Siebel Analytics - Insight to Action
Ricky Kapur
5th September 2005
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Agenda
§ Overview of Siebel Analytics
§ From Insight to Action – Integrating Operational and
Analytical environment
§ Closed Loop Marketing – Service to Sale
§ Business Intelligence for the masses – Economic
Scalability
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© 2005 Siebel Systems, Inc. Confidential.
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Siebel Provides Next Generation BI and Analytics Today
§ Market leader in Customer Analytics
The Leader in Customer Analytics
§ Fastest growing company in the entire
Rank
Vendor
% Share
analytics/business
intelligence market
(cited by
IDC in numerous
2003
studies)
1
Siebel
Systems
15.4%
The Fastest Growing in Entire BI Market
110
100
SAS Institute
12.7%us for
§ Over 6002customers,
75% of which use
Enterprise
3 BI NetIQ
6.0%
80
§ Winner of
of the BI industry’s most
4 manyEpiphany
5.8%
coveted awards
5
SAP AG
70
4.1%
60
§ Reader’s Choice Award - Best Customer Intelligence
Solutions
6
SPSS
3.6%
50
§ Real-Ware
Award
- Best Business Intelligence
7
Fair Isaac
3.5%
Product
8
Business Objects
40
30
3.1%
§ Experienced broad user adoption at some of
the most9analytically
sophisticated companies
Coremetrics
2.1%
anywhere
10
NCR Teradata
44%
Growth
90
20
10
1.9%
§ Own some of the most robust pre-built,
industry-specific business analytical
applications on the market
0
2003
License Revenue (U.S. $ Millions)
Sources: IDC Vendor Rankings, Worldwide Customer Analytics Applications (2003), July 2004; Siebel Systems analysis
© 2005 Siebel Systems, Inc. Confidential.
2004
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Siebel Customers are demanding an Enterprise Wide BI
Capability
Company
Number of Live Users
Company
Number of Live Users
55,500
12,000
25,500
12,100
22,000
11,900
21,800
10,750
21,000
10,450
23,000
26,300
60,000
35,500
10,000
9,100
12,000
© 2005 Siebel Systems, Inc. Confidential.
47,000
10,500
14,000
8,700
13,800
8,500
28,000
8,250
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4
Imperatives for Industry
• How can I predict Customer Life Time Value ?
• Who can I effectively cross-sell to ? What is the best
product to cross-sell ?
Maximize
Customer
Profitability
• Can I quickly identify and
tracking potentially fraudulent
transactions ?
• Through which channels have I acquired my profitable
customers?
• Can I quickly respond to
compliance requirements
Increase
Customer
Retention
Comply with
Regulation
• What are the behavioral patterns
that lead to attrition ?
• What will make my customer most
satisfied ?
Business
• How can I timely identify branch
service quality issues ?
Monitor &
Reduce Risk
Decrease
Costs
• Can I track delinquency behavior ?
• What is my profitability by lines of business, management hierarchy,
and products?
• Am I alerted when limits are breached ?
• What are the touch points my customers access most ?
• Can I have an integrated perspective of
market, operational and credit risk?
• My branch managers don’t know how they are doing until after the
end of the month, when it is too late to make a difference. Could I have
5
day to day reporting ?
© 2005 Siebel Systems, Inc. Confidential.
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Components of an Analytical CRM capability
Value to the Business
High
Low
Integration into
CRM environment
Leveraging rich analytical
information to drive differentiation
workflow into CRM environment
Develop multi-stage, eventtriggered campaigns, and provide
campaign information to members
within CRM environment
Closed Loop
Marketing
Identify cross-sell and churn
targets to manage retention
Predictive
Analytics
Business Intelligence
Business Intelligence for the
masses – “Trickle-Down BI”
Data Warehouse
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© 2005 Siebel Systems, Inc. Confidential.
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Agenda
§ Overview of Siebel Analytics
§ From Insight to Action – Integrating Operational and
Analytical environment
§ Closed Loop Marketing – Service to Sale
§ Business Intelligence for the masses – Economic
Scalability
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© 2005 Siebel Systems, Inc. Confidential.
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Using Insight to Drive Actions and Customer Interactions in
Real-time is Becoming a Business Imperative
Market Needs Are Expanding Far Beyond
Traditional Query and Reporting
Paradigm
Shift
Intelligent
Interaction
“What should I do now,
at the moment of contact”
Increasing Value
Insight Driven
Action
Performance
Management
“What is my best opportunity?”
“What should I do next?”
“How am I doing vs. goals?”
Query,
OLAP / DW
“Explore my data”
Transactional
Reporting
“Here are your reports”
Generational Step
© 2005 Siebel Systems, Inc. Confidential.
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© 2005 Siebel Systems, Inc. Confidential.
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© 2005 Siebel Systems, Inc. Confidential.
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© 2005 Siebel Systems, Inc. Confidential.
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© 2005 Siebel Systems, Inc. Confidential.
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© 2005 Siebel Systems, Inc. Confidential.
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© 2005 Siebel Systems, Inc. Confidential.
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Using Insight to Drive Actions and Customer Interactions in
Real-time is Becoming a Business Imperative
Market Needs Are Expanding Far Beyond
Traditional Query and Reporting
Paradigm
Shift
Intelligent
Interaction
“What should I do now,
at the moment of contact”
Increasing Value
Insight Driven
Action
Performance
Management
“What is my best opportunity?”
“What should I do next?”
“How am I doing vs. goals?”
Query,
OLAP / DW
“Explore my data”
Transactional
Reporting
“Here are your reports”
Retrospective
© 2005 Siebel Systems, Inc. Confidential.
Generational Step
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Active Decisioning
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Useful analytical
insights provided to
front-office
Cross-Sell Offers generated
within Marketing
environment provided to
members within the CRM
environment
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© 2005 Siebel Systems, Inc. Confidential.
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Churn Probability
is recomputed in
real-time and
presented to the
member as a high
risk issue
Customer complains
about a specific
product/service.
Members opens a new
Service Request
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© 2005 Siebel Systems, Inc. Confidential.
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Churn Probability is
recalculated in Siebel
Analytics and
presented back to the
member
New ‘Increased Churn’
probability computed
within Siebel Analytics
kicks off a workflow in
Siebel and provides
the member with the
authority to close the
service request
through a fee waiver
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© 2005 Siebel Systems, Inc. Confidential.
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Member updates
customers details.
Customer is now married,
and income has increased
to 100k-200K.
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© 2005 Siebel Systems, Inc. Confidential.
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Based on the additional
insights on customer
details, new targeted
offers are provided to the
member to discuss with
the customer
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© 2005 Siebel Systems, Inc. Confidential.
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Agenda
§ Overview of Siebel Analytics
§ From Insight to Action – Integrating Operational and
Analytical environment
§ Closed Loop Marketing – Service to Sale
§ Business Intelligence for the masses – Economic
Scalability
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© 2005 Siebel Systems, Inc. Confidential.
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The Service To Sale Solution Set Focuses on Improving
Customer Retention and Revenue Growth
Why Service to Sale ?
Generic
Offer
Targeted
Offer
Excellent
Service
No Sale
Sale
Poor
Service
No Sale
No Sale
• Because the quality of customer
service is the single-most-important
factor influencing customer retention.
• Because an offer will not result in a
sale if it is not preceded by an
excellent service interaction.
• Because an offer will not result in a
sale if it is not targeted and
personalized to the individual.
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© 2005 Siebel Systems, Inc. Confidential.
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A Service To Sale Scenario
Insight
A marketing manager receives a customer
attrition alert for Gold Customers. Using Siebel
Analytics, he quickly investigates the root
causes behind the alert.
Using Siebel Marketing, the marketing manager
creates a customer segment of all ‘Gold
Customers At Risk’. He also develops a number
of retention campaigns.
A ‘Gold Customer At Risk’ calls into the contact
center with a service request. His call is
immediately routed the agent best suited to
providing him with excellent service.
Action
© 2005 Siebel Systems, Inc. Confidential.
Using Siebel Call Center, a contact center
agent walks through a customer retention script
and presents the customer with a real-time offer
that is tailored specifically to him.
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Design
Customer
Segments
Develop
Retention &
Growth
Campaigns
Customer
Agent
Provide
Personalized
Customer
Service
Real-Time Offer
Allocation
Customer
Marketing
Manager
The Service To Sale Solution Process
Request
Service
Respond
to Offer
Gain & Refine
Customer
Insight
Generate &
Execute Lead
Measure
Performance
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© 2005 Siebel Systems, Inc. Confidential.
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Gain and Refine Customer Insight
Description
Analytics Dashboard
• Receive automated attrition alerts and initiate
relationship initiatives based on anticipated events.
• Monitor and recognize identified patterns that lead to
attrition.
• Anticipate actions to prevent attrition of profitable
customers.
• Develop predictive scores that allow you to forecast
customer profitability and customer risk
Start
Marketing
Manager
Siebel
Analytics
Active Alert
Generate
Attrition Alert
Review
Analytics
Home Page
Review
Attrition Alerts
Go to
Marketing
Analytics
Review
Customer
Attrition
Identify Root
Cause
Identify
Relevant
Customers
Design
Customer
Segment
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© 2005 Siebel Systems, Inc. Confidential.
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§ Segment customers based on profitability and create
predictive customer profiles to identify most valuable
customers.
Siebel Segment Designer
§ Segment Designer allows queries across multiple
different stars in the data warehouse to be easily
handled.
§ Allow business users to have easy access to an
interactive UI which displays counts in a “waterfall”
style display.
Start
Marketing
Manager
Siebel
Analytics
Description
Design Customer Segments
Transfer Customers
to Segment
Designer
Review Customer
Segments
Refine
Customer
Segments
Develop
Retention &
Growth
Campaigns
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© 2005 Siebel Systems, Inc. Confidential.
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Provide Personalized Customer Service
• Differentiate service based on customer profitability
prediction.
• Personalize interactions with each individual based
on prediction of his expectations
• Build a 360 degree view of customer across product
divisions to improve service
Start
Customer Agent
Customer
Description
Siebel Call Center
Request
Service
Identify/
Verify
Customer
High
Value?
Yes
Service
Customer
Request
Route to Best
Available Agent
No
Churn
Rate?
Low
Complete
Service
Real-Time
Offer
Allocation
High
Route to
Standard Agent
Perform
Retention Actions
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© 2005 Siebel Systems, Inc. Confidential.
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• Predict product propensity correlating insight from
multiple data sources, leverage real time predictive
scores at the operational level during customer
interactions.
Customer
Response
Accept?
No
End
Yes
Start
Siebel
Analytics
Customer
Agent
Customer
Description
Real-Time Offer Allocation
Complete
Service
Request
Revise
Customer
Profile
Deliver Offers
to Customer
Predict
Customer
Segment
Generate
Lead
Retrieve
Offers for
Segment
Update
Customer
Profile
Retrain
Segmentation
Model
Re-calculate
Offer Scores
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© 2005 Siebel Systems, Inc. Confidential.
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Agenda
§ Overview of Siebel Analytics
§ From Insight to Action – Integrating Operational and
Analytical environment
§ Closed Loop Marketing – Service to Sale
§ Business Intelligence for the masses – Economic
Scalability
29
© 2005 Siebel Systems, Inc. Confidential.
29
Economic Scalability – The Three Pillars
Physical Scalability
End User Scalability
• Business Self-sufficiency
(no report/cube-factory)
• No data duplication
• No network overload
• Ease of use – Insight accessible to
anyone who needs it
• Dynamic Vs Static
• All content personalized and rolebased
• Content is rich and interactive
• Use of alerts for exception analysis
Economic scalability (Build Vs Buy):
• Meeting business timelines
• Quick Time-to-Value
• Out-of-the-box applications
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© 2005 Siebel Systems, Inc. Confidential.
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Economic Scalability – The Three Pillars
Physical Scalability
End User Scalability
• Business Self-sufficiency
(no report/cube-factory)
• No data duplication
• Good Citizen on the Network
• Complex Analysis (Multi-pass,
Sub Queries, advanced
calculations)
• Ease of use – Insight accessible to
anyone who needs it
• Dynamic Vs Static
• All content personalized and rolebased
• Content is rich and interactive
Economic scalability:
• Meeting business timelines
• Quick Time-to-Value
• Out-of-the-box applications
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© 2005 Siebel Systems, Inc. Confidential.
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Physical Scalability:
Legacy Business Intelligence – Heavy Above the Line
Different User Tools for Different Functions – “Report-Centric”
• Tools are complex
• Results are inconsistent
• Minimal ability to reuse
• Heavy dependencies on IT
• Unpredictable performance
• Each app becomes a silo
OLAP Analysis
Query & Report
Portal/
Scorecard
Data Mining
Minimal Ability to Centrally Manage
Resources and Applications
This makes it extremely difficult for IT to
deliver on performance, manage change, and
give self-sufficiency to the business
Cubes
Siebel
OLTP
Siebel
RMW/CEW
© 2005 Siebel Systems, Inc. Confidential.
Teradata
Cubes
Department
Data Marts
Department
Data Marts
Other File or XML
Sources
32
Relational (SQL) Sources
32
Scalability requires the Right architecture
Business User Self-Sufficiency – Flexible, Responsive, Low Maintenance
OLAP Analysis
Query & Report
Portal/
Scorecard
Data Mining
Centralized Management of Resources, Applications, Data Access
? Scalable Performance
Enterprise Business Model Metadata Services
? Supports Information Consistency
Intelligent Multi-Level Caching Services
Multidimensional Analysis Engine (OLAP)
Data Mining Services
? Enables User Independence
? Allows IT to Respond Quickly to
Change
Calculation and Integration Services
Optimized Data Access and Intelligent SQL Request Generation Services
? All Relevant Enterprise Data
Sources
Siebel
OLTP
Siebel
RMW/CEW
Enterprise
DW
Department
Data Marts
SAP BW
Back
Office
Teradata
© 2005 Siebel Systems, Inc. Confidential.
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Multi-Multi
dimensional
(MDX) Sources
Other
File or XML
Sources
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Economic Scalability – The Three Pillars
Physical Scalability
End User Scalability
• Business Self-sufficiency
(no report/cube-factory)
• No data duplication
• Good Citizen on the Network
• Complex Analysis (Multi-pass,
Sub Queries, advanced
calculations)
• Ease of use – Insight accessible to
anyone who needs it
• Dynamic Vs Static
• All content personalized and rolebased
• Content is rich and interactive
Economic scalability (Build Vs Buy):
• Meeting business timelines
• Quick Time-to-Value
• Out-of-the-box applications
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© 2005 Siebel Systems, Inc. Confidential.
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Three Key Requirements of an Analytic Application
User Layer: Dashboards and Analytic Workflows
Function Layer: Subject Area Data Warehouse
Data Layer: Robust Data Integration
Siebel
Oracle
SAP
PeopleSoft
i2
Legacy
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© 2005 Siebel Systems, Inc. Confidential.
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Steps Required to Build a BI Solution
§ Develop detailed understanding of operational data sources
§ Design a data warehouse by subject area
§ License an ETL tool to move data from operational systems to
this DW
These steps require
different types of BI
and DW technology
§ Build ETL programs for every data source
§ License interactive user access tools
§ Research analytic needs of each user community
§ Build analytics for each audience
These steps require
significant
resources with
specialized skills /
expertise
§ License / create information delivery tools
§ Set up user security & visibility rules
These steps
typically take a
long time to perfect
as knowledge of
best practices is
learned
§ Perform QA & performance testing
§ Manage on-going changes/upgrades
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© 2005 Siebel Systems, Inc. Confidential.
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Siebel Business Analytics Applications
Change the Economics of BI
Build from Scratch
with Traditional BI Tools
Siebel Business Analytics
Prebuilt Analytic Apps
Training,
Roll--out,
Roll
Iteration
Siebel Business Analytics
solutions approach:
Define Metrics
& Dashboards
• Faster time to value
• Lower TCO
• Assured business value
DW Design
Rollout
Back -end
BackETL and
Mapping
Define Metrics
& Dashboards
DW Design
Back -end
BackETL and
Mapping
Months or years
Easy to use, easy to adapt
Role-based dashboards and thousands
of pre-defined metrics
Prebuilt DW design, adapts to your EDW
Prebuilt Business Adapters for Siebel,
Oracle, PeopleSoft SAP, others
Weeks or months
37
©Source:
2005 Siebel
Systems,
Inc. Confidential.
Patricia
Seybold
Research, Gartner, Merrill Lynch, Siebel Analysis
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Pre-built Analytical Applications - Build Vs Buy
Automotive
Sales
Analytics
Service &
Contact Center
Analytics
Consumer Sector
Energy
ü Thousands of pre-built metrics
ü Pre-built analytic agents and alerts
ü Embedded industry best practices
ü Personalized by user role and function
Marketing
Analytics
Financial Services
High Technology
ü Pre-built extraction routines
ü Over 50 pre-built business analysis areas
Communications & Media
Complex Manufacturing
ü Pre-built data warehouse design
Financial
Analytics
ü Integrated security & data visibility
ü Integrated with operational workflow and business
processes
ü Insight integrated with customer touch point
systems for intelligent interaction
ü Global support for 20 languages
Insurance & Health Care
Life Sciences
Supply Chain
Analytics
ü Incorporating data from across enterprise
sources:
Public Sector
Travel & Transportation
© 2005 Siebel Systems, Inc. Confidential.
ü Full breadth of BI platform capabilities – Ad Hoc,
Interactive Dashboards, Proactive Detection /
Notification, Mobile Analytics
Workforce
Analytics
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Other
Operational
& Analytic 38
Sources
Example – Siebel Service and Contact Center Analytics
1 Siebel Service and Contact Center Analytics includes 18 starschemas designed for analysis and reporting on contact
center, service, and customer data.
3 Pre-mapped metadata for the 18 star-schemas, including
additional best practice calculations and derived fields that are
not physically stored in the data warehouse. This pre-built
metadata enables any user to do easy point and click ad hoc
analysis on the full range of available fields.
Ø Presentation Metadata
Ø Logical Metadata
Ø Physical Metadata
2 Pre-built ETL routines to extract data from over 3,000
operational tables and load it into the warehouse, sourced
from Siebel, SAP, PeopleSoft, Oracle Applications, and call
center telephony middleware.
© 2005 Siebel Systems, Inc. Confidential.
Teradata
EDW
4 A “best practice” library of over 150 pre-built intelligence
dashboards, reports and alerts for service and contact center
agents, managers and executives
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Things to Consider when designing a BI capability
Pervasive User Reach
Integration into operational CRM
• Timely, real-time information
• Integration into operational environment
• Historical, real-time & predictive analytics
• Relevant & actionable for each person
• Personalized interactive dashboards
• Proactive alerts highlight key information
in context
• Guided analytics lead to results
• Directly drives operational systems,
business processes and workflows
• High user self-sufficiency
Solutions Approach
Mission-Critical Architecture
• Terabytes of data
• Tens of thousands of concurrent users
• Enterprise-class performance, reliability
• Leverages existing operational and data
warehouse investments
• Most comprehensive suite of analytical
apps across enterprise functions
• Complete, prebuilt solutions
• Based on industry & analytic best practices
• Results in faster deployment, lower TCO,
and assured business value
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© 2005 Siebel Systems, Inc. Confidential.
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