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Ronald Damhof

I have been a BI/DW practitioner for more than 15 years. In the last few years, I have become increasingly annoyed - even frustrated - by the lack of (scientific) rigor in the field of data warehousing and business intelligence. It is not uncommon for the knowledge worker to be disillusioned by the promise of business intelligence and data warehousing because vendors and consulting organizations create their "own" frameworks, definitions, super-duper tools etc.

What the field needs is more connectedness (grounding and objectivity) to the scientific community. The scientific community needs to realize the importance of increasing their level of relevance to the practice of technology.

For the next few years, I have decided to attempt to build a solid bridge between science and technology practitioners. As a dissertation student at the University of Groningen in the Netherlands, I hope to discover ways to accomplish this. With this blog I hope to share some of the things I learn in my search and begin discussions on this topic within the international community.

Your feedback is important to me. Please let me know what you think. My email address is Ronald.damhof@prudenza.nl.

About the author >

Ronald Damhof is an information management practitioner with more than 15 years of international experience in the field.

His areas of focus include:

  1. Data management, including data quality, data governance and data warehousing;
  2. Enterprise architectural principles;
  3. Exploiting data to its maximum potential for decision support.
Ronald is an Information Quality Certified Professional (International Association for Information and Data Quality – one of the first 20 to pass this prestigious exam), Certified Data Vault Grandmaster (only person in the world to have this level of certification), and a Certified Scrum Master. He is a strong advocate of agile and lean principles and practices (e.g., Scrum). You can reach him at +31 6 269 671 84, through his website at http://www.prudenza.nl/ or via email at ronald.damhof@prudenza.nl.

In 1967 Thompson wrote about the administrative paradox; a dichotomy where continuity (stability) and flexibility are positioned at both ends of the spectrum. In other words; be flexible and at the same time try to progressively eliminate or absorb uncertainty. This paradox can also be discussed in terms of time; in the short run administration seeks to reduce uncertainty. In the long run, the administration strives for flexibility.

iStock_000011274573XSmall-1.jpgNothing new I hope? Now, what about Information Systems...

In using Information Systems we also need to deal with this paradox. We tend to use Information systems to automate tasks, formalize sequences of events, kill flexibility (;-)). An Information System can be interpreted as a 'bureaucrat in an electronic version'(Checkland and Holwell, 1998).

So, what do we do? We tend to modularize information systems, integrate them via services that are of course strongly decoupled with each other. IT delivers and supports all kinds of business functions and with a brilliant Service Oriented Architecture we cross the bridge between function and business process. We can now change the business processes if demand requires it.

Yee - we=happy. we=flexible again. Easy huh?

NO, it is not easy. It can be an open check you write to your 'partners' - the System Integrators, it may takes years before you capitalize on the investment that has been made. And in the process you tend to demotivate your own personnel (or customers) big time

My point; the balance between stability and flexibility is sometimes totally lost in organizations. Some architects and many vendors/solution providers are pushing the flexibility agenda big time nowadays, but the 'why' of flexibility has never been fundamentally discussed with(in) top management. The 'why' should be related to the industry your in and the strategy you wish to approach the market with. For example; I believe firmly that many government agencies should focus on stability over flexibility. But unfortunately, they seem not to agree with me. And what also needs to be considered is that stability and flexibility are interconnected; more focus on flexibility will diminish your stability and vice versa. Accept collateral damage if you architecture is all centered around 'being flexible', if you want both, well, you can not and expect to pay a price ;-)

Even if the case for flexibility is made, the 'how' should be extremely careful considered. Is flexibility in business processes needed (hard question)? Or is flexibility in data sufficient (which is a huge difference in terms of attainability, costs and organizational impact), but the latter can overcome the Administrative Paradox at least partly....




Posted September 27, 2010 11:59 PM
Permalink | 1 Comment |

A story.....
  • Vendor X sells its ERP to a company in Healthcare;
  • Client wishes to setup its informational environment (data sharing, BI, CPM etc..) right from the start;
  • Vendor X pushes the 'standard' solution' they sell;
  • Client decides to decouple their informational environment from its source(s) for several reasons (heterogeneous sources, sustainability, compliance, adaptability etc..);
  • Vendor X deploys their ERP;
  • Client starts to design and build the informational environment;
  • Interfaces between ERP of vendor X and the informational environment are developed;
  • The ERP of vendor X off does not offer functional interfaces ('X keeps pushing their standard product'), so client needs to connect on the physical level;
  • Going-live is near; of both the ERP and the new informational environment

And then change management of vendor X regarding the ERP kicks in.

Client: 'What's your release schedule for patches'?
X: 'Every 2 weeks' 
Client: 'Huh'?

Client thinks: 'Damn, how can I keep up with this change schedule?'

Client: 'Well, can you tell me anything regarding the average impact of these patches?'
X: 'Well, they can be very small and very big' 

Client thinks: 'Ok, what are you NOT telling me' 

Client:'Ok, but this ERP is like 15 years old, so give me an overview of the average impact'
X: 'Basically anything can happen'

Client thinks: 'o, o'

Client: 'Ok, but the majority of these changes are of course situated in the application layer, not the data layer?'
X: 'Well..anything can happen.'

Client thinks: 'Is it warm in here?'

Client: 'Anything? Also in the data layer? Table changes, integrity changes, domain type changes, value changes?'
X: 'Aye'

Client thinks: 'Ok - I'm dead'

Client: '...at least tell me that existing structures always remain intact and the data remains to be auditable - extent instead of replace for example'
X: 'Huh'?

Client thinks: 'Well, at least I am healthy...'

Client: 'hmm...just a side note, we use Change Data Capture, I assume that these changes are fully logged?'
X: 'Nah - log is turned off, otherwise we can't deploy the changes' 

Client thinks: '..hmm....is my resume up to date?'


My point; do not assume your vendor (of any system) to engage in professional application development and a change management policy that takes into account the simple fact that data of these information systems need to be shared with other information systems in your company.

Change management and professional application development needs to be important criteria regarding the selection of information systems.



Posted June 8, 2010 2:29 PM
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Business Intelligence vendors seem to embrace collaboration (I am still struggling whether this software is any different from the groupware we had in the 90's) . As an example please take a look at SAP streamwork at youtube. I am gonna be blunt here; this type of software is completely useless, unless the organization is willing to fundamentally change its decision making process.

Let me try to make my point here with the help of giants like Galbraith, Daft, Davenport and some..

There are basically two information contingencies; Uncertainty and Equivocality.
  • Uncertainty can be defined as the absence of information (e.g. Shannon and weaver) and can be overcome by simply asking the right question. The answer is out there.....
  • Equivocality is an ambiguity, the existence of multiple and conflicting interpretations about an organizational situation. Participants are not even sure about the questions that need to be asked, let alone the answers they need. I think this can also be regarded as 'wicked problems'.
Now, for overcoming uncertainty you can suffice with relatively blunt instruments. Reporting and the ever increasing possibilities in analytics really shine in reducing uncertainty.

Now, for overcoming Equivocality the Business Intelligence stuff like reporting and even analytics have diminishing usage. You need more 'richness' in the tooling. And with tooling I don't necessarily mean software. Examples of more rich tooling are group meetings, discussions, planning, creative (group) thinking, etc..Simply put; you need face-to-face contact.
 
Davenport wrote an article about 'Make Better Decisions' in the Harvard Business Review in 2009. He is advocating a more formalized approach towards decision making:

'Smart organizations can help their managers improve decision making in four steps: by identifying and prioritizing the decisions that must be made; examining the factors involved in each; designing roles, processes, systems, and behavior to improve decisions; and institutionalizing the new approach through training, refined data analysis, and outcome assessment.'

Davenport, in my opinion, is aiming towards the equivocality and a more formalized method of coming to an outcome. And frankly, I like it a lot. But organizations need to really be willing to change its decision making process. And this is a major organizational and cultural change in my opinion. If organizations are really committed (Davenport is naming a few of those companies - like Chevron, The Stanley Works) in making this change, collaboration software has the potential to shine in supporting such a decision making process.

I am however afraid that collaboration software from BI vendors will be sold as candy with the promise of better decisions. And that is just bullshit and my prediction is that it will fail big time. 
 

Posted March 30, 2010 12:17 PM
Permalink | 4 Comments |

What we all knew was true, but could not get across to management, is now more scientifically proven. The decision process regarding the outsourcing of a DSS is influenced by significantly other characteristics, when compared to OLTP. If you are interested in the details, the theory and the underlying data, please read:

Factors considered when outsourcing an IS system:an empirical examination of the impacts of organizations size, Strategy and the object of a decision (DSS or OLTP).

B.Berg and A.Stylianou in the European Journal of Information systems (2009 18, 235-248)

I still encounter organizations who are stuck in the OLTP world, even when the object of decision regarding outsourcing is completely different on many dimensions. They tend to use the same decision process regarding the outsourcing as they always did...whether they outsource an ERP, a CRM system a data warehouse or a more elaborate BI system.


Posted February 8, 2010 7:47 AM
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I have just read a very intriquing paper called 'A Common Approach for OLTP and OLAP using an In-memory Column Database', written by Hasso Plattner. 

It's not a revolutionairy new technical approach for Data Warehousing a Business Intelligence. It's just a series of smaller (mostly technical and some are even quite old) innovations that together could lead to a paradigma shift [1] in the area of Data Warehousing.

This paper is focussing on the transactional world, because that's where the disruption will originate. In short;

  • Ever increasing multi-CPU cores
  • Growth of main memory
  • The I/O revolution - SSD's
  • Column databases for transactions (!)
  • Shared Nothing approach
  • In-memory access to actual data - historic data on slower devices (or not)
  • Zero-update strategies in OLTP (recognizing the imporance of history as well as the importance of parallelism)
  • Not in the paper; but I see datamodels for newly build OLTP systems increasingly resembling the datamodels of the HUB in the data warehouse architecture. 

Posted December 12, 2009 4:13 AM
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