Digital Transformation through Analytics

1. Digital Transformation through Analytics At the Heels of The New Normal www.sganalytics.com

2. 2020 was the year when organizations across the board were caught in the flurry of an unprecedented ambiguity which would later, evolve into what is now famously known as, ‘the new normal’. The COVID-19 driven digital adoption witnessed companies of all sizes, across sectors racing to transform themselves to stay relevant in the uncertain times. TOP 8 DIGITAL TRANSFORMATION TRENDS FOR 2021 We speculate that by 2022, almost 85% of corporate strategies will specifically highlight information as one of the most crucial enterprise assets and, analytics as an unavoidable competency. Media and Entertainment 5G Will bring a revolutionary change in 2021 & beyond OTT To take over the traditional networks BFSI 2021 will perhaps be the ‘blitzkrieg’ year for digital transformation where a slew of new technologies will continue to disrupt the business landscape. ML Ops, augmented analytics, IoMT, DataOps, and the deployment of 5G network in the media & entertainment industry will be at the forefront of disruptive technology trends in 2021. The pandemic-fueled digital acceleration has captured the attention and imagination of business leaders, developers, and consumers alike. The ‘new normal’ has already happened and it’s cutthroat. It is also rewarding beyond measure for those who are its early adopters. DataOps Fostering data democracy RegTech To identify risk and control frameworks seamlessly Technology ML Ops Help Businesses deliver value Augmented Analytics Transforming market, capabilities and organizations Healthcare IoMT Reshaping healthcare AI and NLP Reducing clinical burden 2 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

3. Media & Entertainment in 2021: It’s Going to be All about Exploding Data and Convergence The Media & Entertainment industry is witnessing continuous transformation. As the demarcation between print and digital, pay-TV and OTT, and social and traditional media is starting to fade, M&E companies are formulating new strategies about their offering and delivery of services. The key lies in leveraging the right technologies to cost-effectively deliver premium content tailored to the needs of the audience. The sentiment of the Media & Entertainment industry is expected to be positive in 2021. Consumers are integrating several products and services of the industry in their day- to-day lives, helping the M&E industry navigate the turbulent waters of the coronavirus pandemic. This era will probably be remembered as the ‘golden age of M&E’ in the pages of history, when the COVID-19 pandemic had acted as a catalyst in accelerating digitization and caused tectonic shifts in people’s behavioral patterns. 3 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

4. The 5G Effect on Media & Entertainment Shift in Media Consumption in Developing Countries 5G with Its Ultralow Latency and High Bandwidth Will Help M&E Companies Ride This Wave When the world was confined to their homes, consumers turned to over-the-top (OTT) platforms to entertain themselves. In 2020, the media and entertainment industry witnessed a drastic change among the consumers and their preferences, especially in the developing countries. The shift from conventional media to OTT media, particularly in the lockdown period due to COVID-19, has resulted in, what will be remembered as, ‘the steaming wars’ among the streaming giants of time – Netflix, Amazon Prime, Disney+, et al. With 4K content making waves and evolving along the lines of Full HD, both content creators and distributors will need to adapt quickly to feed the demand. With the implementation of 5G networks, it would not be wrong to state that the world will move toward 4K as the prevalent standard for both pre-recorded and live content distribution. This would exponentially increase the demand for high bandwidth at very low latency, which is expected to be resolved by 5G. According to Inc42, in India, consumers’ average viewing time has been observed to be around 5.27 hours per day, with 97.8% of respondents suggesting that they use video to communicate with family and friends. Indians’ usage of video streaming is the highest in the world, with the work–from-home option being offered to employees by their organizations industry. Media Industry to Yield Revenues within a Decade from 5G 0.2% $409M 18.5% $47B 2019 97.8% use video to communicate with family and friends 2022 57% $183B 79.9% $335B The sudden rise in real-time streaming needs the suitable infrastructure to handle the demand for high- quality video. Also, the quality of content plays a big role in the new age consumer’s consumption patterns. Full HD quality that was considered too pricey earlier is now the de-facto standard across devices. 2025 2028 Source: NASSCOM 4 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

5. Traditional Networks Going the OTT Way With the growing demand for OTT platforms, traditional networks have now started to underscore their presence via OTT platforms. As television programming undergoes a renaissance, media companies are going to witness a great deal of opportunity in generating advertising revenue through cross-media audiences. The Media and Entertainment sector is undergoing digital transformation, which demands a synchronous journey of technology and business. Data and analytics will help the media industry multiply profitability. The OTT world is a world of personalization where the audience has the flexibility to update/upgrade subscription plans. Data collection now is no longer about extrapolating from a sample. It will be about collecting all the relevant user, viewership, and behavior data, and converting it to insights that will drive all decisions from content retention to acquisition to revenue generation. This will require data engineering on a petabyte scale to fully realize the data’s value. Segment CAGR for the Next Five Years: 2019–2024 29% 22% 19% 14% 9% 8% 7% 6% 2% -3% -1% OTT Video Internet Advertising Video Games and Esports Music, Radio and Podcasts Books Traditional TV and Home Video B2B TV Newspapers and Consumer Magazines Cinema OOH Advertising Source: PwC Global E&M Outlook 2020-2024 5 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

6. Data Availability and Engineering With the availability of marketers, advertisers, and content providers, it has now become important to have a ready-to-use, scalable framework to process, transform, analyze, and interpret the data into something meaningful. In the coming months, it would not be surprising to see companies depending on more than one organization to measure/ understand the viewership/TRP of their content or channels. Entertainment players would now prefer collaborating with companies to measure audience metrics across platforms/channels. Data measurement in the entertainment industry is a two-way process where cross-media audience and their viewership or online presence help advertisers gain opportunity to execute an omnichannel advertising plan. This can be made possible by augmenting data from sources such as viewing history, demographics, and so on to have a better understanding/insight into improvised ad delivery and execution. At SGA, we use data engineering and analytics to build deeper insights for traditional as well as OTT players, helping them develop a user-centric approach, which could be a game-changer for attracting the maximum size of targeted audience. Use Case A leading US Media and Entertainment conglomerate wanted to implement an automated data ingestion application to increase its scalability and attain a competitive edge in the market. SGA created an automated data ingestion application that helped our client obtain large streams of data in a structured format for analysis. With the automated data ingestion software created by SGA, our client was able to cleanse data from multiple soruces, which was further processed proactively. Our architecture is also flexible enough to add more data sources with minimal heavy lifting to enable future analysis. Visit to download the complete case study. 6 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

7. BFSI: Ushering Data Democracy, Innovation, and Vigilance in Increasingly Vulnerable Times Harnessing the tremendous potential of data, many financial institutions are increasingly engaging in transformation programs that are aimed at reshaping their business models. Leading financial institutions that previously focused on descriptive analytics to make informed decisions are now integrating analytics in their processes, products, services, and various other front-line activities. 7 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

8. DataOps - Flexible and Secure Data Governance while Fostering Data Democracy The two most crucial areas of focus for any financial service company are continuous innovation and driving data governance alongside digital transformation. To be in a position to achieve both the goals, a DataOps approach can be followed. DataOps implements the workflow benefits of DevOps while concentrating on data governance, socializing data and ethics in a technology-agnostic way. This helps in lowering the level of skills essential for using data in order make business teams self-reliant. DataOps: Automating the Data Journey With DataOps expected growth in total data volume (in Zettabytes, ZB) 180 2025 44 2020 32% CAGR 5 2013 Source: IDC Moving away from the traditional ‘one size fits all’ approach, DataOps addresses governance and data management challenges with increased flexibility and distribution. It enables organizations to decentralize data governance responsibility and provide enterprise-wide effective tools that facilitate the robust data access controls, alerting, observability, and automation. Integrating DataOps with data-intensive technologies like that of artificial intelligence (AI), machine learning (ML), and deep learning, the focus has been shifted toward Metadata where data assets are tagged, catalogued, and indexed into a centralized repository. With a DataOps platform, data-driven organizations gain flexibility to innovate and execute business models at a faster pace with strong data governance. DataOps helps organizations achieve a sustainable value out of AI and ML technologies. 8 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

9. Eliminating the Breach World through RegTech RegTech till date has primarily been focused on digital transformation of manual reporting and compliance processes. This includes leveraging automation and basic ML to speed up Know Your Customer (KYC) processes. In the next stage of the RegTech revolution, companies are willing to experiment further with advanced AI and ML to deliver outcomes that go beyond regulatory reporting and cost reduction to identification of risk and prevention of financial crime. RegTech: One of the fastest growing segments of financial innovation © $270B Financial institutions’ annual compliance spending >$300B Fines paid by banks since 2008 23,864 Fintech patents owned by the most prolific tech company $5.1B Regtech Investment made in the Q3 of 2020 $76B Forecast RegTech spending by 2022 - up from $10.6B in 2017 10-15% of financial institutions’ staff work on governance, risk management and compliance 34% RegTech’s predicted share of all regulatory spending by 2022 (4.8% in 2017) Source: Fintechnews.ch A majority of the RegTech solutions can be incorporated within the existing IT infrastructure, making the adoption process relatively straightforward. For example, AI and ML not only help consumer verification apps dramatically reduce the verification time, but also allow it to be conducted virtually. of compliance processes and improving effectiveness continues to be in play. However, it is evident that the potential of RegTech goes beyond merely ensuring the efficiency of compliance. The data analytics techniques that are specifically designed to fulfill regulators’ demand can also provide insightful information about consumers and markets. When used correctly, RegTech can emerge as a source of competitive advantage. Going beyond compliance, RegTech helps in improving operations and enhancing competitiveness. Since the current era of solutions is being driven by data, the accelerated use of analytics, dashboards, platforms, AI, and ML facilitates the delivery of insights to various functional teams within an enterprise as well. Other business functions, such as customer engagement, marketing, new products and services, can benefit from the customized insights, thereby boosting overall efficiency and productivity. Use Case One of the world’s largest European banks needed an end-to-end automated regulatory compliant solution. SGA created a customized reporting platform that enabled the client to identify the eligibility for the post- trade transparency and transaction reporting required by MiFID II. This resulted in the complete elimination of the manual reconciliation effort put in by the bank’s compliance team and allowed them to focus on reducing the misreporting of errors and the corresponding non- compliance fees. One example of the evolution of RegTech would be in-fraud detection and prevention. Linking the Regtech data and harnessing the power of today’s petabyte scale processing can improve fraud detection, prediction, and prevention by leaps and bounds. Given that regulatory fines post financial crisis have crossed over $400 billion (as published by a research report), RegTech’s primary charter of cutting the cost Visit to download the complete case study. 9 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

10. Digital Transformation Trends in Technology Sector in 2021 – ML Ops and Augmented Analytics Machine Learning today is still in the labs. We were able to discover, develop, test and deploy 5 Covid vaccines in the space of a year but operationalizing Machine learning is still stuck in the proverbial IT red tape and is the single biggest obstacle in delivering on the promises made in the last 5 years. There is light at the end of the tunnel though. In 2021 and beyond, MLOps will finally come of age and transform Machine learning the way Devops did to software development in the previous decade. Mihir Saudagar | VP, Solutions 10 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

11. ML Ops - The Revolutionary Phase for Machines, Humans, and Data Despite an increase in the adoption of ML, several organizations still struggle with inefficiencies due to clunky and shoddy development and deployment process, hampering experimentation and smooth collaboration among product, operations, and data scientists’ teams. and automates the development and operations of the ML model, aiming to expedite the entire model life cycle process. ML Ops helps drive business value by accelerating the experimentation process and development pipeline, leading to the improvement in the quality of model production. Additionally, it makes monitoring and maintenance of the production models and management of regulatory requirements easier. As reported by Deloitte, the ML Ops market is predicted to grow to approximately $4 billion by 2025. Since business dynamics in a digital world are approaching FTL (Faster than light speed...pun intended!), delayed deployment of models make them redundant as soon as they enter production. The value benefit derived from the model implementation shows a drastic drop. $4B ML Ops market is predicted to grow to approximately In today’s world, the integration of AI is crucial for re- aligning DevOps. ML Ops is an approach that combines The emergence of ML-powered cognitive data steward technologies has made it possible to accelerate the process of data discovery and extraction of valuable insights and connections. Here is how: • Data scientists can focus their efforts on more advanced analysis by replacing manual and costly stewardship activities with cognitive technology, semantic models, and analytics. • Data scientists can use custom data algorithms in multiple data models by identifying similarities in underlying data systems’ code. • Master data processing can be automated by leveraging ML capabilities, helping cognitive data stewards improve data readiness and quality, visualize relationships in data, and enable greater data management efficiency. ML Ops Solutions to Accelerate Business: Cost-effective Third-party Solution -19% 6.00 Build from scratch 5.00 -21% Buy a third-party solution 4.00 3.00 2.00 1.00 $3.9M $5.5M $3.1M $4.5M 0.00 Low Estimate High Estimate Third-party ML Ops solution costs 19-21% less than building the ML Ops infrastructure from scratch Source: Algorithmia 11 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

12. Augmented Analytics Use Case A leading SaaS based product firm wanted to reduce churn by proactively engaging with its customer base. SGA worked with the business and data teams to identify the correct variables and build a robust churn prediction model. The model was deployed using an open-source framework to manage the end-to-end ML lifecycle. We used a combination of databricks and AWS to maintain ML workflows which includes model monitoring and real-time model serving. Data scientists spend more than 50% of their time in data preparation, which is the process of exploring, combining, cleaning, and transforming raw data into curated datasets. According to Forrester Research, the amount of data that is analyzed and used is less than 0.5%. A minimal quantity of enterprise data – around 12% – is used to make decisions. The proliferation of IoT connected devices will only make the matter worse, which is expected to generate 79.4 Zeta Bytes (ZB) of data across 41.6 billion devices, as forecasted by IDC. Several micro segments were profiled by our team to accurately identify target customers for the client’s retention campaign. Our churn model identified customers with higher churn risk and saved $1.2M (estimated). Our model production and governance framework helped our client to have a 60% improvement in productivity Augmented analytics uses ML and AI techniques for automating data preparation. With augmented analytics, businesses can effortlessly automate repetitive processes and divert their focus on churning out more insights. The adoption of augmented analytics leads to hyper- automation, a situation where the automation of initial stages of data processing materializes. Freeing up data scientists’ time, in 2021, hyper-automation will enable them to focus immensely on data analysis. Visit to download the complete case study. Companies that Invest in Augmented Analytics 51% greater confidence in decision- making Models built using huge data will run at 10X to 100X, and are faster than traditional analytics which expedites insights Augmented Analytics 5X increase in number of citizen data scientists than the data professionals 50% increase in analytics efficiency 48% 23% 31% 35% Improvement in analytics effectiveness Greater YOY increase in operation profit Greater YOY improvement in employee retention Greater YOY increase in total customers Source: Subex 12 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

13. The Digital Transformation in Healthcare – The Leap into The Great Beyond Digital transformation in the healthcare industry had been inevitable. The industry is undergoing the much-awaited technological revolution, heading toward digital maturity and is beginning to leverage and embrace the power of data to the fullest. With the current acceleration of technology adoption, the operational and clinical data being generated at high volumes can be mined to unearth and extract crucial insights, which can be used to fill the gaps in the global healthcare system. 13 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

14. To Be or Not to Be – Adoption of Internet of Medical Things (IoMT) According to a forecast by the United Nations, 1 in 6 people on Earth will be over the age of 65 by 2050. This highlights that the burden on healthcare systems is bound to increase. The obvious growing need for medical devices that can track the health of the aged and provide assistance from anywhere can’t be avoided. The Internet of Medical Things (IoMT) technology refers to devices, such as wearables, connected inhalers, smart beds, ECG, and EKG monitors that connect with each other via the internet. In the healthcare industry, IoMT has witnessed significant growth. Presently, a majority of the IoT initiatives such as remote monitoring and telemonitoring in the medical industry are focused on improving patient health. Adoption of electronic health records (EHR) at a massive scale has been one of the major factors driving market growth. Analytics, AI, and NLP: Reducing the Clinical Burden Due to the proliferation of big data, there has been a significant transformation in data generation and analysis process. As per the report published by Industry Arc, the market size of digital health was valued at $129.29 billion in 2018, which is estimated to grow at a CAGR of 23.40% during the forecast period 2019–2024. It is expected that by 2024, the market size will reach $456.5 billion. Global IoT Healthcare Market 2020-2025 $135B $135B 140.00 The incorporation of AI has helped the industry become more affordable, accessible, and effective. AI has enabled patients to use self-service terminals anytime they want, helping hospitals and clinics use resources in various ways that can help deliver greater value to patients and impact their health in a better manner. 120.00 100.00 $50B $50B 80.00 60.00 40.00 $456.5B It is expected that by 2024, the market size will reach 20.00 0.00 2020 Heathcare AI Market Size 2014-2021: A CAGR of 40% 2025 Source: Statista Hospitals such as Macon Community Hospital, Valley Children’s Healthcare, and Ochsner St. Mary in the US have started implementing EHRs to make it easy for patients to maintain their digital records efficiently. EHRs are not only meant to maintain health records digitally, but also trigger reminders and warnings to patients about new lab tests or prescription tracking regularly. In the US, 2020 saw a major spike in the number of hospitals adopting EHRs. As per HITECH research report, around 94% of hospitals have already started adopting EHRs. $6.6B 2021 11X $600M 2014 Source: Accenture 14 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

15. Movers and Shakers of the Market - Use Case AI is being used to enhance the accuracy of disease detection as well as analyze massive amounts of patient data. With AI, the speed of review and translation of mammograms can be increased up to 30X with 90% accuracy, reducing the need for unnecessary biopsies and enabling healthcare professionals make crucial decisions. A leading multinational pharmaceutical company wanted to apply big data analytics to their fever disease portfolio subjects to understand the clinical treatment pathways from real world evidences and EHRs of the patients. SGA provided them with big data solutions where data from multiple systems in numerous forms was cleansed, transformed, and aggregated to enable batch processing and advanced analytics on large sets of data. SGA’s analytical models and data visualization tools helped the client gain a better and faster insight generation from real world evidence. We also provided them with a big data warehouse for clinical pathways analytics for R&D and analysis purposes. Touch-free interactions and the need for efficiency has the potential to provide a push to the clinical use of natural language processing (NLP), which is a branch of AI that allows the system to understand human language. The data sourced from a patient’s EHR can be seamlessly analyzed. Additionally, various administrative bottlenecks can be addressed with insights extracted by analyzing the data generated from automated services, such as symptom-checking chatbots. Several digital platforms serving at-home monitoring services are now being launched in different countries for SMART medication dispensing. Such platforms and their software are equipped with standardized APIs helping patients and clinicians have access to their own data and well-encrypted communication with each other. Such platforms are cloud-based and highly customizable. Deloitte, in one of its reports for health solutions outlined the growing demand for digital transformation happening around Europe. It highlighted how in Norway, several hospitals and clinicians have started using such digital platforms and claimed that almost 66% of their patients now have control over their health and 32% hospitalizations. These platforms are user-friendly and cost-effective and have helped doctors have lesser number of in- person appointments. A nursing bot can never replace a nurse in the hospital; however, it can save time, improve efficiency, and resolve medical errors. Bringing down the cost of care can only happen if hospitals include predictive analytics, EHR, and automation in their current setup and near-term roadmap. Dr. Siddhartha Dutta | Practice Head, Healthcare Visit to download the complete case study. 15 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

16. Quick Tips for Businesses Adopting Digital Transformation Although the major technology trends will rule the roost, mentioned below are some more hygiene factors that companies must adopt while embracing digital transformation. • Businesses must ensure that their employees can undertake tasks that can help keep them motivated and refreshed every day. • Talent that can act as ‘translators’ between the business requirements and the offerings that a technology can deliver, should be attracted and trained. • Ways of collaboration with government and general population on critical societal issues, such as racial injustice and climate change, should be explored. • Workforce diversity should be built by leveraging the benefits of virtual working environments. Since technology continues to reshape how every industry operates, the actions outlined above can help all companies thrive in the coming year. If you’d like to discuss more about technology industry trends and how your organization can succeed in 2021, let’s connect! 16 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com

17. About the Author MIHIR SAUDAGAR | VP, Solutions With a B.Tech in CS from IIT Kharagpur and having worked with companies like Amazon and Barclays in his previous roles, Mihir a seasoned analytics and product development professional with 15+ years of industry experience. He has worked with leading companies and clients across sectors (technology, e-commerce, healthcare and financial services) delivering analytics and building products. Contributors DR. SIDDHARTHA DUTTA | Practice Head, Healthcare Dr. Siddhartha Dutta has a PhD with MBA from IMT Ghaziabad and is a Post-doctoral fellow from UHHS (USA). He is a business technologist with 21 years of expertise in project management, international business development and consulting in the fields of life sciences and medical devices. Having worked with Frost & Sullivan & MarketsandMarkets in the past, Dr. Dutta leads the Healthcare practice at SGA. His work has been published and quoted in more than 70 premium international business magazines & publications. RAJESH VISWANATH | Delivery Lead, Analytics Rajesh has over 17 years of experience in delivering enterprise wide analytics and optimization solutions for clients in the US & Europe. Having previously worked with organizations like Genpact, he has significant experience in engaging with clients across sectors like M&E, CPG, healthcare, and BFSI. YESHI AGARWAL | Assistant Manager - Solutioning Yeshi is a research professional with a demonstrated history of working in Data Analytics and Market Research industry. She provides organizations with strategic research support helping them identify growth opportunities in the market space. About SG Analytics SG Analytics is one of the leading research and analytics companies to offer data-centric research and contextual analytics services. With its presence in the US, the UK, Switzerland, and India, SG Analytics offers research and analytics services to its customers across the globe. Awarded the ‘Regional Best Employer’ by the World HRD Congress for 2016 and 2018, SG Analytics’ collegial atmosphere and knowledge-based ecosystem help to consistently meet and exceed customer expectations. For further information, please visit our website: sganalytics.com Join the conversation New York | Seattle | Austin | London | Zurich | Pune | Hyderabad This document makes descriptive reference to trademarks that may be owned by others. The use of such trademarks herein is not an assertion of ownership of such trademarks by SG Analytics (SGA) and is not intended to represent or imply the existence of an association between SGA and the lawful owners of such trademarks. Information regarding third-party products, services, and organizations was obtained from publicly available sources, and SGA cannot confirm the accuracy or reliability of such sources or information. Its inclusion does not imply an endorsement by or of any third party. Copyright © 2021 SG Analytics Pvt. Ltd. 17 DIGITAL TRANSFORMATION THROUGH ANALYTICS www.sganalytics.com