It’s Not Magic if it is Producing Real Global Benefits and Business Value

When I was young, my dad told me about an incident that he experienced at work. He was a US Air Force officer. On that particular day, there was an unannounced (surprise) drill – a simulated national defense emergency. Though it was just a drill, it was still important to get it done right and efficiently. One of his responsibilities was to contact certain high-ranking officers and communicate with them about the situation (in this case, the simulated emergency). He told me that, in one case, he was able to make contact by phone with one of those top officers within 20 seconds of the start of the drill. If that guy had been in the office or in one of the major facilities, then those 20 seconds would not have been surprising. But it turns out that it was that guy’s day off and he was out playing golf. This was the early 1970’s – hence, no mobile phones, no cell towers, and no internet in your pocket.

How was it possible to find this guy in the middle of some golf course and have him on the phone within 20 seconds in that era? From my young person’s perspective, it was a miracle! Or maybe it was magic. As Sir Arthur C. Clarke said, “Any sufficiently advanced technology is indistinguishable from magic.” So, what enabled this “magic” in the early 1970’s? The answer: satellite phones! The high-ranking officer was required to have such a device with him at all times (either in his possession or to have an assistant accompany him nearby with that device available at a moment’s notice).

A connected world—with a digital divide

Now, fast-forward to the current digital world – for most of us today, the expectation seems to be that we all should have easy access to ubiquitous mobile phones, cell towers, high-speed broadband networks, and the internet at all times! However, though that may be the rule for most of us, it is not the norm for everyone! There are plenty of exceptions to the rule, especially in those areas of the world that fall in the gaps of today’s digital service providers: underdeveloped countries, remote regions of developed countries, regions in which natural disasters or national emergencies have lost ties to those digital services (including national defense emergencies), and massive public events that attract literally billions of people in-person and online to one specific geolocation (which definitely cannot be handled by the standard placement and distribution of cell towers).

Those exceptions to the rule are not rare. In fact, they are quite common. It is imperative that something be done about this, to close those digital gaps, to bring the benefits of digital services to all, and to boost the global digital business value chain. If we cannot make these technologies available for everyone, we risk perpetuating a divide between the haves and have-nots.

Promoting connectivity on a global scale

There is a company that is addressing this “digital divide” and this data-intensive digital connectivity imperative on a global scale. SES is getting it done with major innovations and 21st century technological upgrades to critical satellite communications, going far beyond the traditional satellite technology of the past century.

But this isn’t my dad’s satellite phone service. The SES connectivity system supplies digital (video and data) connectivity worldwide to broadcasters, mobile network operators, fixed network operators, digital content providers, internet service providers, and organizations of all sorts (government agencies, businesses, and other institutions). SES satellites deliver high-speed, high-volume, broadband, and effectively ubiquitous digital access for these organizations over nearly the entire planet Earth.

When I say, “nearly the entire planet”, I mean 96% of the population. Over seven and a half billion people around the world are now a fraction of a second from contact anywhere, anytime. I believe that we can all agree that a “fraction of a second” (e.g., 150 milliseconds of satellite latency over large areas) is much better than 20 seconds – in fact, over 100X better than the 1970’s counterparts!

Furthermore, when the situation demands it (such as a major event in a specific location that is attracting a billion+ digital viewers, or a localized natural disaster requiring massive global deployment of services to that spot), these satellites can be programmed to focus their beam and full capabilities on transmitting massive digital content in and out of that tiny area.

The fast, global, ubiquitous digital access that we are describing is nothing like the crackly satellite phone conversations of the past (have you seen this in the old movies?). We are talking about smooth and faultless streaming video, crisp and clean phone calls, information-intensive online meetings, error-free data-sharing, and nearly instantaneous social media accesses and interactions by vast numbers of people (think World Cup Finals, or a live concert by top music artists for a global cause). Let’s not forget the time-critical demands of digital business and digital government that require instant access to data-intensive cloud-based data and data services! That’s a massive digital enterprise requirement for a massive number of organizations, not just an entertainment requirement for the masses.

An in-person visit to SES in Virginia

SES is headquartered in Luxembourg, with facilities around the world, including Manassas Virginia, where I visited a few weeks ago when I met with Nihar Shah, Head of Strategy and Market Intelligence for SES. In addition to a fun wide-ranging fact-filled chat with Nihar, there was a lot more that I learned about SES in that short visit. It was a great pleasure for me (who spent nearly 20 years working at NASA) to see the satellite operations center, the “big box of electronics” that is placed on-site at major events (including sporting events, for my and your favorite sports), and the dedicated SES staff. I learned how SES has deployed and operates one of the world’s largest satellite constellations, including MEO (Medium Earth Orbit) satellites and GEO (Geosynchronous Earth Orbit) satellites – different orbits for different requirements, plus an incredible technology stack that manages the communications hand-offs between the MEO satellites as they fly fast over any given location. What did we say earlier about “any sufficiently advanced technology”? It certainly is not magic when it delivers real global benefits and generates significant business value.

To top off this experience, I was immediately impressed when I walked in the front door of the SES Global Operations Center, not only because of the welcoming staff, but also because I saw the company mission statement front and center as I entered the lobby. I am a huge fan of meaningful, believable, inspirational, and actionable mission statements. SES might easily have one of the best mission statements that I have seen – and that’s not only because they refer to their statement of purpose as their “North Star”, which suits me (as an astronomer) very well. The statement reads: “We do the extraordinary in space, to deliver amazing experiences everywhere on Earth.” (Note: see me and Nihar in the attached photo below, with the SES statement of purpose.)

I look forward to learning more about SES. You too can learn more about SES and their global content connectivity solutions at https://www.ses.com/.

Kirk and Nihar Shah at the SES Global Operations Center

Three Types of Actionable Business Analytics Not Called Predictive or Prescriptive

Decades (at least) of business analytics writings have focused on the power, perspicacity, value, and validity in deploying predictive and prescriptive analytics for business forecasting and optimization, respectively. These are primarily forward-looking actionable (proactive) applications. 

There are other dimensions of analytics that tend to focus on hindsight for business reporting and causal analysis – these are descriptive and diagnostic analytics, respectively, which are primarily reactive applications, mostly explanatory and investigatory, not necessarily actionable.

In the world of data there are other types of nuanced applications of business analytics that are also actionable – perhaps these are not too different from predictive and prescriptive, but their significance, value, and implementation can be explained and justified differently. Before we dive into these additional types of analytics applications, let us first consider a little pedagogical exercise with two simple evidence-based inferences.

(a) In essentially 100% of cases where an automobile is involved in an accident, the automobile had four wheels on the car prior to the accident.

(b) In 100% of divorce cases, the divorcing couple was married prior to the divorce.

What is the point of those obvious statistical inferences? The point is that the 100% association between the event and the preceding condition has no special predictive or prescriptive power. Hence, prior knowledge of these 100% associations does not offer any actionable value. In statistical terms, the joint probability of event Y and condition X co-occurring, designated P(X,Y), is essentially the probability P(Y) of event Y occurring. The probability of the condition X occurring, P(X), is irrelevant since the existence of the precondition X is implicitly present by default.

Okay, those examples represent two remarkably uninteresting cases. Even when similar sorts of inferences occur in a business context, they have essentially zero value. How do predictive and prescriptive analytics fit into this statistical framework?

Using the same statistical terminology, the conditional probability P(Y|X) (the probability of Y occurring, given the presence of precondition X) is an expression of predictive analytics. By exploring and analyzing the business data, analysts and data scientists can search for and uncover such predictive relationships. This is predictive power discovery. Another way of saying this is: given observed data X, we can predict some outcome Y. Or more simply: given X, find Y.

Similarly (actually, conversely), we can use the conditional probability P(X|Y) (which is the probability that the precondition X exists, given the existence of outcome Y) as an expression of prescriptive analytics. How does that work in practice? By exploring and analyzing business data, analysts and data scientists can search for and uncover the conditions (causal factors) that have led to different outcomes. So, if the business wants to optimize some outcome Y, then data analysts will be tasked with finding the conditions X that must be implemented to achieve that desired outcome. This is prescriptive power discovery. Another way of saying this is: given some desired optimal outcome Y, what conditions X should we put in place. Or more simply: given Y, find X. Note how this simple mathematical expression of prescriptive analytics is exactly the opposite of our previous expression of predictive analytics (given X, find Y).

Here are a few business examples of this type of prescriptive analytics: Which marketing campaign is most efficient and effective (has best ROI) in optimizing sales? Which environmental factors during manufacturing, packaging, or shipping lead to reduced product returns? Which pricing strategies lead to the best business revenue? What equipment maintenance schedule minimizes failures, downtime (mean time to recovery), and overall maintenance costs?

Now that we have described predictive and prescriptive analytics in detail, what is there left? What are the three types of actionable (and valuable) business analytics applications that are not called predictive or prescriptive? They are sentinel, precursor, and cognitive analytics. Let’s define what these are.

  1. Sentinel Analytics – in common usage, the sentinel is the person on the guard station who is charged with watching for significant incoming or emergent activity. In practice, all activity is being observed and a decision is made as to whether any particular activity requires some sort of triage: sounding an alarm, or sending an alert to decision-makers, or doing nothing.
    • In the enterprise, sentinel analytics is most timely and beneficial when applied to real-time, dynamic data streams and time-critical decisions. For example, sensors (including internet of things devices and APIs on data networks) can be deployed with logic (analytics, statistical, and/or machine learning algorithms) to monitor and “watch” business systems and processes for emerging patterns, trends, behaviors, unusual operating modes, and anomalies that might be indicators of activities that require business attention, decisions, and/or action. 
  2. Precursor Analytics – in common usage, precursors are the early-warning indicators (harbingers, forerunners) of something else more serious or catastrophic that is about to come. We occasionally hear about earthquake precursors (increased levels of radon in groundwater), tidal wave precursors (a deep ocean earthquake), and cyber-attack precursors (phishing incidents). Precursor analytics is related to sentinel analytics. The latter (sentinel) is associated primarily with “watching” the data for interesting patterns that might require action, while precursor analytics is associated primarily with training the business systems to quickly identify those specific “learned” patterns and events that are known to be associated with high-risk events, thus requiring timely attention, intervention, and remediation. 
    • In these applications, the data science involvement includes both the “learning” of the most significant patterns to alert on and the improvement of their models (logic) to minimize false positives and false negatives. The analytics triage is critical, to avoid alarm fatigue (sending too many unimportant alerts) and to avoid underreporting of important actionable events. One could say that sentinel analytics is more like unsupervised machine learning, while precursor analytics is more like supervised machine learning. That is not a totally clean separation and distinction, but it might help to clarify their different applications of data science. 
    • The counterexample to the supervised learning explanation of precursor analytics is a “black swan” event – a rare high-impact event that is difficult to predict under normal circumstances – such as the global pandemic, which led to the failure of many predictive models in business. Broken models are definitely disruptive to analytics applications and business operations. Paradoxically, the precursor was actually predictive in a disruptive anti-predictive sort of way, which brings us right back to P(Y|X), or maybe it should be stated as P(“not Y”|X) where X is the black swan event (i.e., the predicted outcome Y from existing models will not occur in this case). As such, the global pandemic serves as a warning (a harbinger of disruption) and consequently as a “training example” to businesses for any future black swans. 
  3. Cognitive Analytics – this analytics mindset approach focuses on “surprise” discovery in data, using machine learning and AI to emulate and automate the cognitive abilities of humans. The goal is to discover novel, interesting, unexpected, and potentially valuable signals in the flood of streaming enterprise data. These may not be high-risk discoveries, but they could be high-reward discoveries. How does that resemble human cognitive abilities? Curiosity! Being curious about seeing something “funny” that you didn’t expect, thereby putting a “marker” in the data stream: “Look here! Pay attention! Ask questions about this!” 
    • Cognitive analytics is basically the opposite of descriptive analytics. In descriptive analytics, the task is to find answers to predetermined business questions (how much, how many, how often, who, where, when), whereas cognitive analytics is tasked with finding the business questions that should be asked. Descriptive: find the right answers in the data. Cognitive: find the right questions in the data. Cognitive analytics can then be viewed as a precursor to diagnostic analytics, which is the investigative stage of analytics that answers the questions raised by cognitive analytics (“Why did this happen?”, “Why are we seeing this pattern in our data?”, “What is the business impact of this trend, anomaly, behavior?”, “What is our next-best action as a result of this?”, “That’s funny! What is that?”).

None of these descriptions of the 3 “new” analytics applications are meant to declare that these are completely distinct and different from the “big 4” analytics applications that we have known for many years (Descriptive, Diagnostic, Predictive, Prescriptive). But the differences between the “big 4” and the “new 3” are in the nuanced business applications of these analytics in the enterprise and in the types of inferences that the data scientists are asked to derive from the business data. 

Deploying these analytics in the cloud further expands their accessibility, democratization, enterprise-wide acceptance, broad advocacy, and ultimate business value. Blending automated analytics products (coming from the sentinel, precursor, and cognitive applications) with human-in-the-loop inquisitiveness, curiosity, creativity, out-of-the-box thinking, idea generation, and persistence can transform any organization into a data analytics powerhouse through an analytic culture revolution. This is more imperative than ever, as a global survey of analytics executives has revealed:

  • “Companies have been working to become more data-driven for many years, with mixed results.”
  • “Right now, the biggest challenge for organizations working on their data strategy might not have to do with technology at all.”
  • “Corporate chief data, information, and analytics executives reported that cultural change is the most critical business imperative.”
  • “Just 26.5% of organizations report having established a data-driven organization.”
  • “91.9% of executives cite cultural obstacles as the greatest barrier to becoming data driven.”
  • Reference: https://hbr.org/2022/02/why-becoming-a-data-driven-organization-is-so-hard

Where do organizations get help to overcome these challenges? Microsoft delivers what its clients need to help them grow their top line with cloud-based analytics. Microsoft’s cloud-based analytics products and services propel business insights, innovation, and value from enterprise data, with all of the dimensions of analytics applications brought into the game. Specifically, cloud analytics (accessing and inferencing on multiple diverse business datasets across business units) for a wide variety of enterprise applications can sharpen the workforce’s focus on value and growth, including: forward-looking insights through predictive, sentinel, and precursor analytics; novel recommendations; rich customer engagement; analytic product innovation; resilience through prescriptive analytics; surprise discovery in data, asking the right questions, and exploring the most insightful lines of inquiry through cognitive analytics; and more.

Microsoft Azure Cloud extends ease-of-access analytics to all, delivers increased speed to deployment, provides leading security, compliance, and governance – with price performance for any organization. Whether organizations are seeking scalability in their enterprise data systems, advanced analytics capabilities (including the “big 4” and the “new 3”), real-time analytics (essential value-drivers from streaming data, including IoT, network logs, online customer interactions, supply chain, etc.), and the best in machine learning model-building and deployment services, Microsoft Azure Cloud has you covered. To learn more about it, go to https://azure.microsoft.com/en-us/solutions/cloud-scale-analytics and bring actionable business analytics to higher levels of proficiency and productivity across your organization.

My top learning moments at Splunk .conf23

I recently attended the Splunk .conf23 conference in Las Vegas. Well, the conference was in Vegas, while I was far away in my home office watching the live conference keynote sessions online. Despite the thousands of miles (and kilometers) of separation, I could feel the excitement in the room as numerous announcements were made, individuals were honored, customer success stories were presented, and new solutions and product features were revealed. I will summarize many of those here (specifically my major learning moments), though this report cannot provide a complete review of all that was said at .conf23, primarily because I attended only the two main keynote sessions, but also because the phenomenal number of remarkable things to hear and learn in those sessions exceeded my capacity to record them all in one succinct report.

When I reviewed highlights from last year’s Splunk .conf22 conference in my summary report at that time, I focused a lot on the Splunk Observability Cloud and its incredible suite of Observability and Monitoring products and services. This reflected my strong interest in observability at that time. My strong interest hasn’t diminished, and neither has Splunk’s developments and product releases in that space, as seen in observability’s prominent mention within many of Splunk’s announcements at this year’s .conf23 event. For a detailed report on the current state of observability this year, you can access and download “The State of Observability 2023” report from Splunk. Here are four specific metrics from the report, highlighting the potentially huge enterprise system benefits coming from implementing Splunk’s observability and monitoring products and services:

  1. Four times as many leaders who implement observability strategies resolve unplanned downtime in just minutes, not hours or days.
  2. Leaders report one-third the number of outages per year, on average, compared to those organizations who do not implement observability and monitoring.
  3. Leaders are 7.9x as likely to say that their ROI on observability tools far exceeded expectations.
  4. 89% of leaders are completely confident in their ability to meet their application availability and performance requirements, versus just 43% of others.

Here are my top learnings from .conf23: 

  • Splunk announced a new strategic partnership with Microsoft Azure, thereby adding another major cloud provider to their other cloud provider partnerships, bringing Splunk products and services into more enterprises through the Azure Marketplace. This partnership also specifically extends hybrid cloud capabilities that will enhance organizations’ digital resilience, while enabling transformation, modernization, migration, and growth in all enterprise digital systems with confidence, trust, and security. 
  • Digital resilience was a major common theme across all of the Splunk announcements this week. As I heard someone say in the keynote session, “You had me at resilience!” By providing real-time data insights into all aspects of business and IT operations, Splunk’s comprehensive visibility and observability offerings enhance digital resilience across the full enterprise. Organizations are able to monitor integrity, quality drift, performance trends, real-time demand, SLA (service level agreement) compliance metrics, and anomalous behaviors (in devices, applications, and networks) to provide timely alerting, early warnings, and other confidence measures. From these data streams, real-time actionable insights can feed decision-making and risk mitigations at the moment of need. Such prescriptive capabilities can be more proactive, automated, and optimized, making digital resilience an objective fact for businesses, not just a business objective. I call that “digital resilience for the win!”
  • Several Splunk customer success stories were presented, with interesting details of their enterprise systems, the “back stories” that led them to Splunk, the transformations that have occurred since Splunk integration, and the metrics to back up the success stories. Customers presenting at .conf23 included FedEx, Carnival Corporation & plc, Inter IKEA, and VMware. Here are a few of the customer performance metrics presented (measuring performance changes following the Splunk integration into the customers’ enterprise systems): 3X Faster Response Time, 90% Faster Mean Time to Remediation, and 60X Faster Insights.
  • Splunk has brought greater integration and customer ease-of-use of their offerings through a Unified Security and Observability Platform. This unified operations center (Splunk Mission Control) amplifies the efficiency (time to problem resolution) and effectiveness (number of time-critical problems resolved) of ITOps and DevOps teams, requiring fewer manual steps in correlating data streams from multiple systems in order to determine the root cause of an incident. Further enhancing the user experience, the unified platform provides end-to-end enterprise systems visibility and federated search across those systems.
  • Splunk Mission Control (just mentioned above) Splunk describes it best: “Splunk Mission Control brings together Splunk’s industry-leading security technologies that help customers take control of their detection, investigation and response processes. Splunk’s security offerings include security analytics (Splunk Enterprise Security), automation and orchestration (Splunk SOAR), and threat intelligence capabilities. In addition, Splunk Mission Control offers simplified security workflows with processes codified into response templates. With Splunk Mission Control, security teams can focus on mission-critical objectives, and adopt more proactive, nimble security operations.”
  • Model-Assisted Threat Hunts, also known as Splunk M-ATH, is Splunk’s brand name for machine learning-assisted threat hunting and mitigation. M-ATH is part of the PEAK (Prepare, Execute, and Act with Knowledge) Framework, that consists of three types of hunts: (1) Hypothesis-driven (i.e., testing for hypothesized threats, behaviors, and activities), (2) Baseline (i.e., search for deviations from normal behaviors through EDA: Exploratory Data Analysis), and (3) M-ATH (i.e., automation of the first two type of hunts, using AI and machine learning). M-ATH includes ML-assisted adaptive thresholding and outlier handling, for improved alerts (i.e., faster alerting with fewer false positives and false negatives).
  • “Don’t be a SOAR loser!” Okay, that’s what one of the Splunk speakers said at .conf23. By that, he was referring to being a winner with Splunk SOAR: Security Orchestration, Automation and Response. SOAR orchestrates, prioritizes, and automates security teams (SecOps) workflows and tasks, enabling more accurate, more complete, smarter, and faster response to security incidents. As Splunk says, “Automate so you can innovate.” Isn’t that always a business truth? If you can free your analyst teams to think outside the box, hypothesize, innovate, and test new methods and solutions, then that is the sure path to being a SAFE (Security Analytics For the Enterprise) winner: soar with SOAR! While SIEM (Security Information and Event Management) aims to manage the data flows, logging, audits, alerted events, and incident responses, SOAR automates these security activities (using machine learning and AI), monitors the data and events for anomalous behaviors, classifies (prioritizes) the events, and then orchestrates optimized security operations and incident responses (using playbooks).
  • Saving my best two .conf23 learning moments for last, first up is Splunk Edge Hub. This is a physical device, in the IoT (Internet of Things) family of sensors, that collects and streams data from the edge (i.e., from edge devices, cameras, streaming data sources, monitoring systems, and sensors of all types) into Splunk systems that go to work on those data: security operations, anomaly detection, event classification, trend detection, drift detection, behavior detection, and any other edge application that requires monitoring and observability, with an injection of machine learning and AI for intelligent data understanding, classification, prioritization, optimization, and automation. Since business thrives at the edge (through insights discovery and actionable analytics at the point—time and place—of data collection), an edge hub is just what a business needs to mitigate risk, ensure visibility, escalate incidents for review, optimize the operational response, and monitor the associated activities (causes and effects). 
  • Splunk AI Assistant  Boom! This is the brilliant and innovative introduction of an AI assistant into Splunk products, services, and user workflows. This includes the latest and best of AI — generative AI and natural language interfaces integrated within the Splunk platform. This product release most definitely enables and “catalyzes digital resilience in cybersecurity and observability.” This is not just a product release. It is a “way of life” and “a way of doing business” with Splunk products and services. AI is not just a tacked-on feature, but it is a fundamental characteristic and property of those products’ features. Splunk AI increases productivity, efficiency, effectiveness, accuracy, completeness, reliability, and (yes!) resilience across all enterprise SecOps, ITOps, and AIOps functions, tasks, and workflows that are powered by Splunk. Generative AI enables the Splunk SecOps and ITOps tasks, workflows, processes, insights, alerts, and recommended actions to be domain-specific and customer-specific. It automatically detects anomalies and focuses attention where it’s needed most, for that business in that domain, while providing full control and transparency on which data and how data are used to train the AI, and how much control is assigned to the AI (by maintaining “human in the loop” functionality). With regard to the natural language features, Splunk AI Assistant leverages generative AI to provide an interactive chat experience and helps users create SPL (Splunk Processing Language) queries using natural language. This feature not only improves time-to-value, but it “helps make SPL more accessible, further democratizing an organization’s access to, and insights from, its data” – and that includes automated recommendations to the user for “next best action”, which is a great learning prompt for new Splunk users and SecOps beginners.


For a peek into my peak real-time experiences at .conf23, see my #splunkconf23 social thread on Twitter at https://bit.ly/3DjI5NU. Actually, go there and explore, because there is so much more to see there than I could cover in this one report.

Closing thoughts – AI (particularly generative AI) has been the hottest tech topic of the year, and Splunk .conf23 did not disappoint in their coverage of this topic. The agendas for some events are filled with generic descriptions that sing the praises of generative AI. This Splunk event .conf23 provided something far more beneficial and practical: they presented demonstrably valuable business applications of generative AI embedded in Splunk products, which deliver a convincing Splunk-specific productivity enhancer for new and existing users of Splunk products. When the tech hype train is moving as fast as it has been this year, it is hard for a business to quickly innovate, incorporate, and deliver substantially new features that use the new tech within their legacy products and services, but Splunk has done so, with top marks for those achievements.

Disclaimer: I was compensated as an independent freelance media influencer for my participation at the conference and for this article. The opinions expressed here are entirely my own and do not represent those of Splunk or of any Splunk partners. Any misrepresentations of the products and services mentioned in my statements are entirely my own responsibility. Nothing here should be construed as an offer to sell or as financial advice of any kind. My comments are entirely of a technical nature, focused on the technical capabilities of the items mentioned in the article.

Delivering Low-latency Analytics Products for Business Success

On-prem data sources have the powerful advantage (for design, development, and deployment of enterprise analytics applications) of low-latency data delivery. Low-latency data delivery is a system level requirement that is tied to a critical business user requirement: low-latency analytics product delivery! You cannot have the second without the first.

In my early days as a data systems manager at NASA, I learned this distinction: business requirements specify what must be delivered to provide value to end-users; and system requirements specify how the proposed system will accomplish the business requirements. In my early years as a scientist (doing my own research on my own computer), I cared little about the “system” and more about the end-results. As I progressed in my career into management roles for enterprise data systems, I gained a deeper understanding and appreciation of the synergies and interdependencies between system and user requirements.

The criticality of these synergies becomes obvious when we recognize analytics as the products (the outputs and deliverables) of the data science and machine learning activities that are applied to enterprise data (the inputs). Low-latency data access and data delivery (system requirements) are necessary for low-latency delivery of analytics products (business user requirement).

Before you continue reading this article, you may wish to see some special categories of analytics products in this article: “Three Emerging Analytics Products Derived from Value-driven Data Innovation and Insights Discovery in the Enterprise.”

[continue reading the full article here]

Three Emerging Analytics Products Derived from Value-driven Data Innovation and Insights Discovery in the Enterprise

I recently saw an informal online survey that asked users which types of data (tabular, text, images, or “other”) are being used in their organization’s analytics applications. This was not a scientific or statistically robust survey, so the results are not necessarily reliable, but they are interesting and provocative. The results showed that (among those surveyed) approximately 90% of enterprise analytics applications are being built on tabular data. The ease with which such structured data can be stored, understood, indexed, searched, accessed, and incorporated into business models could explain this high percentage. A similarly high percentage of tabular data usage among data scientists was mentioned here.

If my explanation above is the correct interpretation of the high percentage, and if the statement refers to successfully deployed applications (i.e., analytics products, in contrast to non-deployed training experiments, demos, and internal validations of the applications), then maybe we would not be surprised if a new survey (not yet conducted) was to reveal that a similar percentage of value-producing enterprise data innovation and analytics/ML/AI applications (hereafter, “analytics products”) are based on on-premises (on-prem) data sources. Why? … because the same productivity benefits mentioned above for tabular data sources (fast and easy data access) would also be applicable in these cases (on-prem data sources). And no one could deny that these benefits would be substantial. What could be faster and easier than on-prem enterprise data sources?

Accompanying the massive growth in sensor data (from ubiquitous IoT devices, including location-based and time-based streaming data), there have emerged some special analytics products that are growing in significance, especially in the context of innovation and insights discovery from on-prem enterprise data sources. These enterprise analytics products are related to traditional predictive and prescriptive analytics, but these emergent products may specifically require low-latency (on-prem) data delivery to support enterprise requirements for timely, low-latency analytics product delivery. These three emergent analytics products are:

(a) Sentinel Analytics – focused on monitoring (“keeping an eye on”) multiple enterprise systems and business processes, as part of an observability strategy for time-critical business insights discovery and value creation from enterprise data sources. For example, sensors can monitor and “watch” systems and processes for emergent trends, patterns, anomalies, behaviors, and early warning signs that require interventions. Monitoring of data sources can include online web usage actions, streaming IT system patterns, system-generated log files, customer behaviors, environmental (ESG) factors, energy usage, supply chain, logistics, social and news trends, and social media sentiment. Observability represents the business strategy behind the monitoring activities. The strategy addresses the “what, when, where, why, and how” questions from business leaders concerning the placement of “sensors” that are used to collect the essential data that power the sentinel analytics product, in order to generate timely insights and thereby enable better data-informed “just in time” business decisions.

(b) Precursor Analytics – the use of AI and machine learning to identify, evaluate, and generate critical early-warning alerts in enterprise systems and business processes, using high-variety data sources to minimize false alarms (i.e., using high-dimensional data feature space to disambiguate events that seem to be similar, but are not). Precursor analytics is related to sentinel analytics. The latter is associated primarily with “watching” the data for interesting patterns, while precursor analytics is associated primarily with training the business systems to quickly identify those specific patterns and events that could be associated with high-risk events, thus requiring timely attention, intervention, and remediation. One could say that sentinel analytics is more like unsupervised machine learning, while precursor analytics is more like supervised machine learning. That is not a totally clear separation and distinction, but it might help to clarify their different applications of data science. Data scientists work with business users to define and learn the rules by which precursor analytics models produce high-accuracy early warnings. For example, an exploration of historical data may reveal that an increase in customer satisfaction (or dissatisfaction) with one particular product is correlated with some other satisfaction (or dissatisfaction) metric downstream at a later date. Consequently, based on this learning, deploying a precursor analytics product to detect the initial trigger event early can thus enable a timely response to the situation, which can produce a positive business outcome and prevent an otherwise certain negative outcome.

(c) Cognitive Analytics – focused on “surprise” discovery in diverse data streams across numerous enterprise systems and business processes, using machine learning and data science to emulate and automate the curiosity and cognitive abilities of humans – enabling the discovery of novel, interesting, unexpected, and potentially business-relevant signals across all enterprise data streams. These may not be high risk. They might actually be high-reward discoveries. For example, in one company, an employee noticed that it was the customer’s birthday during their interaction and offered a small gift to the customer at that moment—a gift that was pre-authorized by upper management because they understood that their employees are customer-facing and they anticipated that their employees would need to have the authority to take such customer-pleasing actions “in the moment”. The outcome was very positive indeed, as this customer reported the delightful experience on their social media account, thereby spreading positive sentiment about the business to a wide audience. Instead of relying on employees to catch all surprises in the data streams, the enterprise analytics applications can be trained to automatically watch for, identify, and act on these surprises. In the customer birthday example, the cognitive analytics product can be set up for automated detection and response, which can occur without the employee in the loop at all, such as in a customer’s online shopping experience or in a chat with the customer call center bot.

These three analytics products are derived from business value-driven data innovation and insights discovery in the enterprise. Investigating and deploying these are a worthy strategic move for any organization that is swimming in a sea (or lake or ocean) of on-prem enterprise data sources.

In closing, let us look at some non-enterprise examples of these three types of analytics:

  • Sentinel – the sentinel on the guard station at a military post is charged with watching for incoming activity. They are assigned this duty just in case something occurs during the night or when everyone else is busy with other operational things. That “something” might be an enemy approaching or a wild bear in the forest. In either case, keeping an eye on the situation is critical for the success of the operation. Another example of a sentinel is a marked increase in the volatility of stock market prices, indicating that there may be a lot of FUD (fear, uncertainty, and doubt) in the market that could lead to wild swings or downturns. In fact, anytime that any streaming data monitoring metric shows higher than usual volatility, this may be an indicator that the monitored thing requires some attention, an investigation, and possibly an intervention.
  • Precursor – prior to large earthquakes, it has been found that increased levels of radon are detected in soil, in groundwater, and even in the air in people’s home basements. This precursor is presumed to be caused by the radon being released from cavities within the Earth’s crust as the crust is being strained prior to the sudden slippage (the earthquake). Earthquakes themselves can be precursors to serious events – specifically, a large earthquake detected at the bottom of the ocean can produce a massive tidal wave, that can travel across the ocean and have drastic consequences on distant shores. In some cases, the precursor can occur sufficiently in advance of the tidal wave’s predicted arrival at inhabited shores, thereby enabling early warnings to be broadcasted. In both of these cases, the precursor (radon release or ocean-based earthquake) is not the biggest problem, though they may be seen as sentinels of an on-going event, but the precursor is an early warning sign of a potentially bigger catastrophe that’s coming (a major land-based earthquake or a tidal wave hitting major population centers along coastlines, respectively).
  • Cognitive – a cognitive person walking into an intense group meeting (perhaps a family or board meeting) can probably tell the mood of the room fairly quickly. The signals are there, though mostly contextual, thus probably missed by a cognitively impaired person. A cognitive person is curious about odd things that they see and hear—things or circumstances or behaviors that seem out of context, unusual, and surprising. The thing itself (or the data about the thing) may not be surprising (though it could be), but the context (the “metadata”, which is “other data about the primary data”) provides a signal that something needs attention here. Perhaps the simplest expression of being cognitive in this data-drenched world comes from a quote attributed to famous science writer Isaac Asimov: “The most exciting phrase to hear in science, the one that heralds new discoveries, is not ‘Eureka!’ (I found it!) but ‘That’s funny…‘.”

The cognitive enterprise versus the cognitively impaired enterprise – which of these would your organization prefer to be? Get moving now with sentinel, precursor, and cognitive analytics through data innovation and insights discovery with your on-prem enterprise data sources.

Read more about analytics innovation from on-prem enterprise data sources in this 3-part blog series:

  1. Solving the Data Daze – Analytics at the Speed of Business Questions
  2. The Data Space-Time Continuum for Analytics Innovation and Business Growth
  3. Delivering Low-Latency Analytics Products for Business Success

Low-Latency Data Delivery and Analytics Product Delivery for Business Innovation and Enterprise AI Readiness

This article has been divided into 2 parts now:

Read other articles in this series on the importance of low-latency enterprise data infrastructure for business analytics:

Other related articles on the importance of data infrastructure for enterprise AI initiatives:

The Data Space-Time Continuum for Analytics Innovation and Business Growth

We discussed in another article the key role of enterprise data infrastructure in enabling a culture of data democratization, data analytics at the speed of business questions, analytics innovation, and business value creation from those innovative data analytics solutions. Now, we drill down into some of the special characteristics of data and enterprise data infrastructure that ignite analytics innovation.

First, a little history – years ago, at the dawn of the big data age, there was frequent talk of the three V’s of big data (data’s three biggest challenges): volume, velocity, and variety. Though those discussions are now considered “ancient history” in the current AI-dominated era, the challenges have not vanished. In fact, they have grown in importance and impact.

While massive data volumes appear less frequently now in strategic discussions and are being tamed with excellent data infrastructure solutions from Pure Storage, the data velocity and data variety challenges remain in their own unique “sweet spot” of business data strategy conversations. We addressed the data velocity challenges and solutions in our previous article: “Solving the Data Daze – Analytics at the Speed of Business Questions”. We will now take a look at the data variety challenge, and then we will return to modern enterprise data infrastructure solutions for handling all big data challenges.

Okay, data variety—what is there about data variety that makes it such a big analytics challenge? This challenge often manifests itself when business executives ask a question like this: “what value and advantages will all that diversity in data sources, venues, platforms, modalities, and dimensions actually deliver for us in order to outweigh the immense challenges that high data variety brings to our enterprise data team?”

Because nearly all organizations collect many types of data from many different sources for many business use cases, applications, apps, and development activities, consequently nearly every organization is facing this dilemma.

[continue reading the full article here]

Solving the Data Daze – Analytics at the Speed of Business Questions

Data is more than just another digital asset of the modern enterprise. It is an essential asset. And data is now a fundamental feature of any successful organization. Beyond the early days of data collection, where data was acquired primarily to measure what had happened (descriptive) or why something is happening (diagnostic), data collection now drives predictive models (forecasting the future) and prescriptive models (optimizing for “a better future”). Business leaders need more than backward-looking reports, though those are still required for some stakeholders and regulators. Leaders now require forward-looking insights for competitive market advantage and advancement.

So, what happens when the data flows are not quarterly, or monthly, or even daily, but streaming in real-time? The business challenges then become manifold: talent and technologies now must be harnessed, choreographed, and synchronized to keep up with the data flows that carry and encode essential insights flowing through business processes at light speed. Insights discovery (powered by analytics, data science, and machine learning) drives next-best decisions, next-best actions, and business process automation.

In the early days of the current data analytics revolution, one would often hear business owners say that they need their data to move at the speed of business. Well, it soon became clear that the real problem was the reverse: how can we have our business move at the speed of our data? Fortunately, countless innovative products and services in the data analytics world have helped organizations in that regard, through an explosion in innovation around data analytics, data science, data storytelling, data-driven decision support, talent development, automation, and AI (including the technologies associated with machine learning, deep learning, generative AI, and ChatGPT).

[continue reading the full article here]

Top 9 Considerations for Enterprise AI

Artificial intelligence (AI) is top of mind for executives, business leaders, investors, and most workplace employees everywhere. The impacts are expected to be large, deep, and wide across the enterprise, to have both short-term and long-term effects, to have significant potential to be a force both for good and for bad, and to be a continuing concern for all conscientious workers. In confronting these winds of change, enterprise leaders are faced with many new questions, decisions, and requirements – including the big question: are these winds of change helping us to move our organization forward (tailwinds) or are they sources of friction in our organization (headwinds)?

The current AI atmosphere in enterprises reminds us of the internet’s first big entrance into enterprises nearly three decades ago. I’m not referring to the early days of email and Usenet newsgroups, but the tidal wave of Web and e-Commerce applications that burst onto the business scene in the mid-to-late 1990’s. While those technologies brought much value to the enterprise, they also brought an avalanche of IT security concerns into the C-suite, leading to more authoritative roles for the CIO and the CISO. The fraction of enterprise budgets assigned to these IT functions (especially cybersecurity) suddenly and dramatically increased. That had and continues to have a very big and long-lasting impact.

The Web/e-Commerce tidal wave also brought a lot of hype and FOMO, which ultimately led to the Internet bubble burst (the dot-com crash) in the early 2000’s. AI, particularly the new wave of generative AI applications, has the potential to repeat this story, potentially unleashing a wave of similar patterns in the enterprise. Are we heading for another round of hype / high hopes / exhilaration / FOMO / crash and burn with AI? I hope not.

I would like to believe that a sound, rational, well justified, and strategic introduction of the new AI technologies (including ChatGPT and other generative AI applications) into enterprises can offer a better balance on the fast slopes of technological change (i.e., protecting enterprise leaders from getting out too far over their skis). In our earlier article, we discussed “AI Readiness is Not an Option.” In this article here, we offer some considerations for enterprise AI to add to those strategic conversations. Specifically, we look at considerations from the perspective of the fuel for enterprise AI applications: the algorithms, the data, and the enterprise AI infrastructure. Here is my list:

[continue reading the full article here]

AI Readiness is Not an Option

This year, artificial intelligence (AI) has become a major conversation centerpiece at home, in the park, at the gym, at work, everywhere. This is not entirely due to or related to ChatGPT and LLMs (large language models), though those have been the main drivers. The AI conversations, especially in technical circles, have focused intensively on generative AI, the creation of written content, images, videos, marketing copy, software code, speeches, and countless other things. For a short introduction to generative AI, see my article “Generative AI – Chapter 1, Page 1”.

While there has been huge public interest in generative AI (specifically, ChatGPT) by individuals, there has been a transformative impact on organizations everywhere, both in strategy conversations and tactical deployments. Businesses and others are seeking to leverage generative AI to increase productivity (efficiencies and effectiveness) in nearly all aspects of their enterprise.

To support essential enterprise AI strategy conversations, here are 12 key points for organizations to consider within the context of “AI readiness is not an option, but an imperative”:

[continue reading the full article here]

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