campus. “We started off doing this after being stuck in a lift together,” remembers Liam. “Originally we were looking at the hyper-spectrum imaging for broadacre farming but when we started looking at the problems we ended up talking to wine organisations about this.”

“The technology predicts how many grapes will be coming off the vineyards at the end of the season to enable people to sort out their finances,” Harry says. “The growth process grapes go through is difficult to model so we use machine learning to do that.”

For both the founders having an off the shelf product, in this case Microsoft’s machine learning tools, to run the data analysis made it relatively easy to launch the product.

As a winner of Microsoft’s Tech eChallenge, the startup has won a trip to the United States as well as being profiled by the company as a machine learning case study.

Over time as these tools become more accessible to small companies we’ll see more businesses accessing machine learning services to enhance their operations.

As companies face the waves of data flowing into their businesses over the next decade, it will be those who manage it well and gather valuable insights from their information that will be the winners.

SurveyMonkey builds its war chest

SurveyMonkey raises another $250 million to fund future expansion

Earlier this year Decoding The New Economy interviewed SurveyMonkey’s  CEO Dave Goldberg on his vision for the business and how the company’s services are helping people understand the context of the data pouring into their organisations.

Yesterday SurveyMonkey announced it had raised 250 million dollars through an equity round that values the business at $1.3 billion, an amount only a little more than what the company has raised since being founded in 1999.

The additional funds are earmarked for privately held SurveyMonkey to acquire more companies and “provide meaningful liquidity to our employees and investors” with participants in the new funding round including CEO Goldberg and Google Ventures increasing their existing stakes.

In his interview with Decoding The New Economy last February, Goldberg described how he sees mobile technologies changing both SurveyMonkey and business in general along with the challenge for companies in understanding the data pouring into business.

It’s not hard to image many of the acquisitions SurveyMonkey makes with its latest fundraising will be in the mobile and analytics sectors.

Salesforce faces the end of the database era

Cloud CRM giant Salesforce faces a challenge as searching unstructured data and analytics companies like Splunk change the business model.

Last week we looked at the way we organise information is changing in the face of exploding data volumes.

One of the consequences of the data explosion is that structured databases are beginning to struggle as information sources and business needs are becoming more diverse.

Yesterday, cloud Customer Relationship Management company Salesforce announced their Wave analytics product which the company says “with its schema-free architecture, data no longer has to be pre-sorted or organized in some narrowly defined manner before it can be analyzed.”

The end of the database era

Salesforce’s move is interesting for a company whose success has been based upon structured databases to run its CRM and other services.

What the company’s move could be interpreted that the age of the database is over; that organising data is a fool’s errand as it becomes harder to sort and categorise the information pouring into businesses.

This was the theme at the previous week’s Splunk conference in Las Vegas where the company’s CTO, Todd Papaioannou, told Decoding The New Economy how the world is moving away from structured databases.

“We’re going through a sea change in the analytics space,” Papaioannou said. “What characterised the last thirty years was what I call the ‘schema write’ era; big databases that have a schema where you have to load the data into that schema then transform before you can ask questions of it.”

Breaking the structure

The key with programs like Salesforce and other database driven products like SAP and Oracle is that both the data structures — the schema — and the questions are largely pre-configured. With the unstructured model it’s Google-like queries on the stored data that matters.

For companies like Salesforce this means a fundamental change to their underlying product and possibly their business models as well.

It may well be that Salesforce, a company that defined itself by the ‘No Software’ slogan is now being challenged by the No Database era.

Paul travelled to San Francisco and Las Vegas as a guest of Salesforce and Splunk respectively