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Big Data: A Big Trap for Product Development
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Big Data: A Big Trap for Product Development
1.
Big Data: A
Big Trap for Smith & Nephew NPWT Product Development? New Product Development Chicago Deliverable Phase I Product Management Association seeding new ideas August 9, 2012 St. Petersburg, FL November 6, 2000 seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 1
2.
Agenda • What is
Big Data • The State of Big Data • How to Create Value in Product Development with Big Data seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 2
3.
What is Big
Data? seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 3
4.
What is Big
Data? “Data that exceed the processing capacity of conventional database systems. The data is too big, moves too fast, or doesn’t fit the strictures of your database architectures.” Ed Dumbill, Program Chair, O’Reilly Strata Conference seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 4
5.
What is Big
Data? Traditional Data Business Astronomy Credit Bureaus CRM Celestial Risk Modeling Bioinformatics Government Sales Positioning Direct Mail Human Genome Census returns ERP IRS Filings GL Mapping Data Route NYSE Machine-Generated/Sensor Optimization Big Data: GPS iPass Weblogs CDR OnStar Smart meters Health Volume Equipment Body Performance Monitoring Velocity Variety Social Media & Other New Formats Value Social Media Fingerprints Audio Pictures Satellite Publications Commentary Facial Images recognition Blogs Human Emotions Relationships Video Influence seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 5
6.
Big Data is
Different Traditional Data Big Data • Observational • Observational • Experimental • By-product of administrative, • Well-defined operational and other • Structured activities • Manageable volume • New, ill-defined forms • Manageable speed • Unstructured • Huge volumes • High speed seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 6
7.
Drivers of Big
Data Capability Declining Storage/CPU/bandwidth costs New and broader sources of data available and being combined to create more value Ability to move from a batch/time-delayed analysis environment to real-time analysis Data is becoming more understandable Increasing availability of big data apps Cloud services make big data storage/access/ processing available to all; empowers new start-ups seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 7
8.
The State of
Big Data seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 8
9.
The Growth of
“Big Data” • In 2009, nearly all sectors in the US Economy had at least an average of 200 TB of stored data per company with more than 1,000 employees (McKinsey) • Data is growing at 50%/year (New York Times) • IBM estimates 90% of all data in the world was created in the last two years Quantity of Global Digital Data, Exabytes 7,910 2,720 1,227 130 2005 2010 2012 2015 seeding new ideas EMC/IDC Digital Universe Study, 2011 ©2012 Strategy2Market®, Inc. All rights reserved. 9
10.
The Growth of
“Big Data” We create 2.5 million terabytes of data per day globally (IBM) • 12 TB of Tweets per day (IBM) • 400-600 million records/day are received and analyzed by the FTC to detect/deter fraud (White House Council of Economic Advisors) • 597,000 TB of mobile data generated/day globally in 2011 (the whole internet is only 75,000 TB) (Cisco) • In 2011, for the first time more than half mobile data traffic (52%) was video (Cisco) seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 10
11.
Data from smart
phones is one of the primary drivers of data growth Forecast of Monthly 78% CAGR 2011-2016 Global Mobile Data Traffic 12 10 Exabytes per Month 8 6 4 2 0 2011 2012 2013 2014 2015 2016 Source: Cisco VNI Mobile, 2012 seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 11
12.
“At the World
Economic Forum last month in Davos, Switzerland, Big Data was a marquee topic. A report by the forum, “Big Data, Big Impact,” declared data a new class of economic asset, like currency or gold.” New York Times “The Age of Big Data” Feb 11, 2012 seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 12
13.
How to Create
Value with Big Data seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 13
14.
The Big Data
Industry “Building data startups: Fast, big, and focused,” O’Reilly Radar, August 9, 2011 seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 14
15.
Framework for Creating
Value From Big Data Business Models Leveraging Big Data to Leveraging Big Data in Collecting, organizing, create improved solutions creative ways to create enhancing and selling to existing customer solutions to unrecognized access to Big Data needs customer needs Examples: Examples: Examples: - Gnip - BabySimplify - Klout - Recorded Future - BillGuard - StartUp Genome - Converseon - Ginger.io - Affective - Quinzee - Flipboard seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 15
16.
New Product Development
Critical Success Factors A unique superior product A strong market orientation Projects aimed at an attractive market Leverage core competencies Competitive advantage in data processes and algorithms rather than the data center, database and data processing tools Ability to combine data sources to create new value seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 16
17.
Common Strategy/Product Pitfalls
Technology looking for a market need A product that does not solve an important need the market is willing to pay for Doing something different but not better seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 17
18.
Portfolio Evaluation
Recorded Baby StartUp Gnip Future Simplify BillGuard Klout Genome CSF unique, superior pdt market orientation attractive market leverage competencies Pitfalls Technology first need not worth solving different not better Total 0 0 0 0 0 0 seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 18
19.
Contact Information
Kathy Morrissey Strategy 2 Market, Inc. 312-212-3140 kmorrissey@strategy2market.com @strategy2market www.Strategy2Market.com Download this presentation at: http://www.strategy2market.com/s2m_BigData.html seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 19
20.
About Strategy 2
Market s2m is an 10 year old consulting and training firm that specializes in new product development (NPD). Our three primary goals are: 1. To drive new product revenue through a comprehensive and strategically aligned program 2. To reduce the complexity of the new product development process and improve time to market 3. To assist organizations in choosing the right projects and optimizing resources We have significant experience in helping companies improve their new product development systems seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 20
21.
New Product Development
for Product Managers Workshop This one-day seminar addresses the Product Managers’ role in the early stages of the new product development process. The emphasis of this session will be on • Developing product strategies (including platform, market and technology strategies) • Translating those strategies into roadmaps • Building those strategies into a comprehensive NPD portfolio management system that prioritizes NPD projects and manages resources. • We also review other early-staged responsibilities from the Discovery to Business Case Phase. Date: October 19, 2012 Location: The Illinois Technology Association TechNexus Conference Center 200 S. Wacker Dr., 15th Floor, Chicago, IL 60606 Questions: Mary Drotar, mdrotar@strategy2market.com or 312.212.3144 Cost: $995.00 Registration: http://www.strategy2market.com/npd_for_PMs.html seeding new ideas ©2012 Strategy2Market®, Inc. All rights reserved. 21
22.
New Product Development
for Product Managers Agenda 8:15 – 8:30 Registration and Breakfast 8:30 – 8:45 Introductions 8:45 – 12:00 Defining a Product Manager in a NPD System Roles and Responsibilities New Product Development Process Overview Strategy (includes 15 min. break) Business Model Business Strategy Innovation Strategy Product Strategy Platform Strategy 12:00 – 12:30 Lunch 12:30 – 1:00 Strategy Continued (includes 15 min. break) Market Strategy Technology Strategy 1:00 – 1:45 Technology/Platform Roadmaps 1:45 – 2:30 Transition Strategy into Portfolio Management 2:30 – 4:30 NPD Process Pre-screen Discovery Scoping seeding new ideas Business Case ©2012 Strategy2Market®, Inc. All rights reserved. 22
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