Image Title

Search Results for Trish:

Trish Cagliostro, Wiz | AWS Marketplace Seller Conference 2022


 

>>Okay, welcome back everyone. It's the cubes coverage here in Seattle, Washington for Amazon web services, marketplace seller event. Really the big news here is the combination of the partner network with marketplace to one organization called the Amazon web services partner organization. Again, great news. Things are coming together, getting simplified and I'm John furry host of the cube. You've got a great guest here. Trish TRO head of worldwide Alliance at Wiz the fastest growing software company in history. Congratulations. Welcome to the cube. >>Thank you so much. And thanks for having us. >>So we were talking on camera. You had a little insight to a AWS. You jumped on this company. Oh my God. Amazing team. Take us through the story real quick. It's worth noting Wiz the company fastest growth. We're seeing take us through the quick soundbite. >>Sure. So the quick soundbite. So I was at AWS and my husband shared an article with me on cnbc.com about Wiz. They just done a big funding raise and he's like, you really have to read this. And I read it. And I said, oh my God, every single customer that I've met with the last year and a half has this problem. I have to find a way to be there. I don't care if I have to sweep the floors, lucky enough, they needed someone to run channels and alliances. So I did not have to sweep the floors, but for me, you know, when I think about our success, it's really this convergence of a series of things it's it's right time. Right? COVID forced everybody to the cloud, probably a little faster than they were ready to, you know, right market. And we have this convergence of the incredible product market fit, helping customers accelerate their cloud journey securely. And then I can't say enough about the team. You know, I thought it was fascinating, you know, as great as our product is when I got on board, everyone kept telling me, you know, they bought our product because of the team. And I was like, okay, cool. What about the product? And then I met the team and I understood. So jumped >>On one off one rocket ship. Yeah. To go onto another one. Yeah. You like the rocket, you like to ride those big, fast growth companies. You >>Know, I, I wish I was the kind of person where, you know, I just, I need excitement. Right? I'm I love to build. And I've had really good luck that I've always been able to find myself in a place, whether it's at a massive company or a startup to find myself as a builder, which has always been awesome. >>Well, tr it's great to have you on the cube. And a little fun fact is your sister was interviewed here on the cube in 2019 by myself. And so we have the first sisters, both cube alumni. Congratulations. >>I think that's, you know, honestly of all the accomplishments in my career, that's definitely one. I gotta make sure I get a plaque for that. You >>Will get a VIP sticker too. Yes, we, we all >>Sticker. Let's not get crazy now. >>All right. We'll designate in the front page. We'll have a very big story. L fund all good. We'd love the queue. We'd love to get the insight. So I wanna get your thoughts. Okay. You you've seen the Amazon side. You've been on that side. Now you're another side of the table with a partner growing. We're here to seller our conference. Big mission here is let's make things simpler and easier to procure software since you're already fast growing, what's in it for the customer to work through AWS, to get Wiz. Obviously you guys got a lot of demand. Yeah. A lot of money flowing through. You guys have a direct sales force. Are you going through the marketplace? What's the relationship between Wiz and Aish marketplace. >>So huge, honestly, and it's been a huge contributor to our success. We were lucky because we're, we were born during COVID, we're born in the cloud company. We got to build it from the ground up. This wasn't something that we had to go and figure out how to integrate into our existing ecosystem. Our ecosystem is actually built around the marketplace motion. You know, it's, it's interesting as you know, coming from AWS and now being on the other side, you know, something we really put a focus on is, you know, I see a lot of the companies that I was working with, you know, cloud was very much this thing. That's kind of in a silo and it's its own box and it competes internally. And really when you, you get deeper and deeper into the marketplace, it becomes about how do I use the cloud to really accelerate what I'm doing and to integrate it across my different channels. And for us, you know, AWS is our deepest relationship on the partner side. We invested heavily early and often, and it's been amazing. You >>Know, tr I was talking one of the data brick guys as well, and other companies that are big successes. This is a unique time here at the marketplace. We're on the ground floor. You can see here, we're at the, there's no stage. It's the smaller Q small venue, very intimate event. But it reminds me of 2013 when reinvent was starting to get traction second year, small, intimate, little bit bigger, obviously, but this is gonna feel like it's gonna explode. And you mentioned that you guys are building emotions around the ecosystem of the marketplace because you were born, born in the cloud. And COVID, so it's almost like if you're a startup today, why wouldn't you be in the marketplace first? Why even have that motion? So reminds me of the old days of you're a startup. Why not use the cloud? Why build a data center? >>No, and I think that's a really great analogy, you know, at least from what I've seen, it's, it's super interesting as a startup, because part of when you come out with a new technology in a perfect world, customers would already know what you were gonna make and have funding allocated for it. And we would all have this much easier sales cycle. That's not how it works. The customers, you know, as much as they might wanna get your solution, they have real things like budgets to deal with. And so it's really cool because when you work with the marketplace, it's a pool of funding that the customer has allocated on the customer side. It burns down their commit with the, with their different contracts. So that's usually powerful for them, right? Being able to consolidate your it, spend, reduce your overall total cost of ownership is, is usually powerful to the customer. And it on our side is a startup. So not only are they the financial benefits, it also helps you elevate the conversation. You know, a lot of times in the security industry, it's really all about like speeds and beads. That's how we sell cyber crime is 300% on the rise and stuff like that. Right. But being able to kind of get above that and help the customer, you know, have that financial conversation is, is really helpful too. >>So if I'm a startup, I'm a company, what would be the playbook for me and say, you know what, I'm gonna go all in, in the marketplace, I'm just gonna build the best kick ass product. Okay. I got product market fit. I'm gonna focus all my creative energy on building the best tech with the best, best team. All my friends and colleagues, and none of this non says go to market direct Salesforce, go all in on AWS. I know the product market fits there. What's the playbook. What do I do? Do just list it. >>So list, I think this is one of the mistakes that a lot of companies make when, when they first start out with the marketplace, right? They're like I will get to the marketplace and then AWS will sell my solution. I'm done the marketplace really? >>Where's the money back up the truck, come on. >>Exactly. Right? Like they have all these customers, they should just all come to me. Right. And I think that's one of the mistakes that organizations stumble on initially, cuz they go to the marketplace and then AWS is not selling their solution for them immediately. And they're like, the marketplace is a failure and it's really not. It's just the beginning of that. Being able to go into the marketplace, being able, honestly, to set expectations internally and understanding the journey that really comes into play here. You know, building, you know, one of the things that I talk to a lot about my team with is like building success within the sales reps and helping them be big advocates and champions for the marketplace. And the other thing is like, don't assume people know, I can't tell you. I feel like my, my real job at Wiz is I'm like the marketplace evangelist and cheap cuz that's all I do is talk about why they should use the marketplace and how it can solve all these different problems. Don't assume that people know how to do these things. Like you have to keep reiterating the message. You have to find sellers that are ready for it. And then you have to really, you have to teach them how to do it and then align your sales process accordingly. Like confidentiality come up a whole bunch at this conference today. It's important. You need it. >>It's huge. How big is your sales force right now? >>On >>The direct side. >>On the direct side, I think we're like a hundred or something like >>That. So you have, you have people out there on the streets knocking on doors selling. How's that comp decision go internally as you guys have that, what's the, what's the uptake in the marketplace for you guys right now? Is it high? Is it it's >>Been really high honestly. Yeah. It's and we've been really great. We have some incredible champions internally who are really great about sharing their experience, helping other sellers understand like we've, we've honestly had amazing co-sell stories at AWS where they've been so supportive and helpful. And it's amazing. Like we've had so many sellers that have done their first marketplace transaction ever. And now it's like for some of our sellers, they're at the point where they're like, I don't wanna, I don't wanna not do a marketplace transaction. It's just, it's so much easier. Take us >>For the procurement benefits. Take, walk me through what happens on the procurement side. What's the benefits for using the marketplace as you, as the procurement process goes through? >>Oh, from a, from a procurement side, right? It's like, it's simple, right? Like you, you essentially click a button and it's done like from the seller's side, like imagine not having to like chase down 15 different signatures and make sure nobody's on vacation. Right? So it just takes this really convoluted ti process that they would normally deal with. It makes it a lot simpler on the customer side. Right. Being able to have one consolidated is super powerful, burning down against commit, super powerful. And I think that's something that's really helped. Our sellers too, is being able, like we, we spend a tremendous amount of resources on educating our sellers. Not only about how it's gonna help them, but also how it's gonna help the customer too, >>Too. So good internally for you guys frictionless easier, better, better. Sounds like a better path >>On that. Oh, I won't say frictionless. I mean we're, we're about a year into this, but it wasn't so much frictionless, but it's not a hassle itself. Right. It's not a hassle. And it's all about >>On scale one to 10, 10 being frictionless. Would you get a, an eight or >>I'd say like an eight. Yeah. Okay. Okay. Cool. But it's important for organizations to understand that, right? Like that just because there's a little bit of friction at first. Like the most important thing I told my team is they were like, look like, well, why doesn't everybody wanna do this? This is so easy. And a, a good seller will take the hard time every way when they know what the defined outcome is. Yeah. The marketplace to them feels like a shortcut at first. Yeah. So a very much helps them become like, Hey look, this isn't a shortcut. This is gonna help you. Like, this is a good thing. And once you get that adoption like that, that's where the primary friction is. They almost go, is this, is this too good to be true? This can't be real. >>It, it, it almost sounds too good to be true when you think about, okay, so lemme take, I'm gonna put them a sales rep for a second. Like I'm selling WIS and I go and knock on a door and there's a company and I get an, a champion inside the company and says, oh, I love this product. I wanna buy it. I gotta get my PO approved and I gotta go get, I tell my boss about it. Does it go through that kind of normal kind of normal sales motion where you got buy in and now they gotta commit and close and get contract or they just go to the person who runs the account, click the button, like, like, is there, I mean, I'd like to see that shortcut happen. Like so on the customer side, what, what do you see as the process? Is it just go to the console and hit by and >>You know, depends on the customer honestly, and kind of where they are in their cloud journey. You know, really mature customers tend to have a little bit more of a mature process, you know, earlier customers, it tends to be a little less, let's say structured, but no, it's definitely not. The customer just clicks the button and it's done. That would be quite nice. We're just not there yet, but it's definitely a much simpler process cuz you know, you think about it on the customer side when they decide they wanna buy something, especially something new, they don't have allocated funding for us. They have to go build all this justification for funding. They still have to do that. Right. But then now there's a pot of money that they can go to and be able to retire against. There, there, it does help in that sense. A >>Lot. Chris, Chris grew has talked about on his keynote, the buyer journey survey. That seems to be on the, on the customer side. Yeah. Having those processes where they can forecast against it, they kind of know what they're getting. That's that's that's sounds like a great thing that's happening. I wanna get back to this comp issue again. Cause this came up. I heard that a lot. We talked with Chris about the competing thing. That's not an issue in my mind, but I think the factor to me, if I'm looking at this is that if you get the comp right, they can sell it at Amazon. You get comped, your sales people get comped goes through the marketplace. How do you look at that? How do company her look? How do they look at the comp what's what's the deciding factor or is it a non-issue what's the, what's the core. >>So I'm opportunity. I'm gonna be honest. I think I got a little lucky because I think the getting alignment at the executive level that this was something we should do to be totally honest here. Wasn't wasn't super hard. When we presented a clear plan, how we were gonna do it, what other companies were doing, what it did for their business to our executives. We do, we get some pushback. Sure. Healthy questions. Sure. But like it, it really >>Was it margin related or more like operational costs. >>It wasn't even margin related. It was again, more of like, is this, this feels too good to be true kind of thing. So it was more like proving it to them. Like no, like it really can be that easy. Yeah. And then on the, the comp side, right. For us, we look at it as like cost of sales. So yeah. You know, we, we treat it the same way. We treat all other channels and we wanted to make sure for our reps that, you know, when we think about the channel, whether, you know, from, especially with marketplace, like it can't be harder for them to do a marketplace transaction or less incentive for them to do that than a direct one that doesn't incentivize the right behaviors. >>So it's more of an indirect channel play. >>Yeah. So it's all for us. It was about aligning the right incentives to drive the right behaviors. It wasn't, it actually was a pretty short discussion on the confidentiality. Everyone was like, no, this, this makes sense. We should do that. >>Yeah. I mean, I think it's, I think it's an easy, easy, but you have to be organized for it. Like, like Chris said, don't put the toe in the water. Right. Put your flagship offering in there, make it valuable. And then the flag wheel gets going, the Amazon sales people can sell it. Right. They get calm. That's always a good thing. >>Yeah. And I think that's something that was really interesting. Like when we started on the marketplace journey, like I said, it's not just, you get in a marketplace and you're done, you know, Chris talked a lot about ISV accelerate and you know, how you elevate yourself within that program, doing things with ACE, like putting in different opportunities to, to start to essentially build that groundswell to drive co-sell it's, it's gets that first step into it. But there's so much more that, that we're still discovering and learning today is we're building it >>Out. And you said you had some good co-sell examples. >>Oh yeah. So we've had some great Cosell. >>What's your best one. Best one to >>Share. Oh, so my favorite one, I won't say the customer name, but we were in the final stages and a customer was really like, oh, like this is a lot of money. I'm really nervous. And the, they, I think what's crazy is that at AWS you have a different relationship with customers. Like you are truly a trusted advisor and rightfully so. Yeah. AWS really does a great job with making sure their account teams do what's best for the customer. And so an AWS seller or technical resource on an account says, Hey, no, this is the right thing for your business. That is huge for the customer. So we at Wiz actually spend a lot of time investing in enabling and educating the AWS account teams. So they feel comfortable when they get into that situation where the customers nervous of being saying like, no, this is you need to do this. This is >>Gonna be, you carry a lot of weight with the customers. >>Absolutely. >>And so you almost have to treat them like a lunch and learn, get 'em up, find, share. So it's kind of like an indirect relationship for you, but for them it's a part, you know, this is basically a channel. >>Yeah. And I think that's the thing that, that really is something we we've really heavily invested in is, is building. I like call the ground game within AWS. Right? Yeah. Making sure we spend time with enabling their reps. We enable their technical teams lunch and learns, right? Like there's so much energy at AWS to really invest in technical solutions that help their customers. Awesome. Which you don't always find that a lot of partners honestly. >>Well, Trish, great. Great to have you on sharing the AWS relationship story with WIS, gotta ask you, what's it like to be working for the fastest growing startup? What's it like? It's, it's, it's pretty fun. >>You know, it's, let's say I don't ever wake up on a day and say, man, I just wish I had more things to do. No, it's, it's been an incredible journey. The people, you know, my favorite part of a startup is, you know, getting to do this with a bunch of really incredible, awesome people. It's, it's the most fun thing in the world. We've, I've learned more in the last, you know, we like to joke that we're a five year old company and a one year old company at the exact same time. Yeah. And what's cool is we get to learn and, and I I've learned so much this year. >>When was the company officially >>Formed? It was officially formed before. Like, so it was officially formed in February, 2020. We started officially operating in the January following 21. So 21. Yep. >>Yeah. So one and a half years, >>One and a half years. Isn't that crazy? Great. >>And a hundred million ARR already. Yeah. Hitting that. >>Yep. It's been a, a wild journey. I I'll put it that way >>Is the, what's the success of the businesses? It, the onboarding the, is it the business model of freemium? What's the product market fit dynamic. Why is so fast? I mean, that's the needs there? Pandemic fresh, clean piece, piece of paper doing it, right. What's the, why is it? Why is that going so fast? >>Well, I think about this, I've been in the security industry for too many years. And when you think about normal security products, like there's so much time to value, you have to deploy all this infrastructure and then you gotta wait till something happens that you find that's scary, that will excite the customer. Right? It's, it's, it's a lot of time to show value. What blew my mind is the way that we approach our, the problem that we're solving is essentially immediate time to value. So the customer connects within minutes, they're immediately presented with here's your, your top risks. And then they can take action on them. Right? Like it's not just, here's these big threats and detecting, it's actually giving, empowering the customer to go and, and fix things. That's that's powerful for them. Yeah. Yeah. >>So, and the renewals are there coming in, people like the product, >>I mean, we've only been around for a year and a half, so there aren't that many renewals yet, but let's say we have extremely strong renewal rate from our customer base. >>Yeah. I mean you can have when you have a great product. Yeah. Well, thanks for coming on sharing. What's your assessment so far of the database marketplace kind of reorg with APN partner network to have one organization. What does that mean to the, to the market? What does that what's that tell you? >>So I was really excited. So we're actually built this way. So I run both our channels and alliances organization and it was, it was great because it allows these two things to work together and, and very well. And AWS, I think, is realizing the power of bringing those two groups together. So when I saw that, I was like, that's gonna be great. It's gonna make it simpler, easier. And at least for us, it's been really powerful. >>Awesome. Thanks for coming on the cube. Really appreciate it. We'll get you that plaque shortly. >>I thought I was getting a sticker too. >>Don't forget the sticker. Oh, the sticker definitely guaranteed. And we'll give you a VIP icon on our cube alumni network. All >>Right. I like that. >>Thanks for coming out. Alls great stuff. Thanks. Awesome. Thanks for having all best growing company history here on the cube, bringing all the action again, the new flywheel is gonna be procured through the marketplaces. This is obvious how it all kind of works and forms. It's kind of happening in real time. Cube's got you covered on the ground floor here in Seattle with more coverage after the short break.

Published Date : Sep 21 2022

SUMMARY :

Really the big news here is the combination of the partner network with Thank you so much. You had a little insight to a AWS. You know, I thought it was fascinating, you know, as great as our product is when I got on board, You like the rocket, And I've had really good luck that I've always been able to find myself in a place, Well, tr it's great to have you on the cube. I think that's, you know, honestly of all the accomplishments in my career, that's definitely one. Will get a VIP sticker too. Let's not get crazy now. What's the relationship between Wiz and on the other side, you know, something we really put a focus on is, you know, I see a lot of the companies that I was working with, emotions around the ecosystem of the marketplace because you were born, born in the cloud. So not only are they the financial benefits, it also helps you elevate the conversation. So if I'm a startup, I'm a company, what would be the playbook for me and say, you know what, I'm gonna go all So list, I think this is one of the mistakes that a lot of companies make when, when they first start out with the marketplace, And then you have to really, you have to teach them how to do it and then align your sales process accordingly. How big is your sales force right now? decision go internally as you guys have that, what's the, what's the uptake in the marketplace for And now it's like for some of our sellers, they're at the point where they're like, I don't wanna, I don't wanna not do a marketplace transaction. What's the benefits for using but also how it's gonna help the customer too, Sounds like a better path And it's all about Would you get a, an eight or And once you get that adoption like that, that's where the primary friction is. Like so on the customer side, what, what do you see as the process? know, really mature customers tend to have a little bit more of a mature process, you know, earlier customers, That's not an issue in my mind, but I think the factor to me, if I'm looking at this is that if at the executive level that this was something we should do to be totally honest here. you know, when we think about the channel, whether, you know, from, especially with marketplace, like it can't be harder for them to It was about aligning the right incentives to drive the right behaviors. don't put the toe in the water. it's not just, you get in a marketplace and you're done, you know, Chris talked a lot about ISV accelerate and you So we've had some great Cosell. Best one to they, I think what's crazy is that at AWS you have a different relationship with customers. And so you almost have to treat them like a lunch and learn, get 'em up, find, share. I like call the ground game within AWS. Great to have you on sharing the AWS relationship story with WIS, We've, I've learned more in the last, you know, we like to joke that we're a five year old company and We started officially operating in the January following 21. Isn't that crazy? And a hundred million ARR already. I I'll put it that way What's the product market fit dynamic. think about normal security products, like there's so much time to value, you have to deploy all this infrastructure I mean, we've only been around for a year and a half, so there aren't that many renewals yet, but let's say we have extremely What does that mean to the, And AWS, I think, is realizing the power of bringing those two groups together. Thanks for coming on the cube. And we'll give you a VIP icon on our cube alumni I like that. Cube's got you covered on the ground floor here in Seattle with more coverage after the short break.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
ChrisPERSON

0.99+

2019DATE

0.99+

AWSORGANIZATION

0.99+

AmazonORGANIZATION

0.99+

February, 2020DATE

0.99+

SeattleLOCATION

0.99+

JanuaryDATE

0.99+

TrishPERSON

0.99+

WizORGANIZATION

0.99+

300%QUANTITY

0.99+

2013DATE

0.99+

JohnPERSON

0.99+

AishORGANIZATION

0.99+

two groupsQUANTITY

0.99+

a year and a halfQUANTITY

0.99+

Trish TROPERSON

0.99+

One and a half yearsQUANTITY

0.99+

15 different signaturesQUANTITY

0.99+

todayDATE

0.99+

one and a half yearsQUANTITY

0.99+

bothQUANTITY

0.99+

oneQUANTITY

0.98+

second yearQUANTITY

0.98+

two thingsQUANTITY

0.98+

Seattle, WashingtonLOCATION

0.98+

10QUANTITY

0.98+

eightQUANTITY

0.98+

first sistersQUANTITY

0.97+

firstQUANTITY

0.97+

Trish Cagliostro, WizPERSON

0.96+

first stepQUANTITY

0.96+

both cubeQUANTITY

0.95+

one organizationQUANTITY

0.95+

21DATE

0.95+

this yearDATE

0.94+

last year and a halfDATE

0.92+

about a yearQUANTITY

0.92+

one year oldQUANTITY

0.92+

ACEORGANIZATION

0.89+

first marketplace transactionQUANTITY

0.85+

2022DATE

0.82+

five year oldQUANTITY

0.82+

WISORGANIZATION

0.81+

APNORGANIZATION

0.81+

oreQUANTITY

0.77+

Chris grewPERSON

0.77+

cnbc.comORGANIZATION

0.72+

every single customerQUANTITY

0.72+

one rocket shipQUANTITY

0.71+

a secondQUANTITY

0.71+

a hundred millionQUANTITY

0.69+

ISVTITLE

0.67+

a dayQUANTITY

0.63+

Marketplace Seller ConferenceEVENT

0.6+

Trish Damkroger, Intel | AWS re:Invent 2020


 

>>from around the globe. It's the Cube with digital coverage of AWS reinvent 2020 sponsored by Intel, AWS and our community partners. Everyone welcome back to the cubes. Coverage of AWS Reinvent Amazon Web services Annual conference theme. Cuba's normally there in person. This year we can't be. It's a virtual event. This is the Cube virtual. I'm your host for the Cube. John Ferrier Tresh Damn Kroger, VP of G M and G m of the high performance computing team at Intel is here in the Cube until a big part of the cube every year. Trish, thank you for coming on Were remote. We can't be in person. Um, good to see you. >>Good to see you. >>I'm really impressed with Reinvent Has grown from kind of small show eight years ago to now kind of a bellwether. And and every year it's the same story. More scale, more performance, lower prices. This is kind of the intel cadence that we've seen of Intel over the years. But high performance computing, which >>has been >>around for a while, has gotten much more mainstream thinking because it's applying now to scale. So I want to get your thoughts and and just set the table real quick. What is high performance computing mean these days from Intel? And has that relate to what people are experiencing >>e high performance computing? Um, yes, it's been traditionally known as something that's, you know, in the in the labs and the government, you know, not used widely. But high performance computing is truly just changing the world is what you can dio Cove. It is a great example of where they've taken high performance computing to speed up the discovery of drugs and vaccines for or cova 19. They use it every day. You know, whether it's making Pampers or Clorox boxes. So they are those bottles so that they, when you drop them, they don't break, um, to designing airplanes and designing, um, Caterpillar tractors. So it is pervasive throughout. And, um, sometimes people don't realize that high performance computing infrastructure is kind of that basics that you use whenever you need to do something with dense compute. >>So what some examples of workloads can you just share? I mean, obviously Xeon processor. We've covered that many times, but I mean from a workload standpoint, what kind of workloads are high performance computing kind of related or unable or ideal for that's out there, >>right? Z on scalable processors are the foundation for high performance computing. If you look at what most people run high performance computing on its see on, and I think that it's so broad. So if you look at seismic processing or molecular dynamics for the drug discovery type work or if you think about, um, open foam for fluid dynamics or, um, you know, different financial trade service, you know, frequency, fats, frequency trading or low. I can't even think of that word. But anyway, trading is very common using high performance computing. I mean, it's just used pervasively throughout. >>Yeah, and you're seeing you're seeing the cloud of clarification of that. I want to get your thoughts. The next question is, you know it's not just Intel hardware. You mentioned Zeon, but HBC in AWS were here. It reinvent. Can you share how that plays out? What's your what's your What's your take on that? Because it's not just hard work and you just take them into explain relationship, >>right? So we definitely have seen the growth of high performance computing in the cloud over the last couple of years. We've talked about this for, you know, probably a decade, and we've definitely seen that shift. And with AWS, we have this wonderful partnership where Intel is not only bringing the hardware like you say, the Z on scalable processors, but we're also having accelerators and then on that whole software ecosystem where we work closely with our I s V and O S v partners. And when we bring, um, not only compilers but also analyzers in our full to tool suite so people can move between an on Prem situation Thio Public cloud like aws. Um, seamlessly. >>So talk about the developer impact. As I say, it's that learning show reinvent. There's a lot of developers here. I'll see mainstream you're seeing, you know, obviously the born in the cloud. But now you're seeing large scale enterprises and big businesses. You mentioned financial services from high frequency trading to oil and gas. Every vertical has a need for cloud and and what, you should be traditionally on premises compute. So you have. You're kind of connecting those dots here with AWS. Um, what is some of the developer angle here? Because they're in the cloud to they want to develop. How does how does the developer, um, engage with you guys on HPC in Amazon, >>Right? Well, there's there's a couple ways. I mean, so we do work with some of our partners eso that they could help move those workloads to the cloud. So an example is 69 which recently helped a customer successfully port a customized version of the in car models for prediction across scales. So they chose the C 59 18 x large instance type because this is what really deliver the highest performance and the lowest price for compute ratio. Another great example is P. K. I, which is a partner out of the UK, has worked with our customers to implement AI in retail and other segments running on Intel Instances of the EEC too. So I think these air just so you could have people help you migrate your workloads into the cloud. But then also, one of the great things I would like to talk about is, um a ws has come out with the parallel cluster, which is an Intel select solution, which really helps, um, ease that transition from on Prem to cloud. >>That's awesome. Um, let's get into that parallel cluster and you mentioned Intel Select Solution program. There's been some buzz on that. Can you take a minute to explain what that is? I >>mean, the HBC has, AH reputation of being hard, and the whole philosophy between behind the Intel Select solution is to make it easier for our customers to run HBC workloads in the cloud or on Prem and with E Intel Select Solution. It's also about scaling your job across a large number of notes, so we've made it a significant investment into the full stack. So this is from the silicon level all the way up to the application level so that we ensure that your application runs best on Intel and we bring together all the everything that you need into. Basically, it's a reference design. So it's a recipe where we jointly created it with our I, C, P and O S V partners and our open source environment for all the different relevant workloads. And so Amazon Web Services is the first cloud service provider to actually verify a service such as Intel Select Solution and this is this is amazing because this truly means that somebody can say it works today on Prem, and I know it will work exactly the same in AWS Cloud. >>That's huge. And I wanna just call that out because I think it's worth noting. You guys just don't throw this around like in the industry like doing these kind of partnerships. Intel's been pretty hard core on the quality, and so having a cloud service provider kind of go through the thing, it's really notable you mentioned parallel cluster um, deal. What is Can you just tie that together? Because if I get this right, the Intel, uh, select solution with the cloud service provider Amazon is a reference designed for how to go on premise or edge or revenue. It is to cloud in and out of cloud. How does this parallel cluster project fit into all this? Can you just unpack that a little bit? >>Right. So the parallel cluster basically, um, it's a parallel cluster until select solution. And there's three instances that we're featuring with the Intel Xeon Scalable processor, which gives you a variety of compute characteristics. So the select solution gives you the compute, the storage, the memory the networking that you need. You know, it says the specifications for what you need to run a non optimal way. And then a WS has allowed us to take some of the C five or some of the instances, and we are on. Three different instances were on the C five, in instance. But that's for your compute optimize work clothes. We're on the in five instance and that's really for a balanced between higher memory per core ratio. And then you have your are five and instance at a W s that's really targeted for that memory intensive workloads. And so all of these are accessible within the single A. W s parallel cholesterol environment on bits at scale. And it's really you're choosing of what you want to take and do. And then on top of that, the they're enabled with the next generation AWS Nitro system, which delivers 100 gigabits of networking for the HBC workloads. So that is huge for HPC. >>I was gonna get to the Nitro is my one of my top questions. Thanks >>for >>thanks for clarifying that. You know, I'm old enough to remember the old days when you have the intel inside the PC a shell of, ah box and create all that great productivity value. But with cloud, it's almost like we're seeing that again. You just hit on some key points you have. Yeah, this is HPC is like memory storage. You've got networking a compute. All these things kind of all kind of working together. If I get that right, you just kind of laid that out there. And it's not an intel Has to be intel. Everything. Your intel inside the cloud now and on premise, which is the There is no on premise anymore. It's cloud operations. If I get this right because you're essentially bridging the two worlds with the chips, you bring on premise which could be edge a big edge or small legend in cloud. Is that right? I mean, this is kind of where this is >>going. Yeah, so I mean, what I think about so a lot of them. The usages for HBC in the cloud is burst capacity. Most HBC centers are 100% not 100% because they have to do maintenance, but 95% utilized, so there is no more space. And so when you have a need to do a larger run or you need thio, you know, have something done quickly you burst to the cloud. That's just what you need to do now. I mean, or you want to try out different instances. So you want to see whether maybe that memory intensive workload would work better? Maybe in kind of that are five in instance, and that gives you that opportunity to see and also, you know, maybe what you want to purchase. So truly, we're entering this hybrid cloud bottle where you can't, um the demand for high performance computing is so large that you've got to be able to burst to the cloud. >>I think you guys got it right. I'm really impressed. And I like what I'm seeing. And I think you talked about earlier the top of the interview, government labs and whatnot. I think those are the early adopters because when they need more power and they usually don't have a lot of big budgets, a little max out and then go to the cloud Whether it's, you know, computing, you know what's going on in the ocean and climate change are all these things that they work on that need massive compute and power. That's a a pretext to enterprise. So if you can't connect the dots, you're kind of right in line with what we're seeing. So super impressive. Thanks for sharing that. Final thoughts on this is that performance. So Okay, the next question is, OK, all great. You're looking good off the tee or looking down the road. Clear path to success in the future. How does the performance compare in the cloud versus on premise? >>It could be well, and that's one of the great things about the Intel select solution because we have optimized that reference designed so that you can get the performance you're used to on Prem in the AWS Cloud. And so that is what's so cool honestly, about this opportunity So we can help you know, that small and medium business that doesn't maybe have this resource is or even those industries that do. And they know they're already a reference using that modeling SIM reference design, and they can now just burst to the cloud and it will work. But the performance they expect >>Trish, great to have you on great insight. Thanks for sharing all the great goodness from Intel and the A W s final thoughts on the on the partnership. We're not in person. And by the way, Intel usually has a huge presence. The booth is usually right behind the cube stage, which you guys sponsor. Thank you very much greater. Always partner with you. Great party. You sponsor the replay, which is always great, and it's always great party and great partnership. Good content. We're not there this year. What's the relationship like? And you take a minute to explain your final thoughts on a Amazon Web services and intel. >>Yeah, I know we have, Ah, Long term partnership 14 plus year partnership with AWS. And I mean, I think it's with the your, um taking Intel Select solution. It's going to be even a richer partnership we're gonna have in the future. So I'm thrilled that I have the opportunity to talk about it and really talk about how excited I am to be able Thio bring Mawr HBC into the world. It's all about the democratization of HBC because HBC changes the world >>well. Tricia, congratulations on the select program with AWS and the first cloud service provider really is a nice directional indicator of what's gonna happen. Futures laid out. Of course. Intel's in front. Thank you for coming. I appreciate it. >>Oh, thank you, John. >>Okay, that's the cubes. Virtual coverage Cube. Virtual. We're not in person. Aws reinvent 2020 is virtual. Three weeks were over the next three weeks, we're gonna bring you coverage. Of course. Cube Live in studio in Palo Alto will be covering a lot of the news. Stay with us from or coverage after this short break. Thank you.

Published Date : Dec 1 2020

SUMMARY :

It's the Cube with digital coverage This is kind of the intel cadence that we've seen of Intel over the years. And has that relate to what is kind of that basics that you use whenever you need to do something So what some examples of workloads can you just share? So if you look at seismic processing Because it's not just hard work and you just take them into explain We've talked about this for, you know, um, engage with you guys on HPC in Amazon, so you could have people help you migrate your workloads into the cloud. Um, let's get into that parallel cluster and you mentioned Intel Select Solution program. is the first cloud service provider to actually verify a service such as Intel Select the thing, it's really notable you mentioned parallel cluster um, deal. So the select solution gives you the compute, the storage, I was gonna get to the Nitro is my one of my top questions. You know, I'm old enough to remember the old days when you have the intel inside And so when you have a need to do a larger run or And I think you talked about earlier the top of the interview, have optimized that reference designed so that you can get the performance you're used to on Prem And you take a minute to explain your final thoughts on And I mean, I think it's with the Tricia, congratulations on the select program with AWS and the first cloud service provider Three weeks were over the next three weeks, we're gonna bring you coverage.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Trish DamkrogerPERSON

0.99+

AWSORGANIZATION

0.99+

TriciaPERSON

0.99+

95%QUANTITY

0.99+

100%QUANTITY

0.99+

AmazonORGANIZATION

0.99+

JohnPERSON

0.99+

Palo AltoLOCATION

0.99+

Amazon Web ServicesORGANIZATION

0.99+

WSORGANIZATION

0.99+

UKLOCATION

0.99+

John FerrierPERSON

0.99+

TrishPERSON

0.99+

14 plus yearQUANTITY

0.99+

fiveQUANTITY

0.99+

Tresh Damn KrogerPERSON

0.99+

IntelORGANIZATION

0.99+

three instancesQUANTITY

0.99+

HBCORGANIZATION

0.99+

eight years agoDATE

0.99+

69OTHER

0.99+

Amazon WebORGANIZATION

0.99+

oneQUANTITY

0.98+

todayDATE

0.98+

100 gigabitsQUANTITY

0.97+

Three weeksQUANTITY

0.97+

CubaLOCATION

0.97+

three weeksQUANTITY

0.97+

XeonCOMMERCIAL_ITEM

0.96+

Three different instancesQUANTITY

0.96+

this yearDATE

0.96+

ZeonORGANIZATION

0.95+

first cloudQUANTITY

0.94+

G MORGANIZATION

0.94+

2020DATE

0.94+

P. K. IPERSON

0.94+

intelORGANIZATION

0.93+

This yearDATE

0.93+

NitroCOMMERCIAL_ITEM

0.93+

first cloud serviceQUANTITY

0.92+

PampersORGANIZATION

0.91+

five instanceQUANTITY

0.9+

VPPERSON

0.89+

A WORGANIZATION

0.89+

two worldsQUANTITY

0.87+

ThioPERSON

0.87+

singleQUANTITY

0.81+

covaOTHER

0.8+

last couple of yearsDATE

0.8+

C fiveCOMMERCIAL_ITEM

0.78+

awsORGANIZATION

0.76+

MawrPERSON

0.73+

CloroxORGANIZATION

0.7+

Cube LiveTITLE

0.69+

PremORGANIZATION

0.68+

C 59 18COMMERCIAL_ITEM

0.67+

reinvent 2020EVENT

0.66+

yearQUANTITY

0.64+

couple waysQUANTITY

0.63+

Web services Annual conferenceEVENT

0.62+

ReinventEVENT

0.62+

E IntelCOMMERCIAL_ITEM

0.62+

Steven Hill, KPMG | IBM Think 2019


 

>> Live from San Francisco. It's the cube covering IBM thing twenty nineteen brought to you by IBM. >> Welcome back to Mosconi North here in San Francisco, California. I'm student of my co host, A Volante. We're in day three of four days live. Walter. Wall coverage here at IBM think happened. Welcome back to the program. Talk about one of our favorite topics. Cube alarm. Steve Hill, who's the global head of innovation. That topic I mentioned from KPMG, Steve, welcome back to the program. >> Seems to have made good to see you. >> All right. So, you know, we know that the the only constant in our industry is change. And, you know, it's one of those things. You know, I look at my career, it's like innovation. Is it a buzz word? You know? Has innovation stalled out of the industry? But you know, you're living it. You you're you're swimming in it. Talkinto a lot of people on it. KPMG has lots of tools, so give us the update from from last year. >> Well, I think you know, we talked about several things last year, but innovation was a key theme. And and when I would share with you, is that I think across all industries, innovation as a capability has become more mature and more accepted, still not widely adopted across all industries and all competitors and all kinds of companies. But the reality is, innovation used to be kind of one person's job off in the closet today. I think a lot of organizations or realizing you have to have corporate muscle that is as engaged as in changing the status quo as the production muscle is in maintaining the status quo has >> become a cultural. >> It's become part of culture, and so I think innovation really is part of the evolution of corporate governance as far as I'm >> concerned. What one thing I worry about a little bit is, you know, I see a company like IBM. They have a long history of research that throws off innovation over the years. You know, I grew up, you know, in the backyard of Bell Labs and think about the innovation a drove today, the culture you know, faster, faster, faster and sometimes innovation. He does sit back. I need to be able to think longer, You know? How does how does an innovation culture fit into the ever changing, fast paced you? No need to deliver ninety day shot clock of reality of today. >> Well, I think innovation has to be smart, meaning you have to be able to feed the engines of growth. So your horizon one, if you will, of investments and your attention and efforts have to pay off the short term. But you also can't be strategically stupid and build yourself into an alleyway or to our corner, because you're just too short term thought through. Right? So you need to have a portfolio of what we call Horizon three blended with Horizon one and Horizon two types investment. So your short term, your middle term and your longer term needs are being met. Of course, if you think about it like a portfolio of investments, you're going tohave. Probably a smaller number of investments that air further out, more experimental and a larger proportion of them going to be helping you grow. You could say, almost tactically or sort of adjacent to where you are today, incrementally. But some of those disruptive things that you work on an H three could actually change your industry. Maybe you think about today where we are. Azan Economy intangibles are starting to creep into this notion of value ways we've never seen before. Today, the top five companies in terms of net worth all fundamentally rely on intangibles for their worth. Five years ago, it was one or two, and I would argue that the notion of intangibles, particularly data we'll drive a lot of very transformative types of investments for organizations going forward. So you've got to be careful not to starve a lot of those longer term investments, >> right? And it's almost become bromide. Large companies can innovate, but those five companies just mentioned well alluded to Amazon. Google, etcetera Facebook of Apple, Microsoft there, innovators, right? So absolutely and large companies innovate. >> Yes, clearly, yeah, but you have to have muscle, but it doesn't happen by accident, and you do put discipline and process and rigor and tools and leadership around innovation. But it's a different kind of discipline than you need in the operation, so I'll make him a ratio that makes sense. Maybe ninety five percent production, five percent innovation in an organization. That innovation engine is always challenging that ninety five percent Are you good enough? Are you relevant enough? Are you fast enough? Are you agile enough? You need that in every corporate organization in terms of governance to stay healthy and relevant overtime. >> So it's interesting. You know, I was in a session that Jack Welch talk wants, and he's like, I hear big companies can innovate is like big companies made up of people. People are the things that can innovate absolute. But, you know, I've worked in large organizations. We understand that the fossilization process and the goto market that you have, you know, will often kill, you know, those new flowers that are blooming, what separates the people that can drive innovation on DH? You know, put those positive place and kind of the also rans that, you know get left behind window disruption. >> Well, there's several. There's a couple things that I would highlight of a longer list, one of them we culture. I mean, I think innovation has been part of a culture. People in the institution have value innovation and want to be part of it. And there is, you know, a role that everyone can play. Just because you're in operations, if you will, doesn't mean you ignore change or you ignore the opportunity to improve the status quo. But you still have you get paid to operate what I find that is related to culture that gets a lot of people, you know, slow down or or roadblock is the disconnect between the operating part of the business and the innovative part of the business. If you try, if you build them to separately, what happens is you have a disconnection. And if you innovate the best idea in the world over here. But you can't scale it with production, you lose. So you have to make sure that, as as a leader overall, the entire enterprise you build those connections, rotations, leadership, You know, How do you engage the production, you know, engine into the innovation engine? It's to be very collaborative. It should be seamless. You know, everyone likes to say that, but that word, but relative seamlessness is, is heavy architecture. You've gotto build that, you know, collaboration into your model of of how you innovate >> and >> don't innovate in the vacuum. >> And it comes back to the cultural aspects we're talking about. Do you mentioned the ninety day shot? Clocks were here in the Bay Area. Silicon Valley. The most innovative place in the world. They've lived along the ninety day shot clock forever, and it seems to have not heard that so called short term thinking. Why is that? >> Well, there's so much start up here. I mean, at the end of the day, there is so much churn of new thinking and start up in V C. And there's so much activity that it's almost a microcosm, right? Not every place in the world smells, feels, looks like Silicon Valley, right? And the reason for it is in part because there's just so much innovation in what happens here. And these things change me. If you think about, uh, these unicorns that we have today. Today there's about three hundred ninety one unicorns. Just five years ago, there were one hundred sixty globally on before that. Hardly people didn't know they were hardly recognized. But that's all coming from pockets of innovation like Silicon Valley. So I'd argue that what you have here is an interesting amalgamation of culture being part of a macro environment region that that really rewards innovation and demonstrates that in in market valuations in capital raises, I mean, today one hundred million dollars capital raise is pretty common, especially for unicorns. Five, ten years ago. You never see me. It was very difficult to get a hundred million dollars capital, right? >> You mean you're seeing billion dollar companies do half a billion dollars raises today? I mean, it's >> all day, right? And some of them don't make a profit. Which is I mean, and that's kind of the irony, Which is, Are those companies? What did they get that the rest of us, you know, there was that live on Wall Street right out of in New York. What do we not see? Is that some secret that downstream there will be some massive inflow? Hard to say. I mean, look at Amazon is an example. They've used an intangible to take industries out that they were never in before they started selling books, and they leverage customer behavior data to move into other spaces. And this is kind of the intangible dynamic. And the infection >> data was the fuel for the digital disruption to travel around the world. You see that folks outside of Silicon Valley are really sort of maybe creating new innovation recipes? >> Yes. I think that what you see here is starting to go viral right on DH way that KPMG likes to share a holistic way to look at this for our clients. What is what we call the twenty first century enterprise. So the things that we used to do in the twentieth century to be successful, hire people, build more machines, right? You know, buy more assets, hard, durable assets. Those things don't necessarily give you the recipe for success in the twenty first century. And if you look at that and you think about the intangibles work that's been well written about there's there's all kinds of press on this today. You'll start to realize that the recipe for success in this new century is different, and you can't look at it in a silo to say, Okay, so I've gotta change my department or I've got a I've got to go change, You know, my widgets. What you've got to think is that your entire enterprise and so are construct called the twenty first Century prize. Looks at four things. Actually, it's five, and the fifth one is the technologies to enable change in the other four. And those technologies we talk about here and I have made him think which are, you know, cloud data, smart computers or a blockchain, etcetera. But those four pillars our first customer. How do you think about your customer experience today? How do you rethink your customer experience tomorrow? I think the customer dynamic, whether it's generational or it's technologically driven, change is happening more rapidly today than ever. And looking at that front office and the customer dementia, it is really important. The second is looking at your acid base. The value of your assets are changing, and intangibles are big category of that change. But do your do your hard assets make the difference today and forward. Or all these intangibles. Companies that don't have a date a strategy today are at peril of falling victim to competitors who will use data to come through a flank. And Amazons done that with groceries, right? The third category is as a service capabilities. So if you're growing contracting going into new markets are opening new channels. How do you build that capability to serve that? Well, there's a phenomenon today that we know is, you know, I think, very practised, but usually in functions called as a service by capability on the drink instead of going out and doing big BPO deals. Think about a pea eye's. Think about other kinds of ways of get access to build and scale very fucks Pierre your capabilities and in the last category, which actually is extremely important for any change you make elsewhere is your workforce. Um, culture is part of that, right? And a lot of organizations air bringing on chief culture officers. We and KPMG did the same thing, but that workforce is changing. It's not just people you hire into your four walls today. You've got contingent workforce. You have gig economy, workforce a lot of organizations. They're leveraging platform business models to bring on employees to either help customers with help. Dex needs or build code for problems that they like to solve for free. So when you talk about productivity, which we talked about last year and you start thinking about what's separating the leaders from a practical standpoint from the laggers from practically standpoint, a lot of those attributes of changing customer value of assets as a service growth and workforce are driving growth and productivity for that subset of our community and many injured. >> So when you look at the firm level you're seeing some real productivity gains versus just paying attention to the macro >> Correct, any macro way think proactive is relatively flat, and that's not untrue. It's because the bottom portion the laggards aren't growing. In fact, productivity is in many ways falling off, but the ones that are the frontier of those top ten percent fifteen hundred global clients we've looked at, uh, you know, you see that CD study show that they're actually driving growth and productivity substantially, and the chasm is getting larger. >> So, Steve, Steve, it's curious what this means for competition. I think about if I'm using external workforces in open source communities, you know, Cloud and I, you know, changes in the environment. A supposed toe I used to kind of have my internal innovation. Now I'm out in these communities s O You know, we're here than IBM show. You know, I think back the word Coop petition. I first heard in context of talking about how IBM works with their ecosystem. So how did those dynamics change of competition and innovation in this? You know, the gig. Economy with open source and cloud. May I? Everywhere. >> Big implications. I mean, I I think you know, and this is the funny point you made is nontraditional competitors, because I think most of our clients and ourselves recognized that we haven't incredible amount of nontraditional competitors entering our space in professional services. We have companies that are not overtly going after our space, but are creating capabilities for our clients to do for themselves what we used to do for them. Data collection, for example, is one of those areas where clients used to spend money for consultants coming in to gather data into aggregate data with tools today that's ah, a very short process, and they do it themselves. So that's a disintermediation or on bundling of our business. But every business has these types of competitive non Trish competitive threats, and what we're seeing is that those same principles that we talked about earlier of the twenty first century surprise applies, right? How are they leveraging there the base and how they leveraging their workforce? Are they? Do they have a data strategy to think through? Okay, what happens if somebody else knows more about my customers than I do? Right? What does that do to make those kinds of questions need to be asked an innovation as a capability I think is a good partner and driving that nothing I would say, is that eco systems and you made you mention that word, and I want to pick up on that. I mean, I think eco systems air becoming a force in competitive protection and competitive potential going forward. If you think about a lot of you know, household names relative Teo data, you know Amazon's one of them. They are involved in the back office in the middle ofthis have so many organizations they're in integrated in those supply chains. Value change, I think services firms, and particularly to be thinking about how do they integrate into the supply chains of their customers so that they transcend the boars of, you know, their four walls, those eco systems and IBM was We consider KPMG considers IBM to be part of our ecosystem, right? Um, as well as other technology. >> So they're one of one of the things we're hearing from IBM. Jenny talked about it yesterday, and her keynote was doubling down on trust. Essentially one. Could you be implying that trust is a barrier to ay? Ay adoption is that. Is that true? Is that what your data show? >> We we we see that very much in spades. In fact, um, you know, I I if you think about it quite frankly, our oppa has driven a lot of people to class to class three. Amalgamation czar opportunities. But what's happening is we're seeing a slowdown because the price of some of these initials were big. But trust, culture and trust are big issues. In fact, we just released recently. Aye, Aye. And control framework, which includes methods and tools assessments to help our clients that were working with the city of Amsterdam today on a system for their citizens that helped them have accountability. Make sure there's no bias in their systems. As a I systems learn and importantly, explain ability. Imagine, you know. Ah, newlywed couple going into a bank to get a house note and having the banker sit back and have his Aye, aye, driven. You know, assessment for mortgage applicability. Come up moored. Recommend air saying no. You Ugh. I can't offer you a mortgage because my data shows you guys going to be divorced, right? We don't want to tell it to a newlywed couple, right? So explain ability about why it's doing what it's doing and put it in terms that relate to customer service. I mean, that's a pretty it's a silly example, but it's a true example of the day. There's a lot of there's a lack of explain ability in terms of how a eyes coming up with some of its conclusions. Lockbox, right? So a trusted A I is a big issue. >> All right, Steve, Framework that you just talked about the twenty first century enterprise. Is there a book or their papers? So I just go to the website, Or do I need to be a client? Read more about, >> you know, absolutely. You can go to our website, kpmg dot com and you can get all the della you want on the twenty first century enterprise. It talks to how we connect our customers front to middle toe back offices. How they think about those those pillars, the technologies we can help them with. Make change happen there, etcetera. So I appreciate it that >> we'll check it out that way. Don't be left in the twentieth century. Come on. >> No, you can't use twentieth century answers to solve twenty first century challenges, right? >> Well, Steve, he'll really appreciate giving us the twenty first century update for day. Volante on student will be back with our next guest here. IBM think twenty nineteen. Thanks for watching you.

Published Date : Feb 14 2019

SUMMARY :

IBM thing twenty nineteen brought to you by IBM. Welcome back to the program. But you know, you're living it. I think a lot of organizations or realizing you have to have corporate muscle that is as You know, I grew up, you know, in the backyard of Bell Labs and think about the innovation a drove today, Well, I think innovation has to be smart, meaning you have to be able to feed the engines alluded to Amazon. But it's a different kind of discipline than you need in the operation, process and the goto market that you have, you know, will often kill, you know, those new flowers that are blooming, lot of people, you know, slow down or or roadblock is the disconnect Do you mentioned the ninety day shot? So I'd argue that what you have here is an interesting amalgamation the rest of us, you know, there was that live on Wall Street right out of in New York. You see that Well, there's a phenomenon today that we know is, you know, hundred global clients we've looked at, uh, you know, you see that CD study show you know, changes in the environment. I mean, I I think you know, and this is the funny point you made is nontraditional Could you be implying that trust is In fact, um, you know, I I if you think about it All right, Steve, Framework that you just talked about the twenty first century enterprise. You can go to our website, kpmg dot com and you can get all the della you want on the twenty first century Don't be left in the twentieth century. IBM think twenty nineteen.

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
StevePERSON

0.99+

IBMORGANIZATION

0.99+

JennyPERSON

0.99+

AmazonORGANIZATION

0.99+

AppleORGANIZATION

0.99+

MicrosoftORGANIZATION

0.99+

Steve HillPERSON

0.99+

Steven HillPERSON

0.99+

New YorkLOCATION

0.99+

San FranciscoLOCATION

0.99+

FacebookORGANIZATION

0.99+

KPMGORGANIZATION

0.99+

last yearDATE

0.99+

GoogleORGANIZATION

0.99+

five percentQUANTITY

0.99+

twentieth centuryDATE

0.99+

Silicon ValleyLOCATION

0.99+

Bell LabsORGANIZATION

0.99+

ninetyQUANTITY

0.99+

AmsterdamLOCATION

0.99+

TodayDATE

0.99+

Jack WelchPERSON

0.99+

San Francisco, CaliforniaLOCATION

0.99+

one hundred sixtyQUANTITY

0.99+

fiveQUANTITY

0.99+

one hundred million dollarsQUANTITY

0.99+

oneQUANTITY

0.99+

twenty first centuryDATE

0.99+

five companiesQUANTITY

0.99+

yesterdayDATE

0.99+

AmazonsORGANIZATION

0.99+

third categoryQUANTITY

0.99+

ninety five percentQUANTITY

0.99+

fourQUANTITY

0.99+

Silicon ValleyLOCATION

0.99+

Bay AreaLOCATION

0.99+

secondQUANTITY

0.98+

todayDATE

0.98+

firstQUANTITY

0.98+

tomorrowDATE

0.98+

twoQUANTITY

0.98+

four daysQUANTITY

0.98+

ninety dayQUANTITY

0.98+

WalterPERSON

0.98+

Five years agoDATE

0.98+

five years agoDATE

0.97+

twentyQUANTITY

0.97+

first customerQUANTITY

0.97+

fifth oneQUANTITY

0.97+

about three hundred ninety one unicornsQUANTITY

0.96+

Wall StreetLOCATION

0.95+

ten years agoDATE

0.95+

Data Science for All: It's a Whole New Game


 

>> There's a movement that's sweeping across businesses everywhere here in this country and around the world. And it's all about data. Today businesses are being inundated with data. To the tune of over two and a half million gigabytes that'll be generated in the next 60 seconds alone. What do you do with all that data? To extract insights you typically turn to a data scientist. But not necessarily anymore. At least not exclusively. Today the ability to extract value from data is becoming a shared mission. A team effort that spans the organization extending far more widely than ever before. Today, data science is being democratized. >> Data Sciences for All: It's a Whole New Game. >> Welcome everyone, I'm Katie Linendoll. I'm a technology expert writer and I love reporting on all things tech. My fascination with tech started very young. I began coding when I was 12. Received my networking certs by 18 and a degree in IT and new media from Rochester Institute of Technology. So as you can tell, technology has always been a sure passion of mine. Having grown up in the digital age, I love having a career that keeps me at the forefront of science and technology innovations. I spend equal time in the field being hands on as I do on my laptop conducting in depth research. Whether I'm diving underwater with NASA astronauts, witnessing the new ways which mobile technology can help rebuild the Philippine's economy in the wake of super typhoons, or sharing a first look at the newest iPhones on The Today Show, yesterday, I'm always on the hunt for the latest and greatest tech stories. And that's what brought me here. I'll be your host for the next hour and as we explore the new phenomenon that is taking businesses around the world by storm. And data science continues to become democratized and extends beyond the domain of the data scientist. And why there's also a mandate for all of us to become data literate. Now that data science for all drives our AI culture. And we're going to be able to take to the streets and go behind the scenes as we uncover the factors that are fueling this phenomenon and giving rise to a movement that is reshaping how businesses leverage data. And putting organizations on the road to AI. So coming up, I'll be doing interviews with data scientists. We'll see real world demos and take a look at how IBM is changing the game with an open data science platform. We'll also be joined by legendary statistician Nate Silver, founder and editor-in-chief of FiveThirtyEight. Who will shed light on how a data driven mindset is changing everything from business to our culture. We also have a few people who are joining us in our studio, so thank you guys for joining us. Come on, I can do better than that, right? Live studio audience, the fun stuff. And for all of you during the program, I want to remind you to join that conversation on social media using the hashtag DSforAll, it's data science for all. Share your thoughts on what data science and AI means to you and your business. And, let's dive into a whole new game of data science. Now I'd like to welcome my co-host General Manager IBM Analytics, Rob Thomas. >> Hello, Katie. >> Come on guys. >> Yeah, seriously. >> No one's allowed to be quiet during this show, okay? >> Right. >> Or, I'll start calling people out. So Rob, thank you so much. I think you know this conversation, we're calling it a data explosion happening right now. And it's nothing new. And when you and I chatted about it. You've been talking about this for years. You have to ask, is this old news at this point? >> Yeah, I mean, well first of all, the data explosion is not coming, it's here. And everybody's in the middle of it right now. What is different is the economics have changed. And the scale and complexity of the data that organizations are having to deal with has changed. And to this day, 80% of the data in the world still sits behind corporate firewalls. So, that's becoming a problem. It's becoming unmanageable. IT struggles to manage it. The business can't get everything they need. Consumers can't consume it when they want. So we have a challenge here. >> It's challenging in the world of unmanageable. Crazy complexity. If I'm sitting here as an IT manager of my business, I'm probably thinking to myself, this is incredibly frustrating. How in the world am I going to get control of all this data? And probably not just me thinking it. Many individuals here as well. >> Yeah, indeed. Everybody's thinking about how am I going to put data to work in my organization in a way I haven't done before. Look, you've got to have the right expertise, the right tools. The other thing that's happening in the market right now is clients are dealing with multi cloud environments. So data behind the firewall in private cloud, multiple public clouds. And they have to find a way. How am I going to pull meaning out of this data? And that brings us to data science and AI. That's how you get there. >> I understand the data science part but I think we're all starting to hear more about AI. And it's incredible that this buzz word is happening. How do businesses adopt to this AI growth and boom and trend that's happening in this world right now? >> Well, let me define it this way. Data science is a discipline. And machine learning is one technique. And then AI puts both machine learning into practice and applies it to the business. So this is really about how getting your business where it needs to go. And to get to an AI future, you have to lay a data foundation today. I love the phrase, "there's no AI without IA." That means you're not going to get to AI unless you have the right information architecture to start with. >> Can you elaborate though in terms of how businesses can really adopt AI and get started. >> Look, I think there's four things you have to do if you're serious about AI. One is you need a strategy for data acquisition. Two is you need a modern data architecture. Three is you need pervasive automation. And four is you got to expand job roles in the organization. >> Data acquisition. First pillar in this you just discussed. Can we start there and explain why it's so critical in this process? >> Yeah, so let's think about how data acquisition has evolved through the years. 15 years ago, data acquisition was about how do I get data in and out of my ERP system? And that was pretty much solved. Then the mobile revolution happens. And suddenly you've got structured and non-structured data. More than you've ever dealt with. And now you get to where we are today. You're talking terabytes, petabytes of data. >> [Katie] Yottabytes, I heard that word the other day. >> I heard that too. >> Didn't even know what it meant. >> You know how many zeros that is? >> I thought we were in Star Wars. >> Yeah, I think it's a lot of zeroes. >> Yodabytes, it's new. >> So, it's becoming more and more complex in terms of how you acquire data. So that's the new data landscape that every client is dealing with. And if you don't have a strategy for how you acquire that and manage it, you're not going to get to that AI future. >> So a natural segue, if you are one of these businesses, how do you build for the data landscape? >> Yeah, so the question I always hear from customers is we need to evolve our data architecture to be ready for AI. And the way I think about that is it's really about moving from static data repositories to more of a fluid data layer. >> And we continue with the architecture. New data architecture is an interesting buzz word to hear. But it's also one of the four pillars. So if you could dive in there. >> Yeah, I mean it's a new twist on what I would call some core data science concepts. For example, you have to leverage tools with a modern, centralized data warehouse. But your data warehouse can't be stagnant to just what's right there. So you need a way to federate data across different environments. You need to be able to bring your analytics to the data because it's most efficient that way. And ultimately, it's about building an optimized data platform that is designed for data science and AI. Which means it has to be a lot more flexible than what clients have had in the past. >> All right. So we've laid out what you need for driving automation. But where does the machine learning kick in? >> Machine learning is what gives you the ability to automate tasks. And I think about machine learning. It's about predicting and automating. And this will really change the roles of data professionals and IT professionals. For example, a data scientist cannot possibly know every algorithm or every model that they could use. So we can automate the process of algorithm selection. Another example is things like automated data matching. Or metadata creation. Some of these things may not be exciting but they're hugely practical. And so when you think about the real use cases that are driving return on investment today, it's things like that. It's automating the mundane tasks. >> Let's go ahead and come back to something that you mentioned earlier because it's fascinating to be talking about this AI journey, but also significant is the new job roles. And what are those other participants in the analytics pipeline? >> Yeah I think we're just at the start of this idea of new job roles. We have data scientists. We have data engineers. Now you see machine learning engineers. Application developers. What's really happening is that data scientists are no longer allowed to work in their own silo. And so the new job roles is about how does everybody have data first in their mind? And then they're using tools to automate data science, to automate building machine learning into applications. So roles are going to change dramatically in organizations. >> I think that's confusing though because we have several organizations who saying is that highly specialized roles, just for data science? Or is it applicable to everybody across the board? >> Yeah, and that's the big question, right? Cause everybody's thinking how will this apply? Do I want this to be just a small set of people in the organization that will do this? But, our view is data science has to for everybody. It's about bring data science to everybody as a shared mission across the organization. Everybody in the company has to be data literate. And participate in this journey. >> So overall, group effort, has to be a common goal, and we all need to be data literate across the board. >> Absolutely. >> Done deal. But at the end of the day, it's kind of not an easy task. >> It's not. It's not easy but it's maybe not as big of a shift as you would think. Because you have to put data in the hands of people that can do something with it. So, it's very basic. Give access to data. Data's often locked up in a lot of organizations today. Give people the right tools. Embrace the idea of choice or diversity in terms of those tools. That gets you started on this path. >> It's interesting to hear you say essentially you need to train everyone though across the board when it comes to data literacy. And I think people that are coming into the work force don't necessarily have a background or a degree in data science. So how do you manage? >> Yeah, so in many cases that's true. I will tell you some universities are doing amazing work here. One example, University of California Berkeley. They offer a course for all majors. So no matter what you're majoring in, you have a course on foundations of data science. How do you bring data science to every role? So it's starting to happen. We at IBM provide data science courses through CognitiveClass.ai. It's for everybody. It's free. And look, if you want to get your hands on code and just dive right in, you go to datascience.ibm.com. The key point is this though. It's more about attitude than it is aptitude. I think anybody can figure this out. But it's about the attitude to say we're putting data first and we're going to figure out how to make this real in our organization. >> I also have to give a shout out to my alma mater because I have heard that there is an offering in MS in data analytics. And they are always on the forefront of new technologies and new majors and on trend. And I've heard that the placement behind those jobs, people graduating with the MS is high. >> I'm sure it's very high. >> So go Tigers. All right, tangential. Let me get back to something else you touched on earlier because you mentioned that a number of customers ask you how in the world do I get started with AI? It's an overwhelming question. Where do you even begin? What do you tell them? >> Yeah, well things are moving really fast. But the good thing is most organizations I see, they're already on the path, even if they don't know it. They might have a BI practice in place. They've got data warehouses. They've got data lakes. Let me give you an example. AMC Networks. They produce a lot of the shows that I'm sure you watch Katie. >> [Katie] Yes, Breaking Bad, Walking Dead, any fans? >> [Rob] Yeah, we've got a few. >> [Katie] Well you taught me something I didn't even know. Because it's amazing how we have all these different industries, but yet media in itself is impacted too. And this is a good example. >> Absolutely. So, AMC Networks, think about it. They've got ads to place. They want to track viewer behavior. What do people like? What do they dislike? So they have to optimize every aspect of their business from marketing campaigns to promotions to scheduling to ads. And their goal was transform data into business insights and really take the burden off of their IT team that was heavily burdened by obviously a huge increase in data. So their VP of BI took the approach of using machine learning to process large volumes of data. They used a platform that was designed for AI and data processing. It's the IBM analytics system where it's a data warehouse, data science tools are built in. It has in memory data processing. And just like that, they were ready for AI. And they're already seeing that impact in their business. >> Do you think a movement of that nature kind of presses other media conglomerates and organizations to say we need to be doing this too? >> I think it's inevitable that everybody, you're either going to be playing, you're either going to be leading, or you'll be playing catch up. And so, as we talk to clients we think about how do you start down this path now, even if you have to iterate over time? Because otherwise you're going to wake up and you're going to be behind. >> One thing worth noting is we've talked about analytics to the data. It's analytics first to the data, not the other way around. >> Right. So, look. We as a practice, we say you want to bring data to where the data sits. Because it's a lot more efficient that way. It gets you better outcomes in terms of how you train models and it's more efficient. And we think that leads to better outcomes. Other organization will say, "Hey move the data around." And everything becomes a big data movement exercise. But once an organization has started down this path, they're starting to get predictions, they want to do it where it's really easy. And that means analytics applied right where the data sits. >> And worth talking about the role of the data scientist in all of this. It's been called the hot job of the decade. And a Harvard Business Review even dubbed it the sexiest job of the 21st century. >> Yes. >> I want to see this on the cover of Vogue. Like I want to see the first data scientist. Female preferred, on the cover of Vogue. That would be amazing. >> Perhaps you can. >> People agree. So what changes for them? Is this challenging in terms of we talk data science for all. Where do all the data science, is it data science for everyone? And how does it change everything? >> Well, I think of it this way. AI gives software super powers. It really does. It changes the nature of software. And at the center of that is data scientists. So, a data scientist has a set of powers that they've never had before in any organization. And that's why it's a hot profession. Now, on one hand, this has been around for a while. We've had actuaries. We've had statisticians that have really transformed industries. But there are a few things that are new now. We have new tools. New languages. Broader recognition of this need. And while it's important to recognize this critical skill set, you can't just limit it to a few people. This is about scaling it across the organization. And truly making it accessible to all. >> So then do we need more data scientists? Or is this something you train like you said, across the board? >> Well, I think you want to do a little bit of both. We want more. But, we can also train more and make the ones we have more productive. The way I think about it is there's kind of two markets here. And we call it clickers and coders. >> [Katie] I like that. That's good. >> So, let's talk about what that means. So clickers are basically somebody that wants to use tools. Create models visually. It's drag and drop. Something that's very intuitive. Those are the clickers. Nothing wrong with that. It's been valuable for years. There's a new crop of data scientists. They want to code. They want to build with the latest open source tools. They want to write in Python or R. These are the coders. And both approaches are viable. Both approaches are critical. Organizations have to have a way to meet the needs of both of those types. And there's not a lot of things available today that do that. >> Well let's keep going on that. Because I hear you talking about the data scientists role and how it's critical to success, but with the new tools, data science and analytics skills can extend beyond the domain of just the data scientist. >> That's right. So look, we're unifying coders and clickers into a single platform, which we call IBM Data Science Experience. And as the demand for data science expertise grows, so does the need for these kind of tools. To bring them into the same environment. And my view is if you have the right platform, it enables the organization to collaborate. And suddenly you've changed the nature of data science from an individual sport to a team sport. >> So as somebody that, my background is in IT, the question is really is this an additional piece of what IT needs to do in 2017 and beyond? Or is it just another line item to the budget? >> So I'm afraid that some people might view it that way. As just another line item. But, I would challenge that and say data science is going to reinvent IT. It's going to change the nature of IT. And every organization needs to think about what are the skills that are critical? How do we engage a broader team to do this? Because once they get there, this is the chance to reinvent how they're performing IT. >> [Katie] Challenging or not? >> Look it's all a big challenge. Think about everything IT organizations have been through. Some of them were late to things like mobile, but then they caught up. Some were late to cloud, but then they caught up. I would just urge people, don't be late to data science. Use this as your chance to reinvent IT. Start with this notion of clickers and coders. This is a seminal moment. Much like mobile and cloud was. So don't be late. >> And I think it's critical because it could be so costly to wait. And Rob and I were even chatting earlier how data analytics is just moving into all different kinds of industries. And I can tell you even personally being effected by how important the analysis is in working in pediatric cancer for the last seven years. I personally implement virtual reality headsets to pediatric cancer hospitals across the country. And it's great. And it's working phenomenally. And the kids are amazed. And the staff is amazed. But the phase two of this project is putting in little metrics in the hardware that gather the breathing, the heart rate to show that we have data. Proof that we can hand over to the hospitals to continue making this program a success. So just in-- >> That's a great example. >> An interesting example. >> Saving lives? >> Yes. >> That's also applying a lot of what we talked about. >> Exciting stuff in the world of data science. >> Yes. Look, I just add this is an existential moment for every organization. Because what you do in this area is probably going to define how competitive you are going forward. And think about if you don't do something. What if one of your competitors goes and creates an application that's more engaging with clients? So my recommendation is start small. Experiment. Learn. Iterate on projects. Define the business outcomes. Then scale up. It's very doable. But you've got to take the first step. >> First step always critical. And now we're going to get to the fun hands on part of our story. Because in just a moment we're going to take a closer look at what data science can deliver. And where organizations are trying to get to. All right. Thank you Rob and now we've been joined by Siva Anne who is going to help us navigate this demo. First, welcome Siva. Give him a big round of applause. Yeah. All right, Rob break down what we're going to be looking at. You take over this demo. >> All right. So this is going to be pretty interesting. So Siva is going to take us through. So he's going to play the role of a financial adviser. Who wants to help better serve clients through recommendations. And I'm going to really illustrate three things. One is how do you federate data from multiple data sources? Inside the firewall, outside the firewall. How do you apply machine learning to predict and to automate? And then how do you move analytics closer to your data? So, what you're seeing here is a custom application for an investment firm. So, Siva, our financial adviser, welcome. So you can see at the top, we've got market data. We pulled that from an external source. And then we've got Siva's calendar in the middle. He's got clients on the right side. So page down, what else do you see down there Siva? >> [Siva] I can see the recent market news. And in here I can see that JP Morgan is calling for a US dollar rebound in the second half of the year. And, I have upcoming meeting with Leo Rakes. I can get-- >> [Rob] So let's go in there. Why don't you click on Leo Rakes. So, you're sitting at your desk, you're deciding how you're going to spend the day. You know you have a meeting with Leo. So you click on it. You immediately see, all right, so what do we know about him? We've got data governance implemented. So we know his age, we know his degree. We can see he's not that aggressive of a trader. Only six trades in the last few years. But then where it gets interesting is you go to the bottom. You start to see predicted industry affinity. Where did that come from? How do we have that? >> [Siva] So these green lines and red arrows here indicate the trending affinity of Leo Rakes for particular industry stocks. What we've done here is we've built machine learning models using customer's demographic data, his stock portfolios, and browsing behavior to build a model which can predict his affinity for a particular industry. >> [Rob] Interesting. So, I like to think of this, we call it celebrity experiences. So how do you treat every customer like they're a celebrity? So to some extent, we're reading his mind. Because without asking him, we know that he's going to have an affinity for auto stocks. So we go down. Now we look at his portfolio. You can see okay, he's got some different holdings. He's got Amazon, Google, Apple, and then he's got RACE, which is the ticker for Ferrari. You can see that's done incredibly well. And so, as a financial adviser, you look at this and you say, all right, we know he loves auto stocks. Ferrari's done very well. Let's create a hedge. Like what kind of security would interest him as a hedge against his position for Ferrari? Could we go figure that out? >> [Siva] Yes. Given I know that he's gotten an affinity for auto stocks, and I also see that Ferrari has got some terminus gains, I want to lock in these gains by hedging. And I want to do that by picking a auto stock which has got negative correlation with Ferrari. >> [Rob] So this is where we get to the idea of in database analytics. Cause you start clicking that and immediately we're getting instant answers of what's happening. So what did we find here? We're going to compare Ferrari and Honda. >> [Siva] I'm going to compare Ferrari with Honda. And what I see here instantly is that Honda has got a negative correlation with Ferrari, which makes it a perfect mix for his stock portfolio. Given he has an affinity for auto stocks and it correlates negatively with Ferrari. >> [Rob] These are very powerful tools at the hand of a financial adviser. You think about it. As a financial adviser, you wouldn't think about federating data, machine learning, pretty powerful. >> [Siva] Yes. So what we have seen here is that using the common SQL engine, we've been able to federate queries across multiple data sources. Db2 Warehouse in the cloud, IBM's Integrated Analytic System, and Hortonworks powered Hadoop platform for the new speeds. We've been able to use machine learning to derive innovative insights about his stock affinities. And drive the machine learning into the appliance. Closer to where the data resides to deliver high performance analytics. >> [Rob] At scale? >> [Siva] We're able to run millions of these correlations across stocks, currency, other factors. And even score hundreds of customers for their affinities on a daily basis. >> That's great. Siva, thank you for playing the role of financial adviser. So I just want to recap briefly. Cause this really powerful technology that's really simple. So we federated, we aggregated multiple data sources from all over the web and internal systems. And public cloud systems. Machine learning models were built that predicted Leo's affinity for a certain industry. In this case, automotive. And then you see when you deploy analytics next to your data, even a financial adviser, just with the click of a button is getting instant answers so they can go be more productive in their next meeting. This whole idea of celebrity experiences for your customer, that's available for everybody, if you take advantage of these types of capabilities. Katie, I'll hand it back to you. >> Good stuff. Thank you Rob. Thank you Siva. Powerful demonstration on what we've been talking about all afternoon. And thank you again to Siva for helping us navigate. Should be give him one more round of applause? We're going to be back in just a moment to look at how we operationalize all of this data. But in first, here's a message from me. If you're a part of a line of business, your main fear is disruption. You know data is the new goal that can create huge amounts of value. So does your competition. And they may be beating you to it. You're convinced there are new business models and revenue sources hidden in all the data. You just need to figure out how to leverage it. But with the scarcity of data scientists, you really can't rely solely on them. You may need more people throughout the organization that have the ability to extract value from data. And as a data science leader or data scientist, you have a lot of the same concerns. You spend way too much time looking for, prepping, and interpreting data and waiting for models to train. You know you need to operationalize the work you do to provide business value faster. What you want is an easier way to do data prep. And rapidly build models that can be easily deployed, monitored and automatically updated. So whether you're a data scientist, data science leader, or in a line of business, what's the solution? What'll it take to transform the way you work? That's what we're going to explore next. All right, now it's time to delve deeper into the nuts and bolts. The nitty gritty of operationalizing data science and creating a data driven culture. How do you actually do that? Well that's what these experts are here to share with us. I'm joined by Nir Kaldero, who's head of data science at Galvanize, which is an education and training organization. Tricia Wang, who is co-founder of Sudden Compass, a consultancy that helps companies understand people with data. And last, but certainly not least, Michael Li, founder and CEO of Data Incubator, which is a data science train company. All right guys. Shall we get right to it? >> All right. >> So data explosion happening right now. And we are seeing it across the board. I just shared an example of how it's impacting my philanthropic work in pediatric cancer. But you guys each have so many unique roles in your business life. How are you seeing it just blow up in your fields? Nir, your thing? >> Yeah, for example like in Galvanize we train many Fortune 500 companies. And just by looking at the demand of companies that wants us to help them go through this digital transformation is mind-blowing. Data point by itself. >> Okay. Well what we're seeing what's going on is that data science like as a theme, is that it's actually for everyone now. But what's happening is that it's actually meeting non technical people. But what we're seeing is that when non technical people are implementing these tools or coming at these tools without a base line of data literacy, they're often times using it in ways that distance themselves from the customer. Because they're implementing data science tools without a clear purpose, without a clear problem. And so what we do at Sudden Compass is that we work with companies to help them embrace and understand the complexity of their customers. Because often times they are misusing data science to try and flatten their understanding of the customer. As if you can just do more traditional marketing. Where you're putting people into boxes. And I think the whole ROI of data is that you can now understand people's relationships at a much more complex level at a greater scale before. But we have to do this with basic data literacy. And this has to involve technical and non technical people. >> Well you can have all the data in the world, and I think it speaks to, if you're not doing the proper movement with it, forget it. It means nothing at the same time. >> No absolutely. I mean, I think that when you look at the huge explosion in data, that comes with it a huge explosion in data experts. Right, we call them data scientists, data analysts. And sometimes they're people who are very, very talented, like the people here. But sometimes you have people who are maybe re-branding themselves, right? Trying to move up their title one notch to try to attract that higher salary. And I think that that's one of the things that customers are coming to us for, right? They're saying, hey look, there are a lot of people that call themselves data scientists, but we can't really distinguish. So, we have sort of run a fellowship where you help companies hire from a really talented group of folks, who are also truly data scientists and who know all those kind of really important data science tools. And we also help companies internally. Fortune 500 companies who are looking to grow that data science practice that they have. And we help clients like McKinsey, BCG, Bain, train up their customers, also their clients, also their workers to be more data talented. And to build up that data science capabilities. >> And Nir, this is something you work with a lot. A lot of Fortune 500 companies. And when we were speaking earlier, you were saying many of these companies can be in a panic. >> Yeah. >> Explain that. >> Yeah, so you know, not all Fortune 500 companies are fully data driven. And we know that the winners in this fourth industrial revolution, which I like to call the machine intelligence revolution, will be companies who navigate and transform their organization to unlock the power of data science and machine learning. And the companies that are not like that. Or not utilize data science and predictive power well, will pretty much get shredded. So they are in a panic. >> Tricia, companies have to deal with data behind the firewall and in the new multi cloud world. How do organizations start to become driven right to the core? >> I think the most urgent question to become data driven that companies should be asking is how do I bring the complex reality that our customers are experiencing on the ground in to a corporate office? Into the data models. So that question is critical because that's how you actually prevent any big data disasters. And that's how you leverage big data. Because when your data models are really far from your human models, that's when you're going to do things that are really far off from how, it's going to not feel right. That's when Tesco had their terrible big data disaster that they're still recovering from. And so that's why I think it's really important to understand that when you implement big data, you have to further embrace thick data. The qualitative, the emotional stuff, that is difficult to quantify. But then comes the difficult art and science that I think is the next level of data science. Which is that getting non technical and technical people together to ask how do we find those unknown nuggets of insights that are difficult to quantify? Then, how do we do the next step of figuring out how do you mathematically scale those insights into a data model? So that actually is reflective of human understanding? And then we can start making decisions at scale. But you have to have that first. >> That's absolutely right. And I think that when we think about what it means to be a data scientist, right? I always think about it in these sort of three pillars. You have the math side. You have to have that kind of stats, hardcore machine learning background. You have the programming side. You don't work with small amounts of data. You work with large amounts of data. You've got to be able to type the code to make those computers run. But then the last part is that human element. You have to understand the domain expertise. You have to understand what it is that I'm actually analyzing. What's the business proposition? And how are the clients, how are the users actually interacting with the system? That human element that you were talking about. And I think having somebody who understands all of those and not just in isolation, but is able to marry that understanding across those different topics, that's what makes a data scientist. >> But I find that we don't have people with those skill sets. And right now the way I see teams being set up inside companies is that they're creating these isolated data unicorns. These data scientists that have graduated from your programs, which are great. But, they don't involve the people who are the domain experts. They don't involve the designers, the consumer insight people, the people, the salespeople. The people who spend time with the customers day in and day out. Somehow they're left out of the room. They're consulted, but they're not a stakeholder. >> Can I actually >> Yeah, yeah please. >> Can I actually give a quick example? So for example, we at Galvanize train the executives and the managers. And then the technical people, the data scientists and the analysts. But in order to actually see all of the RY behind the data, you also have to have a creative fluid conversation between non technical and technical people. And this is a major trend now. And there's a major gap. And we need to increase awareness and kind of like create a new, kind of like environment where technical people also talks seamlessly with non technical ones. >> [Tricia] We call-- >> That's one of the things that we see a lot. Is one of the trends in-- >> A major trend. >> data science training is it's not just for the data science technical experts. It's not just for one type of person. So a lot of the training we do is sort of data engineers. People who are more on the software engineering side learning more about the stats of math. And then people who are sort of traditionally on the stat side learning more about the engineering. And then managers and people who are data analysts learning about both. >> Michael, I think you said something that was of interest too because I think we can look at IBM Watson as an example. And working in healthcare. The human component. Because often times we talk about machine learning and AI, and data and you get worried that you still need that human component. Especially in the world of healthcare. And I think that's a very strong point when it comes to the data analysis side. Is there any particular example you can speak to of that? >> So I think that there was this really excellent paper a while ago talking about all the neuro net stuff and trained on textual data. So looking at sort of different corpuses. And they found that these models were highly, highly sexist. They would read these corpuses and it's not because neuro nets themselves are sexist. It's because they're reading the things that we write. And it turns out that we write kind of sexist things. And they would sort of find all these patterns in there that were sort of latent, that had a lot of sort of things that maybe we would cringe at if we sort of saw. And I think that's one of the really important aspects of the human element, right? It's being able to come in and sort of say like, okay, I know what the biases of the system are, I know what the biases of the tools are. I need to figure out how to use that to make the tools, make the world a better place. And like another area where this comes up all the time is lending, right? So the federal government has said, and we have a lot of clients in the financial services space, so they're constantly under these kind of rules that they can't make discriminatory lending practices based on a whole set of protected categories. Race, sex, gender, things like that. But, it's very easy when you train a model on credit scores to pick that up. And then to have a model that's inadvertently sexist or racist. And that's where you need the human element to come back in and say okay, look, you're using the classic example would be zip code, you're using zip code as a variable. But when you look at it, zip codes actually highly correlated with race. And you can't do that. So you may inadvertently by sort of following the math and being a little naive about the problem, inadvertently introduce something really horrible into a model and that's where you need a human element to sort of step in and say, okay hold on. Slow things down. This isn't the right way to go. >> And the people who have -- >> I feel like, I can feel her ready to respond. >> Yes, I'm ready. >> She's like let me have at it. >> And the people here it is. And the people who are really great at providing that human intelligence are social scientists. We are trained to look for bias and to understand bias in data. Whether it's quantitative or qualitative. And I really think that we're going to have less of these kind of problems if we had more integrated teams. If it was a mandate from leadership to say no data science team should be without a social scientist, ethnographer, or qualitative researcher of some kind, to be able to help see these biases. >> The talent piece is actually the most crucial-- >> Yeah. >> one here. If you look about how to enable machine intelligence in organization there are the pillars that I have in my head which is the culture, the talent and the technology infrastructure. And I believe and I saw in working very closely with the Fortune 100 and 200 companies that the talent piece is actually the most important crucial hard to get. >> [Tricia] I totally agree. >> It's absolutely true. Yeah, no I mean I think that's sort of like how we came up with our business model. Companies were basically saying hey, I can't hire data scientists. And so we have a fellowship where we get 2,000 applicants each quarter. We take the top 2% and then we sort of train them up. And we work with hiring companies who then want to hire from that population. And so we're sort of helping them solve that problem. And the other half of it is really around training. Cause with a lot of industries, especially if you're sort of in a more regulated industry, there's a lot of nuances to what you're doing. And the fastest way to develop that data science or AI talent may not necessarily be to hire folks who are coming out of a PhD program. It may be to take folks internally who have a lot of that domain knowledge that you have and get them trained up on those data science techniques. So we've had large insurance companies come to us and say hey look, we hire three or four folks from you a quarter. That doesn't move the needle for us. What we really need is take the thousand actuaries and statisticians that we have and get all of them trained up to become a data scientist and become data literate in this new open source world. >> [Katie] Go ahead. >> All right, ladies first. >> Go ahead. >> Are you sure? >> No please, fight first. >> Go ahead. >> Go ahead Nir. >> So this is actually a trend that we have been seeing in the past year or so that companies kind of like start to look how to upscale and look for talent within the organization. So they can actually move them to become more literate and navigate 'em from analyst to data scientist. And from data scientist to machine learner. So this is actually a trend that is happening already for a year or so. >> Yeah, but I also find that after they've gone through that training in getting people skilled up in data science, the next problem that I get is executives coming to say we've invested in all of this. We're still not moving the needle. We've already invested in the right tools. We've gotten the right skills. We have enough scale of people who have these skills. Why are we not moving the needle? And what I explain to them is look, you're still making decisions in the same way. And you're still not involving enough of the non technical people. Especially from marketing, which is now, the CMO's are much more responsible for driving growth in their companies now. But often times it's so hard to change the old way of marketing, which is still like very segmentation. You know, demographic variable based, and we're trying to move people to say no, you have to understand the complexity of customers and not put them in boxes. >> And I think underlying a lot of this discussion is this question of culture, right? >> Yes. >> Absolutely. >> How do you build a data driven culture? And I think that that culture question, one of the ways that comes up quite often in especially in large, Fortune 500 enterprises, is that they are very, they're not very comfortable with sort of example, open source architecture. Open source tools. And there is some sort of residual bias that that's somehow dangerous. So security vulnerability. And I think that that's part of the cultural challenge that they often have in terms of how do I build a more data driven organization? Well a lot of the talent really wants to use these kind of tools. And I mean, just to give you an example, we are partnering with one of the major cloud providers to sort of help make open source tools more user friendly on their platform. So trying to help them attract the best technologists to use their platform because they want and they understand the value of having that kind of open source technology work seamlessly on their platforms. So I think that just sort of goes to show you how important open source is in this movement. And how much large companies and Fortune 500 companies and a lot of the ones we work with have to embrace that. >> Yeah, and I'm seeing it in our work. Even when we're working with Fortune 500 companies, is that they've already gone through the first phase of data science work. Where I explain it was all about the tools and getting the right tools and architecture in place. And then companies started moving into getting the right skill set in place. Getting the right talent. And what you're talking about with culture is really where I think we're talking about the third phase of data science, which is looking at communication of these technical frameworks so that we can get non technical people really comfortable in the same room with data scientists. That is going to be the phase, that's really where I see the pain point. And that's why at Sudden Compass, we're really dedicated to working with each other to figure out how do we solve this problem now? >> And I think that communication between the technical stakeholders and management and leadership. That's a very critical piece of this. You can't have a successful data science organization without that. >> Absolutely. >> And I think that actually some of the most popular trainings we've had recently are from managers and executives who are looking to say, how do I become more data savvy? How do I figure out what is this data science thing and how do I communicate with my data scientists? >> You guys made this way too easy. I was just going to get some popcorn and watch it play out. >> Nir, last 30 seconds. I want to leave you with an opportunity to, anything you want to add to this conversation? >> I think one thing to conclude is to say that companies that are not data driven is about time to hit refresh and figure how they transition the organization to become data driven. To become agile and nimble so they can actually see what opportunities from this important industrial revolution. Otherwise, unfortunately they will have hard time to survive. >> [Katie] All agreed? >> [Tricia] Absolutely, you're right. >> Michael, Trish, Nir, thank you so much. Fascinating discussion. And thank you guys again for joining us. We will be right back with another great demo. Right after this. >> Thank you Katie. >> Once again, thank you for an excellent discussion. Weren't they great guys? And thank you for everyone who's tuning in on the live webcast. As you can hear, we have an amazing studio audience here. And we're going to keep things moving. I'm now joined by Daniel Hernandez and Siva Anne. And we're going to turn our attention to how you can deliver on what they're talking about using data science experience to do data science faster. >> Thank you Katie. Siva and I are going to spend the next 10 minutes showing you how you can deliver on what they were saying using the IBM Data Science Experience to do data science faster. We'll demonstrate through new features we introduced this week how teams can work together more effectively across the entire analytics life cycle. How you can take advantage of any and all data no matter where it is and what it is. How you could use your favorite tools from open source. And finally how you could build models anywhere and employ them close to where your data is. Remember the financial adviser app Rob showed you? To build an app like that, we needed a team of data scientists, developers, data engineers, and IT staff to collaborate. We do this in the Data Science Experience through a concept we call projects. When I create a new project, I can now use the new Github integration feature. We're doing for data science what we've been doing for developers for years. Distributed teams can work together on analytics projects. And take advantage of Github's version management and change management features. This is a huge deal. Let's explore the project we created for the financial adviser app. As you can see, our data engineer Joane, our developer Rob, and others are collaborating this project. Joane got things started by bringing together the trusted data sources we need to build the app. Taking a closer look at the data, we see that our customer and profile data is stored on our recently announced IBM Integrated Analytics System, which runs safely behind our firewall. We also needed macro economic data, which she was able to find in the Federal Reserve. And she stored it in our Db2 Warehouse on Cloud. And finally, she selected stock news data from NASDAQ.com and landed that in a Hadoop cluster, which happens to be powered by Hortonworks. We added a new feature to the Data Science Experience so that when it's installed with Hortonworks, it automatically uses a need of security and governance controls within the cluster so your data is always secure and safe. Now we want to show you the news data we stored in the Hortonworks cluster. This is the mean administrative console. It's powered by an open source project called Ambari. And here's the news data. It's in parquet files stored in HDFS, which happens to be a distributive file system. To get the data from NASDAQ into our cluster, we used IBM's BigIntegrate and BigQuality to create automatic data pipelines that acquire, cleanse, and ingest that news data. Once the data's available, we use IBM's Big SQL to query that data using SQL statements that are much like the ones we would use for any relation of data, including the data that we have in the Integrated Analytics System and Db2 Warehouse on Cloud. This and the federation capabilities that Big SQL offers dramatically simplifies data acquisition. Now we want to show you how we support a brand new tool that we're excited about. Since we launched last summer, the Data Science Experience has supported Jupyter and R for data analysis and visualization. In this week's update, we deeply integrated another great open source project called Apache Zeppelin. It's known for having great visualization support, advanced collaboration features, and is growing in popularity amongst the data science community. This is an example of Apache Zeppelin and the notebook we created through it to explore some of our data. Notice how wonderful and easy the data visualizations are. Now we want to walk you through the Jupyter notebook we created to explore our customer preference for stocks. We use notebooks to understand and explore data. To identify the features that have some predictive power. Ultimately, we're trying to assess what ultimately is driving customer stock preference. Here we did the analysis to identify the attributes of customers that are likely to purchase auto stocks. We used this understanding to build our machine learning model. For building machine learning models, we've always had tools integrated into the Data Science Experience. But sometimes you need to use tools you already invested in. Like our very own SPSS as well as SAS. Through new import feature, you can easily import those models created with those tools. This helps you avoid vendor lock-in, and simplify the development, training, deployment, and management of all your models. To build the models we used in app, we could have coded, but we prefer a visual experience. We used our customer profile data in the Integrated Analytic System. Used the Auto Data Preparation to cleanse our data. Choose the binary classification algorithms. Let the Data Science Experience evaluate between logistic regression and gradient boosted tree. It's doing the heavy work for us. As you can see here, the Data Science Experience generated performance metrics that show us that the gradient boosted tree is the best performing algorithm for the data we gave it. Once we save this model, it's automatically deployed and available for developers to use. Any application developer can take this endpoint and consume it like they would any other API inside of the apps they built. We've made training and creating machine learning models super simple. But what about the operations? A lot of companies are struggling to ensure their model performance remains high over time. In our financial adviser app, we know that customer data changes constantly, so we need to always monitor model performance and ensure that our models are retrained as is necessary. This is a dashboard that shows the performance of our models and lets our teams monitor and retrain those models so that they're always performing to our standards. So far we've been showing you the Data Science Experience available behind the firewall that we're using to build and train models. Through a new publish feature, you can build models and deploy them anywhere. In another environment, private, public, or anywhere else with just a few clicks. So here we're publishing our model to the Watson machine learning service. It happens to be in the IBM cloud. And also deeply integrated with our Data Science Experience. After publishing and switching to the Watson machine learning service, you can see that our stock affinity and model that we just published is there and ready for use. So this is incredibly important. I just want to say it again. The Data Science Experience allows you to train models behind your own firewall, take advantage of your proprietary and sensitive data, and then deploy those models wherever you want with ease. So summarize what we just showed you. First, IBM's Data Science Experience supports all teams. You saw how our data engineer populated our project with trusted data sets. Our data scientists developed, trained, and tested a machine learning model. Our developers used APIs to integrate machine learning into their apps. And how IT can use our Integrated Model Management dashboard to monitor and manage model performance. Second, we support all data. On premises, in the cloud, structured, unstructured, inside of your firewall, and outside of it. We help you bring analytics and governance to where your data is. Third, we support all tools. The data science tools that you depend on are readily available and deeply integrated. This includes capabilities from great partners like Hortonworks. And powerful tools like our very own IBM SPSS. And fourth, and finally, we support all deployments. You can build your models anywhere, and deploy them right next to where your data is. Whether that's in the public cloud, private cloud, or even on the world's most reliable transaction platform, IBM z. So see for yourself. Go to the Data Science Experience website, take us for a spin. And if you happen to be ready right now, our recently created Data Science Elite Team can help you get started and run experiments alongside you with no charge. Thank you very much. >> Thank you very much Daniel. It seems like a great time to get started. And thanks to Siva for taking us through it. Rob and I will be back in just a moment to add some perspective right after this. All right, once again joined by Rob Thomas. And Rob obviously we got a lot of information here. >> Yes, we've covered a lot of ground. >> This is intense. You got to break it down for me cause I think we zoom out and see the big picture. What better data science can deliver to a business? Why is this so important? I mean we've heard it through and through. >> Yeah, well, I heard it a couple times. But it starts with businesses have to embrace a data driven culture. And it is a change. And we need to make data accessible with the right tools in a collaborative culture because we've got diverse skill sets in every organization. But data driven companies succeed when data science tools are in the hands of everyone. And I think that's a new thought. I think most companies think just get your data scientist some tools, you'll be fine. This is about tools in the hands of everyone. I think the panel did a great job of describing about how we get to data science for all. Building a data culture, making it a part of your everyday operations, and the highlights of what Daniel just showed us, that's some pretty cool features for how organizations can get to this, which is you can see IBM's Data Science Experience, how that supports all teams. You saw data analysts, data scientists, application developer, IT staff, all working together. Second, you saw how we support all tools. And your choice of tools. So the most popular data science libraries integrated into one platform. And we saw some new capabilities that help companies avoid lock-in, where you can import existing models created from specialist tools like SPSS or others. And then deploy them and manage them inside of Data Science Experience. That's pretty interesting. And lastly, you see we continue to build on this best of open tools. Partnering with companies like H2O, Hortonworks, and others. Third, you can see how you use all data no matter where it lives. That's a key challenge every organization's going to face. Private, public, federating all data sources. We announced new integration with the Hortonworks data platform where we deploy machine learning models where your data resides. That's been a key theme. Analytics where the data is. And lastly, supporting all types of deployments. Deploy them in your Hadoop cluster. Deploy them in your Integrated Analytic System. Or deploy them in z, just to name a few. A lot of different options here. But look, don't believe anything I say. Go try it for yourself. Data Science Experience, anybody can use it. Go to datascience.ibm.com and look, if you want to start right now, we just created a team that we call Data Science Elite. These are the best data scientists in the world that will come sit down with you and co-create solutions, models, and prove out a proof of concept. >> Good stuff. Thank you Rob. So you might be asking what does an organization look like that embraces data science for all? And how could it transform your role? I'm going to head back to the office and check it out. Let's start with the perspective of the line of business. What's changed? Well, now you're starting to explore new business models. You've uncovered opportunities for new revenue sources and all that hidden data. And being disrupted is no longer keeping you up at night. As a data science leader, you're beginning to collaborate with a line of business to better understand and translate the objectives into the models that are being built. Your data scientists are also starting to collaborate with the less technical team members and analysts who are working closest to the business problem. And as a data scientist, you stop feeling like you're falling behind. Open source tools are keeping you current. You're also starting to operationalize the work that you do. And you get to do more of what you love. Explore data, build models, put your models into production, and create business impact. All in all, it's not a bad scenario. Thanks. All right. We are back and coming up next, oh this is a special time right now. Cause we got a great guest speaker. New York Magazine called him the spreadsheet psychic and number crunching prodigy who went from correctly forecasting baseball games to correctly forecasting presidential elections. He even invented a proprietary algorithm called PECOTA for predicting future performance by baseball players and teams. And his New York Times bestselling book, The Signal and the Noise was named by Amazon.com as the number one best non-fiction book of 2012. He's currently the Editor in Chief of the award winning website, FiveThirtyEight and appears on ESPN as an on air commentator. Big round of applause. My pleasure to welcome Nate Silver. >> Thank you. We met backstage. >> Yes. >> It feels weird to re-shake your hand, but you know, for the audience. >> I had to give the intense firm grip. >> Definitely. >> The ninja grip. So you and I have crossed paths kind of digitally in the past, which it really interesting, is I started my career at ESPN. And I started as a production assistant, then later back on air for sports technology. And I go to you to talk about sports because-- >> Yeah. >> Wow, has ESPN upped their game in terms of understanding the importance of data and analytics. And what it brings. Not just to MLB, but across the board. >> No, it's really infused into the way they present the broadcast. You'll have win probability on the bottom line. And they'll incorporate FiveThirtyEight metrics into how they cover college football for example. So, ESPN ... Sports is maybe the perfect, if you're a data scientist, like the perfect kind of test case. And the reason being that sports consists of problems that have rules. And have structure. And when problems have rules and structure, then it's a lot easier to work with. So it's a great way to kind of improve your skills as a data scientist. Of course, there are also important real world problems that are more open ended, and those present different types of challenges. But it's such a natural fit. The teams. Think about the teams playing the World Series tonight. The Dodgers and the Astros are both like very data driven, especially Houston. Golden State Warriors, the NBA Champions, extremely data driven. New England Patriots, relative to an NFL team, it's shifted a little bit, the NFL bar is lower. But the Patriots are certainly very analytical in how they make decisions. So, you can't talk about sports without talking about analytics. >> And I was going to save the baseball question for later. Cause we are moments away from game seven. >> Yeah. >> Is everyone else watching game seven? It's been an incredible series. Probably one of the best of all time. >> Yeah, I mean-- >> You have a prediction here? >> You can mention that too. So I don't have a prediction. FiveThirtyEight has the Dodgers with a 60% chance of winning. >> [Katie] LA Fans. >> So you have two teams that are about equal. But the Dodgers pitching staff is in better shape at the moment. The end of a seven game series. And they're at home. >> But the statistics behind the two teams is pretty incredible. >> Yeah. It's like the first World Series in I think 56 years or something where you have two 100 win teams facing one another. There have been a lot of parity in baseball for a lot of years. Not that many offensive overall juggernauts. But this year, and last year with the Cubs and the Indians too really. But this year, you have really spectacular teams in the World Series. It kind of is a showcase of modern baseball. Lots of home runs. Lots of strikeouts. >> [Katie] Lots of extra innings. >> Lots of extra innings. Good defense. Lots of pitching changes. So if you love the modern baseball game, it's been about the best example that you've had. If you like a little bit more contact, and fewer strikeouts, maybe not so much. But it's been a spectacular and very exciting World Series. It's amazing to talk. MLB is huge with analysis. I mean, hands down. But across the board, if you can provide a few examples. Because there's so many teams in front offices putting such an, just a heavy intensity on the analysis side. And where the teams are going. And if you could provide any specific examples of teams that have really blown your mind. Especially over the last year or two. Because every year it gets more exciting if you will. I mean, so a big thing in baseball is defensive shifts. So if you watch tonight, you'll probably see a couple of plays where if you're used to watching baseball, a guy makes really solid contact. And there's a fielder there that you don't think should be there. But that's really very data driven where you analyze where's this guy hit the ball. That part's not so hard. But also there's game theory involved. Because you have to adjust for the fact that he knows where you're positioning the defenders. He's trying therefore to make adjustments to his own swing and so that's been a major innovation in how baseball is played. You know, how bullpens are used too. Where teams have realized that actually having a guy, across all sports pretty much, realizing the importance of rest. And of fatigue. And that you can be the best pitcher in the world, but guess what? After four or five innings, you're probably not as good as a guy who has a fresh arm necessarily. So I mean, it really is like, these are not subtle things anymore. It's not just oh, on base percentage is valuable. It really effects kind of every strategic decision in baseball. The NBA, if you watch an NBA game tonight, see how many three point shots are taken. That's in part because of data. And teams realizing hey, three points is worth more than two, once you're more than about five feet from the basket, the shooting percentage gets really flat. And so it's revolutionary, right? Like teams that will shoot almost half their shots from the three point range nowadays. Larry Bird, who wound up being one of the greatest three point shooters of all time, took only eight three pointers his first year in the NBA. It's quite noticeable if you watch baseball or basketball in particular. >> Not to focus too much on sports. One final question. In terms of Major League Soccer, and now in NFL, we're having the analysis and having wearables where it can now showcase if they wanted to on screen, heart rate and breathing and how much exertion. How much data is too much data? And when does it ruin the sport? >> So, I don't think, I mean, again, it goes sport by sport a little bit. I think in basketball you actually have a more exciting game. I think the game is more open now. You have more three pointers. You have guys getting higher assist totals. But you know, I don't know. I'm not one of those people who thinks look, if you love baseball or basketball, and you go in to work for the Astros, the Yankees or the Knicks, they probably need some help, right? You really have to be passionate about that sport. Because it's all based on what questions am I asking? As I'm a fan or I guess an employee of the team. Or a player watching the game. And there isn't really any substitute I don't think for the insight and intuition that a curious human has to kind of ask the right questions. So we can talk at great length about what tools do you then apply when you have those questions, but that still comes from people. I don't think machine learning could help with what questions do I want to ask of the data. It might help you get the answers. >> If you have a mid-fielder in a soccer game though, not exerting, only 80%, and you're seeing that on a screen as a fan, and you're saying could that person get fired at the end of the day? One day, with the data? >> So we found that actually some in soccer in particular, some of the better players are actually more still. So Leo Messi, maybe the best player in the world, doesn't move as much as other soccer players do. And the reason being that A) he kind of knows how to position himself in the first place. B) he realizes that you make a run, and you're out of position. That's quite fatiguing. And particularly soccer, like basketball, is a sport where it's incredibly fatiguing. And so, sometimes the guys who conserve their energy, that kind of old school mentality, you have to hustle at every moment. That is not helpful to the team if you're hustling on an irrelevant play. And therefore, on a critical play, can't get back on defense, for example. >> Sports, but also data is moving exponentially as we're just speaking about today. Tech, healthcare, every different industry. Is there any particular that's a favorite of yours to cover? And I imagine they're all different as well. >> I mean, I do like sports. We cover a lot of politics too. Which is different. I mean in politics I think people aren't intuitively as data driven as they might be in sports for example. It's impressive to follow the breakthroughs in artificial intelligence. It started out just as kind of playing games and playing chess and poker and Go and things like that. But you really have seen a lot of breakthroughs in the last couple of years. But yeah, it's kind of infused into everything really. >> You're known for your work in politics though. Especially presidential campaigns. >> Yeah. >> This year, in particular. Was it insanely challenging? What was the most notable thing that came out of any of your predictions? >> I mean, in some ways, looking at the polling was the easiest lens to look at it. So I think there's kind of a myth that last year's result was a big shock and it wasn't really. If you did the modeling in the right way, then you realized that number one, polls have a margin of error. And so when a candidate has a three point lead, that's not particularly safe. Number two, the outcome between different states is correlated. Meaning that it's not that much of a surprise that Clinton lost Wisconsin and Michigan and Pennsylvania and Ohio. You know I'm from Michigan. Have friends from all those states. Kind of the same types of people in those states. Those outcomes are all correlated. So what people thought was a big upset for the polls I think was an example of how data science done carefully and correctly where you understand probabilities, understand correlations. Our model gave Trump a 30% chance of winning. Others models gave him a 1% chance. And so that was interesting in that it showed that number one, that modeling strategies and skill do matter quite a lot. When you have someone saying 30% versus 1%. I mean, that's a very very big spread. And number two, that these aren't like solved problems necessarily. Although again, the problem with elections is that you only have one election every four years. So I can be very confident that I have a better model. Even one year of data doesn't really prove very much. Even five or 10 years doesn't really prove very much. And so, being aware of the limitations to some extent intrinsically in elections when you only get one kind of new training example every four years, there's not really any way around that. There are ways to be more robust to sparce data environments. But if you're identifying different types of business problems to solve, figuring out what's a solvable problem where I can add value with data science is a really key part of what you're doing. >> You're such a leader in this space. In data and analysis. It would be interesting to kind of peek back the curtain, understand how you operate but also how large is your team? How you're putting together information. How quickly you're putting it out. Cause I think in this right now world where everybody wants things instantly-- >> Yeah. >> There's also, you want to be first too in the world of journalism. But you don't want to be inaccurate because that's your credibility. >> We talked about this before, right? I think on average, speed is a little bit overrated in journalism. >> [Katie] I think it's a big problem in journalism. >> Yeah. >> Especially in the tech world. You have to be first. You have to be first. And it's just pumping out, pumping out. And there's got to be more time spent on stories if I can speak subjectively. >> Yeah, for sure. But at the same time, we are reacting to the news. And so we have people that come in, we hire most of our people actually from journalism. >> [Katie] How many people do you have on your team? >> About 35. But, if you get someone who comes in from an academic track for example, they might be surprised at how fast journalism is. That even though we might be slower than the average website, the fact that there's a tragic event in New York, are there things we have to say about that? A candidate drops out of the presidential race, are things we have to say about that. In periods ranging from minutes to days as opposed to kind of weeks to months to years in the academic world. The corporate world moves faster. What is a little different about journalism is that you are expected to have more precision where people notice when you make a mistake. In corporations, you have maybe less transparency. If you make 10 investments and seven of them turn out well, then you'll get a lot of profit from that, right? In journalism, it's a little different. If you make kind of seven predictions or say seven things, and seven of them are very accurate and three of them aren't, you'll still get criticized a lot for the three. Just because that's kind of the way that journalism is. And so the kind of combination of needing, not having that much tolerance for mistakes, but also needing to be fast. That is tricky. And I criticize other journalists sometimes including for not being data driven enough, but the best excuse any journalist has, this is happening really fast and it's my job to kind of figure out in real time what's going on and provide useful information to the readers. And that's really difficult. Especially in a world where literally, I'll probably get off the stage and check my phone and who knows what President Trump will have tweeted or what things will have happened. But it really is a kind of 24/7. >> Well because it's 24/7 with FiveThirtyEight, one of the most well known sites for data, are you feeling micromanagey on your people? Because you do have to hit this balance. You can't have something come out four or five days later. >> Yeah, I'm not -- >> Are you overseeing everything? >> I'm not by nature a micromanager. And so you try to hire well. You try and let people make mistakes. And the flip side of this is that if a news organization that never had any mistakes, never had any corrections, that's raw, right? You have to have some tolerance for error because you are trying to decide things in real time. And figure things out. I think transparency's a big part of that. Say here's what we think, and here's why we think it. If we have a model to say it's not just the final number, here's a lot of detail about how that's calculated. In some case we release the code and the raw data. Sometimes we don't because there's a proprietary advantage. But quite often we're saying we want you to trust us and it's so important that you trust us, here's the model. Go play around with it yourself. Here's the data. And that's also I think an important value. >> That speaks to open source. And your perspective on that in general. >> Yeah, I mean, look, I'm a big fan of open source. I worry that I think sometimes the trends are a little bit away from open source. But by the way, one thing that happens when you share your data or you share your thinking at least in lieu of the data, and you can definitely do both is that readers will catch embarrassing mistakes that you made. By the way, even having open sourceness within your team, I mean we have editors and copy editors who often save you from really embarrassing mistakes. And by the way, it's not necessarily people who have a training in data science. I would guess that of our 35 people, maybe only five to 10 have a kind of formal background in what you would call data science. >> [Katie] I think that speaks to the theme here. >> Yeah. >> [Katie] That everybody's kind of got to be data literate. >> But yeah, it is like you have a good intuition. You have a good BS detector basically. And you have a good intuition for hey, this looks a little bit out of line to me. And sometimes that can be based on domain knowledge, right? We have one of our copy editors, she's a big college football fan. And we had an algorithm we released that tries to predict what the human being selection committee will do, and she was like, why is LSU rated so high? Cause I know that LSU sucks this year. And we looked at it, and she was right. There was a bug where it had forgotten to account for their last game where they lost to Troy or something and so -- >> That also speaks to the human element as well. >> It does. In general as a rule, if you're designing a kind of regression based model, it's different in machine learning where you have more, when you kind of build in the tolerance for error. But if you're trying to do something more precise, then so much of it is just debugging. It's saying that looks wrong to me. And I'm going to investigate that. And sometimes it's not wrong. Sometimes your model actually has an insight that you didn't have yourself. But fairly often, it is. And I think kind of what you learn is like, hey if there's something that bothers me, I want to go investigate that now and debug that now. Because the last thing you want is where all of a sudden, the answer you're putting out there in the world hinges on a mistake that you made. Cause you never know if you have so to speak, 1,000 lines of code and they all perform something differently. You never know when you get in a weird edge case where this one decision you made winds up being the difference between your having a good forecast and a bad one. In a defensible position and a indefensible one. So we definitely are quite diligent and careful. But it's also kind of knowing like, hey, where is an approximation good enough and where do I need more precision? Cause you could also drive yourself crazy in the other direction where you know, it doesn't matter if the answer is 91.2 versus 90. And so you can kind of go 91.2, three, four and it's like kind of A) false precision and B) not a good use of your time. So that's where I do still spend a lot of time is thinking about which problems are "solvable" or approachable with data and which ones aren't. And when they're not by the way, you're still allowed to report on them. We are a news organization so we do traditional reporting as well. And then kind of figuring out when do you need precision versus when is being pointed in the right direction good enough? >> I would love to get inside your brain and see how you operate on just like an everyday walking to Walgreens movement. It's like oh, if I cross the street in .2-- >> It's not, I mean-- >> Is it like maddening in there? >> No, not really. I mean, I'm like-- >> This is an honest question. >> If I'm looking for airfares, I'm a little more careful. But no, part of it's like you don't want to waste time on unimportant decisions, right? I will sometimes, if I can't decide what to eat at a restaurant, I'll flip a coin. If the chicken and the pasta both sound really good-- >> That's not high tech Nate. We want better. >> But that's the point, right? It's like both the chicken and the pasta are going to be really darn good, right? So I'm not going to waste my time trying to figure it out. I'm just going to have an arbitrary way to decide. >> Serious and business, how organizations in the last three to five years have just evolved with this data boom. How are you seeing it as from a consultant point of view? Do you think it's an exciting time? Do you think it's a you must act now time? >> I mean, we do know that you definitely see a lot of talent among the younger generation now. That so FiveThirtyEight has been at ESPN for four years now. And man, the quality of the interns we get has improved so much in four years. The quality of the kind of young hires that we make straight out of college has improved so much in four years. So you definitely do see a younger generation for which this is just part of their bloodstream and part of their DNA. And also, particular fields that we're interested in. So we're interested in people who have both a data and a journalism background. We're interested in people who have a visualization and a coding background. A lot of what we do is very much interactive graphics and so forth. And so we do see those skill sets coming into play a lot more. And so the kind of shortage of talent that had I think frankly been a problem for a long time, I'm optimistic based on the young people in our office, it's a little anecdotal but you can tell that there are so many more programs that are kind of teaching students the right set of skills that maybe weren't taught as much a few years ago. >> But when you're seeing these big organizations, ESPN as perfect example, moving more towards data and analytics than ever before. >> Yeah. >> You would say that's obviously true. >> Oh for sure. >> If you're not moving that direction, you're going to fall behind quickly. >> Yeah and the thing is, if you read my book or I guess people have a copy of the book. In some ways it's saying hey, there are lot of ways to screw up when you're using data. And we've built bad models. We've had models that were bad and got good results. Good models that got bad results and everything else. But the point is that the reason to be out in front of the problem is so you give yourself more runway to make errors and mistakes. And to learn kind of what works and what doesn't and which people to put on the problem. I sometimes do worry that a company says oh we need data. And everyone kind of agrees on that now. We need data science. Then they have some big test case. And they have a failure. And they maybe have a failure because they didn't know really how to use it well enough. But learning from that and iterating on that. And so by the time that you're on the third generation of kind of a problem that you're trying to solve, and you're watching everyone else make the mistake that you made five years ago, I mean, that's really powerful. But that doesn't mean that getting invested in it now, getting invested both in technology and the human capital side is important. >> Final question for you as we run out of time. 2018 beyond, what is your biggest project in terms of data gathering that you're working on? >> There's a midterm election coming up. That's a big thing for us. We're also doing a lot of work with NBA data. So for four years now, the NBA has been collecting player tracking data. So they have 3D cameras in every arena. So they can actually kind of quantify for example how fast a fast break is, for example. Or literally where a player is and where the ball is. For every NBA game now for the past four or five years. And there hasn't really been an overall metric of player value that's taken advantage of that. The teams do it. But in the NBA, the teams are a little bit ahead of journalists and analysts. So we're trying to have a really truly next generation stat. It's a lot of data. Sometimes I now more oversee things than I once did myself. And so you're parsing through many, many, many lines of code. But yeah, so we hope to have that out at some point in the next few months. >> Anything you've personally been passionate about that you've wanted to work on and kind of solve? >> I mean, the NBA thing, I am a pretty big basketball fan. >> You can do better than that. Come on, I want something real personal that you're like I got to crunch the numbers. >> You know, we tried to figure out where the best burrito in America was a few years ago. >> I'm going to end it there. >> Okay. >> Nate, thank you so much for joining us. It's been an absolute pleasure. Thank you. >> Cool, thank you. >> I thought we were going to chat World Series, you know. Burritos, important. I want to thank everybody here in our audience. Let's give him a big round of applause. >> [Nate] Thank you everyone. >> Perfect way to end the day. And for a replay of today's program, just head on over to ibm.com/dsforall. I'm Katie Linendoll. And this has been Data Science for All: It's a Whole New Game. Test one, two. One, two, three. Hi guys, I just want to quickly let you know as you're exiting. A few heads up. Downstairs right now there's going to be a meet and greet with Nate. And we're going to be doing that with clients and customers who are interested. So I would recommend before the game starts, and you lose Nate, head on downstairs. And also the gallery is open until eight p.m. with demos and activations. And tomorrow, make sure to come back too. Because we have exciting stuff. I'll be joining you as your host. And we're kicking off at nine a.m. So bye everybody, thank you so much. >> [Announcer] Ladies and gentlemen, thank you for attending this evening's webcast. If you are not attending all cloud and cognitive summit tomorrow, we ask that you recycle your name badge at the registration desk. Thank you. Also, please note there are two exits on the back of the room on either side of the room. Have a good evening. Ladies and gentlemen, the meet and greet will be on stage. Thank you.

Published Date : Nov 1 2017

SUMMARY :

Today the ability to extract value from data is becoming a shared mission. And for all of you during the program, I want to remind you to join that conversation on And when you and I chatted about it. And the scale and complexity of the data that organizations are having to deal with has It's challenging in the world of unmanageable. And they have to find a way. AI. And it's incredible that this buzz word is happening. And to get to an AI future, you have to lay a data foundation today. And four is you got to expand job roles in the organization. First pillar in this you just discussed. And now you get to where we are today. And if you don't have a strategy for how you acquire that and manage it, you're not going And the way I think about that is it's really about moving from static data repositories And we continue with the architecture. So you need a way to federate data across different environments. So we've laid out what you need for driving automation. And so when you think about the real use cases that are driving return on investment today, Let's go ahead and come back to something that you mentioned earlier because it's fascinating And so the new job roles is about how does everybody have data first in their mind? Everybody in the company has to be data literate. So overall, group effort, has to be a common goal, and we all need to be data literate But at the end of the day, it's kind of not an easy task. It's not easy but it's maybe not as big of a shift as you would think. It's interesting to hear you say essentially you need to train everyone though across the And look, if you want to get your hands on code and just dive right in, you go to datascience.ibm.com. And I've heard that the placement behind those jobs, people graduating with the MS is high. Let me get back to something else you touched on earlier because you mentioned that a number They produce a lot of the shows that I'm sure you watch Katie. And this is a good example. So they have to optimize every aspect of their business from marketing campaigns to promotions And so, as we talk to clients we think about how do you start down this path now, even It's analytics first to the data, not the other way around. We as a practice, we say you want to bring data to where the data sits. And a Harvard Business Review even dubbed it the sexiest job of the 21st century. Female preferred, on the cover of Vogue. And how does it change everything? And while it's important to recognize this critical skill set, you can't just limit it And we call it clickers and coders. [Katie] I like that. And there's not a lot of things available today that do that. Because I hear you talking about the data scientists role and how it's critical to success, And my view is if you have the right platform, it enables the organization to collaborate. And every organization needs to think about what are the skills that are critical? Use this as your chance to reinvent IT. And I can tell you even personally being effected by how important the analysis is in working And think about if you don't do something. And now we're going to get to the fun hands on part of our story. And then how do you move analytics closer to your data? And in here I can see that JP Morgan is calling for a US dollar rebound in the second half But then where it gets interesting is you go to the bottom. data, his stock portfolios, and browsing behavior to build a model which can predict his affinity And so, as a financial adviser, you look at this and you say, all right, we know he loves And I want to do that by picking a auto stock which has got negative correlation with Ferrari. Cause you start clicking that and immediately we're getting instant answers of what's happening. And what I see here instantly is that Honda has got a negative correlation with Ferrari, As a financial adviser, you wouldn't think about federating data, machine learning, pretty And drive the machine learning into the appliance. And even score hundreds of customers for their affinities on a daily basis. And then you see when you deploy analytics next to your data, even a financial adviser, And as a data science leader or data scientist, you have a lot of the same concerns. But you guys each have so many unique roles in your business life. And just by looking at the demand of companies that wants us to help them go through this And I think the whole ROI of data is that you can now understand people's relationships Well you can have all the data in the world, and I think it speaks to, if you're not doing And I think that that's one of the things that customers are coming to us for, right? And Nir, this is something you work with a lot. And the companies that are not like that. Tricia, companies have to deal with data behind the firewall and in the new multi cloud And so that's why I think it's really important to understand that when you implement big And how are the clients, how are the users actually interacting with the system? And right now the way I see teams being set up inside companies is that they're creating But in order to actually see all of the RY behind the data, you also have to have a creative That's one of the things that we see a lot. So a lot of the training we do is sort of data engineers. And I think that's a very strong point when it comes to the data analysis side. And that's where you need the human element to come back in and say okay, look, you're And the people who are really great at providing that human intelligence are social scientists. the talent piece is actually the most important crucial hard to get. It may be to take folks internally who have a lot of that domain knowledge that you have And from data scientist to machine learner. And what I explain to them is look, you're still making decisions in the same way. And I mean, just to give you an example, we are partnering with one of the major cloud And what you're talking about with culture is really where I think we're talking about And I think that communication between the technical stakeholders and management You guys made this way too easy. I want to leave you with an opportunity to, anything you want to add to this conversation? I think one thing to conclude is to say that companies that are not data driven is And thank you guys again for joining us. And we're going to turn our attention to how you can deliver on what they're talking about And finally how you could build models anywhere and employ them close to where your data is. And thanks to Siva for taking us through it. You got to break it down for me cause I think we zoom out and see the big picture. And we saw some new capabilities that help companies avoid lock-in, where you can import And as a data scientist, you stop feeling like you're falling behind. We met backstage. And I go to you to talk about sports because-- And what it brings. And the reason being that sports consists of problems that have rules. And I was going to save the baseball question for later. Probably one of the best of all time. FiveThirtyEight has the Dodgers with a 60% chance of winning. So you have two teams that are about equal. It's like the first World Series in I think 56 years or something where you have two 100 And that you can be the best pitcher in the world, but guess what? And when does it ruin the sport? So we can talk at great length about what tools do you then apply when you have those And the reason being that A) he kind of knows how to position himself in the first place. And I imagine they're all different as well. But you really have seen a lot of breakthroughs in the last couple of years. You're known for your work in politics though. What was the most notable thing that came out of any of your predictions? And so, being aware of the limitations to some extent intrinsically in elections when It would be interesting to kind of peek back the curtain, understand how you operate but But you don't want to be inaccurate because that's your credibility. I think on average, speed is a little bit overrated in journalism. And there's got to be more time spent on stories if I can speak subjectively. And so we have people that come in, we hire most of our people actually from journalism. And so the kind of combination of needing, not having that much tolerance for mistakes, Because you do have to hit this balance. And so you try to hire well. And your perspective on that in general. But by the way, one thing that happens when you share your data or you share your thinking And you have a good intuition for hey, this looks a little bit out of line to me. And I think kind of what you learn is like, hey if there's something that bothers me, It's like oh, if I cross the street in .2-- I mean, I'm like-- But no, part of it's like you don't want to waste time on unimportant decisions, right? We want better. It's like both the chicken and the pasta are going to be really darn good, right? Serious and business, how organizations in the last three to five years have just And man, the quality of the interns we get has improved so much in four years. But when you're seeing these big organizations, ESPN as perfect example, moving more towards But the point is that the reason to be out in front of the problem is so you give yourself Final question for you as we run out of time. And so you're parsing through many, many, many lines of code. You can do better than that. You know, we tried to figure out where the best burrito in America was a few years Nate, thank you so much for joining us. I thought we were going to chat World Series, you know. And also the gallery is open until eight p.m. with demos and activations. If you are not attending all cloud and cognitive summit tomorrow, we ask that you recycle your

SENTIMENT ANALYSIS :

ENTITIES

EntityCategoryConfidence
Tricia WangPERSON

0.99+

KatiePERSON

0.99+

Katie LinendollPERSON

0.99+

RobPERSON

0.99+

GoogleORGANIZATION

0.99+

JoanePERSON

0.99+

DanielPERSON

0.99+

Michael LiPERSON

0.99+

Nate SilverPERSON

0.99+

AppleORGANIZATION

0.99+

HortonworksORGANIZATION

0.99+

TrumpPERSON

0.99+

NatePERSON

0.99+

HondaORGANIZATION

0.99+

SivaPERSON

0.99+

McKinseyORGANIZATION

0.99+

AmazonORGANIZATION

0.99+

Larry BirdPERSON

0.99+

2017DATE

0.99+

Rob ThomasPERSON

0.99+

MichiganLOCATION

0.99+

YankeesORGANIZATION

0.99+

New YorkLOCATION

0.99+

ClintonPERSON

0.99+

IBMORGANIZATION

0.99+

TescoORGANIZATION

0.99+

MichaelPERSON

0.99+

AmericaLOCATION

0.99+

LeoPERSON

0.99+

four yearsQUANTITY

0.99+

fiveQUANTITY

0.99+

30%QUANTITY

0.99+

AstrosORGANIZATION

0.99+

TrishPERSON

0.99+

Sudden CompassORGANIZATION

0.99+

Leo MessiPERSON

0.99+

two teamsQUANTITY

0.99+

1,000 linesQUANTITY

0.99+

one yearQUANTITY

0.99+

10 investmentsQUANTITY

0.99+

NASDAQORGANIZATION

0.99+

The Signal and the NoiseTITLE

0.99+

TriciaPERSON

0.99+

Nir KalderoPERSON

0.99+

80%QUANTITY

0.99+

BCGORGANIZATION

0.99+

Daniel HernandezPERSON

0.99+

ESPNORGANIZATION

0.99+

H2OORGANIZATION

0.99+

FerrariORGANIZATION

0.99+

last yearDATE

0.99+

18QUANTITY

0.99+

threeQUANTITY

0.99+

Data IncubatorORGANIZATION

0.99+

PatriotsORGANIZATION

0.99+