Data Analytics for Senior Leaders. Data Analytics for Senior Leaders

Transcription

1 Data Analytics for Senior Leaders Data Analytics for Senior Leaders

2 Data Analytics for Senior Leaders

3 Data Analytics as a Strategic Capability

4 Why Data Analytics

5 Strategic Capability Evolution of Data Analytics

6 Data Explosion 75% is Duplicate Data From dawn of time to billion Gigabytes of data created In billion Gigabytes of data created By trillion Gigabytes of data created

7 Medical Case Study 2.5 million peer reviewed medical research articles published per year Approx. 7,000 per day Only 14% ever make it into practice Takes 17 years to get into practice Only 50% adoption at 17 years Estimated to be One Century behind what has been researched, documented and validated

8 If Only We Knew What We Know!

9 Process Performance Over Time Innovate into higher levels Process Performance Lead Information Data Analytics Revolutionary Change Innovation Business Process Reengineering Time Balancing trade offs and optimizing performance Lag Information Traditional Reporting Evolutionary Change Maintaining Status Quo Process Optimization Mastering the Basics Adapted from Laursen, G. H., & Thorlund, J. (2016). Business Analytics for Managers. Wiley

10 Truths

11 Truths Business Truth If the Stats truth is valid and there is an impact what types of decisions or implications does this have to the business and decision makers? Stats Truth The researchers truth. How significant are the numbers and how likely are the data going to provide a valid result versus just a coincidence. Data Truths Verified, cleaned and ready for analysis. Can be deceiving by itself.

12 Versions of Truth Version 7 25 Localized Data Systems End users w/local copies of the data Legacy Data Storage Centers Version 4 Version 5 Version 6 Source Systems Version 1 Version 2 Version 3

13 Single Version of the Truth Presentation Web Reports OLAP Canned Reports Metadata Data Warehouse Storage Staging ETL Source Ops Supply Mx

14 Data And Data Science

15 Evolution of Data 1, 7, 20, 30, 65, 75, 85, 279 QUANTIFIED becomes given MEANING becomes given INSIGHT becomes The Environment Data Information Knowledge Wisdom Data Collection Data Processing Analysis and Production Communication/ Integration Unprocessed Correlated, Organized, Structured Contextual, Synthesized, Actionable Consequences, Understanding, Strategic Thinking

16 Strategic Capability Data Science and Capability

17 Systems and Processes

18 Anatomy of a Process Supplier Input Processes/Tasks Output Customer

19 System Components Has 4 Components: 1. Purpose or Function 2. Goal (y) 3. Processes to Achieve Goal (x s) 4. Metric to Measure attainment of Goal Y=f(x1,x2,x3 )

20 A Basic System Input Process Output

21 Inputs to System and Processes Man Materials Methods Effect/Result Machine Measures Mother Nature

22 Things We Control x4,x5,x6 Input Process Output x1,x2,x3 Methods Materials Machines Man Measurement Mother Nature Results y/goal Y=f(x1,x2,x3 )

23 System Feedback Input Process Output Methods Materials Machines Man Measurement Mother Nature Results System Feedback

24 An Adaptive System Decide System Management Wisdom Integrate Knowledge Act Input Process Output Methods Materials Machines Man Measurement Mother Nature Results System Feedback Analyze Information Process Data Collect Orient Observe

25 Organizational Systems Strategic Leadership Execution Excellence Leadership fx fx Results fx Strategic Planning Customer Focus Workforce Focus Operations Focus Leadership Triad fx fx Organizational Learning Results Triad fx Measurement, Analysis and Knowledge Management

26 Organizational Values and Competencies

27 Core Values by Competency Area Strategic Leadership Execution Excellence Organizational Learning Systems Perspective Agility Managing for Innovation Focus on the Future Visionary Leadership Customer Driven Excellence Focus on Results and Creating Value Organizational & Personal Learning Societal Responsibility Valuing Employees and Partners Management by Fact Adapted from Latham, John, Vinyard, John. Organization, Design, Diagnosis, and Transformation Fifth Edition. 2011

28 Organizational Core Values Good Performance 1. Directive Leadership 2. Product/Service Driven 3. Meet Standards or status quo 4. Suppliers and Unions as Adversaries 5. Respond in Time Allotted 6. Focus on Next Quarters Results 7. Employees Follow Procedures 8. Management by Intuition 9. Compliance with Regulation 10. Focus on bottom-line Exclusively 11. Functional Perspective Great Performance 1. Visionary Leadership 2. Customer-Driven Excellence 3. Organizational and Personal Learning 4. Valuing Workforce Members & Partners 5. Agility 6. Focus on Future 7. Managing for Innovation 8. Management by Fact 9. Societal Responsibility 10. Focus on Results and Creating Value 11. Systems Perspective Adapted from Latham, John, Vinyard, John. Organization, Design, Diagnosis, and Transformation Fifth Edition. 2011

29 Adapted from Laursen, G. H., & Thorlund, J. (2016). Business Analytics for Managers. Wiley

30 Data Analytics Maturity

31 Process Maturity Elements Approach Deployment Learning Integration Alignment

32 Process Maturity Levels Six Stages of Development Level 1 No Systematic Process Level 2 Reacting to Problems Level 3 Early Systematic Approach Level 4 Aligned Approach Level 5 Integrated Approach Level 6 - Benchmark

33 Strategic Capability Data Analytics Maturity Model

34 Organizational Culture AFIT DCoL 21X327, Topics in Production Excellence: Organizational Culture v1.2, 06 Jun 2016 What are we talking about? A pattern of shared basic underlying assumptions learned by a group as it solved its problems of external adaptation (to the environment) and internal integration (within the organization), which has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems. ~ Edgar Schein Why is it important to production excellence? Culture Organizational Strategy What does it look like? Cultural Framework Stories What core beliefs do stories reflect? How pervasive are these beliefs? Do stories relate to strengths or weaknesses? Success or failures? Conformity or mavericks? Who are the heroes and villains? What norms do mavericks deviate from? Symbols What language and jargon is used? How internal or accessible is it? Artifact Survey What aspects of strategy are highlighted? What behavior do routines encourage? What status symbols are there? What are the key rituals? Are there particular symbols? What core beliefs do they reflect? Control systems What do training programmes emphasise? What is most closely monitored/controlled? How easy are rituals/routines to change? Is emphasis on reward or punishment? Organizational structure Are controls related to current strategies? How mechanistic/organic are they? Are there many/few controls? How flat/hierarchical are the structures? Rituals and routines How formal/informal are the structures? Which routines are emphasised? Do structures encourage collaboration? Which would look odd if changed? What power structures do they support? Power structures What are the core beliefs of leadership? How strongly held are these beliefs? How is power distributed? Where are the main blocks to change? Overall What is the dominant culture? How easy is this to change? Are there any linking threads through the separate elements of the web?

35 Achieving Alignment AFIT DCoL 21X329, Topics in Production Excellence: Achieving Alignment v1.2, 06 Jun 2016 What are we talking about? Change Management involves (a) planning and budgeting, (b) organizing and staffing, and (c) controlling and problem solving. Change Leadership involves (a) establishing direction, (b) aligning people, and (c) motivating and inspiring. They are two distinct yet complementary systems. ~ Dr. John Kotter Why is it important to production excellence? Change Management and Change Leadership Organizational Alignment What does it look like? Strategic Drift Kotter s Change Process Model Strategic drift is the tendency for strategies to develop incrementally on the basis of historical and cultural influences, but fail to keep pace with a changing environment. Strategic drift may take years and may even go unnoticed before fundamental change is required. Strategies tend to develop incrementally because: - Environmental change may be incremental - Evidence contrary to paradigm is rejected - Successful strategies of the past continue to be embraced

36 Questions?