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Wiley & SAS Business Series

The Wiley & SAS Business Series presents books that help senior-level managers with their critical management decisions.

Titles in the Wiley & SAS Business Series include:

  • Analytics: The Agile Way by Phil Simon
  • Analytics in a Big Data World: The Essential Guide to Data Science and Its Applications by Bart Baesens
  • A Practical Guide to Analytics for Governments: Using Big Data for Good by Marie Lowman
  • Bank Fraud: Using Technology to Combat Losses by Revathi Subramanian
  • Big Data Analytics: Turning Big Data into Big Money by Frank Ohlhorst
  • Big Data, Big Innovation: Enabling Competitive Differentiation through Business Analytics by Evan Stubbs
  • Business Analytics for Customer Intelligence by Gert Laursen
  • Business Intelligence Applied: Implementing an Effective Information and Communications Technology Infrastructure by Michael Gendron
  • Business Intelligence and the Cloud: Strategic Implementation Guide by Michael S. Gendron
  • Business Transformation: A Roadmap for Maximizing Organizational Insights by Aiman Zeid
  • Connecting Organizational Silos: Taking Knowledge Flow Management to the Next Level with Social Media by Frank Leistner
  • Data-Driven Healthcare: How Analytics and BI Are Transforming the Industry by Laura Madsen
  • Delivering Business Analytics: Practical Guidelines for Best Practice by Evan Stubbs
  • Demand-Driven Forecasting: A Structured Approach to Forecasting, Second Edition by Charles Chase
  • Demand-Driven Inventory Optimization and Replenishment: Creating a More Efficient Supply Chain by Robert A. Davis
  • Developing Human Capital: Using Analytics to Plan and Optimize Your Learning and Development Investments by Gene Pease, Barbara Beresford, and Lew Walker
  • The Executive’s Guide to Enterprise Social Media Strategy: How Social Networks Are Radically Transforming Your Business by David Thomas and Mike Barlow
  • Economic and Business Forecasting: Analyzing and Interpreting Econometric Results by John Silvia, Azhar Iqbal, Kaylyn Swankoski, Sarah Watt, and Sam Bullard
  • Economic Modeling in the Post Great Recession Era: Incomplete Data, Imperfect Markets by John Silvia, Azhar Iqbal, and Sarah Watt House
  • Enhance Oil & Gas Exploration with Data Driven Geophysical and Petrophysical Models by Keith Holdaway and Duncan Irving
  • Foreign Currency Financial Reporting from Euros to Yen to Yuan: A Guide to Fundamental Concepts and Practical Applications by Robert Rowan
  • Harness Oil and Gas Big Data with Analytics: Optimize Exploration and Production with Data Driven Models by Keith Holdaway
  • Health Analytics: Gaining the Insights to Transform Health Care by Jason Burke
  • Heuristics in Analytics: A Practical Perspective of What Influences Our Analytical World by Carlos Andre Reis Pinheiro and Fiona McNeill
  • Human Capital Analytics: How to Harness the Potential of Your Organization’s Greatest Asset by Gene Pease, Boyce Byerly, and Jac Fitz-enz
  • Implement, Improve and Expand Your Statewide Longitudinal Data System: Creating a Culture of Data in Education by Jamie McQuiggan and Armistead Sapp
  • Intelligent Credit Scoring: Building and Implementing Better Credit Risk Scorecards, Second Edition, by Naeem Siddiqi
  • JMP Connections by John Wubbel
  • Killer Analytics: Top 20 Metrics Missing from your Balance Sheet by Mark Brown
  • Machine Learning for Marketers: Hold the Math by Jim Sterne On-Camera Coach: Tools and Techniques for Business Professionals in a Video-Driven World by Karin Reed
  • Predictive Analytics for Human Resources by Jac Fitz-enz and John Mattox II
  • Predictive Business Analytics: Forward-Looking Capabilities to Improve Business Performance by Lawrence Maisel and Gary Cokins
  • Profit Driven Business Analytics: A Practitioner’s Guide to Transforming Big Data into Added Value by Wouter Verbeke, Cristian Bravo, and Bart Baesens
  • Retail Analytics: The Secret Weapon by Emmett Cox
  • Social Network Analysis in Telecommunications by Carlos Andre Reis Pinheiro
  • Statistical Thinking: Improving Business Performance, Second Edition by Roger W. Hoerl and Ronald D. Snee
  • Strategies in Biomedical Data Science: Driving Force for Innovation by Jay Etchings
  • Style & Statistic: The Art of Retail Analytics by Brittany Bullard
  • Taming the Big Data Tidal Wave: Finding Opportunities in Huge Data Streams with Advanced Analytics by Bill Franks
  • The Analytic Hospitality Executive by Kelly A. McGuire
  • The Value of Business Analytics: Identifying the Path to Profitability by Evan Stubbs
  • The Visual Organization: Data Visualization, Big Data, and the Quest for Better Decisions by Phil Simon
  • Too Big to Ignore: The Business Case for Big Data by Phil Simon
  • Using Big Data Analytics: Turning Big Data into Big Money by Jared Dean
  • Win with Advanced Business Analytics: Creating Business Value from Your Data by Jean Paul Isson and Jesse Harriott

For more information on any of the above titles, please visit www.wiley.com.

JMP Connections

The Art of Utilizing Connections In Your Data


John Wubbel










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I dedicate this book to my mother and father, my wife Rosmary Wubbel, and son Leslie Wubbel for all their love and support. I especially want to thank three strong ladies, sisters to me for their guidance, care, and constructive comments. Thanks to my best friend and son Leslie for his reviews and the many conversations and topic discussions that helped make this book possible. Thanks to my nieces, especially Catherine Mintmire, for producing the graphic art work. And finally, too numerous to mention the many business friends and mentors in software engineering and data science fields including Philip Douglas Brown for his insights and perspectives on making the connections in data for advancing analytical capabilities.

List of Figures

1.1 JMP CONNECTIONS Capability Maturity Model Levels 0 and 1
1.2 JMP CONNECTIONS Capability Maturity Model Levels 2 and 3
1.3 JMP CONNECTIONS Capability Maturity Reference Model
1.4 Maturity through Level State Transitions
1.5 Common Cycle Time to Build and Publish a Weekly Dashboard
1.6 Transition from Level 1 to Level 2
1.7 Achieving On-Demand Capability
2.1 Business Case Basics
2.2 Dashboard
2.3 Balanced Scorecard
2.4 Graphical Ontology Example: Human Resources
2.5 Micro-warehouse Value Tool
2.6 Generating Value—Leveraged Knowledge Asset
2.7 KPI Development Timeline
2.8 BRF Risk Assessment
2.9 Example—Large Application Spreadsheet Type
2.10 Financial Regulation Documents
3.1 Conceptual Illustrations of the JMP CONNECTIVIY Platform
3.2 Disk Operating System (DOS) Command Prompt
3.3 Definition of the Time-Constant Learning Curve Function
3.4 Total Productive Maintenance Conceptual Diagram
3.5 Sequence Column and OEE Values Column in a JMP Table
3.6 Learning Curve Formula Specification
3.7 Configuration for Gauss-Newton Iteration
3.8 Nonlinear Fit Program
3.9 Nonlinear Fit Output
3.10 Nonlinear Fit Results
3.11 Learning Curve Formula for Estimating OEE
3.12 Estimating OEE Formula
3.13 Setting Up to Display the Control Chart
3.14 Control Chart with Forecasting Errors Out of Criteria
5.1 Data Virtualization Server
5.2 Federated Virtualization Engine
5.3 Federated Concept
5.4 Small-Scale Cookie Batch
5.5 Recipe Ingredient Metrics
5.6 Hierarchical Data Format
5.7 Cookie Data in a Table Format
7.1 Senders push and receivers pull
7.2 Junctured KPI Thought Process for Connecting the Dots
7.3 Information Linkage between Parent–Child KPIs
7.4 Quick Response Code
7.5 JMP GUI Window with JMP Table
7.6 Office Temperature Study
7.7 Chocolate velvet anyone?
8.1 Public Domain: William Thomson Oil Painting
G.1 Tangential View
G.2 Transversal Maturity Model View
G.3 Office Temperature Study

Preface

JMP Pro® is the centerpiece software that is capable of saving your business in difficult economic times. JMP CONNECTIONS (herein referred to as “the Model Platform”)1 illustrates the technical means and financial variables that will leverage peak productivity. JMP CONNECTIONS provides a clear pathway toward quickly generating actionable intelligence from your organization's raw data for optimal decision‐making purposes. The prime reason for describing a CONNECTIONS platform is the fact that JMP Pro® enables computational in‐memory statistical analytical capability second to none in the business, engineering, and scientific world. When a person is able to make a connection, what most often happens is a decision and this fact should generate broad discussion as well as potentially collective performance improvements for groups, teams, or large organizations.

More than ever before, metrics are playing the most important role in the conduct of a business on the competitive stage today. In typical fashion, software comes with a wealth of features, functions, and extensibility. In many cases several software packages may be required to satisfy or facilitate common business functions in support of the operation. Office suites come to mind as an example.

When business conditions are challenging or when strategic goals continually set the bar higher for better performance, innovation is a key factor toward contributing to results that exceed expectations. Consequently, the task of producing metrics must become an innovation as well. As a result, one must visualize a model of capability when it comes to designing, developing, generating, and reporting within your own company, division, or all the way down to the department level. Given the nature of today's office suites, metrics tend to be produced once a week, once a month, or quarterly with each having a cycle time to completion. JMP CONNECTIONS suggests a model, or innovation, that eliminates cycle time so that there is a reduction in full‐time equivalents (FTEs) for metric production purposes whereby the metrics produced are real‐time or, in other words, “metrics on‐demand.”

The key to understanding how this type of innovation can lessen tough economic times is through improved business decision making. It is innovative by differentiating between cycle time methods versus metrics that are available with either the latest available data or real‐time aggregate raw data material, transformed into usable knowledge.

JMP Pro® is the central hub and can become your command and control center for managing and executing a business operating system on many varied scales. The journey in building a real‐time metric production system is simplified through a series of capability maturity steps. Pooling the data from disparate silos starts with data aggregation and integration forming a repository. Mining the repository for conducting statistical analysis, the journey transitions through three levels leading to a final maturity level of predictive modeling and analytic goals. The goals are supportive of the key performance indicators required by the strategic objectives set forth for proper performance management. This book will not only discuss the model but help an organization implement the model with their own people.

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