Thursday, June 27, 2013

Can Big Data save the planet?

Big data is perhaps best known to companies for its capacity to provide much more knowledge about their customers, and eventually predicting their consumption patterns. The power of Big Data for this mean can hardly be underestimated. I've read a story today of a father who got enraged after his 16 years old daughter got mailings from a company trying to sell her baby stuff (picture the scene if you have a 16 year old daughter yourself!). When an executive from the company called him to apologize for the mistake, the father told him there was no need to, since his daughter just admitted to be pregnant after all… The power of analytics…

But Big Data can be beneficial in a much more profound and meaningful way as well. It can drag people out of poverty and generate social benefit for plenty of people (see one of my next blogs). And, more spectacularly: it can be of tremendous help to build a more sustainable future. Let me give some high-level examples of how this would work:

  • The most obvious example lays in the way we manage our energy consumption. So-called ‘smart buildings’, among others, use the tremendous power of data analytics to manage energy consumption in the most efficient way. Think of smart meters etcetera, nothing new. But soon the smartness in buildings will automatically calculate and pro-actively take decisions to provide the most comfortable experience, in the least energy-consuming way. Based on thorough calculation and prediction of your habits and wishes. Your lifestyle will be digitized –for your own comfort! – and Big Data will be the heart of it.
  • A less obvious example now. Look at the big retailers. They pile a massive amount of food of which huge chunks are bound to turn to waste, just because they want –and, let’s not argue about this- need to make sure all their shoppers’ needs are immediately fulfilled, even if these are merely potential needs. Overconsumption is clearly a flaw in our system (with regards of sustainability issues, that is), but overproduction is even worse. I didn't find any figures about this yet (if you have, let me know), but I wouldn't be surprised if at least one of each two cows that is bred and fed to end on my weekly menu, ends up dumped on the wasteland. Tie this to how polluting a cow is during its lifetime, and you see where I’m heading… If Big Data can predict more accurately when and how we want our steaks (above the usual barbecue season prediction), perhaps we could adjust our cattle management and make it more sustainable, or at least less polluting.
  • Which brings me to a next point… as the example of my weekly steak points out, if Big Data can predict my consumption of it more accurately, as well as where I’m likely to buy it, it will tremendously decrease the logistic strains linked with my consumption. My retailer will know when I need my steak, and avoid having a stockpile of steaks for the eventuality of me coming around to buy one. With the result of having to throw away half of them if I don’t get by while they maintain this stock, or having truckload of useless meat driving around to get me meat I don’t want at that moment… I know, I’m stretching the limits of my credibility here. But it’s not just about my steak. Project this example on millions of consumers, and you can easily see how predictive modeling (Big Data) could tremendously improve, make more efficient, and make less polluting the global logistic spider-web on which we have grown to be dependent on. 
 Okay, these examples are high-level, I grant you that. And they omit many peripheral yet important factors. Think of it: if a competitor of my retailer wants to attract me as a new client, he’d sure as hell would need to have a supply of juicy steaks for the eventuality that I would check him out. Only then can he start to be able to predict my consumption patterns and adjust his supply chain to it. And this without knowing whether I’d remain faithful to him, though he’d probably gather from my Facebook-feeds how likely to would be that I go back to my original retailer. Project this to thousands or millions of consumers… At the face of it, things surely will get more complicated with Big Data. But more sustainable as well…

6 comments:

  1. Excellent post. Short answer for me is YES! In particular, big data is impacting the world's financial markets in a huge way. If organizations can learn how to harness and make sense of their big data they will be able to make educated decisions. One of the big data software innovators our there is Modern Analytics, who have developed very powerful enterprise data models for organizations to help meet their needs and assist them with their financial decision making. I would strongly recommend taking a look at their solutions if you have any interest.

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  2. Definitely an interesting article.Thanks for sharing.Hadoop is a platform for storing and processing of Data in an environment with clusters of computers using simple programming language.

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