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http://www.analytics-magazine.org<br /> Analytics<br /> DRIVING BETTER BUSINESS DECISIONS<br /> JULY/AUGUST 2013<br /> Brought to you by:<br /> Advent of the Data Scientist<br /> Why it’s the ‘sexiest job of the 21st century’<br /> Also inside:<br /> • Analytics & BPM <br /> ‘SMAC’ delivers one-two punch<br /> • Predictive Analytics<br /> Harnessing the power of big data<br /> • Forecasting & Optimization<br /> Perfect technology for complex sourcing<br /> Executive Edge<br /> FICO chief analytics officer Andrew Jennings on what makes a good data scientistINSIDE STORY<br /> Big bang theory of analytics<br /> FICO recently published an eye-popping infographic called “The Analytics Big Bang” that, according to an accompanying press release, “traces predictive analytics from the dawn of the computer age in the 1940s through the present day, and cites compelling evidence indicating that the analytics industry is at an inflection point.”<br /> The compelling evidence in<a title="Analytics, July/Aug 2013 page 1" href="http://viewer.zmags.com/publication/b5dbd2f8?page=1">http://www.analytics-magazine.org Analytics DR</a> <a title="Analytics, July/Aug 2013 page 2" href="http://viewer.zmags.com/publication/b5dbd2f8?page=2">INSIDE STORY Big bang theory of analytics FI</a> <a title="Analytics, July/Aug 2013 page 3" href="http://viewer.zmags.com/publication/b5dbd2f8?page=3">AIMMS Paragon Decision Technology</a> <a title="Analytics, July/Aug 2013 page 4" href="http://viewer.zmags.com/publication/b5dbd2f8?page=4">CONTENTS Features Analytics & BPM By Malcolm </a> <a title="Analytics, July/Aug 2013 page 5" href="http://viewer.zmags.com/publication/b5dbd2f8?page=5">Frontline Solvers - Analytics Solver Platform</a> <a title="Analytics, July/Aug 2013 page 6" href="http://viewer.zmags.com/publication/b5dbd2f8?page=6">Departments Inside Story Executive Edge A</a> <a title="Analytics, July/Aug 2013 page 7" href="http://viewer.zmags.com/publication/b5dbd2f8?page=7">Frontline Solvers - Analytics Solver Platform</a> <a title="Analytics, July/Aug 2013 page 8" href="http://viewer.zmags.com/publication/b5dbd2f8?page=8">EXECUTIVE EDGE What makes a good data scientist</a> <a title="Analytics, July/Aug 2013 page 9" href="http://viewer.zmags.com/publication/b5dbd2f8?page=9">hiring autonomous analytics teams that work across</a> <a title="Analytics, July/Aug 2013 page 10" href="http://viewer.zmags.com/publication/b5dbd2f8?page=10">EXECUTIVE EDGE an organization are not easy to </a> <a title="Analytics, July/Aug 2013 page 11" href="http://viewer.zmags.com/publication/b5dbd2f8?page=11">Frontline Solvers - Solver SDK Platform</a> <a title="Analytics, July/Aug 2013 page 12" href="http://viewer.zmags.com/publication/b5dbd2f8?page=12">EXECUTIVE EDGE data doesn’t guarantee the right</a> <a title="Analytics, July/Aug 2013 page 13" href="http://viewer.zmags.com/publication/b5dbd2f8?page=13">who says they’re a modeling superstar but in fact </a> <a title="Analytics, July/Aug 2013 page 14" href="http://viewer.zmags.com/publication/b5dbd2f8?page=14">Analyze This! Silicon Valley’s ‘serial entrepre</a> <a title="Analytics, July/Aug 2013 page 15" href="http://viewer.zmags.com/publication/b5dbd2f8?page=15">to happen on the Stanford campus, and many analyti</a> <a title="Analytics, July/Aug 2013 page 16" href="http://viewer.zmags.com/publication/b5dbd2f8?page=16">Analyze This! supply chains, including the impa</a> <a title="Analytics, July/Aug 2013 page 17" href="http://viewer.zmags.com/publication/b5dbd2f8?page=17">INFORMS - Certified Analytics Professional CAP</a> <a title="Analytics, July/Aug 2013 page 18" href="http://viewer.zmags.com/publication/b5dbd2f8?page=18">Analyze This! correlations and opportunities. T</a> <a title="Analytics, July/Aug 2013 page 19" href="http://viewer.zmags.com/publication/b5dbd2f8?page=19">SAS - Visual Analytics</a> <a title="Analytics, July/Aug 2013 page 20" href="http://viewer.zmags.com/publication/b5dbd2f8?page=20">VIEWPOINT O.R. vs. analytics … and now data sci</a> <a title="Analytics, July/Aug 2013 page 21" href="http://viewer.zmags.com/publication/b5dbd2f8?page=21">in “Data Science: An Action Plan for Expanding the</a> <a title="Analytics, July/Aug 2013 page 22" href="http://viewer.zmags.com/publication/b5dbd2f8?page=22">VIEWPOINT Creating data products requires a str</a> <a title="Analytics, July/Aug 2013 page 23" href="http://viewer.zmags.com/publication/b5dbd2f8?page=23">INFORMS - Continuing Education</a> <a title="Analytics, July/Aug 2013 page 24" href="http://viewer.zmags.com/publication/b5dbd2f8?page=24">VIEWPOINT Java for production analytics, with r</a> <a title="Analytics, July/Aug 2013 page 25" href="http://viewer.zmags.com/publication/b5dbd2f8?page=25"> The Trade Extensions platform allows yo</a> <a title="Analytics, July/Aug 2013 page 26" href="http://viewer.zmags.com/publication/b5dbd2f8?page=26">FORUM Oil & gas producers need to tame the gush</a> <a title="Analytics, July/Aug 2013 page 27" href="http://viewer.zmags.com/publication/b5dbd2f8?page=27">feet drilled per hour or day, obstacles encountere</a> <a title="Analytics, July/Aug 2013 page 28" href="http://viewer.zmags.com/publication/b5dbd2f8?page=28">FORUM These unconventional sources pose unique </a> <a title="Analytics, July/Aug 2013 page 29" href="http://viewer.zmags.com/publication/b5dbd2f8?page=29">as they could, nor will they manage their operatio</a> <a title="Analytics, July/Aug 2013 page 30" href="http://viewer.zmags.com/publication/b5dbd2f8?page=30">SOCIAL, MOBILE, ANALYTICS & CLOUD Analytics & B</a> <a title="Analytics, July/Aug 2013 page 31" href="http://viewer.zmags.com/publication/b5dbd2f8?page=31">doesn’t address the importance of analytics at all</a> <a title="Analytics, July/Aug 2013 page 32" href="http://viewer.zmags.com/publication/b5dbd2f8?page=32">SMAC delivers collection of records – essential</a> <a title="Analytics, July/Aug 2013 page 33" href="http://viewer.zmags.com/publication/b5dbd2f8?page=33">The worksocial model applied to data analysis and </a> <a title="Analytics, July/Aug 2013 page 34" href="http://viewer.zmags.com/publication/b5dbd2f8?page=34">SMAC DELIVERS The company’s wind farms generate</a> <a title="Analytics, July/Aug 2013 page 35" href="http://viewer.zmags.com/publication/b5dbd2f8?page=35">Join INFORMS</a> <a title="Analytics, July/Aug 2013 page 36" href="http://viewer.zmags.com/publication/b5dbd2f8?page=36">SMAC DELIVERS inspectors to then sit with store</a> <a title="Analytics, July/Aug 2013 page 37" href="http://viewer.zmags.com/publication/b5dbd2f8?page=37">elements. Processes can be designed to read extern</a> <a title="Analytics, July/Aug 2013 page 38" href="http://viewer.zmags.com/publication/b5dbd2f8?page=38">COMPETITIVE EDGE Predictive analytics Harnessi</a> <a title="Analytics, July/Aug 2013 page 39" href="http://viewer.zmags.com/publication/b5dbd2f8?page=39">bestows power upon an organization: Big business s</a> <a title="Analytics, July/Aug 2013 page 40" href="http://viewer.zmags.com/publication/b5dbd2f8?page=40">PREDICTIVE ANALYTICS • Vegetarians miss fewer </a> <a title="Analytics, July/Aug 2013 page 41" href="http://viewer.zmags.com/publication/b5dbd2f8?page=41">to vote adversely. Acting on these predictions was</a> <a title="Analytics, July/Aug 2013 page 42" href="http://viewer.zmags.com/publication/b5dbd2f8?page=42">PREDICTIVE ANALYTICS dropped calls, your phone </a> <a title="Analytics, July/Aug 2013 page 43" href="http://viewer.zmags.com/publication/b5dbd2f8?page=43">Foresight</a> <a title="Analytics, July/Aug 2013 page 44" href="http://viewer.zmags.com/publication/b5dbd2f8?page=44">SUPPLY CHAIN MANAGEMENT Forecasting and optimiz</a> <a title="Analytics, July/Aug 2013 page 45" href="http://viewer.zmags.com/publication/b5dbd2f8?page=45">seen a dramatic change in the way large organizati</a> <a title="Analytics, July/Aug 2013 page 46" href="http://viewer.zmags.com/publication/b5dbd2f8?page=46">SUPPLY CHAIN MANAGEMENT is to optimize the manu</a> <a title="Analytics, July/Aug 2013 page 47" href="http://viewer.zmags.com/publication/b5dbd2f8?page=47">business uses to determine its day-to-day operatio</a> <a title="Analytics, July/Aug 2013 page 48" href="http://viewer.zmags.com/publication/b5dbd2f8?page=48">SUPPLY CHAIN MANAGEMENT of magnitude between di</a> <a title="Analytics, July/Aug 2013 page 49" href="http://viewer.zmags.com/publication/b5dbd2f8?page=49">resources over the cloud. While it’s commonplace f</a> <a title="Analytics, July/Aug 2013 page 50" href="http://viewer.zmags.com/publication/b5dbd2f8?page=50">LOAD FORECASTING Utilities dust off the forecas</a> <a title="Analytics, July/Aug 2013 page 51" href="http://viewer.zmags.com/publication/b5dbd2f8?page=51">better understand customers, design demand respons</a> <a title="Analytics, July/Aug 2013 page 52" href="http://viewer.zmags.com/publication/b5dbd2f8?page=52">LOAD FORECASTING means that all the data about </a> <a title="Analytics, July/Aug 2013 page 53" href="http://viewer.zmags.com/publication/b5dbd2f8?page=53">Booz Allen Hamilton</a> <a title="Analytics, July/Aug 2013 page 54" href="http://viewer.zmags.com/publication/b5dbd2f8?page=54">LOAD FORECASTING is reduced. Unfortunately, mak</a> <a title="Analytics, July/Aug 2013 page 55" href="http://viewer.zmags.com/publication/b5dbd2f8?page=55">SAS</a> <a title="Analytics, July/Aug 2013 page 56" href="http://viewer.zmags.com/publication/b5dbd2f8?page=56">LOAD FORECASTING Siloed forecasting teams may u</a> <a title="Analytics, July/Aug 2013 page 57" href="http://viewer.zmags.com/publication/b5dbd2f8?page=57">sets all have access to quality data and are not t</a> <a title="Analytics, July/Aug 2013 page 58" href="http://viewer.zmags.com/publication/b5dbd2f8?page=58">COMBATING CORPORATE FRAUD Forensic Analytics A</a> <a title="Analytics, July/Aug 2013 page 59" href="http://viewer.zmags.com/publication/b5dbd2f8?page=59">While such experiences may have induced a sense of</a> <a title="Analytics, July/Aug 2013 page 60" href="http://viewer.zmags.com/publication/b5dbd2f8?page=60">FORENSIC ANALYTICS Myth 1: Fraud detection need</a> <a title="Analytics, July/Aug 2013 page 61" href="http://viewer.zmags.com/publication/b5dbd2f8?page=61">fraudster, could have helped detect the 50-person </a> <a title="Analytics, July/Aug 2013 page 62" href="http://viewer.zmags.com/publication/b5dbd2f8?page=62">FORENSIC ANALYTICS • Forensic analytics requir</a> <a title="Analytics, July/Aug 2013 page 63" href="http://viewer.zmags.com/publication/b5dbd2f8?page=63">INFORMS - Job Placement Services</a> <a title="Analytics, July/Aug 2013 page 64" href="http://viewer.zmags.com/publication/b5dbd2f8?page=64">SOFT SKILLS Fundamental principles of analytic </a> <a title="Analytics, July/Aug 2013 page 65" href="http://viewer.zmags.com/publication/b5dbd2f8?page=65">Analytic ideas and findings are often surprising, </a> <a title="Analytics, July/Aug 2013 page 66" href="http://viewer.zmags.com/publication/b5dbd2f8?page=66">ANALYTIC COMMUNICATION principles in the theory</a> <a title="Analytics, July/Aug 2013 page 67" href="http://viewer.zmags.com/publication/b5dbd2f8?page=67">• One of the rules of journalism is not to “bury </a> <a title="Analytics, July/Aug 2013 page 68" href="http://viewer.zmags.com/publication/b5dbd2f8?page=68">ANALYTIC COMMUNICATION audience understands the</a> <a title="Analytics, July/Aug 2013 page 69" href="http://viewer.zmags.com/publication/b5dbd2f8?page=69">solve a problem they’ve encountered or, even if tr</a> <a title="Analytics, July/Aug 2013 page 70" href="http://viewer.zmags.com/publication/b5dbd2f8?page=70">ANALYTIC COMMUNICATION exaggerate the implicati</a> <a title="Analytics, July/Aug 2013 page 71" href="http://viewer.zmags.com/publication/b5dbd2f8?page=71">the analyst from the message. 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