Welcome!

Video Authors: Elizabeth White, Yakov Fain, Liz McMillan, Dan Ristic, Jnan Dash

Related Topics: Java IoT, Artificial Intelligence, @CloudExpo, @DXWorldExpo, @ThingsExpo

Java IoT: Blog Post

Demystifying Data Science | @CloudExpo @Schmarzo #BigData #AI #DataScience #ArtificialIntelligence

Data science is about identifying those variables and metrics that might be better predictors of performance

[Opening Scene]: Billy Dean is pacing the office. He’s struggling to keep his delivery trucks at full capacity and on the road. Random breakdowns, unexpected employee absences, and unscheduled truck maintenance are impacting bookings, revenues and ultimately customer satisfaction. He keeps hearing from his business customers how they are leveraging data science to improve their business operations. Billy Dean starts to wonder if data science can help him. As he contemplates what data science can do for him, he slowly drifts off to sleep, and visions of Data Science starts dancing in his head…

[Poof! Suddenly Wizard Wei appears]: Hi, I’m your data science wizard to help alleviate your data science concerns. I don’t understand why folks try to make the data science discussion complicated. Let’s start simple with a simple definition of data science:

Data science is about identifying those variables and metrics that might be better predictors of performance

The key to a successful analytical model is having a robust set of variables against which to test for their predictive capabilities. And the key to having a robust set of variables from which to test is to get the business users engaged early in the process.

[A confused Billy Dean]: Okay, but I’m still confused. I mean, how does this really apply to my business?

[A patient Wizard Wei]: Well, let’s say that you are trying to predict which of your routes are likely to have under-capacity loads so that you can combine loads. In order to identify those variables that might be better predictors of under-capacity routes, you might ask your business users:

What data might you want to have in order to predict under-capacity routes?

The business users are likely to come up with a wide variety of variables, including:

Customer name Ship to location Customer industry
Building permits Customer tenure Change in customer size
Customer stock price Customer D&B rating Types of products hauled
Time of year Seasonality/Holidays Day of week
Traffic Weather Local Events
Distance from distribution center Open headcount on Indeed.com Tenure of logistics manager

The Data Science team will then gather these variables, perform some data transformations and enrichment, and then look for variables and combinations of variables that yield the best predictive results regarding under-capacity routes (see Figure 1).

Figure 1: Data Science Process

Role of Artificial Intelligence
[A less confuse Billy Dean]:
Ah, I think I understand, but what about all this talk about artificial intelligence? From some of these commercials on TV, it appears that robots with artificial intelligence will be ruling the world. Can you say Skynet?

[A still patient Wizard Wei]: Ah, that’s just marketing. Artificial intelligence is just one of many different tools in the predictive analytics kit bag of a data scientist. But artificial intelligence – while embracing some very sophisticated mathematical, data enrichment and computing techniques – is really pretty straightforward. All artificial intelligence is trying to do is to find and quantify relationships between variables buried in large data sets (see Figure 2).

Figure 2: Understanding Artificial Intelligence

[An inquisitive Billy Dean]: Okay, I’m starting to get it, but there seems to be some many
different analytic and predictive algorithms from which to choose. How does the business user know where to start?

[A growing frustrated Wizard Wei]: Ah, that’s the secret to the process. Business users don’t need to know which algorithms to use; they need to be able to identify those variables that might be better predictors of performance. It is up to the data science team to determine which variables are the most appropriate by testing the different algorithms.

Data Mining, Machine Learning and Artificial Intelligence (including areas such as cognitive computing, statistics, neural networks, text analytics, video analytics, etc.) are all members of the broader category of data science tools. Our data scientist team has experts in each of these areas, though no one data scientist is an expert at all of them (in spite of what they tell me). The different data science tools are used in different scenarios for different needs. Think of one of your mechanics. They have a large toolbox full of different tools. They determine what tools to use to fix a truck based upon the problem they are trying to solve. That’s exactly what a data scientist is doing, just with a different toolbox of algorithms.

No single algorithm is best over whole domain; so different algorithms are needed to cover different domains. Often combinations of algorithms are used in order to achieve the best results. To be honest, it’s like a giant jigsaw puzzle with the data science team constantly testing different combinations of metrics, data enrichment and algorithms until they find the combination that yields the best results.

[An enlightened Billy Dean]: I think I’ve finally got it. All of these different algorithms and techniques are just trying to help predict what is likely to happen so that I can make better operational and customer issues. But what’s the realm of what’s possible with data and analytics; I mean, how effective can my organization become at leveraging data and analytics to power my business?

[A proud Wizard Wei]: Great question, and the heart of the big data and data science conversation. Figure 3 shows how you could use these different data science tools to progress up the Big Data Business Model Maturity Index; to transition from running your business on Descriptive analytics that tell you what happened (Monitoring stage) to Predictive analytics that tell you what is likely to happen (Insights stage) to Prescriptive analytics that tell you what they should do (Optimization stage).

Figure 3: Leveraging Artificial Intelligence to drive Business Value

In the end, the data and the analytics are only useful if they help you optimize key operational processes, reduce compliance and security risks, uncover new revenue opportunities and create a more compelling, more prescriptive customer engagement. In the end, data and analytics are all about your business.

[A satisfied Billy Dean]: That’s great Wizard Wei! Thanks for your help!

Now, what can you do about my taxes…

To learn more about “Demystifying Data Science”, come to my Dell EMC World session: “Demystifying Data Science: A Pragmatic Guide To Building Big Data Use Cases” See you there!!

The post Demystifying Data Science appeared first on InFocus Blog | Dell EMC Services.

Read the original blog entry...

More Stories By William Schmarzo

Bill Schmarzo, author of “Big Data: Understanding How Data Powers Big Business” and “Big Data MBA: Driving Business Strategies with Data Science”, is responsible for setting strategy and defining the Big Data service offerings for Hitachi Vantara as CTO, IoT and Analytics.

Previously, as a CTO within Dell EMC’s 2,000+ person consulting organization, he works with organizations to identify where and how to start their big data journeys. He’s written white papers, is an avid blogger and is a frequent speaker on the use of Big Data and data science to power an organization’s key business initiatives. He is a University of San Francisco School of Management (SOM) Executive Fellow where he teaches the “Big Data MBA” course. Bill also just completed a research paper on “Determining The Economic Value of Data”. Onalytica recently ranked Bill as #4 Big Data Influencer worldwide.

Bill has over three decades of experience in data warehousing, BI and analytics. Bill authored the Vision Workshop methodology that links an organization’s strategic business initiatives with their supporting data and analytic requirements. Bill serves on the City of San Jose’s Technology Innovation Board, and on the faculties of The Data Warehouse Institute and Strata.

Previously, Bill was vice president of Analytics at Yahoo where he was responsible for the development of Yahoo’s Advertiser and Website analytics products, including the delivery of “actionable insights” through a holistic user experience. Before that, Bill oversaw the Analytic Applications business unit at Business Objects, including the development, marketing and sales of their industry-defining analytic applications.

Bill holds a Masters Business Administration from University of Iowa and a Bachelor of Science degree in Mathematics, Computer Science and Business Administration from Coe College.

IoT & Smart Cities Stories
Dion Hinchcliffe is an internationally recognized digital expert, bestselling book author, frequent keynote speaker, analyst, futurist, and transformation expert based in Washington, DC. He is currently Chief Strategy Officer at the industry-leading digital strategy and online community solutions firm, 7Summits.
Digital Transformation is much more than a buzzword. The radical shift to digital mechanisms for almost every process is evident across all industries and verticals. This is often especially true in financial services, where the legacy environment is many times unable to keep up with the rapidly shifting demands of the consumer. The constant pressure to provide complete, omnichannel delivery of customer-facing solutions to meet both regulatory and customer demands is putting enormous pressure on...
IoT is rapidly becoming mainstream as more and more investments are made into the platforms and technology. As this movement continues to expand and gain momentum it creates a massive wall of noise that can be difficult to sift through. Unfortunately, this inevitably makes IoT less approachable for people to get started with and can hamper efforts to integrate this key technology into your own portfolio. There are so many connected products already in place today with many hundreds more on the h...
The standardization of container runtimes and images has sparked the creation of an almost overwhelming number of new open source projects that build on and otherwise work with these specifications. Of course, there's Kubernetes, which orchestrates and manages collections of containers. It was one of the first and best-known examples of projects that make containers truly useful for production use. However, more recently, the container ecosystem has truly exploded. A service mesh like Istio addr...
Digital Transformation: Preparing Cloud & IoT Security for the Age of Artificial Intelligence. As automation and artificial intelligence (AI) power solution development and delivery, many businesses need to build backend cloud capabilities. Well-poised organizations, marketing smart devices with AI and BlockChain capabilities prepare to refine compliance and regulatory capabilities in 2018. Volumes of health, financial, technical and privacy data, along with tightening compliance requirements by...
Charles Araujo is an industry analyst, internationally recognized authority on the Digital Enterprise and author of The Quantum Age of IT: Why Everything You Know About IT is About to Change. As Principal Analyst with Intellyx, he writes, speaks and advises organizations on how to navigate through this time of disruption. He is also the founder of The Institute for Digital Transformation and a sought after keynote speaker. He has been a regular contributor to both InformationWeek and CIO Insight...
Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settlement products to hedge funds and investment banks. After, he co-founded a revenue cycle management company where he learned about Bitcoin and eventually Ethereal. Andrew's role at ConsenSys Enterprise is a mul...
To Really Work for Enterprises, MultiCloud Adoption Requires Far Better and Inclusive Cloud Monitoring and Cost Management … But How? Overwhelmingly, even as enterprises have adopted cloud computing and are expanding to multi-cloud computing, IT leaders remain concerned about how to monitor, manage and control costs across hybrid and multi-cloud deployments. It’s clear that traditional IT monitoring and management approaches, designed after all for on-premises data centers, are falling short in ...
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, discussed how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team at D...
Dynatrace is an application performance management software company with products for the information technology departments and digital business owners of medium and large businesses. Building the Future of Monitoring with Artificial Intelligence. Today we can collect lots and lots of performance data. We build beautiful dashboards and even have fancy query languages to access and transform the data. Still performance data is a secret language only a couple of people understand. The more busine...