Business Objects (@SYSCO)
Prediction Markets at Google
MIS 501
SYSCO
• A large food service
vender with locations
spread across NA
• Decentralized structure
with autonomy at local
divisions
Mission and Vision
• Our path is defined by our specific Mission and Vision
statements which guide Sysco associates every day.
Our strategy to achieve our Mission and Vision
encompasses five points:
– Profoundly enrich the experience of doing business with Sysco
– Continuously improve productivity in all areas of our business
– Expand our portfolio of products and services by initiating a
customer-centric innovation program
– Explore, assess and pursue new businesses and markets
– Develop and effectively integrate a comprehensive, enterprisewide talent management process
SYSCO
• More than 400,000 clients
• Wide line of products
– Sysco brands
– Meat and Seafood brands
– Specialty products
– Services
Business Objects
• Why did SYSCO want to implement
Business Intelligence (BI) software?
– What are the potential benefits of this
type of software?
– What types of companies are likely to
benefit from the use of BI?
– What types of firms aren't as likely to
benefit?
BI Options
Business Objects
• What obstacles will SYSCO face as
the BI software is spread through the
firm?
– Organizational
– Political
– Individual
Business Objects
• Why did SYSCO only focus on 2
questions initially?
– Why were they supported by Business
Objects?
– What are the risks and potential benefits
of this approach?
Business Objects
• Can SYSCO gain a strategic advantage
through the use of BI software?
– How hard would it be for a competitor to copy
SYSCO's BI solution?
– How about the ERP Solution? Does that offer
differentiation?
Business Intelligence
• Which types of companies are likely to
benefit for Business Intelligence?
• Who would likely not benefit?
2 Questions!
• Why did they only focus on two questions?
– Do you think it was just because these are
important areas for SYSCO?
– What other considerations might Ms. Day be
evaluating?
Business Objects
• Which of the alternative implementation
strategies should SYSCO follow?
• How will Ms. Day know if she makes the
correct choice?
– In other words, what are the metrics for defining
success?
Googles: Prediction Markets
• What are Prediction Markets?
– What are their components?
– How do they work?
– What is similar and unique relative to other
markets?
– What do they tell us?
Prediction Markets
• What does the price of a “stock” mean?
– What information is conveyed by the price?
Prediction Markets
• Why or why wouldn’t prediction markets
be better than …
– Polling?
– Experts?
• What is different about markets compared
to these other information sources?
Wisdom of Crowds?
• What’s the idea behind the wisdom of
crowds?
– Do you believe that crowds can be “wise?”
– Where does this work? Where doesn’t it
work?
So, how should
these things be run?
• How do you motivate participation?
– Why wouldn’t financial incentives work at
Google?
– What did appear to work? Why?
So, how should
these things be run?
• Why are longshot bets a problem?
• What do we want traders to focus on when
trading?
• Is insider trading a problem with corporate
prediction markets?
Prediction Market Resources
• Bo Cogwell’s Blog
• Prediction Markets at confab.yahoo
• The Science of Success (James
Surowiecki
• Prediction markets (wikipedia)
• Crowdcast (Video)