Oracle Real-Time Decisions zur Entscheidungsoptimierung und dessen Einführung
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1 <Insert Picture Here> Oracle Real-Time Decisions zur Entscheidungsoptimierung und dessen Einführung César Ortiz, Competence Center BI Tel Oracle Deutschland B.V. & Co. KG
2 Consumers Are Hard(er) to Reach, Satisfy and Retain Constantly evolving behavior More competition, less loyalty Growing complexity Lower level of attention 2
3 What is Oracle Real Time Decisions (RTD)? Personalized Business Intelligence at the Point of Interaction A solution that addresses a business issue faced by all organizations : how to make personalized and accurate decisions, using the most up to date information consistently and in large volumes. 3
4 Engagement Managing Customer Attention Customer Lifecycle Challenges (Moments of Truth) Recommend to friend Advocacy threshold Decrease monthly spend Try new product Competitor locked-out Loyalty threshold Important Life Event Churn risk How best to reward? Start using product Complain Cross-sell opportunity How best to serve? Optimization Opportunity Acquisition threshold Research Response to promotion Inline / process driven insightful actions Offline / Insight-driven actions Time Online Call Center. Stores Campaigns 4
5 Oracle RTD Decision Engine Closed Loop Interaction Optimization Choices Supply Customer Experience Closed Loop Optimization Venues for Recommendations Campaign Management Offers Oracle or Third-party Product Catalogs Oracle or Third-party Content Management Products Content Oracle or Third-party Goals Rules Predictive Models Eligibility Arbitration Automation Reports Online Branch Call Center Kiosk Catalogs Promotions Adds Oracle or Third-party Campaigns RTD is a system of record for Decisions 5
6 Objectives Up Sell Cross Sell Increase Revenue Reduce Churn Increase Loyalty Drivers & Objectives Minimize Cost Maximise Clicks 6
7 Oracle RTD for Service Optimization Insurance Call Center Decision: Rank Providers from more than 6000 candidates Segmented decision: Allows for precise control over business process optimization 2010 Oracle Corporation Proprietary and Confidential 7
8 RTD Active Decision Services Building Blocks What RTD can do Recommend the best asset Any type of content (action, product, offer, content, style, script) Recommend in context of each customer transaction Using historical and real-time behavioral data Define what is best As defined by multiple competing business goals Automatically predict and learn to continuously improve results Scalable & adaptive decision logic including rule and predictive based approaches Integrate across multiple interaction channels Quick deployments Interaction & Customer Data Rules & Predictive Models Choices / Assets Decisions Performance Goals Closed-Loop Insight & Foresights Recommendations 8
9 RTD Decision Process Active? Choice Groups G1 Broadband Eligible? Choices a b c ineligible Score? Marketing Priority e.g. Product of the week Arbitrate? Result? 1 or more choices a request G2 Phone inactive Rules e.g. if cond. then eligible, else ineligible) Rules e.g. if cond. 1 then Score 24 else if cond. 2 then Score 18 Prioritise: Marketing Priority c x x 6 G3 TV y z ineligible ineligible Copyright 2010, Oracle. All rights reserved.
10 RTD Decision Process Active? Eligible? Score? Likelihood to respond Arbitrate? Result? Choice Groups G1 Broadband Choices a b c ineligible or more choices request G2 inactive Rules e.g. if cond. then eligible, else ineligible) Model to predict customer behaviour Prioritise: Likelihood c a Phone x 28 G3 TV y z ineligible ineligible Copyright 2010, Oracle. All rights reserved.
11 RTD Decision Process Active? Eligible? Score? Both Priority AND Likelihood Arbitrate? Result? Choice Groups G1 Broadband Choices a b c ineligible 24/8 12+4=16 18/20 1 or more choices C request G2 Phone G3 TV inactive Rules e.g. if cond. then eligible, else ineligible) x y z ineligible ineligible 9+10=19 6/ =17 Prioritise: 50% - Marketing Priority e.g. product of the week 50 % - Likelihood x a Copyright 2010, Oracle. All rights reserved.
12 RTD Decision Process Active? Choice Groups G1 Eligible? Choices a b ineligible Score? By other dimensions e.g. Value, Cost, Handle Time, etc scores Arbitrate? Result? 1 or more choices Broadband c scores 1 st choice request G2 Phone G3 TV inactive Rules e.g. if cond. then eligible, else ineligible) x y z ineligible ineligible scores Prioritise: Marketing Priority e.g. product of the week Likelihood By value By cost By handle time 2 nd choice 3 rd choice Copyright 2010, Oracle. All rights reserved.
13 Oracle RTD Product Packaging Consistent Recommendations Any Channel supported Leverage existing operational investments RTD / Siebel Call Center Integration 3rd party Call Center Integration RTD / Siebel ecommerce Integration RTD / UCM3rd party Web ecommerce Integration Integration Oracle Application Integration 3 rd party Application Integration Applications Leveraging RTD Oracle applications with built-in RTD integrations for specific use cases Third party application integrations of RTD Built on top of the RTD Base Application Oracle RTD Base Application Cross-Channel Optimization Logic Oracle RTD Decision Logic Extensions (e.g. Risk Mgnt) RTD Base Application Pre-built interaction optimization logic Best Practices Library Decision patterns for CRM process flows Extensible Common Entity Model Oracle Real-Time Decisions Server RTD Core Technology J2EE Platform for Decision as a Service (SOA) Designed to support high-end Decisioning Transactional Applications CRM Enterprise Systems Data Mining Data Warehouse 3 rd Party Data = Prebuilt Oracle RTD Applications = Open Integration 13
14 RTD Approach to Analytical Process Optimization Working from Inside the Process Process Optimization with RTD Active Decision Service Learn Optimize Learn from each closed-loop event Real-Time Analysis, Context Data Predictive Modeling Automation Event Centric Closed Loop Analytics Optimized Process Intelligence Continuous improvement Automatically adjust over time Personalized Process Flows Insights Rules 14
15 Example for an architecture Oracle RTD Intelligent Session Management RTD DB Decision Center Server Business Users Defaults Smart Client Defaults Load Balancing Learning Server CRM Decision Servers Content
16 Dimensions of Scope Isolating areas of complexity during pilot phase Scope of Decisions & Channels Technology foundation (performance / scalability / integration) Operations / Marketing Controls Current Solution Phase 1 Phase 2
17 Analytics Decisioning Channels Implementation roadmap Multi phased projects Single channel integration Single channel decisioning Multiple channel decisioning Limited process integration Tight process integration Multiple channel learning Controlled deployment Multiple channel learning Systemic process integration One Decision Two Performance Goals Controlled target population with control group Multiple / Segmented Decisions Multiple Performance Goals Overall population with control groups Multiple level Decisions Cross channel optimization Waterfall decision logic Self-learning or rule driven Closed-loop response tracking Simple data integration Self-learning and rule driven Multiple close loops responses Extended data integration Model and rule driven combined with offline models Multiple close loops with differed responses Systemic data integration Phase 1 Phase 2 Phase 3 Oracle Proprietary & Confidential
18 Typical Project Timeline Three months to go live with a month of post production support Requirements and Design Business requirements analysis Technical requirements analysis RTD Design Configuration and Integration Install RTD app and prepare dev environment Configure decision logic Configure integrations to key back end systems Integration w ith presentation layer Deployment Environment setups (test, pre-prod, prod) Testing and QA Application migration Go Live / Production Campaign Monitoring Week 1 Monitoring Week 2 Monitoring Week 3 Monitoring Final Readout Week
19 Typical Project Timeline Three months to go live with a month of post production support Requirements and Design Business requirements analysis Technical requirements analysis RTD Design Configuration and Integration Install RTD app and prepare dev environment Configure decision logic Configure integrations to key back end systems Integration w ith presentation layer Deployment Environment setups (test, pre-prod, prod) Testing and QA Application migration Go Live / Production Campaign Monitoring Week 1 Monitoring Week 2 Monitoring Week 3 Monitoring Final Readout Week RTD Design RTD Service Developed Production Marketing Operations RTD Value Calculation 19
20 Roles and responsibilities Function Responsibilities Effort Project Manager Manages scope, budget, timelines, risks, issues, etc RTD Specialist Requirements gathering Functional design Configuration of decision logic and modelling Evaluates statistical studies Technical Architect Technical Architecture Application Server Deployment Performance, Scalability, Reliability Architecture Testing Integration Specialist Web Site Integration Data Source Integration Configuration Testing Part Time Full Time Full Time Full Time 20
21 Bouygues Telecom Main Steps of the Traviata Program August 2010 October 2010 April 2010 June 2010 Recommendations Call Center «RTD» Recommendations WEB «RTD» Recommendations Bouygtel PoS «RTD» October 2009 Campaigns «Siebel Marketing» 360 customer view «Siebel Call Center» RTD Project Objective : Present personalized recommendations for each inbound interaction accross channels : call center, WEB, PoS Bouygues Telecom Open World
22 Bouygues Telecom Use Case (Inbound Call) 1 Customer Service Representative CSR Sales Representative Customer 4 List of priority recommendations Siebel 5 response RTD 3 Recommendations logic Customer Profile Campaigns Interest Declarations Interrupted browsing Unpaid invoices Household OLTP (Oracle Database) 2 Value Added Indicators Interest in offer score CLTV OLAP (Teradata Database) Rules Alerts (Cancellation, Credit, ), Interrupted browsing, Unpaid invoices, Declared household, Bouygues Telecom Open World
23 Dell s RTD Implementation Offline Service Channel (Siebel CRM) *LIVE! ~ 70,000 Service Requests/Day 20,000 Tech Support Agents WW 15 Countries 30 Languages * Not Launched for All Segments & Regions 25 Service Centers WW DellOracle RTD Open World
24 Server Topology Performance tested for 2400 concurrent users/hr running 450,000 transactions/hr/jvm DellOracle RTD Open World
25 Results from Live Channels Offline Support Channel Close Rate : 15-20% Margin Per Call: 10-15% Revenue Per Call: 5-10% Dell presentations at OOW Search for Oracle World vlog customer video DellOracle RTD Open World
26 26
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