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© 2016 IBM Corporation
Introduction to Big Data,
Analytics and the Hybrid
Cloud
© 2016 IBM Corporation2
About Me
Ian Balina
 Big data visionary and story teller
 10+ years in software industry
 Previous experience as software
developer and Deloitte consultant
Ian Balina
Open Source Analytics Sales Evangelist
Retail, CPG and Travel Industry
© 2016 IBM Corporation3
Agenda
 The story of Big Data
 Hadoop
 The emergence of Big Data
Analytics
 Spark
 The birth of the Cloud
 Hybrid Cloud
© 2016 IBM Corporation4
An overview on Big Data, Analytics and the Cloud
 The story of Big Data
 Expensive data
warehouse
 Commodity servers?
2.5 million items
per minute
300,000 tweets
per minute
200 million emails
per minute 220,000 photos
per minute
5 TB per flight
> 1 PB per day
gas turbines
© 2016 IBM Corporation5
An overview on Big Data, Analytics and the Cloud
 The story of Big Data
 Hadoop: reliable, scalable,
distributed computing and
data storage
© 2016 IBM Corporation6
An overview on Big Data, Analytics and the Cloud
 The story of Big Data
 Hadoop
 The emergence of Big Data Analytics
 FAST DATA
#PerishableInsights
Insights that can provide
exponentially more value
than traditional analytics
but the value expires and
evaporates once the
moment is gone
Forrester: Mike Gualtieri, Principal Analyst
Value
Event
Action with traditional
analytics
Immediate Action
Time
Lost Revenue
© 2016 IBM Corporation7
An overview on Big Data, Analytics and the Cloud
 The story of Big Data
 Hadoop
 The emergence of Big Data Analytics
 Spark: open source data processing engine built
for speed, ease of use, and sophisticated
analytics
Hadoop
, 110
Spark,
0.9
0
20
40
60
80
100
120
Logistic Regression in
Hadoop & Spark
Hadoop
Spark
Graph Analytics
Fast and integrated
graph computation
Stream Processing
Near real-time data
processing & analytics
Machine Learning
Incredibly fast, easy to
deploy algorithms
Unified Data Access
Fast, familiar query
language for all data
SparkCore
Spark SQL
Spark
Streaming
MLlib
(machine
learning)
GraphX
(graph)
© 2013 IBM Corporation8
“Using IBM Analytics for Apache Spark, we can
now give in-store teams valuable insight in
seconds.”
—Ram Himmatraopet, Founder & CEO, SmarterData
Business challenge
To help its clients navigate the uncertainties of the digital-age
retail industry, SmarterData wanted to find new ways to
provide relevant, actionable, data-driven insights into
consumer behavior.
Transformation
SmarterData uses IBM Analytics for Apache Spark to deliver intelligent
applications that combine operational and contextual data to help
retailers understand consumers’ behavior and desires.
Helping retailers redefine practices
for the digital age
Based in San Ramon, California, Smarter Data, Inc.
leverages advanced data science technologies –
predictive and prescriptive analytics – to help
companies achieve relevance with their customers
both online and in a retail environment, and manage
the demands of digital-age business challenges.
Business benefits:
Empowers
retailers with data-driven
insights into consumer
behavior, helping drive sales
Helps
in-store teams provide smarter
customer service based on
real-time analysis
Leverages
contextual data to predict
individual needs and create
personalized offers
© 2016 IBM Corporation9
An overview on Big Data, Analytics and the Cloud
 The story of Big Data
 Hadoop
 The emergence of Big Data Analytics
 Spark
 The birth of the Cloud
Infrastructure as
a Service
Code
Data
Runtime
Middleware
OS
Virtualization
Servers
Storage
Networking
Code
Data
Runtime
Middleware
OS
Virtualization
Servers
Storage
Networking
Platform as a
Service
Code
Data
Runtime
Middleware
OS
Virtualization
Servers
Storage
Networking
Code
Data
Runtime
Middleware
OS
Virtualization
Servers
Storage
Networking
Software as a
Service
Traditional IT – On-
premise or Hosted
Customer Managed
Service Provider Managed
© 2016 IBM Corporation10
An overview on Big Data, Analytics and the Cloud
 The story of Big Data
 Hadoop
 The emergence of Big Data Analytics
 Spark
 The birth of the Cloud
 Hybrid Cloud Private
Managed
Private
Hosted
Private PublicEnterprise
Hybrid Cloud
Integration
Enterprise
Data Center
Enterprise
Data Center
IBM
SO
SoftLayer
And IBM SO
Enterprise UsersEnterprise
Data Center
© 2016 IBM Corporation11
A US grocery store chain uses business intelligence to identify
insights that help make a proof of concept detailed and convincing
Business challenge: The CEO of this grocery store chain knew that analytics
and cloud-based computing were going to help take the company to the next
level by guiding marketing and merchandising decisions, but he needed to
convince key stakeholders. His team came to IBM for help developing a proof of
concept.
The smarter solution: The company used a business intelligence and
predictive modeling solution to develop a detailed and groundbreaking
understanding of the link between weather and grocery shopping behavior in
its US stores. By demonstrating that analytics can provide insight into which
items it should procure, feature and market during which kinds of weather,
the company not only convinced stakeholders of the value of analytics but also
gained valuable new insight into its business.
Using big data to anticipate the ebbs and flows of demand holds tremendous
potential in the grocery store industry in terms of procurement, merchandising
and staffing.
Half the cost
of similar projects, thanks to a
cloud-based infrastructure
75% faster
completion of proof of concept
than anticipated
Successful
in convincing stakeholders of the
value of cloud-based analytics

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Intro to Big Data Analytics and the Hybrid Cloud

  • 1. © 2016 IBM Corporation Introduction to Big Data, Analytics and the Hybrid Cloud
  • 2. © 2016 IBM Corporation2 About Me Ian Balina  Big data visionary and story teller  10+ years in software industry  Previous experience as software developer and Deloitte consultant Ian Balina Open Source Analytics Sales Evangelist Retail, CPG and Travel Industry
  • 3. © 2016 IBM Corporation3 Agenda  The story of Big Data  Hadoop  The emergence of Big Data Analytics  Spark  The birth of the Cloud  Hybrid Cloud
  • 4. © 2016 IBM Corporation4 An overview on Big Data, Analytics and the Cloud  The story of Big Data  Expensive data warehouse  Commodity servers? 2.5 million items per minute 300,000 tweets per minute 200 million emails per minute 220,000 photos per minute 5 TB per flight > 1 PB per day gas turbines
  • 5. © 2016 IBM Corporation5 An overview on Big Data, Analytics and the Cloud  The story of Big Data  Hadoop: reliable, scalable, distributed computing and data storage
  • 6. © 2016 IBM Corporation6 An overview on Big Data, Analytics and the Cloud  The story of Big Data  Hadoop  The emergence of Big Data Analytics  FAST DATA #PerishableInsights Insights that can provide exponentially more value than traditional analytics but the value expires and evaporates once the moment is gone Forrester: Mike Gualtieri, Principal Analyst Value Event Action with traditional analytics Immediate Action Time Lost Revenue
  • 7. © 2016 IBM Corporation7 An overview on Big Data, Analytics and the Cloud  The story of Big Data  Hadoop  The emergence of Big Data Analytics  Spark: open source data processing engine built for speed, ease of use, and sophisticated analytics Hadoop , 110 Spark, 0.9 0 20 40 60 80 100 120 Logistic Regression in Hadoop & Spark Hadoop Spark Graph Analytics Fast and integrated graph computation Stream Processing Near real-time data processing & analytics Machine Learning Incredibly fast, easy to deploy algorithms Unified Data Access Fast, familiar query language for all data SparkCore Spark SQL Spark Streaming MLlib (machine learning) GraphX (graph)
  • 8. © 2013 IBM Corporation8 “Using IBM Analytics for Apache Spark, we can now give in-store teams valuable insight in seconds.” —Ram Himmatraopet, Founder & CEO, SmarterData Business challenge To help its clients navigate the uncertainties of the digital-age retail industry, SmarterData wanted to find new ways to provide relevant, actionable, data-driven insights into consumer behavior. Transformation SmarterData uses IBM Analytics for Apache Spark to deliver intelligent applications that combine operational and contextual data to help retailers understand consumers’ behavior and desires. Helping retailers redefine practices for the digital age Based in San Ramon, California, Smarter Data, Inc. leverages advanced data science technologies – predictive and prescriptive analytics – to help companies achieve relevance with their customers both online and in a retail environment, and manage the demands of digital-age business challenges. Business benefits: Empowers retailers with data-driven insights into consumer behavior, helping drive sales Helps in-store teams provide smarter customer service based on real-time analysis Leverages contextual data to predict individual needs and create personalized offers
  • 9. © 2016 IBM Corporation9 An overview on Big Data, Analytics and the Cloud  The story of Big Data  Hadoop  The emergence of Big Data Analytics  Spark  The birth of the Cloud Infrastructure as a Service Code Data Runtime Middleware OS Virtualization Servers Storage Networking Code Data Runtime Middleware OS Virtualization Servers Storage Networking Platform as a Service Code Data Runtime Middleware OS Virtualization Servers Storage Networking Code Data Runtime Middleware OS Virtualization Servers Storage Networking Software as a Service Traditional IT – On- premise or Hosted Customer Managed Service Provider Managed
  • 10. © 2016 IBM Corporation10 An overview on Big Data, Analytics and the Cloud  The story of Big Data  Hadoop  The emergence of Big Data Analytics  Spark  The birth of the Cloud  Hybrid Cloud Private Managed Private Hosted Private PublicEnterprise Hybrid Cloud Integration Enterprise Data Center Enterprise Data Center IBM SO SoftLayer And IBM SO Enterprise UsersEnterprise Data Center
  • 11. © 2016 IBM Corporation11 A US grocery store chain uses business intelligence to identify insights that help make a proof of concept detailed and convincing Business challenge: The CEO of this grocery store chain knew that analytics and cloud-based computing were going to help take the company to the next level by guiding marketing and merchandising decisions, but he needed to convince key stakeholders. His team came to IBM for help developing a proof of concept. The smarter solution: The company used a business intelligence and predictive modeling solution to develop a detailed and groundbreaking understanding of the link between weather and grocery shopping behavior in its US stores. By demonstrating that analytics can provide insight into which items it should procure, feature and market during which kinds of weather, the company not only convinced stakeholders of the value of analytics but also gained valuable new insight into its business. Using big data to anticipate the ebbs and flows of demand holds tremendous potential in the grocery store industry in terms of procurement, merchandising and staffing. Half the cost of similar projects, thanks to a cloud-based infrastructure 75% faster completion of proof of concept than anticipated Successful in convincing stakeholders of the value of cloud-based analytics

Editor's Notes

  1. The story of big data starts with Google. Back in the early 2000s, as a startup, Google was growing really fast thanks to the internet. Big Data Data was growing fast with the birth of social media and web 2.0 sites Data was growing faster than Google could keep up with. Expensive data warehouses were no longer a viable option. Google engineers had the idea of using commodity (cheap) servers as a replacement. They created a way to store and process data in parallel on commodity servers. They published these insights in a paper on MapReduce.
  2. So what is Hadoop? Interesting tidbit, Hadoop was developed by Doug Cutting while he was working at Yahoo. Hadoop is named after his son’s toy elephant. Apache Hadoop's MapReduce and HDFS components were inspired by research work done by Google. Apache Hadoop is an open-source software framework for distributed storage and distributed processing of very large data sets on clusters built on commodity hardware. At Hadoop’s core are 3 main components: HDFS, YARN, and MapReduce. HDFS provides the storage for Hadoop MapReduce provides the processing for Hadoop YARN coordinates the processing and scheduling of work across all the nodes HDFS was designed to be fault-tolerant and to run on commodity hardware, therefore blocks are replicated a number of times to ensure high data availability. By default – Hadoop’s replication factor is set to 3 meaning there would be one original block and two replicas. This can be adjusted. The true power of the Hadoop distributed computing architecture lies in its distribution. In other words, the ability to distribute work to many nodes in parallel permits Hadoop to scale to large infrastructures and, similarly, the processing of large amounts of data Hadoop was designed more for batch processing. It’s a sequential process that relies on disk to store intermediate results. Hadoop was driven by the need to capture and process the large volumes of data driven by the Big Data initiatives we talked about in the previous slides. These data storage needs include: The ability to store all types of data. These sources may be coming from sensors, social media feeds, log files or even traditional databases. The data storage can’t be limited to a particular format. Need the processing capability to analyze these large volumes - not a sampling – but actually review each record as part of the analysis. Ability to scale from from a single server to thousands of machines Need for a lower cost alternative to traditional data warehouses since the volume would not make these use cases practical once hardware, storage and software costs were taken into account
  3. Sometimes 1 minute is too late. How to quickly process, analyze and act on data - what opportunity are you missing? The challenges clients face when trying to capture real-time value is the cost associated with storing these high volumes of data for analysis. Once the data is stored, it needs to be inspected and analyzed to identify the signal from the noise that determines what should be acted. This requires storage and analysis – but at that point, it’s no longer relevant as the opportunity has passed. Take as an example a website that offers real-time personalization by presenting its visitors with an offer that’s appropriate based on what you’ve been viewing. To accomplish this, the website must understand your clickstream data, in real-time, to quickly serve up the offer relevant to your web visit. There is no time to store and analyze the data, at that point, the visitor has left the website. These clients need Streams to quickly stream in the clickstream data, analyze on the fly, and present the offer to the web visitor.
  4. Spark Streaming Process live streams of data (IoT, Twitter, Kafka, etc.) with the Spark engine to drive some action or be outputted in batches to various data stores Implementing near-realtime stream event processing (e.g. fraud / security detection) Mllib – Machine Learning Processing machine learning algorithms in areas such as clustering, classification, etc. Applicability in sentiment analysis, predictive intelligence, segmentation, modeling, etc. Building and deploying rich analytics models (e.g. risk metrics) Spark SQL – Interactive Analytics Query your structured data sets with SQL or other dataframe APIs. Use BI tools to connect and query via JDBC or ODBC. Interactive querying of very large data sets is a no-brainer, it’s one of the most important value adds enabled by Spark, versus Hadoop. The more interactive or the more iterative it is, the greater the performance improvement GraphX (graph) Represent and analyze systems represented by nodes and interconnections between them – transportation, person relationships, etc. Allows you to perform operations on the graph to determine relationships e.g. behavior propensity, churn and fraud detection as examples Data Processing and Integration Existing data processing workloads done much faster Coding that is simplified e.g. 3 lines of code instead of 6 pages in traditional programming
  5. Client Name SmarterData Company Background Based in San Ramon, California, Smarter Data, Inc. leverages advanced data science technologies – predictive and prescriptive analytics – to help companies achieve relevance with their customers both online and in a retail environment, and manage the demands of digital-age business challenges. Business challenge To help its retail clients navigate the uncertainties of the digital-age industry, SmarterData wanted to find new ways to provide relevant, actionable, data-driven insights into consumer behavior. The benefit SmarterData’s clients can now perform real-time analysis, utilizing everything from point-of-sale data to weather data, empowering in-store employees to take immediate action on the shop floor. Pull Quote “Using IBM Analytics for Apache Spark, we can now give in-store teams valuable insight in seconds.” —Ram Himmatraopet, Founder & CEO, SmarterData Solution components IBM® Analytics for Apache Spark IBM Bluemix® Case study Link http://www.ibm.com/common/ssi/cgi-bin/ssialias?subtype=AB&infotype=PM&htmlfid=YTC04066USEN&attachment=YTC04066USEN.PDF
  6. Customers can run their IT and development in one of 4 options. In Traditional IT applications can either be run at the customer’s location or On-premise or hosted at a 3rd party location. In this option the good news is the customer has the capability and responsibility to investigate the right solutions, source and buy the solutions, integrate them and control, run and manage the entire stack. The bad news is the customer HAS TO spend the time and money to research and test solutions and control, run, integrate and manage the entire stack! This can be incredibly expensive and time consuming and does not add value to the customer’s business For IaaS or Infrastructure as a Service the customer has the responsibility and requirements to run and manage the Operating System on up. The Service Provider manages the bottom layers. SoftLayer, AWS and Azure are IaaS solutions. For Platform as a Service, which is what Bluemix is, the service provider manages the infrastructure and the customer’s developers focus 100% on their application code and the data. For Software as a Service the service provider hosts 100% of the data, logic and infrastructure. The customer only gets a browser. Examples are Salesforce.com, Microsoft Office 365, facebook, eBay, LinkedIn and Concur are examples. Basically, All that is needed is a browser and a printer.
  7. Let’s look at the three major cloud deployment models. These are private, public and hybrid clouds. On the far left of the graphic, you see the enterprise data center, most clients will continue to maintain a traditional data center for some IT services and in this deployment model, the client owns and operates all of the hardware and software and their enterprise data center. The next box, the Private Cloud deployment model is a Private Cloud inside the client’s data center. The client owns and operates the infrastructure and software. The next type of Private Cloud is the Managed Private Cloud. In this deployment model the cloud is located in the client’s data center but IBM is operating and managing the cloud for the client. The next Private Cloud deployment model is the Hosted Private Cloud. This Private Cloud resides in an IBM Data Center, it is still owned by the client but IBM performs all of the operational and management support. Note, as we move further and further to the right, the client gives up more and more control to a third party. To Cloud Data Services sellers, the differences between Private Cloud types are not as important as they are to IBM GTS or GBS sellers. Sales will be of monthly or perpetual licenses, and someone else is selling the infrastructure and labor. The only major thing to watch out for is that Hosted Private may require additional selling of data security and data movement technology, since the client’s data is moving off-premise. To the far right, you see the Public Cloud deployment model and in this model a service provider makes resources such as applications and storage available to consumers over the internet. The client pays for the resources that they consume. SoftLayer and Amazon are examples of a Public Cloud. The final deployment model is the hybrid cloud shown at the bottom of the page. The hybrid cloud is an integrated cloud which may be cloud to enterprise or cloud to cloud integration, so the clients have the benefit of the seamless IT system. Many enterprise clients are moving to a hybrid cloud model.
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