Big Data in 2015—Power to the People!

December 16, 2014

Last year I speculated that the big data ‘power curve’ in 2014 would be shaped by business demands for data blending. Customers presenting at our debut PentahoWorld conference last October, from Paytronix, to RichRelevance, to NASDAQ, certainly proved my speculations to be true. Businesses like these are examples of how increasingly large and varied data sets can be used to deliver high and sustainable ROI. In fact, Ventana Research recently confirmed that 22 percent of organizations now use upwards of 20 data sources, and 19 percent use between 11 – 20 data sources.[1]

Moving into 2015, and fired up by their initial big data bounties, businesses will seek even more power to explore data freely, structure their own data blends, and gain profitable insights faster. They know “there’s gold in them hills” and they want to mine for even more!

With that said, here are my big data predictions for 2015:

Big Data Meets the Big Blender!

The digital universe is exploding at a rate that even Carl Sagan might struggle to articulate. Analysts believe it’s doubling every year, but with the unstructured component doubling every three months. By 2025, IDC estimates that 40 percent of the digital universe will be generated by machine data and devices, while unstructured data is getting all the headlines.[2] The ROI business use cases we’ve seen require the blending of unstructured data with more traditional, relational, data. For example, one of the most common use cases we are helping companies create is a 360 view of their customers. The de facto reference architecture involves the blending of relational/transactional data detailing what the customer has bought, with unstructured weblog and clickstream data highlighting customer behavior patterns around what they might buy in the future. This blended data set is further mashed up with social media data describing sentiment around the company’s products and customer demographics. This “Big Blend” is fed into recommendation platforms to drive higher conversion rates, increase sales, and improve customer engagement. This “blended data” approach is fundamental to other popular big data use cases like Internet of Things, security and intelligence applications, supply chain management and regulatory and compliance demands in Financial Services, Healthcare and Telco industries.

Internet of Things Will Fuel the New ‘Industrial Internet’

Early big data adoption drove the birth of new business models at companies like our customers Beachmint and Paytronix. In 2015, I’m convinced that we’ll see big data starting to transform traditional industrial businesses by delivering operational, strategic and competitive advantage. Germany is running an ambitious Industry 4.0 project to create “Smart Factories” that are flexible, resource efficient, ergonomic and integrated with customers and business partners. The machine data generated from sensors and devices, are fueling key opportunities like Smart Homes, Smart Cities, and Smart Medicine, which all require big data analytics. Much like the ‘Industrial Internet’ movement in the U.S., Industry 4.0 is is being defined by the Internet of Things. According to Wikibon, the value of efficiency from machine data could reach close to $1.3 trillion dollars and will drive $514B in IT spend by 2020.[3]The bottlenecks are challenges related to data security and governance, data silos, and systems integration.

Big Data Gets Cloudy!

As companies with huge data volumes seek to operate in more elastic environments, we’re starting to see some running all, or part of, their big data infrastructures in the cloud. This says to me that the cloud is now “IT approved” as a safe, secure, and flexible data host. At PentahoWorld, I told a story about a “big datathrow down” that occurred during our Strategic Advisory Board meeting. At one point in the meeting, two enterprise customers in highly regulated industries started one-upping each other about how much data they stored in Amazon Redshift Cloud. One shared that they processed and analysed 5-7 billion records daily.. The next shared that they stored a half petabyte of new data every day and on top of that, they had to hold the data for seven years while still making it available for quick analysis. Both of these customers are held to the highest standards for data governance and compliance – regardless of who won, the forecast for their big data environments is the cloud!

Embedded Analytics is the New BI

Although “classic BI,” which involves a business analyst looking at data with a separate tool outside the flow of the business application, will be around for a while, a new wave is rising in which business users increasingly consume analytics embedded within applications to drive faster, smarter decisions. Gartner’s latest research estimates that more than half the enterprises that use BI now use embedded analytics.[4] Whether it’s a RichRelevance data scientist building a predictive algorithm for a recommendation engine, or a marketing director accessing Marketo to consume analytics related to lead scoring or campaign effectiveness, the way our customers are deploying Pentaho leave me with no doubt that this prediction will bear out.

As classic BI matured, we witnessed a final “tsunami” in which data visualization and self-service inspired business people to imagine the potential for advanced analytics. Users could finally see all their data – warts and all – and also start to experiment with rudimentary blending techniques. Self-service and data visualization prepared the market for what I firmly expect to be the most significant analytics trend in 2015….

Data Refineries Give Real Power to the People!

The big data stakes are higher than ever before. No longer just about quantifying ‘virtual’ assets like sentiment and preference, analytics are starting to inform how we manage physical assets like inventory, machines and energy. This means companies must turn their focus to the traditional ETL processes that result in safe, clean and trustworthy data. However, for the types of ROI use cases we’re talking about today, this traditional IT process needs to be made fast, easy, highly scalable, cloud-friendly and accessible to business. And this has been a stumbling block – until now. Enter Pentaho’s Streamlined Data Refinery, a market-disrupting innovation that effectively brings the power of governed data delivery to “the people,” unlocking big data’s full operational potential. I’m tremendously excited about 2015 and the journey we’re on with both customers and partners. You’re going to hear a lot more about the Streamlined Data Refinery in 2015 – and that’s a prediction I can guarantee will come true!

Finally, as I promised at PentahoWorld in October, we’re only going to succeed when you tell us you’ve delivered an ROI for your business. Let’s go forth and prosper together in 2015!

Quentin Gallivan, CEO, Pentaho

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[1] Ventana Research, Big Data Integration Report, Tony Cosentino and Mark Smith, May 2014.

[2] IDC, The Digital Universe of Opportunities: Rich Data and the Increasing Value of the Internet of Things, Gantz, Minton, Turner, Reinsel, Turner, April 2014.

[3] Wikibon, Defining and Sizing the Industrial Internet, David Floyer, June 2013.

[4] Gartner, Use Embedded Analytics to Extend the Reach and Benefits of Business Analytics, Daniel Yuen, October 3, 2014.


Webdetails and the art of the possible

April 22, 2013

wd_pentaho_horizontalIn business analytics, we hear so much these days about the growing role that data scientists play in helping organizations tap into big data to reach their goals. However, in certain scenarios, from hospitals to hospitality, information also needs to be designed with a combination of style, accessibility and consistency. In these cases, sometimes you may also need a data artist!

With that, I am very pleased to announce today that Webdetails, an exceptionally talented team of ‘data artists’ based in Portugal, have joined the Pentaho family through acquisition. Webdetails’ team of 20 will join our global development team, adding advanced capabilities in high-end, user interface design. Many of our customers and users reading this will already be familiar with Webdetails’ popular CTools plug-ins for creating dashboards and reports.

For several years now, Webdetails has been serving Pentaho customers including 4SightBI, St. Antonius Hospital, and our award-winning customer Stonegate Senior Living, showing them ‘the art of the possible’ when it comes to visually presenting their data. With its expertise in custom visual interfaces, if a customer can imagine it, Webdetails can create it using its CTools plugins and Pentaho’s extensible platform.

Finally, I am delighted that Webdetails’ Founder Pedro Alves, a respected, active member of the Pentaho open source community, will take on the new role of Senior VP, Community for Pentaho, as well as continue in his role as General Manager of Webdetails. Pedro is ideal for this role, having recently collaborated with us to launch the Pentaho Marketplace, where developers can share, install and load cool plug-ins.

So dare to dream! If you want to create interfaces that dazzle and delight your users, visit Pentaho.com and let us show you the art of the possible.

Quentin


Pentaho update to BBBT

July 24, 2012

Pentaho had the privilege of briefing the Boulder BI Brain Trust (BBBT) on July 20, 2012. The Boulder BI Brain Trust is a gathering of leading BI analysts, experts, and practitioners who attend half-day presentations from interesting and innovative BI vendors. After a very interactive morning presenting to the group, Pentaho CEO, Quentin Gallivan and SVP of Products, Jake Cornelius sat down with Claudia Imhoff, president and founder of the BBBT to discuss some of her questions from the morning about Pentaho.

The result is an excellent update about Pentaho products, technology and overall direction. Listen to a podcast of this interview to learn the following about Pentaho:

  • How Pentaho is differentiated?
  • What are the market forces for business analytics and how are they converging?
  • How is Pentaho meeting changes in market?
  • Overview of the Pentaho platform
  • What’s the reason for the BI embedded analytics trend?
  • What are some Pentaho big data customer examples?
  • What’s in the near future for Pentaho and its products?

Listen now: Claudia Imhoff interview with Pentaho leaders Quentin Gallivan, CEO and Jake Cornelius, SVP of Products


Pentaho News Recap Dec 5-9

December 12, 2011

Last week (Dec 5-9)  was an exciting week for Pentaho in the press, with analyst and customers. Here’s a short recap:

Announcements

Customers in the news

Pentaho European Press and Analyst tour

Pentaho new CEO, Quentin Gallivan, visited five countries in five days and was able to meet with several influential press, analyst, customers and the EMEA Pentaho team. The great press from this tour is just starting to publish. Here are a few articles that have appeared:


Pentaho Expands Big Data Support with EMC Greenplum UAP

December 8, 2011

Today EMC Greenplum announced the industry’s next-generation platform for big data analytics—the EMC Greenplum Unified Analytics Platform (UAP). This platform combines co-processing of structured and unstructured data with a productivity engine that empowers and shatters current barriers to collaboration among data science teams.

Pentaho is proud to participate as a preferred Data Integration Partner for the EMC Greenplum UAP. A great boost for the productivity of data scientists, Pentaho plus the UAP make it easy to extract business intelligence out of unstructured data with the exact same tools and interfaces they use to access, visualize and analyze structured data.

This adds to Pentaho’s big data strategy and another step in our ongoing relationship with EMC Greenplum. Just back in May, we announced Pentaho support for the EMC® Greenplum® distribution of Hadoop, as well as native support for the Greenplum Database GPLoad (bulk loader).

A hybrid architecture that combines Hadoop with data marts and warehouses are a critical part of any effective business analytics architecture, so providing powerful and easy-to-use data integration, which is natively integrated with Hadoop, is a key piece of UAP. That’s why we believe Pentaho Data Integration is perfect for use as a part of UAP, especially as it provides the deepest available native integration with Hadoop, as well as native integration with the Greenplum Database and bulk loader.

The EMC Greenplum UAP is a giant step forward in simplifying the management, integration, and analysis of big data. It’s all about lowering the barriers to adoption, by simplifying working with big data analytics for IT, through things like providing familiar graphical interfaces for managing and analyzing big data, and orchestrating big data tasks. Then for business users, it’s about making it quick and easy for them to access and analyze big data.

Quentin

Fore more details, check out the video I recorded with the EMC Greenplum team discussing our technology and participation as a Preferred Data Integration Partner (I appear at 0:42):


Building the Future of Analytics

December 1, 2011

It has been a terrific first two months at Pentaho; the excitement from our employees, customers and partners for helping Pentaho build the future of analytics has been profound.

We believe the future of analytics is all about building a modern platform that allows business users and technologists the ability to interact with their data in an easy, visual way. The consumerization of IT requires the traditional analytics functions regarding data extraction and transformation, metrics creation, ad hoc analysis and reporting to be done in a “point and click” and “drag and drop” fashion.  The latest Pentaho Business Analytics release delivers on such a premise and provides “Power to the user.”

We’ve had great feedback on how IT professionals love the visual, non-programmatic way Pentaho integrates any data source from traditional relational sources such as Oracle, SAP and MySQL, to SaaS applications like Salesforce, to non-relational sources including Hadoop, NoSQL and MPP, to analytic platforms including EMC, Teradata and IBM. Plus, the ease of all ETL functions are accomplished with a simple point and click.

Business users are free to create measures, metrics and on-the-fly reports. Deep ad hoc analysis and predictive analytical features are a drag and drop away.

Another design tenant Pentaho has built for the modern analytics platform is an open architecture and plug-in framework. We understand that our customers require freedom of choice selecting databases, plug-in end user components and web services. Pentaho’s open source heritage and extensible plug-in framework allows business users and IT professionals to easily integrate preferred components to fulfill their analytical needs.

The future of analytics is ensuring that our customers can easily gain insight from emerging technology trends including big data, Cloud computing and mobility.

Pentaho has released robust big data analytics solutions, which allow customers to truly “operationalize” big data applications. Pentaho is focused on helping customers address the biggest pain points around big data as well as the challenges of getting non-relational data in and out of Hadoop and into the hands of business users who can gain insight from reporting and ad hoc analysis. We already have several customers in the media and retail verticals who have tapped into big data for market analysis, customer sentiment and website analytics using Pentaho solutions.

Our modern technology platform was designed with Cloud computing in mind. Pentaho’s service oriented architecture allows SaaS and Cloud companies to easily embed rich analytics into their applications. Customers like Marketo, ExactTarget and Cipal have enhanced their service offerings with advanced analytics for their customers. Additionally, the Pentaho suite is integrated with common platform as a service (PaaS) and infrastructure as a service (IaaS) offerings, including Amazon Web Services and RackSpace for customers who would prefer to run their analytic applications in the Cloud.

We constantly strive to make our products more relevant. As our customers look to empower remote employees with better insight and analytics, Pentaho has released a rich mobile solution for tablets including the iPad.

The big idea for the future of analytics is allowing customers to freely move and easily integrate analytical applications between the traditional world of transactional, relational data and the new world of web, social and device data. The ultimate goal is to provide deep business insight by enabling users to easily mash-up data from traditional relational applications, such as Oracle, SAP and Microsoft, with web and social data sitting in Hadoop and NoSQL data stores.

I would be remiss not to mention that a major business design goal for the future of analytics is price performance and value. Building on our foundation of being easy to do business with from evaluation to renewal, Pentaho is continually improving its support and services. In the past year, we have added the Customer Success Team to provide additional customer service to our direct and OEM customers worldwide, created a specialized OEM services team and enhanced our support platform by migrating to Zendesk. All of this while still delivering the future of analytics at 20 percent of the cost of traditional analytics solutions from the mega vendors!

The future of analytics is here and now with Pentaho. I look forward to the journey!

Quentin


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