IBM Global Center for Smarter Analytics

Case Analysis 1: Cincinnati Zoo Business Objectives

• Increase attendance and revenues by

enhancing the customer experience for each
visitor
• Boost sales for food and retail outlets through
more effective marketing and promotions
• Optimize labor costs by gaining a better
understanding of demand patterns throughout
IBM Global Center for the year
Smarter Analytics
• Maximize the workforce by identifying areas
Company
Company Background of the park that are in need of more staff

The Cincinnati Zoo & Botanical Garden is one of the

Questions
most popular attractions and a Top Zoo for Children
according to Parent’s Magazine. Each year, more than 1. What are the problems with the existing
1.3 million people visit its 71-acre site, which is home system of the Cincinnati Zoo?
to more than 500 animal and 3,000 plant species. 2. What are the data that are available to the zoo
Although the Zoo is a non-profit organization and is management and staff?
partially subsidized by Hamilton County, more than 3. How can these data be used to help the
two thirds of its $26 million annual budget is following perform their work better to achieve
generated through its own fundraising efforts. the business objectives of the Cincinnati Zoo?
a. Zoo administrators
Cincinnati Zoo takes pride in the fact that it has the
b. Zoo staff
lowest public subsidy of any zoo in Ohio and
4. What solutions can be provided for the
generates more than two thirds of its $26 million
following stakeholders so that the business
annual budget through its own fundraising efforts. In
objectives of Cincinnati Zoo are achieved?
challenging economic conditions, the Zoo wanted to
Explain in detail the proposed solution for
reduce its reliance on subsidies even further by
each stakeholder. In each solution, identify
increasing visitor attendance and revenues from
which type of analytics will be applied (i.e.,
secondary sources such as membership, food and retail
descriptive, predictive or prescriptive).
outlets. This would secure the Zoo’s future and enable
a. Zoo visitors
it to continue its pioneering work in conservation,
b. Zoo management
preservation and research.
c. Zoo staff members
Currently, Cincinnati Zoo makes use of four separate
legacy point-of-sale systems with a single platform to
provide data on all admission, membership, retail and
food service sales. To monitor the number of visitors
in certain areas, the zoo staff members make their
rounds to observe.

You have been hired by Cincinnati Zoo to provide

them a solution that will enable them achieve their
business objectives. _________________________________________

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IBM Philippines
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 IBM Global Center for Smarter Analytics
Case Analysis 2: Kraft Australia
Company Background
Kraft Foods Australia is a subsidiary of Kraft Foods,
the second largest branded food and beverage
company in the world. Established in 1926, Kraft
Australia is headquartered in Melbourne and has sales
revenue of over A$650 million. The company’s
flagship brand—Vegemite—has long been considered
an Australian national icon.
For all the diversity in the worldwide consumer
products market, the most successful companies tend
to have an important thing in common. They focus on
continually improving the business functions that are
critical to the consumer products business model, from
maintaining vibrant and market-driven product
development to having efficient manufacturing and a
lean and flexible supply chain. Even more
fundamental to consumer-products success, however,
is the strength of the relationships companies form
with their customers. That’s why a company’s brands,
as the embodiment of this bond, represent the most
important strategic asset for a consumer products
company—indeed the backbone of its success. In a
business built on customer loyalty, brands also serve to
convey the promise of a consistent and high-quality
experience that customers can count on. Maintaining
the integrity of this promise—and thus the strength of
the brand—is a first level priority for consumer
products companies and a key to maintaining and
growing market share.
The billions of dollars companies spend every year on
brand research and advertising attests to the
continuous nature of this challenge. With
demographics constantly changing and new market
opportunities opening up, consumer products
companies need to not only strengthen their brands,
4
but also ensure that they are in sync with marketplace
trends. It was through such an exercise that Kraft
Australia (www.kraftfoods.com.au) made an important
discovery. Its hero brand, Vegemite, has been a
beloved fixture in Australian households since it was
introduced half a century ago. While its brand
remained strong, Kraft found that a large portion of
“new” Australians—such as those who immigrated
into Australia—had no relationship with the Vegemite
brand. Seeking to tap into this market potential, Kraft
was determined to gain a comprehensive
understanding of this group, and more specifically its
beliefs and attitudes toward Vegemite. At the same
time, Kraft was also looking to bring its longtime
brand message—which featured children as “Happy
Little Vegemites”—up to date with changing
lifestyles, demographics and usage patterns. Kraft also
understood that there were many lapsed users who had
grown up on the spread who needed to be reminded of
their affinity for the brand. Kraft didn’t take such
change lightly. It was determined to get the deepest
possible insights into what consumers were thinking
and saying about the Vegemite brand and to tailor a
message that would resonate most strongly with those
themes.
The web offers a wealth of the insights from
consumers through web content. There are half a
million mentions of Vegemite out of 1.5 billion posts
of user generated content across 38 languages. These
can provide Kraft the answer that they may need.
One of Kraft’s goals going into the research was to test
certain hypotheses about the kind of issues it would
address in its upcoming advertising campaign. An
example was whether or not customers were looking
for variations to the “classic” Vegemite product, and if
so what they should be (e.g., new flavors, different jar
sizes).
Business Objectives
• Change the branding campaign based on how
the consumers view and used Vegemite
• Identify market opportunities at a very early
stage
• Detect and respond to threats to Kraft’s brands
and corporate reputation
• Ability to increase sales and customer loyalty
through more targeted advertising campaigns
 IBM Global Center for Smarter Analytics

Questions

1. What are the problems that Kraft Australia

would like to address?
2. What are the data available that can be used
for an analytics solution?
_________________________________________
3. How can these data be used to identify how
the customers view and use Vegemite? © Copyright IBM Corporation 2013
4. What are the possible solutions that can be IBM Philippines
provided for Kraft Australia to help them IBM Plaza, Libis, Quezon City
solve their problems? May 2013

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IBM Global Center for Smarter Analytics
Case Analysis 3: Papa Gino’s,
Inc.
Company Background
Based in Dedham, Massachusetts, Papa Gino’s, Inc. is
the parent company of the Papa Gino’s Pizzeria and
D’Angelo Grilled Sandwiches restaurant chains. The
company operates more than 275 company-owned and
franchised Papa Gino’s, D’Angelo and dual-location
restaurants and employs more than 5,000 people
across New England. Both D’Angelo and Papa Gino’s
are committed to providing high-quality products,
attentive service, clean, convenient, attractive
restaurants and a premium value experience for every
guest.
To maintain competitive advantage and support
business growth, the Papa Gino’s senior management
team decided to rethink its information technology
strategy and invest in innovation. The company’s IT
team was tasked with assessing the existing
technology landscape and identifying the areas where
new systems and processes could deliver the greatest
business value.
“At that time, we effectively had three main business
systems: our JD Edwards ERP system, our restaurant
point-of-sale system and Microsoft® Excel®, which
we used very extensively,” explains Martha Lieber,
Director of Business Systems at Papa Gino’s.
“Basically, almost everything that wasn’t covered by
the other two systems was managed in spreadsheets,
which meant we had numerous sources of ‘truth’
across the organization. For company-wide processes
like budgeting, this was a major problem, because it
could take up to four months to consolidate and
validate data from all the different spreadsheets and
complete the process.”
Paul Valle, CIO, adds: “We knew that if we could
create a single central solution for business analytics,
we could standardize and significantly accelerate our
planning and reporting processes. We also realized
that it would allow us to analyze operational
performance in areas that we had never previously
been able to measure accurately – such as pizza
delivery times and marketing campaign effectiveness.
When we presented our ideas to the board, they
immediately agreed that this should be the top priority
in our IT transformation.”
“We do a lot of email, SMS and postal marketing
where we send coupons to our customers with special
deals and offers,” explains Paul Valle. “With Cognos,
we can track which coupons are actually being used,
so we can see which kinds of deal are most attractive
to customers and create the most sales. We recently
created a loyalty program for regular customers which
provides rewards that can be used on future orders
and, thanks to Cognos, we have been able to track its
effect on sales. What we’ve found is that customers
who are members of the loyalty program order from us
about 33 percent more frequently than those who
haven’t joined yet. So this insight has led to a real
drive to encourage customers to sign up.”
Business Objectives
• Consolidate all the data
• Optimize labor costs while ensuring that
restaurants have the right number of staff.
• Track the time it takes to deliver orders to
customers’ homes compared to the estimated
time
• Identify the effectiveness of the loyalty
program
• Identify the order method that works best for
the company so that this order method can
even be promoted further
Questions
1. What were the problems of Papa Gino’s, Inc.?
2. What are the data available that can be used
for an analytics solution?
3. What are the possible solutions that can be
provided for Papa Gino’s, Inc. to help them
solve their problems?
_________________________________________
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IBM Philippines
IBM Plaza, Libis, Quezon City
May 2013
 IBM Global Center for Smarter Analytics
Case Analysis 4: Boerse Stuttgart
3. What kind of system can be built given the
consolidated data?
4. How can business analytics culture be built in
the company?

Company Background

Founded in 1860, Boerse Stuttgart now employs 300

people and is Europe’s leading stock exchange
organisation for private investors. With an average
share of about 31 percent of the German market
(March 2011), the company is Germany’s second
largest trading centre. In 2009, its overall turnover
reached €105 billion, exceeding last year’s result by
about 23 percent.

With more than 684,000 listed securities, the exchange

has achieved an average daily trading volume of about
€503 million since the beginning of 2011 (March
2011).

As a publicly supervised stock exchange, Boerse

Stuttgart AG is subject to numerous legal
requirements. Compliance with regulations requires
complete traceable documentation of all business
processes. As a result of strong organic growth and
several recent acquisitions, the company was using a
variety of solutions whose data could not be easily
analysed without a high level of manual effort. In
particular, it was very difficult to perform ad-hoc-
analyses based on current business data to support the
market control department in making strategic and
operational decisions.

Persistent business growth also meant that the data

volumes that needed to be processed daily were
perpetually increasing. Moreover, new internal and
external requirements for reporting and analysis were
evolving, and it was becoming difficult to fulfill these
requirements cost-effectively with the available
methods and tools.
Business Objectives

• Consolidate all the data

• Comply to varying reporting requirements
Questions
1. What were the problems of Boerse Stuttgart?
2. What are the data available that can be used
for an analytics solution?
_________________________________________
© Copyright IBM Corporation 2013
IBM Philippines
IBM Plaza, Libis, Quezon City
May 2013