www.pwc.com Storytelling with Data (Data Visualization) June 12, 2014 Jason Josko Data Solutions, PwC • Over 14 years of experience helping clients transform their underlying data into actionable intelligence, focusing on large scale data analytics, visualization, reconciliation and data quality assurance. • Helps Internal Audit teams develop their analytics strategy as well as conduct targeted audit analytics. • Experience developing procurement compliance programs, dashboard reporting packages, and working capital improvement solutions. • BS in Accounting from University of Iowa • Interests and Passion: Storytelling with Data - Data Visualization PwC June 12, 2014 2 Paba DMello Data Solutions, PwC • Over 6 years of experience in data analytics • Focus on Data Visualization and understanding business analytics needs of the clients • Experience in integrating information from multiple data sources a efficiently executing assignment using dynamic tools. • Involved in data cleansing, data preparation and visualization stages of a project • BS in Computer Science from University of Mumbai, India • Interest and Passion: Storytelling with Data - Data Visualization PwC June 12, 2014 3 Kate Reva Data Solutions, PwC • Over 4 years of industry experience in corporate accounting and data analytics • Focus on Data Analytics to facilitate External and Internal Audit engagements as well as Fraud Analytics and Data Visualization tools • Served clients in a variety of industries, including financial services, manufacturing, insurance, pharmaceuticals, consumer products and technology • BS in Accounting from DePaul University • CISA certified • Interests and Passion: Storytelling with Data - Data Visualization PwC June 12, 2014 4 Today’s Discussion Data Creates Opportunities What are the benefits, characteristics and value of Data Visualization Analytics? Analytics in Action QlikView and Tableau case study and live demonstration of analytics through data visualization Data Visualization Tool Landscape What are the key players? What is the difference between them? Storytelling with Data - Data Visualization PwC June 12, 2014 5 Data Creates Opportunities Storytelling with Data - Data Visualization PwC June 12, 2014 6 Data Visualization What is it? • An exciting new way to incorporate raw information into a visual interactive medium • A way to dissect increased volumes of rows and columns of information to understand trends, patterns and make strategic, operational and tactical decisions • A powerful way to simplify the ever increasing size and complexity of information Storytelling with Data - Data Visualization PwC Data Visualization is an emerging area of data analytics that combines quantitative information with technology and graphical design to tell stories, convey ideas and make decisions. June 12, 2014 7 Data Visualization Why is it a hot topic? Data discovery became a mainstream BI and analytic architecture - Gartner Empower users to uncover connections and trends in new and unexpected areas Help business users see the big picture while navigating the details – for fully informed decisions Storytelling with Data - Data Visualization PwC Provide an intuitive, interactive user experience with immediate response time, and eliminate the need for training and IT assistance. Increase user autonomy with self-service discovery of relevant insights – anytime, anywhere June 12, 2014 8 Data Visualization Data to Insight Quickly answers questions: • Which product-region pair is the best seller? • Which product-region pairs have high sales but lose money? Storytelling with Data - Data Visualization PwC June 12, 2014 9 Data Visualization Data to Insight Quickly answers questions: • Which product-region pair is the best seller? • Which product-region pairs have high sales but lose money? Storytelling with Data - Data Visualization PwC June 12, 2014 10 Benefits of Data and Visual Analytics Traditional Approach vs Visual Analytics • Static queries and reports • Takes time to adjust and refresh • Reduces the time spent creating analysis • Faster and more informed decision making Core Capabilities of Visual Analytics • Trending analysis • Collaborative data discovery • Better understand Relationships Prove Clean Data Refine Analysis Soft Analytics Define Baseline Performance Identify • Interactive charts and reports • Shorter time to insight • KPI monitoring Hard Analytics Scale Repeat Quick Hits Baseline Time Storytelling with Data - Data Visualization PwC June 12, 2014 11 Characteristics of analytics today Analytics; discovery and communication of meaningful patterns in data Big data; collection of large and complex data sets Data Visualization Trending & comparisons Financial, Operational Structured, Unstructured, Internal, External Accessibility and portability; available anytime, anywhere Dashboarding Storytelling with Data - Data Visualization PwC June 12, 2014 12 Analytics in Action: Tableau Product Pricing Override Audit Storytelling with Data - Data Visualization PwC June 12, 2014 13 Auditing Approach Leveraging Data Analytics I. II. 1 Foundation: Leverage data to identify key risks to be addressed through the Audit Plan 5 Quality Planning: Plan and scope the audit to focus on high risk areas and newly identified risks III. Fieldwork: Develop risk based and value added analytics for the audit IV. Reporting: Analyze results to quantify impact, and report findings utilizing data visualization Reporting Foundation Business Development Planning 4 Fieldwork V. Quality: Monitor managements responses through Dashboards 3 Storytelling with Data - Data Visualization PwC June 12, 2014 14 2 I. Foundation: Risk Assessment Issue Action Impact Analyze financial data to gain insight over declines in net revenue. Internal audit identified product pricing as a key risk area Analyze key financial data and adjust their audit plan to address their high risk areas. Storytelling with Data - Data Visualization PwC Annual quarter over quarter revenue decline June 12, 2014 15 II. Planning: Project Risk Assessment Issue Varying gross margins across 3 retail channels Action Utilized data visualization software to analyze the stores by retail channel. Impact Identified limited controls around product price overrides/adjustments have been identified Unexpected spikes in price overrides Storytelling with Data - Data Visualization PwC June 12, 2014 16 II. Planning: Audit Scoping Issue Identify high risk stores affecting gross profit through the use of overrides Action Utilized data visualization software to analyze the total price override amounts against gross profit to identify outliers and anomalies Impact Identified stores that had negative gross profits or negative overrides Discovered that products can have price overrides that result in losses Negative gross profit due to price overrides Storytelling with Data - Data Visualization PwC June 12, 2014 17 III. Fieldwork: Targeted Analytics Testing Instances where the override amount is less than the cost of the item. Total amount and frequency of overrides by store and sales associate. Total amount and frequency of overrides by override code. Trending of overrides by store over the audit time period. Override reason codes leading to negative gross profit Storytelling with Data - Data Visualization PwC June 12, 2014 18 IV. Reporting: Confirm and Report Results Internal Audit team determined there were no controls around overrides of product prices Outlier of sales associate with potential unusual activity Sales associates entering in negative override amounts Sales associates overriding to negative gross profit Storytelling with Data - Data Visualization PwC June 12, 2014 19 V. Quality: Remediation Follow Up Issue Monitor managements response to the findings of the pricing audit Action Utilized data visualization software to leverage the analytics and dashboards created during the assessment, scoping, and testing phases Impact Ability to continuously monitor the compliance in a consistent manner with minimal manual effort Storytelling with Data - Data Visualization PwC June 12, 2014 20 Analytics in Action: QlikView KPI (Key Performance Indicators) Dashboard Storytelling with Data - Data Visualization PwC June 12, 2014 21 KPI (Key Performance Indicators) Dashboard Enable effective RiskBased Internal Audit Approach Develop KPI Dashboard in QlikView Identify High Risk Areas KPI Dashboard to be included as part of the Risk Assessment package Storytelling with Data - Data Visualization PwC Improve the cost and effectiveness of audits Directly communicate with data See the big picture while navigating the details – for fully informed decisions Uncover trends in new and unexpected areas Refresh Data on monthly basis Enable Continuous Monitoring June 12, 2014 22 Data Visualization Tool Landscape Storytelling with Data - Data Visualization PwC June 12, 2014 23 Who are some of the key players? Source: Magic Quadrant for Business Intelligence and Analytics Platforms. February 20, 2014 http://www.gartner.com/technology/reprints.do?id=1-1QLGACN&ct=140210&st=sb Storytelling with Data - Data Visualization PwC June 12, 2014 24 Strengths Easy to use for ordinary business users and developers Strengths Strengths Low cost to implement Strengths Lower licensing costs per user Cautions Limited data mining and Higher annual maintenance fee analytic capabilities Source: Magic Quadrant for Business Intelligence and Analytics Platforms. February 20, 2014 http://www.gartner.com/technology/reprints.do?id=1-1QLGACN&ct=140210&st=sb PwC Connects to a variety of data sources Cautions Governance, consistency and skill silos challenges June 12, 2014 25 Strengths Highly customizable and easy to use Strengths Relatively low cost of ownership Strengths Mobile functionality Limited data mining and Higher developer learning curve analytic capabilities Cautions Source: Magic Quadrant for Business Intelligence and Analytics Platforms. February 20, 2014 http://www.gartner.com/technology/reprints.do?id=1-1QLGACN&ct=140210&st=sb PwC Strengths Associative search function Cautions Security and administering large number of users concerns June 12, 2014 26 Strengths Advanced modeling and building analytical models Strengths Strengths Enterprise deployment readiness Easy to use for end users Strengths Higher quality (stability, reliability and free from bugs) Limited data mining and Limited formatting options analytic capabilities Cautions Source: Magic Quadrant for Business Intelligence and Analytics Platforms. February 20, 2014 http://www.gartner.com/technology/reprints.do?id=1-1QLGACN&ct=140210&st=sb PwC Cautions Support quality and cost of software concerns June 12, 2014 27 Contact Information Jason Josko Office: (312) 298-3146 Email: jason.k.josko@us.pwc.com Paba DMello Office: (312) 298-5183 Email: prabhavi.dmello@us.pwc.com Kate Reva Office: (312) 298-4496 Email: ekaterina.v.reva@us.pwc.com