1. @CraigMilroy
© 11-2014
Chief Data Officer:
Talking to your CEO about the CDO role
Craig C. Milroy, Chief Data Architect

2. @CraigMilroy
© 11-2014
… DATA Landscape

3. @CraigMilroy
© 11-2014
Financial Services Industry Example
2000
2001
2002
2003
2004
2005
2006
2007
Retail Bank Investment Privatized
Discount Brokerage Acquisition
Retail Bank Investment in Foreign Bank
Retail Bank acquisition
Evolution to a retail focused, lower-risk bank
Sarbanes-
Oxley
Basel II
Solvency II
Insurance acquisition
#CLOUD
#MOBILE
#SOCIAL
#WEB

4. @CraigMilroy
© 11-2014
Financial Services Industry Example
2008
2009
2010
2011
2012
2013
2014
Increased Regulatory and Customer Demands
Foreign Retail Bank Acquisition
Credit Card Portfolio Acquisition
Wealth Management
Acquisition
Foreign Retail
Bank Acquisition
Auto Finance
Acquisition
Credit Card Portfolio
Acquisition
Credit Card Portfolio
Acquisition
Dodd Frank
SEC Proxy Disclosures
Basel III
FATCA
Lehman
Brothers
#BIG DATA
#OPEN DATA
#INTERNET OF
THINGS
BCBS 239

5. @CraigMilroy
© 11-2014
When did Banking Become So Complicated?
Increased data demand

6. @CraigMilroy
© 11-2014
Consumers
LOB
CIF
ODS
CIF
LOB
LOB
LOB
MDM
When did Data Become So Complicated?

7. @CraigMilroy
© 11-2014
Data Complexity and the recent rise of the CDO role….
Organizations are creating the office of the CDO to resolve business “pain-points” within data environments.
…Gartner Inc. predicts that 25 percent of large global organizations will have appointed CDOs by 2015…
Gartner Inc. 01/2014
Due to the relatively short history of the role, CDOs often operate without the benefit of formal industry guidance, frameworks or methodologies.
… one size does not fit all ...

8. @CraigMilroy
© 11-2014
Chief Data Officers are a good idea…..
In February 2013 Gene Leganza of Forrester Research made the following observation: "Chief data officers are a good idea – but how is it going to work?"
Gene Leganza’s blog, Forrester, February 2013.
…determine the best approach for resource allocation and resolution...
…organizations must understand the source of the challenges ...

9. @CraigMilroy
© 11-2014
Businesses that understand opportunities within….
…The Office of the Chief Data Officer (OCDO) will enable an effective business technology response…
…have an ability to create a competitive advantage within their target market…

10. @CraigMilroy
© 11-2014
Connecting the "DOTS"

11. @CraigMilroy
© 11-2014
Case in Point: Credit Card Data

12. @CraigMilroy
© 11-2014
… it’s all about DATASILOISM…
12

13. @CraigMilroy
© 11-2014
CDO Opportunity
Compliance
Risk
Finance
Compliance
Risk
Finance
Retail Bank
Customer
Product
Account
Distribution Channels
Customer
Product
Account
Wealth Management
Distribution Channels
Customer
Product
Account
Insurance
Distribution Channels
Customer
Product
Account
Capital Markets
Distribution Channels
Customer
Product
Account
Retail Bank
Distribution Channels
Marketing
Marketing
Geography

14. @CraigMilroy
© 11-2014
CDO Opportunity
Product
Account
Retail Bank
Customer
Product
Account
Wealth Management
Product
Account
Insurance
Customer
Product
Account
Retail Bank
Product
Account
Capital Markets
Distribution Channels
Distribution Channels
Geography
Marketing
Compliance
Risk
Finance

15. @CraigMilroy
© 11-2014
… it’s all about DATA

16. @CraigMilroy
© 11-2014
… Elevator Pitch for CDO

17. @CraigMilroy
© 11-2014
Define the Direction and Alignment
...Engagement of key executives to support the CDO conversation…
Establish a process for involving key leaders that builds sustained understanding and commitment
Promote Alignment
Build a visible network of leaders to champion the Office of the CDO.
Enable supporting behaviors for data collaboration and integration at the enterprise level.
Drive Ownership
Identify and address challenges before issues or resistance arises
Address
Concerns
Empower leaders to accept overall shared accountability for the future success of the CDO.
Build Accountability
Communicate the boundaries of the CDO Role
Manage Expectations

18. @CraigMilroy
© 11-2014
What Would A CDO Mandate Look Like?
Influence corporate strategy
The voice of data
Improve the bottom line
Improve the top line
Measure and manage data risk
… its all about the Innovation Agenda...
Customer Innovation
Growth
Speed
Customer
Customer Satisfaction
Operational
Risk Reduction
Financial
Efficiency
Risk Exposure
Regulatory
Controls
Responsiveness

19. @CraigMilroy
© 11-2014
Establish an Elevator Pitch for the CDO
•Demand for improved Customer Insights
•Continued backlog of requests business insights
•Limited understanding of the quality of the data being utilized
•Company is unable to leverage data to support an innovation agenda
Increased business demands for better and more available data is growing
•Dodd Frank
•BaselII/III
•FATCA
•Etc.
Increased regulatory demands for data management are also adding to the urgency
Leadership is required with the right level of authority
Creation of the CDO role and supporting office is recommended
No enterprise leadership in place to govern this asset but…
Data is an asset similar to other defined assets

20. @CraigMilroy
© 11-2014

21. @CraigMilroy
© 11-2014
Office of the CDO - Overview
21
Chief Information Officer
VP Information Management
Director Data Management
Database Administrator
Data Architect
Chief Data Officer
Chief Analytics Officer
Data Scientist
Information Architect
Chief Customer Officer
Chief Marketing Officer
Chief Risk Officer
… shift data from a project to enterprise
centric point of view…

22. @CraigMilroy
© 11-2014
Office of the CDO - Overview
22
… OCDO needs to consider with an enterprise lens all business technology priorities…
Innovation
Security & Privacy
Info. Lifecycle Management
Data
Database Management
DB
Data Integration
Data
Services
Data Quality
Customer
Regulatory

23. @CraigMilroy
© 11-2014
CDO Organizational Journey
CDO
Internal
"Innovator"
CDO
The
"Architect"
… Enterprise needs to acquire a resource with broad ranging skills and that are relatively rare within the data conversation…
CDO
Internal
"Networker"
CDO
External
"Change Agent"
Provides strategic direction to the business lines and enables a vision, strategy and plan that enables the business.
Data Visionary and Leader that has the accountability to innovate.
Facilitates and champions funding for the improvement initiatives.
Enables joint planning with IT and lines of business to advance data analytics practices
Defines strategic priorities for the management and delivery of data throughout the enterprise.
Identify new business opportunities through the use of data assets to accelerate competitive advantage

24. @CraigMilroy
© 11-2014
CDO Organizational Journey
"Cloud Cover"
CEO
CDO
CIO
CxO
CEO
CDO
CIO
CxO
"Value Realized"
CEO
CDO
CIO
CxO
"Organizationally Focused"
CDO
LOB

25. @CraigMilroy
© 11-2014
Office of the CDO - Straw man
CIO
CxO/LOB
Board
CDO
Governance
Strategy
Innovation
Enablement
Analytics
Communication
Data Policy
Data Quality
Data Model
Master Data
Meta Data
Clients We Serve
Channels We Support
Business Processes
Data Foundation
External Parties
Supporting Technology
Business Capabilities

26. @CraigMilroy
© 11-2014
… it’s all about
DATA LEADERSHIP
26

27. @CraigMilroy
© 11-2014
… CDO Operating Model

28. @CraigMilroy
© 11-2014
CDO Operating Model
CIO
Board
CDO
Governance
Strategy
Innovation
Enablement
Analytics
Line of Business(s)
Finance
Compliance
Risk
Executive
Enterprise
Data
Governance Council
Working
Data
Governance Council
LoB Data
Governance Stewards/
Managers
Data Architecture
Analytics Community
Data Communities

29. @CraigMilroy
© 11-2014
Overall Data Program
Working level
Execution level
Executive
Enterprise
Data
Governance Council
Working
Data
Governance Council
LoB
Data
Governance Stewards/
Managers
•Regulatory Projects
•Dodd Frank
•Basel II/III
•BCBS 239
•FATCA
•Customer Projects
•Customer Experience
•Innovation Projects
•Mergers and Acquisitions
•Data Quality Issues
•Audit Queries
•Data Aggregation
•Business Projects
Policy, Standards,
Processes & Reporting
Advisory on capabilities,
tools and innovation
Coordination, communication of activities
Communication
Innovation
Quality
Governance
Enablement
CDO Operating Model

30. @CraigMilroy
© 11-2014
… Timing, Costs, Benefits

31. @CraigMilroy
© 11-2014
Business Case Considerations
•OCDO FTE, Consultants, other Resources
•Training for each role and tools
People
•Design, implementation and operation of OCDO processes
•Program development for core OCDO business capabilities.
Process
•Reduced cost of data storage
•Reduced cost of regulatory and legal compliance
•Reduced cost of recurring internal/ external findings
Cost Savings
•Hardware and software for the OCDO centric project/ programs as required
Technology
•Improved quality of data
•Improved availability, accessibility, timeliness of data
•Improved data controls, measurement and reporting
Reduce Risk
Inputs
Outputs
•New Business Models
•New Revenue Opportunities
•Strategically Relevant Data Solutions
•Improved Customer Experience Opportunities
Innovation

32. @CraigMilroy
© 11-2014
Office of the CDO Evolution
Q1
Q2
Q3
Q4
Q1
Q2
Q3 and Onwards
Improved Business Value and Innovation
Data Policies and Standards
Data Communities Roadmap
Assess and Complete High- Level Plans
Continuous Communication
CDO/CIO
Alignment
3 Year
Planning
CDO Office
Targets
Develop
Data Strategy
Innovation
Agenda
Advanced Analytics
CDO Office
Build Out
Continuous Engagement/ Improvement
Long Term: True Business Value
12-24+ Months
Mid-Term: Establishing the CDO Office 6-12 Months
Foundational
0-6 months
Board
Engagement
Data Project
Engagement
Enterprise Engaged OCDO
Full Data
Governance Council Operation

33. @CraigMilroy
© 11-2014
… Take Away

34. @CraigMilroy
© 11-2014
Take Away
Increase data availability and reliability to optimize decisions and operations
Enable
Become the enterprise voice for data in order to reduce the cost, complexity and risk
Advocate
Alignment of the organization on the importance of data and elevate data as a strategic asset
Communicate
Demonstrate Innovative value to customers, employees and regulators
Deliver Value

35. @CraigMilroy
© 11-2014
… it’s all about DATA

36. @CraigMilroy
© 11-2014
Banking, Big Data, Business Analytics, Business Architecture, Business Capability, Business Intelligence, Business Leadership Business Process, Business Transformation, Chief Data Architect, Cloud, Customer Centricity, Customer Relationship Management , Data Architecture , Data Assessments, Data Exploration, Data Governance, Data Integration, Data Process Modeling, Data Quality, Data Strategy, Data Streams, Data Visualization, Data Warehouse, Design, Financial Services, Enterprise Architecture, FSLDM, Hadoop, Information Lifecycle Management, Investment, Master Data Management, Metadata Management, Mobile, Next Generation Data Platform, Open Data, Open Source, Reference Data Management, Roadmap, Risk Management, Startup, Technology Stack, Thought Leadership
craigmilroy
ca.linkedin.com/in/craigcmilroy