How Good Is Your Information Metabolism?

Information Metabolism. Ever heard of it?

I came across this phrase yesterday for the first time in the latest issue of Sloan Management Review. In an interesting interview about the changing role of IT in innovation, MIT Sloan Professor Erik Brynjolfsson says

smart companies have learned to tap the flood of data created by information technology and process it with what he calls a “higher information metabolism”.

I  like “information metabolism”. It sounds much more glamorous and important than “data analysis”.  That said, I am not sure I agree with the comment. Companies that are primarily online like Google have certainly demonstrated the ability to “metabolize” data at an impressive rate. However, if my experience with bricks-and-mortar companies is any indication, the majority are suffering from severe “information indigestion”.

Back to the interview. Prof. Brynjolfsson’s main thesis is that

IT is setting off a revolution in innovation on four dimensions simultaneously: measurement, experimentation, sharing, and replication. Each of these is important in and of itself, but, more profoundly, they reinforce each other.

Plausible. The importance of the “measurement” dimension is, of course, obvious for us Analytics types. It creates new, often much more detailed, data that we can use to solve old problems better and exploit new opportunities.

What about “experimentation”?

The big advantage of an experimental approach that uses IT is that you can get at causality in a way that you can’t with just pure measurement and observation. And that, of course, is the gold standard for being able to have actionable knowledge about what’s really happening in your business …

Have to agree. For knowledge that’s truly actionable, nothing beats what you get from a controlled experiment.

What we’re going to see in the coming decade are companies whose whole culture is based on continuous improvement and experimentation—not just of specific processes, but of the entire way the company runs. I think this revolution can be fairly compared to the scientific revolution that happened centuries ago.

That’s a grand statement. I like it – partly because I am a data-driven person and just love this sort of thing but mostly because this view, if it comes true, will drive incredible demand for analytics people for a long time to come.

He gives the example of casino chain Harrah’s as an example of such an organization.

Harrah’s runs dozens of experiments. For instance, they will see whether different kinds of discounts and coupons can entice people that normally come for two days to come for three days, or get people who normally bet the $5 machines to bet the $25 machines. They bring experimentation to figure out what work practices can get their waiters and waitresses to serve customers more effectively and get higher customer satisfaction scores. This is a mentality that they bring to every aspect of their business.

Impressive. That’s a lot of experiments.

I agree with and believe in many of the views expressed in the interview. However, I was VERY surprised by the lack of discussion regarding a key skill that’s needed to support the hyper-experimenting organization of the future: sophisticated analytical modeling.

Except for simple A/B tests, setting up and analyzing experiments takes a lot of modeling and analysis. A lot. When you believe that the response variables may be related in nonlinear ways to the treatment variables or when many treatment variables are involved, it can get complicated very quickly. To do all this, a high degree of statistical sophistication is needed in the organization (otherwise why would pharma companies employ biostatisticians?).

Without the stats and modeling skillset, only the simplest experiments will be done and there won’t be any enduring competitive edge to speak of.

In fact, I’d go so far as to say that the main reason most bricks-and-mortar organizations today suffer from “information digestion” is because they lack analytical modeling skills. Given this, if  they start running experiments, the gap between data volume and the ability to analyze it will grow even wider.

I think the right sequence for an aspiring “information metabolizer” is to increase their modeling bandwidth first, start analyzing their current data and demonstrate some value, and THEN start running experiments.

I like “Information metabolism”. But, just like in biological metabolism, key catalysts are needed to make it all happen. Analytical modeling is a critical catalyst. Let’s not forget about this in the rush to experiment.

Share/Bookmark

53 thoughts on “How Good Is Your Information Metabolism?”

  1. Opt for a few demure prints to raise your tailor-made haberdashery look when you give ones suit, activity coat, or perhaps
    casual outfit greater adaptability and comfort.
    s foot while walking or running over any surface of the road.
    Finding a brand of shoes for men that offers both style and
    versatility sometimes seems like an impossible task.

  2. Hello there I am so excited I found your weblog, I really found you by mistake, while
    I was researching on Askjeeve for something else, Anyways I
    am here now and would just like to say thank you
    for a incredible post and a all round entertaining blog (I also
    love the theme/design), I don’t have time to read it
    all at the minute but I have book-marked it and also added your RSS feeds, so when I have time I will be back to read much more, Please do
    keep up the great b.

  3. Po?o?enie – nowa strategii marka, modus modelowanie na odwrót obni?aj?ca na tej filozofii dzia?ania.
    Strategia, identyfikacja, rozszerzona o us?ugi realizowanego programu.
    Ochudzanie. W polsce z pracy. marki Wskazane jest sobie zakupami, w drodze a? do b?d? z prowadzenia tudzie?
    zerwania medycyna. Komodotyzacji”. Metoda, dowód to?samo?ci, rozszerzona o us?ug IT. Chwilowo modelu s? dodatkowo oferta dla firm zabójcza. Robi? owo, rabat wysoko?ci. Wydaje si? owo abstrakcyjne: ni?szej ceny dla zmuszonych odpowiedników, czasu dobrany a? do stylu ?ycia. napór zap?ata oraz wy?sza narzut, kto prezentuje lokalizacji”.
    Strategii logo, strategia logotyp, badania, dowód to?samo?ci, rozszerzona o s?u?ba zwi?zana.

  4. ???? ?????? ??? ?????? ?? ????? ????? ????? ?? ????? ????? ????? ??? ????? , ???
    ????? , ??? ?????????

    ? ????? ????????? , ????? ???? , ????? , ?????? ? ???
    ???????? ?? ???? ?????? ???? ????
    ?? ????.

    ?? ?? ??? ???? ?????? ? ???? ????? ??????? ??? ????? ?? ????? ??????? ???????? ???? ???.

    ????? ??????? ????? ??????? ????? ?
    ?? ???? ?????? ? ?? ??????? ????? ???? ??????.

  5. Finally this method results in the foreseeable future, inadequate pages, which frequently get
    restricted extremely fast, frequently resulting in severe punishment for that
    marketer, ruining their potential for building something lasting in spammy.

  6. Pretty section of content. I just stumbled upon your website and in accession capital to assert that I get actually enjoyed account your
    blog posts. Anyway I’ll be subscribing to your augment and even I achievement
    you access consistently quickly.

  7. Thanks on your marvelous posting! I genuinely enjoyed reading it,
    you could be a great author. I will be sure to bookmark your blog
    and definitely will come back someday. I want to encourage yourself to continue
    your great job, have a nice day!

  8. hey there and thank you for your information – I have definitely picked up anything new from right here.
    I did however expertise several technical issues using this site,
    as I experienced to reload the web site a lot of times previous to I could get it to load correctly.
    I had been wondering if your web hosting is OK? Not
    that I am complaining, but sluggish loading instances times will
    sometimes affect your placement in google and can damage your high-quality score if
    advertising and marketing with Adwords. Anyway I’m adding this RSS to my e-mail and can look out for a lot more of your respective fascinating
    content. Make sure you update this again very soon.

  9. ‘Dropbox’, for anyone who doesn’t know, is a free app that easily helps
    you access your documents, photos, videos, Nintendo games, and anything else that you
    store on your computers, i – Phone, i – Pad, i – Pod Touch and even the ‘Dropbox’
    website’from anywhere in the world. ‘ While the home button remains
    untouched, the phone features flat curved design with
    tapered edges. If you’ve been aware of mobile marketing and advertising platforms like Admob, in – Mobi,
    as well as others.

  10. Picking out of the perfect swimwear could possibly be harder than you think.
    Then, the Sexy Fishnet Teddy Open Cup 4 Piece Set is really a sure shot
    strategy to set your partner’s pulse racing. Though high quality leather made lingeries really are a bit
    costly when compared with the lingeries made from other materials, there are
    actually various offers available inside the market that might
    have the buy more exciting.

  11. It’s in fact very complex in this busy life to listen news on TV, so I only use the web
    for that purpose, and take the newest news.

  12. You really make it seem so easy with your presentation but I to find this topic to be really one thing that I feel I would by no means understand.
    It seems too complex and very broad for me. I am looking ahead in your subsequent submit, I’ll attempt
    to get the hang of it!

  13. You are so interesting! I don’t believe I’ve
    read anything like this before. So great to find somebody with some unique thoughts on this subject matter.
    Really.. thanks for starting this up. This web site is something
    that is needed on the internet, someone with some originality!

  14. Moreover, ninja hisstory should be read quickly in order
    to know about tthe real ninja gear toys for kids 8 and up kids.
    The man who brought the sport of Lacrosse to San Diego, World Class
    Lacrosse Athlete Jack Mangelsdorf, is also the founder of Lacrosse Plus.
    Another waterproof mitten is the Dakine Bratt Mitts, quite handy because off
    a side zipper with a Velcro closure to tighten the up.

  15. This package also includes NHL Network, NBA TV and Big Ten Network along
    with 10 other local sports network. And this law of game codified in England by the football association in 1863.
    DISH Network brings the best Hindi TV straight to your
    home.

  16. Thanks on your marvelous posting! I genuinely enjoyed
    reading it, you will be a great author.I will ensure
    that I bookmark your blog and will often come back in the foreseeable future.

    I want to encourage yourself to continue your great work, have a nice afternoon!

  17. Particular search services contain internet marketing serbices (Mel) site evaluation and optimization, keyword study, content
    material advertising and marketing and Google + and maps optimization.

  18. Spend your utilities, house loan, lease, cell cellphone, net provider provider and other normal payments with your new credit history card,
    as a substitute of cash. The online retailer has also taken up to $20 off select Bethesda
    titles for the PS3, Xbox 360 and PC including The Elder Scrolls
    V: Skyrim, Dishonored and Doom BFG Edition. It is recommended that you create a
    new Gmail account and use it to sign up; this is where your free
    xbox gold; Katia,
    live code will be delivered via email.

  19. Thanks on your marvelous posting! I truly enjoyed reading it, you
    could be a great author. I will be sure to bookmark your blog and
    will eventually come back later on. I want to encourage continue your great work, have a nice day!

  20. Hiya very nice web site!! Guy .. Excellent ..
    Superb .. I’ll bookmark your web site and take the feeds additionally?
    I am happy to search out so many useful information right here within the submit, we’d like work
    out more techniques on this regard, thank you for sharing.

    . . . . .

  21. Though I didn’t make proxies sound too appealing, I only
    mean to generate the point that MOST aren’t great, and possess limited capabilities in terms of unblocking websites on your own i – Phone and i also – Pad.

    Therefore 7, if the colors tone in your own i phone cover appears somewhat drab it might
    be a sign it’s a copy. Once processed, it really is ready to be watched on your own i –
    Phone or shared via email.

  22. Because we’ve run out sourcing eventually?

    Meet as many off you are, and construction industry.What are thhe ones who respond to your project
    ends up not being truthful.

  23. Right here is the perfect web site for everyone who wants to understand this topic.
    You realize a whole lot its almost hard to argue with you (not that I actually will need
    to…HaHa). You certainly put a fresh spin on a topic which has been written about for
    a long time. Wonderful stuff, just wonderful!

  24. %first_paragraphToday highly expensive and painful method of artificial implant is becoming popular as it can provide increase in size overnight, but this method carry serious side effects with it and may not be suitable for every woman. In place of implants and surgeries use of herbal remedies to make breasts bigger and beautiful is not only effective but also completely safe and improves a woman’s confidence immensely.

    ?
    Breast enlargement surgery in Mumbai is one of the safest means of correcting the breasts size . It’s an ideal way to increase breast size of people who love to have bigger boobs. If you’re planning to undergo this surgery then ensure that you do a proper research on all the available options as this way you can make a wise decision.

    These products do not cast any sort of side effect and are safe and suitable for woman of any age; these products provide long-lasting results and can be taken without any medical prescription. For breast enlargement too there are many herbal products available in the market, of course every product is not pure and effective, but if one goes by user reviews Big B-36 pills and Big B-36 oil in combination are reckoned as the best herbal products to have bigger breasts with natural ways.

    Also know Herbal Breast Massage Oil. Read about Natural Breast Enhancement Pills. Read about Natural Breast Enhancement Massage Oil. The results yielded from this natural oil are long-lasting so even you stop using it, the results will not wear off. Big B-36 oil have been acclaimed worldwide for its effectiveness and with this oil, it is now possible for every women to get supple, firm and fuller breasts without the risk of getting under the knife.

    Massage with this oils hasten good results and also improve health of breast skin. The active ingredients of oil promote skin tightening and remove wrinkles, fine lines and loose skin of breasts to make them supple, smooth and shiny. These products can be used even by those women who want to maintain firmness and fullness of their bosom for longer period in life. Massages with Big B-36 oil along with pills bring in better and long-lasting results. Massages also prevent problems like cysts, cracked nipples, rashes etc to maintain sensuality in most beautiful part of woman?s body.

    These pills also promote higher blood flow and increase nourishment and oxygen supply to cells and tissues of the region. With higher nourishment tissues of the region get stronger and enlarge, enlarged and stronger tissues hold breast upright and provide them firmness. With higher fat deposition women get bigger sized busts in no time. These benefits provided by B-36 pills make them the best natural breast enlargement pills to get bigger breasts without any side effects. Big B-36 pills enhance body’s mechanism and promote fat deposition in breasts, these capsules do not promote fat gain at any other part of the body and there is no fear of weight gain. With these benefits women can gain bonnier and luscious breasts in short duration without any side effects.

    Regular massage with Big B-36 oil along with intake of pills brings in quicker and better results. The herbal ingredients of Big B-36 oil breakthrough skin barrier and affect tissues and blood vessels. Wrinkles, fine lines, dark spots on the skin of breasts cause embarrassment to a woman, massages with Big B-36 oil remove all these blemishes and make skin of bust tight, supple, soft and shiny. By using these products woman of any age can safely and conveniently get shapely and luscious breasts without spending much time and money. Due to effect of massage women gain bigger and bonnier breasts in much less time and also prevent problems like cysts, cracked nipples, rashes etc effectively. Massages are well known for promoting blood flow and strengthening tissues of the body.

    With bigger and stronger tissues women get firmer and fuller breasts. Massages with Big B-36 oil along with pills bring in quicker results; these improve blood flow, strengthen tissues and promote skin tightening. These products due to their herbal composition are perfectly safe for prolonged use and can be taken without any medical prescription. Together these two products not only enhance your cup size in no time but also remove wrinkles, fine lines, dark spots and provide tight skin to give boost your bust secrets (http://www.leon-rolly.ru) bosom captivating looks. These pills also improve blood flow to strengthen and enlarge tissues of breasts. Big B-36 pills promote fat deposition in bust region, with higher fat deposition woman gets bigger breasts in a short time. The results obtained after using these products are long-lasting and can be maintained by taking simple precautions.

    ?
    Saw Palmetto is a berry and its active ingredients have been used for centauries as a natural way to a better bust. Start with the prescribed dose and results should be expected within 12-14 weeks. With this breast tissue stimulation, comes bigger, fuller and firmer breasts over time. Generally Saw Palmetto’s active ingredients are mixed with diosgenin in a capsule form, to concentrate its effects on the mammary glands and breast tissue.%

  25. This is the right blog for anybody who would like to find out about this topic.

    You realize so much its almost hard to argue with you (not
    that I personally would want to…HaHa). You definitely
    put a brand new spin on a subject that has been written about for many years.

    Excellent stuff, just great!

  26. My brother suggested I would possibly like this web site.
    He was once totally right. This post actually made my day.
    You cann’t imagine just how much time I had spent for this info!
    Thanks!

  27. Fantastic beat ! I would like to apprentice even as you amend your
    site, how could i subscribe for a blog site? The account aided me a appropriate deal.
    I had been tiny bit familiar of this your broadcast offered bright transparent concept

  28. It might just help you heal and move on as it has me.
    Instead, they will circle, sniff, and fuss before finding the right spot.
    They maybe able to hide in shaded areas but sickness does follow them more
    than you now.

  29. Fantastic goods from you, man. I’ve understand your stuff previous
    to and you’re just too wonderful. I really like what you have acquired here, really like what you’re saying and the way in which you say it.
    You make it entertaining and you still care for to keep it
    sensible. I can not wait to read much more from you.

    This is actually a wonderful web site.

  30. I think what you said made a great deal of sense.
    However, what about this? suppose you added a little content?
    I mean, I don’t wish to tell you how to run your website, but suppose you added something that
    makes people want more? I mean The Analytic Age
    ? Blog Archive ? How Good Is Your Information Metabolism? is kinda boring.
    You should glance at Yahoo’s front page and watch how they write article titles
    to get people to click. You might add a video or a related pic or two to grab people excited about what you’ve written.
    In my opinion, it could bring your posts a little livelier.

  31. of knights, kings and queens or maybe a medieval fortified palace with a mote.
    Also nearby are the Parklands on South Bank which consist of 17 hectares of lush parkland, great for a picnic or a game
    of frisbee with the kids. While on Fraser Island, you can view the spectacular wildlife.

  32. You actually make it seem so easy along with your presentation but I find this topic to be actually one thing
    that I believe I’d never understand. It seems too complicated
    and extremely extensive for me. I’m having a look ahead in your next publish, I’ll
    try to get the grasp of it!

  33. (A broadband connection will deliver superior
    audio and video quality). Getting together to watch awesome game the coffee
    shop, restaurant or sports bar has never been easier
    thanks to live soccer streaming and this amazing software.
    Weblogs or blogs as they are known are here to stay.

  34. Simply just pay a visit to their web-site which is as follows to have detailed answers to almost all of your issues about 3 Day Diet Plan. Taking into consideration the above
    details, it’s really for several good reasons that Phen375 has been known as the “the most robust non-prescription diet pill. Once fat molecules have been removed, your weight will start to cut down.

  35. I think that everything said was very reasonable.
    However, what about this? what if you wrote a catchier post title?
    I am not saying your content is not good, but what if you added a headline to possibly grab folk’s attention? I mean The Analytic Age
    ? Blog Archive ? How Good Is Your Information Metabolism?
    is kinda vanilla. You might peek at Yahoo’s home page and note
    how they create post headlines to grab viewers interested.

    You might try adding a video or a pic or two to grab people interested
    about everything’ve written. Just my opinion, it might bring your website a little bit more interesting.

  36. It is additionally imperative that you ensure you utilize
    correct fluid intended for your motor vehicle, so speak to your owner’s manual
    to find the specifics. , an unbiased consultant, or possibly
    a service provider like Best – Buy. Whether that
    you are by using a laptop or maybe a desktop, errors could occur anytime and that is additionally with no
    prior notice.

  37. You are in fact some sort of good internet marketer Virtual Online Casino ,Virtual Casino Online ,. The web page packing acceleration is definitely extraordinary. It sounds as if you are doing virtually any exclusive technique. In addition, The particular belongings will be masterpiece. you will have completed fantastic work during this topic!

Leave a Reply

Your email address will not be published. Required fields are marked *