cycle time trumps scale: big data as the organizational nervous system
DESCRIPTION
Presentation to kick off Montreal Big Data Week 2014. What is Big Data really about? It's not new. But it is a significant change, because the cost of getting "big", "fast" and "varied" cheaply has dropped precipitously—and when this happens, we find new ways of using it, which triggers an economic shift.TRANSCRIPT
Cycle timetrumps scale
Big data as theorganizational nervous system
Photo by Echiner on Flickr. Used under a creative commons license. https://www.flickr.com/photos/decadence/249922560
Big Data is the Third Age of computing
(Jim Stodgill of O’Reilly Radar said this.)
Computing
Automatethings
Networking
Interconnectthings
Big Data
Predict & change things
Volume(the “lots”)
Velocity(the “fast”)
Variety(the
“different”)
Pickanytwo
Big and varied,but not fast.
Photo by cybrgrrl (http://www.flickr.com/photos/cybrgrl/1295482521/) on Flickr
Big and fast, but not varied.
BIG * FAST * VARIED = K
None of this is new.
Eventual consistency made social networks possible.
“End of Day Balance will only appear for dates previous to the last 2 business days.”“Transactions from today are reflected in your balance, but may not be displayed on this page if you recently updated your bankbook, if a paper statement was recently issued, or if a transaction is backdated. These transactions will appear in your history the following business day.”
Banks, too.
What’s new is
limK ➝ 0
Moore’s Law unlocked the triangle.
Big, fast, and varied got cheap.
This is about the unintended effects of abundance.
Uses 75% less coal.
WTF?
Shouldn’t more efficiency mean less consumption?
more consumption.
Efficiency means
lower costs means
new uses means
more demand means
This is about dramatically changing economic fundamentals.
When you’re a startupyour goal is to find a sustainable,
repeatable business model.
When you’re a big company, your goal is to perpetuate one.
How to perpetuate something.
Photo by Kamal Hamid. Used under a creative commons license. https://www.flickr.com/photos/evergreenkamal/395448039
Traditionally, get to a scale others can’t compete with.
(say Michael Porter and others.)
Daniel Craig McCallum.
F500 lifespan history
Fortune 500Life Expectancy(http://csinvesting.org/2012/01/06/fortune-500-extinction/)
1950 2010...
75years
15years
Growth by entering a new business
Corporate Strategy Board
95% fail
99% fail
Clay Christensen
How’s that working out for you?
The innovation problem isn’t new.
Picture by James Whatley on Flickr. Used under a Creative Commons license.https://www.flickr.com/photos/whatleydude/6202872135
This is about embracingthe harsh light of data.
0
15
30
2007 2012
EVERY 4h EVERY 55m
Times a “heavy rotation” song is played daily
This is about designing interruptions and producing outcomes.
“Design is the human capacity to plan and produce desired outcomes.”
- Bruce Mau
“The right information in the right place just changes your life.”
- Stewart Brand
http://theappslab.com/2012/08/14/some-light-testing-of-google-now/
Google Now, Siri, and Cortana are the prosthetic brain of homo connectus.
Really?Homo connectus?
Shark, jumped.
This is about avoiding the trap of the local maximum.
YOU ARE HERE
YOU ARE HERE
LOCALMAXIMUM
OPTIMIZATIONOF CURRENT
METRICS
YOU ARE HERE
GLOBALMAXIMUMINNOVATION
WITH NEWRULES
YOU ARE HERE
SHORT-TERMINVESTORSHATE GOINGDOWNHILL
This is about small batches.
3D printing.
Photo by Keith Kissel on Flickr. Used under a creative commons license. https://www.flickr.com/photos/kakissel/6165114664
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Cloud computing and shared services.
Social platforms.
Photo by Michael-Davis Burchat on Flickr. Used under a creative commons license. https://www.flickr.com/photos/curious_e/10473440064
Crowdfunding.
Digitalchannels.
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What happenswhen the prototype costswhat the product does?
This is about reducing organizational cycle time.
Iteration wins.
This is about ninjas instead of standing armies.
A standing army in times of peace
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Ninjas in times of uncertaintyPh
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John Boydcan shootyou down.
The OODA loop.
Collectdata
Human exploration
Machine learning & mining
Platforms
Infrastructure
StoreIngest & clean Share
Measure results& create feedback
Business users & data modelers
Corporate governance & policy
Data scientists & analysts
Change
the
model?
In a small-batch, digital-channel world, cycle time trumps scale.
And big data is about building the central nervous system by which
organizations learn.Art by the Flaming Lotus Girls. Used under a Creative Commons license. https://www.flickr.com/photos/sanfranannie/3993231378
www.tiltthewindmill.comAlistair [email protected]@acroll
Windmill by Eric Bennett on Flickr. Used under a Creative Commons license.
Thanks!