Analytics for Strategic Management

I am starting a new executive course, Analytics for Strategic Management, with my young and very talented colleagues Alessandra Luzzi and Chandler Johnson (both with the Center for Digitization at BI Norwegian Business School).


Alessandra Luzzi


Chandler Johnson

The course (over five modules) is aimed at managers who want to become sophisticated consumers of analytics (be it Big Data or the more regular kind). The idea is to learn just enough analytics that you know what to ask for, where the pressure points are (so you do not ask for things that cannot be done or will be prohibitively expensive). The participants will learn from cases, discussions, live examples and assignments.

Central to the course is a course analytics project, where the participants will seek out data from their own company (or, since it will be group work, someone else’s), figure out what you can do with the data, and end up, if not with a finished analysis (that might happen), at least with a well developed project specification.

The course will contain quite a bit of analytics – including a spot of Phython and R programming – again, so that the executives taking it will know what they are asking for and what is being done.

We were a bit nervous about offering this course – a technically oriented course with a February startup date. The response, however, has been excellent, with more than 20 students signed up already. In fact, wi will probably be capping the course at 30 participants, simply because it is the first time we are teaching it, and we are conscious that for the first time, 30 is more than enough, as we will be doing everything for the first time and undoubtedly change many things as we go along.

If you can’t do the course this year – here are a few stating pointers to whet your appetite:

  • Big Data is difficult to define. This is always the case with fashionable monikers – for instance, how big is “big”? – but good ol’ Wikipedia comes to the rescue, with an excellent introductory article on the concept. For me, Big Data has always been about having the entire data set instead of a sample (i.e., n = p), but I can certainly see the other dimensions of delineation suggested here.
  • Data analytics can be very profitable (PDF), but few companies manage to really mine their data for insights and actions. That’s great – more upside for those who really wants to do it!
  • Data may be big but often is bad, causing data scientists to spend most of their time fixing errors, cleaning things up and, in general, preparing for analytics rather than the analysis itself. Sometimes you can almost smell that the data is bad – I recommend The Quartz guide to bad data as a great list of indicators that something is amiss.
  • Data scientists are few, far between and expensive. There is a severe shortage of people with data analysis skills in Norway and elsewhere, and the educational systems (yours truly excepted, of course) is not responding. Good analysts are expensive. Cheap analysts – well, you get what you pay for. And, quite possibly, some analytics you may like, but not what you ought to get.
  • There is lots of data, but a shortage of models. Though you may have the data and the data scientists, that does not mean that you have good models. It is actually a problem that as soon as you have numbers – even though they are bad – they become a focal point for decision makers, who show a marked reluctance to asking where the data is coming from, what it actually means, and how the constructed models have materialised.

And with that – if you are a participant, I look forward to seeing you in February. If you are not – well, you better boogey over to BIs web pages and sign up.

The Grand Ol’ Tour

Top Gear is back (at least the one you want to watch), now called The Grand Tour, and involving the familiar three and lots of colour saturation. thegrandtourApparently, there are lots of things they cannot do that was in the old show, but this has a track, a moveable open studio, and the usual bantering and car racing. Celebrities drop in and out (quite literally.) The video quality is exceptional and the opening five minutes – apparently consuming most of the lavish budget – a kind of panoramic and unapologetic pun on just so many things. The banter seems a little bit forced in the beginning before shoulders come down and jokes get worse and worse (especially Clarkson’s.)

Very much like a comfortable old jacket and some well-worn jeans, in other words. I quite like it – it is uncomplicated, yet polysyllabic, masculine escapism. And best of all – it is included in my Amazon Prime subscription, now useful over here in Norway, too.

The boss on the boss

Born to RunBorn to Run by Bruce Springsteen

My rating: 4 of 5 stars

This book is much like a Springsteen song from the early days – long, complex and poetic language, and sometimes it can be a bit hard to hear the vocals above the “wall of sound”. But it has heart, and leaves quite a bit unsaid (and much said.) Good read, especially if you have Internet nearby and can search up the songs and bands mentioned. (Incidentally, here is a Spotify list of the 336 songs mentioned in the book:…).

An interesting twist – and something where I would have liked to read more – is Bruce Springsteen as a leader. His nickname “The Boss” comes from his ability to control and lead the bands he has been in – it has always been his bands, groups accompanying him as an artist, and I find it fascinating how he finds his self-confidence and remains in charge, working with some rather headstrong personalities. That is a management challenge I am curious to know why he undertook, and how he managed to see through.

But an interesting and very well written book. 500 pages plus, but not boring, and not more self-centered than an autobiography will have to be. Recommended.

Oh yeah – there has to be video here, methinks. This one’s good:

View all my reviews

Norway and self-driving cars

(This is a translation (with inevitable slight edits) from Norwegian of an op-ed Carl Störmer (who, in all fairness, had the idea) and I had in the Norwegian business newspaper Dagens Næringsliv.)

A self-driving future

Espen Andersen, BI Norwegian Business School and Carl Störmer, Jazzcode AS

Norway should become the world’s premier test laboratory for self-driving cars.

Norway needs to find new areas of development after oil – and we should go for something the whole world wants, where we have local advantages, and where we will develop deep and important knowledge even if the original idea does not succeed. We suggest that Norway should become the world’s premier test laboratory for self-driving cars – a “moon landing” we can develop far further than what we have been able to do from our expertise in sub-sea petroleum extraction.

1280px-tesla_model_s_26_x_side_by_side_at_the_gilroy_superchargerSelf-driving cars will do for personal transportation what e-mail has done for snail mail. Tesla-founder Elon Musk says Teslas will drive themselves in two hears – they already can change lanes and park themselves in your garage. The “summon“-function (a “come here”-command for your car) could, in principle, work across the entire USA.

An electrical self-driving vehicle will seldom par, choose the fastest or most economical route, always obey the traffic laws, and emit no pollutants. A society with self-driving cars can reduce the number of cars by 70-90%, free up about 30% more space in large cities, reduce traffic accidents by 90%, and drastically reduce local air pollution.

Google’s self-driving carsgoogle_self_driving_car_at_the_googleplex have driven several million kilometers without self-caused accidents, but there are still many technical problems left to solve. The cars work well in the well marked and carefully mapped roads of sunny California. The self-driving cars drive well, but the human drivers do not. But we cannot execute a sudden transition – for a long time, human and automated drivers will have to coexist.

Norway has unique advantages as a lab. In Norway, we can develop our own self-driving cars, but also be the first nation to really start using them. We do not have our own car industry to protect, we are quick to purchase and start to use new technologies, we are such a small country that decision paths are short, and should an international company make a marketing blunder in Norway, the damage will be limited to a very small market. We can easily change our laws to allow for testing of self-driving cars: Oslo, Bergen, Trondheim and Stavanger has enough traffic issues and large enough populations to suffice for a serious experiment. As a nation, we are focused on environmental issues, innovation and employment.

Norway’s bad road standard is an advantage. Norway has plenty of snow and ice, bad weather and bad roads. Today’s self-driving cars need clear road markings to be able to drive safely. But Norway has world leading capabilities in communication and coordination technology: The oil industry has learned how to continuously position ships in rough seas with an accuracy of about five centimeters. Telenor is a world-leading company in building robust mobile phone networks in complicated terrain. Technology developed for Norwegian conditions will work anywhere in the world.

Norway needs self-driving cars more than most nations. Norway is the world’s richest and most equal country, creating a modern welfare state through automation and technology-based productivity improvements. The transportation industry is over-ripe for automation. The technology can maintain productivity growth and offer a new life for many people – the blind, the old and the physically handicapped – who do not have access to cheap and simple transportation today. It will create many jobs – think before and after the smart phone here – that can be created based on abundant and cheap transportation.

Norway will win even if we don’t succeed. Lots of new technology has to be developed to make self-driving cars from experiment to production: For instance, software has to be developed that can handle extremely complicated situations when autonomous cars will have to share the road with tired human drivers. More importantly, lots of products and services can be built on top of self-driving cars, business models have to be developed, and many industries will be impacted. The insurance business, for instance, will have to adapt to a market with very few accidents. Even the donor organ market will be impacted – though traffic accident organs by no means make up the majority of organs available, there might be a shortage of available organs.

Norway has faced tremendous changes before. We have transited from being harvested ice to electric refrigertation (in the process enabling our large fishing and fish farming industries), from sail to steam shipping, from fixed line telephony to mobile phones. Our politicians have, quite wisely, created an electric car policy ensuring that we have the highest density of electric cars in the world (10% of all Teslas are sold in Norway.) Norway has everything to earn and very little to lose by going all in for self-driving cars.

Let’s do it!

All the cargo in the world…

I just love this map, created by Kiln, so I wanted it on my blog for easy reference:

It is rather fascinating, and clearly shows why Singapore has acquired such an important position in the world’s logistics. Click on the play button in the top right corner for a short narration. The data is from 2012, but the pattern is largely the same today.

Does someone have to die first?

double-classroomBlogpost for ACM Ubiquity, intro here:

Digital technology changes fast, and organizations change slowly: First using the technology as an automated, digitized version of the old way of doing things, then gradually understanding that in order to achieve productivity and functional breakthroughs. We need to leave the old metaphors behind. For this to happen, we need new mindsets, unfettered by the old way of using the technology. I wonder if my generation has the capability to do it.

Read the rest at ACM Ubiquity: Does someone have to die first?

Cases: How to prepare for and learn from them

My versatile and creative colleague Hanno Roberts and I have made a series of five videos on case learning and preparation, originally for students at the BI/Fudan MBA program. This teaching method is difficult both for teacher and student, but highly rewarding provided you give it proper attention – which means effective preparation. Hanno and I talk about the goal of case teaching, how students can prepare individually, how to prepare as a group, how to go through the case discussion in the classroom, and then we sum up with some strategies for how to retain what you have learned.

Hanno and I did these videos against a green-screen, with little preparation – we basically met, outlined a structure with some keywords, decided broadly on who should say what, and dove right into it. Most of the videos were shot once, and then the very capable Milosz Tuszko edited them, added background, logos and keywords.

The updated videos are a less wooden than the previous version, methinks, and available in high resolution and with better sound. We clarified the differences between my version of case teaching and Hanno’s (both work, by the way). Over the years the original videos have been much watched – hopefully, our students (and others) will watch them carefully, and the result will be better case teaching, more learning, and an even more enjoyable experience teaching.

Details about each video below the fold…

Continue reading