Analytics and Insights, Brussels, Corporate Culture, Data Science, European Parliament, European Union, Global Politics, Insights, Linguistics, Public Affairs and Communications

The Brexit

While investors were in shock, open source signals such as Google trends pointed to “Leave” being predominate the majority of the time, illustrating expert and market biases.  Perhaps they should work on how to integrate these unconventional data streams better (sorry couldn’t help it).  The UK’s decision to exit from the EU is part of a global phenomena that could have been understood better with open source, not just market, data.

Leave Remain Google Trends

Google Search Trends on “Leave” or “Remain”

The world is growing more complex. Information is moving faster. Humans were not evolved to retain or understand this mass output of (dis)information in any logical way. As a response, a retreat to simple explanations and self-censorship towards new ideas, that might challenge one’s frame, are ignored and become the norm. Populist decisions are made and embraced, often times reactionary towards the establishment or elite. Multi-national corporations and elites will need to step outside of their bubble and take note of nationalist, albeit sometimes isolationist, such as Donald Trump, Bernie Sanders, President Erdogan of Turkey, Marie Le Pen’s Front National of France, Boris Johnson – Former Mayor of London and Brexit backer (good chance he take David Cameron’s place), Germany’s AFD and the 5 star movement in Italy gain in both popularity and power.

New media online coverage tagging of Leave V Remain

News media dynamics of “Leave” (Red) and “Remain”. Grey and black have no overlying preference. In addition to Google Trends, the majority of the media coverage focused on “Leave” over “Remain”. Those polling should have a look at framing effects to accurately conclude outcomes.


Red = People associated with Leave. Blue = people associated with Remain.

In addition to the more media coverage, people were associated more with the leave campaign, which is an advantage. generally during a political campaign choices and policy lines are anything but rational. They tend to fall on emotional lines and it’s important that institutional communications have a noticeable figurehead – especially in the age of media. It says something when the top people that are associated with remain are Barak Obama, Janet Yellen and Christine Lagarde. Note that David Cameron is more associated with leave.  None the less the pleas by political outsiders and institutions such as the IMF and World Bank for the UK to remain in the EU, potentially caused damage to the “Remain” campaign. UK voters seemed did not want to hear from political outsiders on the matter. This is illustrated by the connection and proximity of the “Obama Red Cluster” to the French right wing Forest Green cluster (and the results) below. The “Brexit” could lend credence to the possibility of EU exit contagion. There are very real forces in France (led by the Front National) and Italy (led by the 5 Star movement (who just won big in elections) that are driving hard for succession from the EU and or potentially the Eurozone.

This network show the Brexit domain the day prior to the Leave result.

This network shows the Brexit domain the day prior to the Leave result.



  • Seeking shelter from volatility, banks (especially European ones) are fleeing to the gold market. While this is to be expected, dividend based stock, as well as oil, would be attractive to those seeking stability as well.
  • Thursday’s referendum showed, sending global markets into turmoil. The pound plunged by a record and the euro slid by the most since it was introduced in 1999. Historically, the British Pound reached an all-time high of 2.86 in December of 1957 and a record low of 1.05 in February of 1985.
  • Don’t count on US interest rate hikes. Yellen has expressed concern for global volatility on multiple occasions. The Brexit just added to that. The Bank of England could follow the US fed, and drop interest rates on the GBP to account for market uncertainty.
  • If aggressive, European uncertainty could be an opportunity for US companies to gain on European competitors. Due to the somber mood within Europe, companies could either be more conservative with investment, leaving them vulnerable.
  • Alternatively, the Brexit may trigger more aggressive U.S. or global expansion by European Companies while Brexit ramifications are further understood.
  • The political take away is the remain campaign was relatively sterile, having no figure head or clear policy issues directly relating back to the EU. This was reflected by the diversity in associated search terms related to the “Leave” campaign, in addition to Angela Merkel, not an EU leader such as European Commission President Jean-Claude Junker, once again as being seen as the defacto voice of Europe.
Analytics and Insights, Insights, machine intelligence, Uncategorized

Humans, Machines and Markets

Technology has increased access to information, which in turn has made the world more similar on a macro and sub-macro level. However, despite increased similarity, research shows business models are rarely horizontal, emphasizing the importance of micro-level strategic consideration. Companies routinely enter new markets relying on knowledge of how their industry works and the competencies that led to success in their home markets, while not being cognizant of granular details that can make the difference between success and failure in a new market. Only through machine driven intelligence can companies address the level of detail needed in a scalable and fast manner to remain competitive.


Research from Harvard Business Review reveal that despite an increase in information and globalization, business models are generally not horizontally scalable from one country to the next.

Research from Harvard Business Review show that despite more access information and networks through globalization, business models , 86% of the time, do not work from one country to the next.


Relying on simple explanations for complex phenomena is a risk - 3% of markets have a negative correlation to one another. Therefore organizations need to contextualize marketplace characteristics and avoid addressing only one variable at a time.

Relying on simple explanations for complex phenomena is a risk – 3% of markets have a negative correlation to one another. Therefore, organizations need to contextualize marketplace characteristics and avoid simplistic linear or binary based KPIs.

Pos Correlation HBR

The world is complex, but computational power is getting more robust and cheaper, while machines are getting smarter. Despite that only 11% of country-to-country profitability had a positive relationship, asset rich large organizations with large networks and infrastructure are uniquely positioned to exploit this if they learn to understand their assets in higher resolution. In most cases this means letting go of long held beliefs and how things used to be done, in addition to being agnostic how to make money.

Amount of shares traded on the NYSE. This data, can be used as an analog to show how quickly information and connectivity is growing exponentially.

The amount of shares traded on the NYSE is shown as an analog to illustrate how quickly information is growing exponentially every year. Despite advancement in communication technology, companies are no better at market access.

Furthermore, machine intelligence and information has led to the rapidly diminishing value of expertise, in addition to eroding the value of information. The level of expertise needed to out-run or beat machine intelligence has exponentially increased every year. Over the next one to two years the most successful companies will come to accept the burden of proof has switched from technologies and A.I. to human expertise. Furthermore, machines will come to reframe what business and strategy means. Business expertise in the future will be the ability to synthesize and explore data sets and create options using augmented intelligence – not being an expert on a subject per se. The game changers will be those that have the fastest “information to action” at scale.

A residual of that characteristic makes a “good” or “ok” decision’s value exponentially highest in the beginning – and often times much more valuable than a perfect decision. To address this trend, organizations will need to focus on developing process and internal communication that foster faster “information-to-action” opportunity cost transaction times, similar to how traders look at financial markets. Those margins of competitive edge will continue to shrink, but will become exponentially more valuable.

Speed to market and competitive advantage

How are businesses harnessing AI and other technologies to lead the way ?

Studies show experts consistently fail at forecasting and traditionally perform worse than random guessing in businesses as diverse as medicine, real-estate valuation, and political elections. This is because traditionally people weight experiences and information in very biased ways. In the knowledge economy this is detrimental to strategy and business decisions.

Working with machines enables businesses to learn and quantify connections and influence in a way humans cannot. Rarely is an issue isolated to the confines of a specific domain, and part of Walmart’s analytics strategy is to focus on key variables in the context of other variables that are connected. This can be done in extremely high resolution by taking a machine based approach to mine disparate data sets, which ultimately allows for flexibility and higher resolution KPIs to make business decisions with.

What are the effects of digital disintermediation and the sharing economy on productivity growth?

Machines have increased humans ability to synthesize multiple information streams simultaneously, while connecting communication, this could lead to a higher utility on assets. It’s likely that businesses in the future will have to be more focused on opportunity cost and re-imagine asset allocation with increased competition due to lower barriers on entry. Inherently intelligence and insights is about decisions.  A residual of that characteristic makes a good or ok decision’s value exponentially highest in the beginning – and often times more valuable than a perfect decision. To address this trend, organizations need to focus on developing process and internal communication that foster faster “information-to-action” transaction times, much like how traders look at financial markets.

Is this the beginning of the end?

Frameworks driven by machines will allow humans to focus on more meaningful and creative strategies that cut through noise to find what variables that can actually be controlled, mitigating superficial processes and problems. As a result, it is the end for people and companies that rely on information and routine for work. And the beginning for those that can solve abstract problems with creative and unorthodox thinking within tight margins. Those that do so will also be able to scale those skills globally with advancements in communication technology and the sharing economy, which will speed up liquidity  on hard and knowledge-based assets considerably.



Next Generation KPI’s

Recently I’ve been thinking of ways to detect bias as well as look into what makes people share. Yes understanding dynamics and trends over time, like the chart below (Topsy is a great simple, free easy tool to get basic Twitter trends), can be helpful – especially with forecasting. None the less they reach their limits when we want to look for deeper meaning  – say at the cognitive or “information flow” level.  

MN Vikings Teddy Bridgewater Adrian Peters Twitter mentions

Enter coordinates and networks.  The advantages are not possible to do with a tradition KPI’s like volume over time. Through mapping out the a network based on entities, extracted locations and similar text and language characteristics it’s possible to map coordinates of how a  headlines, entities or article exists in space within the specific domain. And this happens to deadly representative of the physical world.. especially since more information is reported online everyday.

When put together (shown below), I found a way to detect bias. Using to online news articles and link data, I found articles with less centrality to their domain, which denote variables being left out (of the article), typically got shared the most on social channels. In short some bias = more sharing… Interesting – although more research is needed.

centrality, bias and social sharing - @chandlertwilson

Analytics and Insights, European Parliament, European Union

The European Parliament this week

With the Greece/Eurozone situation reaching the brink, I decided to take a look at what’s been happening over the past week within the European Parliament domain.

Some takeaways after I extracted the top people and issues:

  1. The Eurozone, Yellen’s decision to be patient with the Fed and housing markets are interlinked (not a surprise), indicating US businesses should be mindful of the Greek debt restructuring. This has affected foreign exchange markets and the domestic retail sector a bit.
  2. Outside of global finance and the Greek debt restructuring, the European Parliament’s decision to back new limits for food based bio-fuels was the most embedded policy instance. Thomas Nagy, EVP at Novozymes and the most central person to the policy, had this to say: “A stable and effective framework is the only way forward to secure commercial deployment”.
  3. Climate change and carbon trading (to be reformed in 2018) were most central to the new policy, as well as the EU plans to merge energy markets, which ALDE feels “will be a nightmare for Putin” and weaken Russian grip on Europe’s energy needs.
The top people extract from the online conversation. Out side of global finance and the Greek debt restructuring, the EP decision to back new limits for food based biofuels was the most embedded policy instance over the last week.

The people extracted from the European Parliament domain over the last week. Size of node represents degree. The amount of connections a node has to other illustrates how embedded an entity is within a domain.

The bar chart below shows which topics within the European Parliament domain are associated with each person. The people are represented by the colors from the network graph above. It’s in hierarchical form based on centrality (to the European Parliament).

Topics that are most central to the European Parliament over the past week

Something to be cognizant of: Data Protection

While the issues are on the edge of EU affairs, as indicated at the top left and bottom right of the network graph below (highlighted in the teal green and dark red), data issues are becoming embedded within the broader scope of the EU Parliament.  Note that the range is across network centrality. This indicates that policies will have to be negotiated within a multitude of domains.

Topics associated with Data and the European Parliament

Stewart Room, a partner at PwC Legal, warns “businesses that are waiting for the EU General Data Protection Regulation (GDPR) before taking action have already missed the boat.” I agree. Companies will need to be cognizant of the European Union’s penchant to regulate data and technology, often before understanding it.

Multi-sector coalitions have to be built. Framing legislation within global policy that is both considerate to business efficiency, yet empathetic to consumer concerns for privacy, could help avoid the backlash that ACTA and SOPA felt.  Data means too much to business. If not addressed in a thoughtful way, it could end up being the Trojan horse to TTIP and TPP and push those negotiations, and therefore economies, backwards.

Isn’t it cool how we can mine and extrapolate information from open source data for strategic intelligence? Much more contextual than Googling everything. Also it illustrates just how interlinked the world has become.


Analytics and Insights, Change Management, Corporate Culture

What Data Really Is

It took a while to come to this conclusion. When I first started consulting some years back, I thought it was about insights and social data. Now people are onto “insights”, “social media” and “big data” (ad nauseam). What consultants and practitioners should really be trying to do is help organizations make more contextual decisions, faster.

You’ll notice I call this blog Intelligence, Communications, Change. The order is not coincidental.

Its reasoning goes as such:

  1. Unfortunately organizations are not setup to handle the majority of intelligence or “insights” that we may find when mining the web or other data sources.
  2. I gather intelligence, communicate and then try to change a given instance or situation. Always changing and making decision more accurately and faster.
  3. To have the most benefit from analytics and data means turning the insights or analytics unit into an ongoing change management program. With the ultimate goal being to setup the organization to think contextually, as well as be ever cognizant of the “perfect is the enemy of good” principle – an “ok decision” that’s fast typically has more value than a perfect one down the line.

Never before has there been so much information available to us. Every day there are 3.6 trillion words created on email and social media — the equivalent of 36 million books. Today more data crosses the internet every second then was stored in the entire internet just 20 years ago. The bigger risk is being tame, and will put you in the doghouse faster than any sort fallout a thoughtful experiment would have. Over a long enough time, eventually people and companies can piece together what ever competitive advantage a person or company may have. Those concerned with protecting IP or “trade secrets” will be irrelevant and miss opportunities simply because of the rapidly deteriorating value they perceive in their IP.

As the great basketball coach John Wooden said:

“If you’re not making mistakes, then you’re not doing anything. I’m positive that a doer makes mistakes.”


Analytics and Insights, Brussels, European Parliament, European Union, Global Politics, Insights, Politics, Social Media

EU 2014 Hash-Tag Engagement

Germany is without question the most powerful and important member state in the EU. Everything rides towards, through and with Berlin. With that in mind, and since Germans have been typically disengaged in EU Affairs, I decided to take a quick look at European Parliament election hash-tags (#EP2014, #EU14 and #EU2014) to see which member states are engaging and which ones are not.

A few years back I worked for the EPP Group, Europe’s largest political party. The future power of Germany was obvious at the time since it was right in the middle of the shit-storm of the Euro-crisis. I started to see how the EPP efforts to communicate with the Germans were going. I found out from an analysis of online media that Germans weren’t at all engaged with the EU or their MEPs. The French actually commented on German EPP MEP media more than the Germans. When it came to French EPP MEPs, Germany didn’t return the love. Who did? Believe it or not the people in the US, keeping a close eye on the global markets, accounted  for about 49% of French EPP MEP content comments. Who says US citizens are close-minded? I felt at the time, and still do, that comments were a pretty decent KPI to show some interest and engagement, especially since it took a bit more effort at the time – online and social media wasn’t as widely adopted. Below is the actual chart I showed my colleagues at the EPP about 3 years ago. This was prior to the “big data” hype machine.

French and German EPP MEPS: Comments to Media Out Put

Seeing the data, the EPP Group should have focused on changing this deficit in an aggressive, coordinated manner. You just can’t have a strong EU with out an engaged Germany.

Fast-forward 3 years. The EU Parliament elections are coming up. The EU institutions are being questioned, and referendums to withdraw have become focal points in the UK. And there’s  lots of money backing this idea. Is this completely because of a disengaged Germany? Not at all. Some of it is just  far-right jargon inherent to a bad economy which leaders actually have very little control over, but it still makes a big difference when the most powerful member state is apathetic and disengaged.

In present day 2014, not much has changed. Although hash-tags are probably not the most precise KPIs and leave a bit to be desired (I needed something quick), the data shows that in proportion to German MEP market share, Germany is still the most disengaged country when it comes to mentioning on EU election-specific hash-tags.  What was really telling was that the little country of Greece had just 62 less mentions than Germany, despite Germany being about seven times the size.  In fact, only five member states were a net positive (including Greece). Belgium  ranked first, obviously because Brussels is home to most of the EU institutions.  The “Brussels Bubble” is alive and well, even though this time it was supposed to be different.

EU Election Hashtag Member State Market Share

Hashtag MEP to Mention Deficit

In politics, getting people mad often drives engagement. This sometimes drives voting rates to the parties that many deem to be unreasonable (Vlaams Belang, Front National etc) . For example, we see Mr. Farage’s Euro skeptic party UKIP has utterly dominated communications compared to the other European Parliament political groups. This isn’t a good thing if you note that most of the time the winners have more mention volume . Surely Europe is stronger and more competitive together than it is fragmented. Nonetheless, if mainstream parties can’t even figure out how to communicate and run a proper campaign, why should they be trusted with leadership?

EP Group Market Share

These deficits could have and should have been addressed years ago. You could see them coming from miles away, yet those in power ignored the data or just made half-hearted and superficial efforts to save face. It’s not always easy to lead and no one expects it to be, but at some point you have to make bold moves, seek out candor and take a look in the mirror.


Analytics and Insights, Brussels, Data Science, European Union, Global Politics, Insights, Politics, Public Affairs and Communications, Social Media, U.S. Politics

Quick Takeaway:The German Election and EU Political Communications.

For this post I decided to remain old school and mainly rely on search data. It’s pretty basic, but typically offers a great view of what people are interested in. Google’s market share is around 90% in Europe and it’s the most visited site in the world. In my opinion Google Trends is  the largest focus group in the world.

First I looked at the overall interest in Germany between Angela Merkel and Peer Steinbrück, as well as their political affiliations – the CDU and PSD. Initially I was curious as to how party identity interest compared to interest in the politician. To anchor this chart I did the same with US presidential campaign (the chart below). I have a hunch, and the data seems to be telling me thus far, that the more media oriented politics becomes (along with everything else in the world), the more important celebrity, authenticity and individuality becomes. Take a look at this recent brand analysis done by Forbes. Chris Christie wins, having the highest approval rating of over 3,500 “brands” according to BAV (awesome company) at 78%. For those that don’t know, Christie is probably the most straight forward tell-it-like-it-is politician in the country.

So what can we learn from the Google search interest shown below?

Google search data of the 2013 German elections

Google search data of the 2013 German elections

Obama, McCain, Romney, Democrat and Republican search interest.

Obama, McCain, Romney, Democrat and Republican search interest.

  • Politics is still about sheer volume and name recognition. For those that think being novel and unique achieves victory over blasting away nonstop in a strategically framed and coordinated way, think again.  People tune out if they aren’t interested. Irrelevance is almost always worse than bad PR  or sentiment (excluding a case like Anthony Weiner). You simply don’t win if you don’t interest people. If people aren’t talking about you, you’re not interesting. Merkel had more search interest than Steinbrück and over the course of the year probably got 10,000 times more airtime, both good and bad, due to her large role in the euro crisis.  In short, repetition is king.
  • Framing and consistent language strategy is vital. Volume can be shown to equate with recognition of a person, but this can easily enough be analogized to a policy or issue. Give me a choice between a clever social media strategy or consistent language strategy, meaning all the key issues are repeated by the party and coordinated as much as possible, and I’ll take the language strategy any day. It’s amazing how just being consistent in political communications is overlooked by companies and political leaders in Europe. Social media tends to be a framing conduit, not the reason people mobilize or have opinions.
  • The world is growing ever more connected. Look how global the reporting of the German election was. Obviously its importance was higher due to Germany’s rising influence, but none the less the amount of sources from all over the world is impressive. A note for the upcoming EU elections: don’t forget to target the USA and other regions to influence specific regions in Europe. A German constituent might read about a policy from the Financial Times, a Frenchman the Wall Street Journal or an American based in Brussels, who knows Europeans who can vote, Bloomberg.

Location of sources reporting on German elections events/happeningsI decided to throw in Twitter market share of the candidates from August 21st to September 21st, the day prior to elections.  I found it interesting to see how closely Belgium and the United State reflect Germany, probably due these countries looking at the elections from more of a spectator view. Meanwhile southern Europe, which had a vetted interest in the election, was pretty much aligned. France, Spain and Italy seem to report a bit more, and in a similar way, on Merkel – probably due to sharing the same media sources. Unfortunately I don’t have the time to look into this pattern too much at the moment, but it’s something I’ll continue to think about in the future.

Market-share of Twitter for Germany Election candidates: USA,DE,BE

Market-share of Twitter for Germany Election candidates: USA,DE,BE,PT,FR,ES,IT

DE Elections Twitter market share south EU