April 18, 2016

If Data is the Answer, What is the Question?

How many years can a mountain exist
Before it’s washed to the sea?
Yes, ’n’ how many years can some people exist
Before they’re allowed to be free?
Yes, ’n’ how many times can a man turn his head
Pretending he just doesn’t see?
The answer, my friend, is blowin’ in the wind
The answer is blowin’ in the wind

“Blowin’ In The Wind”, Bob Dylan

How does bigger Big Data correspond to better products or services? Armed with the latest analytics tools, will data scientists now have all the answers? And who are data scientists anyhow?

Just as in music production, new technology tools in business do not guarantee quality output. Today hobbyists can affordably access state of the art recording tools that were previously only available to the best studios. The same tools in the hands of some can turn into mega hits, while others generate noise. In a similar way, does the availability of Big Data guarantee that your company can leverage it to produce better results?

On March 15th, Eventide, an American digital audio manufacturer and Tony Visconti, an American record producer have joined forces to create a music plug-in inspired by David Bowie.

David Bowie Production Effects Processor In the Works…

OK, now you have the David Bowie effects box.  So what? Does that mean you can start cranking out #1 hits? I learned analog and digital music production back in the 80s in a pioneering program between CWRU and the Cleveland Institute of Music. As you can imagine, the fact that we had these cool new digital tools for sound production, mixing and editing did NOT mean that we could create good music.

We finally had the tools to capture and represent sound digitally. But it didn’t always translate into quality (again, we’re talking the 80s). It made it easier to manipulate the sound. And sometimes in the hands of Masters, like a David Bowie, Lindsay Buckingham or Peter Gabriel it could turn out to be fantastic and totally fresh.

Data is growing at an exponential rate due to the number of connected devices, particularly mobile (data) and now IoT devices. There is no question that there is tremendous amount of potential value in the data. Evangelos Simoudis recently began a series on this topic: Insightful applications: The next inflection in big data.

To extract real value from the data we need more than new analytical tools. We need to be curious. From the book Scaling Up:

“We have the answers, all the answers; it’s the question we do not know.”

Are you at risk of having teams of really talented people mining data to find answers to the wrong question? It can be a very expensive wild goose chase. As entrepreneurs, or managers, we need to be better at asking the right questions. The data can’t supply the answer if you don’t know what the question is, and that’s the point. Master producers push the envelope, trying to create the sound that’s in their head. They use instruments, sometimes in unconventional ways, to create something that is new and elicits a response from listeners.

Entrepreneurs should look at Big Data the same way. If you could find the right answer to a great question it’s value will be apparent. It makes me think of HireWheel, a company here in #startupcincy. They are amassing huge amounts of home construction and remodeling data from municipal permitting offices to turn this into very interesting data for consumers, contractors and insurance companies. The question they asked is “In my neighborhood, when do roofs typically need to replaced and what will it cost?” The answer to that question is now readily available and it has tremendous value for many stakeholders.

Start by asking questions that have yet to be asked. The answer, my friend, is blow’ in the wind.