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Top 7 Business Strategy Models

UPDATED POST- Some Models I use for Business Strategy- to analyze the huge reams of qualitative and uncertain data that business generates. I have added a bonus the Business canvas

  1. Porters 5 forces Model-To analyze industries
  2. Business Canvas
  3. BCG Matrix- To analyze Product Portfolios
  4. Porters Diamond Model- To analyze locations
  5. McKinsey 7 S Model-To analyze teams
  6. Gernier Theory- To analyze growth of organization
  7. Herzberg Hygiene Theory- To analyze soft aspects of individuals
  8. Marketing Mix Model- To analyze marketing mix.


Interview Alain Chesnais Chief Scientist Trendspottr.com

Here is a brief interview with Alain Chesnais ,Chief Scientist  Trendspottr.com. It is a big honor to interview such a legend in computer science, and I am grateful to both him and Mark Zohar for taking time to write these down.

Ajay-  Describe your career from your student days to being the President of ACM (Association of Computing Machinery http://www.acm.org/ ). How can we increase  the interest of students in STEM education, particularly in view of the shortage of data scientists.
Alain- I’m trying to sum up a career of over 35 years. This may be a bit long winded…
I started my career in CS when I was in high school in the early 70′s. I was accepted in the National Science Foundation’s Science Honors Program in 9th grade and the first course I took was a Fortran programming course at Columbia University. This was on an IBM 360 using punch cards.
The next year my high school got a donation from DEC of a PDP-8E mini computer. I ended up spending a lot of time in the machine room all through high school at a time when access to computers wasn’t all that common. I went to college in Paris and ended up at l’Ecole Normale Supérieure de Cachan in the newly created Computer Science department.
My first job after finishing my graduate studies was as a research assistant at the Centre National de la Recherche Scientifique where I focused my efforts on modelling the behaviour of distributed database systems in the presence of locking. When François Mitterand was elected president of France in 1981, he invited Nicholas Negroponte and Seymour Papert to come to France to set up the Centre Mondial Informatique. I was hired as a researcher there and continued on to become director of software development until it was closed down in 1986. I then started up my own company focusing on distributed computer graphics. We sold the company to Abvent in the early 90′s.
After that, I was hired by Thomson Digital Image to lead their rendering team. We were acquired by Wavefront Technologies in 1993 then by SGI in 1995 and merged with Alias Research. In the merged company: Alias|wavefront, I was director of engineering on the Maya project. Our team received an Oscar in 2003 for the creation of the Maya software system.
Since then I’ve worked at various companies, most recently focusing on social media and Big Data issues associated with it. Mark Zohar and I worked together at SceneCaster in 2007 where we developed a Facebook app that allowed users to create their own 3D scenes and share them with friends via Facebook without requiring a proprietary plugin. In December 2007 it was the most popular app in its category on Facebook.
Recently Mark approached me with a concept related to mining the content of public tweets to determine what was trending in real time. Using math similar to what I had developed during my graduate studies to model the performance of distributed databases in the presence of locking, we built up a real time analytics engine that ranks the content of tweets as they stream in. The math is designed to scale linearly in complexity with the volume of data that we analyze. That is the basis for what we have created for TrendSpottr.
In parallel to my professional career, I have been a very active volunteer at ACM. I started out as a member of the Paris ACM SIGGRAPH chapter in 1985 and volunteered to help do our mailings (snail mail at the time). After taking on more responsibilities with the chapter, I was elected chair of the chapter in 1991. I was first appointed to the SIGGRAPH Local Groups Steering Committee, then became ACM Director for Chapters. Later I was successively elected SIGGRAPH Vice Chair, ACM SIG Governing Board (SGB) Vice Chair for Operations, SGB Chair, ACM SIGGRAPH President, ACM Secretary/Treasurer, ACM Vice President, and finally, in 2010, I was elected ACM President. My term as ACM President has just ended on July 1st. Vint Cerf is our new President. I continue to serve on the ACM Executive Committee in my role as immediate Past President.
(Note- About ACM
ACM, the Association for Computing Machinery www.acm.org, is the world’s largest educational and scientific computing society, uniting computing educators, researchers and professionals to inspire dialogue, share resources and address the field’s challenges. )
Ajay- What sets Trendspotter apart from other startups out there in terms of vision in trying to achieve a more coherent experience on the web.
Alain- The Basic difference with other approaches that we are aware of is that we have developed an incremental solution that calculates the results on the fly as the data streams in. Our evaluators are based on solid mathematical foundations that have proven their usefulness over time. One way to describe what we do is to think of it as signal processing where the tweets are the signal and our evaluators are like triggers that tell you what elements of the signal have the characteristics that we are filtering for (velocity and acceleration). One key result of using this approach is that our unit cost per tweet analyzed does not go up with increased volume. Using more traditional data analysis approaches involving an implicit sort would imply a complexity of N*log(N), where N is the volume of tweets being analyzed. That would imply that the cost per tweet analyzed would go up with the volume of tweets. Our approach was designed to avoid that, so that we can maintain a cap on our unit costs of analysis, no matter what volume of data we analyze.
Ajay- What do you think is the future of big data visualization going to look like? What are some of the technologies that you are currently bullish on?
Alain- I see several trends that would have deep impact on Big Data visualization. I firmly believe that with large amounts of data, visualization is key tool for understanding both the structure and the relationships that exist between data elements. Let’s focus on some of the key things that are pushing in this direction:
  • the volume of data that is available is growing at a rate we have never seen before. Cisco has measured an 8 fold increase in the volume of IP traffic over the last 5 years and predicts that we will reach the zettabyte of data over IP in 2016
  • more of the data is becoming publicly available. This isn’t only on social networks such as Facebook and twitter, but joins a more general trend involving open research initiatives and open government programs
  • the desired time to get meaningful results is going down dramatically. In the past 5 years we have seen the half life of data on Facebook, defined as the amount of time that half of the public reactions to any given post (likes, shares., comments) take place, go from about 12 hours to under 3 hours currently
  • our access to the net is always on via mobile device. You are always connected.
  • the CPU and GPU capabilities of mobile devices is huge (an iPhone has 10 times the compute power of a Cray-1 and more graphics capabilities than early SGI workstations)
Put all of these observations together and you quickly come up with a massive opportunity to analyze data visually on the go as it happens no matter where you are. We can’t afford to have to wait for results. When something of interest occurs we need to be aware of it immediately.
Ajay- What are some of the applications we could use Trendspottr. Could we predict events like Arab Spring, or even the next viral thing.
Alain- TrendSpottr won’t predict what will happen next. What it *will* do is alert you immediately when it happens. You can think of it like a smoke detector. It doesn’t tell that a fire will take place, but it will save your life when a fire does break out.
Typical uses for TrendSpottr are
  • thought leadership by tracking content that your readership is interested in via TrendSpottr you can be seen as a thought leader on the subject by being one of the first to share trending content on a given subject. I personally do this on my Facebook page (http://www.facebook.com/alain.chesnais) and have seen my klout score go up dramatically as a result
  • brand marketing to be able to know when something is trending about your brand and take advantage of it as it happens.
  • competitive analysis to see what is being said about two competing elements. For instance, searching TrendSpottr for “Obama OR Romney” gives you a very good understanding about how social networks are reacting to each politician. You can also do searches like “$aapl OR $msft OR $goog” to get a sense of what is the current buzz for certain hi tech stocks.
  • understanding your impact in real time to be able to see which of the content that you are posting is trending the most on social media so that you can highlight it on your main page. So if all of your content is hosted on common domain name (ourbrand.com), searching for ourbrand.com will show you the most active of your site’s content. That can easily be set up by putting a TrendSpottr widget on your front page

Ajay- What are some of the privacy guidelines that you keep in  mind- given the fact that you collect individual information but also have government agencies as potential users.

Alain- We take privacy very seriously and anonymize all of the data that we collect. We don’t keep explicit records of the data we collected through the various incoming streams and only store the aggregate results of our analysis.
Alain Chesnais is immediate Past President of ACM, elected for the two-year term beginning July 1, 2010.Chesnais studied at l’Ecole Normale Supérieure de l’Enseignement Technique and l’Université de Paris where he earned a Maîtrise de Mathematiques, a Maitrise de Structure Mathématique de l’Informatique, and a Diplôme d’Etudes Approfondies in Compuer Science. He was a high school student at the United Nations International School in New York, where, along with preparing his International Baccalaureate with a focus on Math, Physics and Chemistry, he also studied Mandarin Chinese.Chesnais recently founded Visual Transitions, which specializes in helping companies move to HTML 5, the newest standard for structuring and presenting content on the World Wide Web. He was the CTO of SceneCaster.com from June 2007 until April 2010, and was Vice President of Product Development at Tucows Inc. from July 2005 – May 2007. He also served as director of engineering at Alias|Wavefront on the team that received an Oscar from the Academy of Motion Picture Arts and Sciences for developing the Maya 3D software package.

Prior to his election as ACM president, Chesnais was vice president from July 2008 – June 2010 as well as secretary/treasurer from July 2006 – June 2008. He also served as president of ACM SIGGRAPH from July 2002 – June 2005 and as SIG Governing Board Chair from July 2000 – June 2002.

As a French citizen now residing in Canada, he has more than 20 years of management experience in the software industry. He joined the local SIGGRAPH Chapter in Paris some 20 years ago as a volunteer and has continued his involvement with ACM in a variety of leadership capacities since then.

About Trendspottr.com

TrendSpottr is a real-time viral search and predictive analytics service that identifies the most timely and trending information for any topic or keyword. Our core technology analyzes real-time data streams and spots emerging trends at their earliest acceleration point — hours or days before they have become “popular” and reached mainstream awareness.

TrendSpottr serves as a predictive early warning system for news and media organizations, brands, government agencies and Fortune 500 companies and helps them to identify emerging news, events and issues that have high viral potential and market impact. TrendSpottr has partnered with HootSuite, DataSift and other leading social and big data companies.

Predictive Analytics World Events in 2012

A new line up of Predictive Analytics World and Text Analytics World conferences and workshops are coming March through July, plus see the save-the-dates and call-for-speakers for events in Sept, Oct, and Nov.

CONFERENCE: Predictive Analytics World – San Francisco

March 4-10, 2012 in San Francisco, CA
Discount Code for $150 off: AJAYBP12

CONFERENCE: Text Analytics World – San Francisco
March 6-7, 2012 in San Francisco, CA
Discount Code for $150 off: AJAYBP12

A plethora of 1-day workshops are held alongside PAW and TAW
For details see: http://pawcon.com/sanfrancisco/2012/analytics_workshops.php

SEMINAR: Predictive Analytics for Business, Marketing & Web
March 22-23, 2012 in New York City, NY
July 26-27, 2012 in São Paulo, Brazil
Oct 11-12, 2012 in San Francisco
A concentrated training program lead by PAW’s chair, Eric Siegel

CONFERENCE: Predictive Analytics World – Toronto
April 25-26, 2012 in Toronto, Ontario
Discount Code for $150 off: AJAYBP12

CONFERENCE: Predictive Analytics World – Chicago
June 25-26, 2012 in Chicago, IL
Discount Code for $150 off: AJAYBP12


From Ajay-

CONTEST- If you use the discount code AJAYBP12, you will not only get the $150 off, but you will be entered in a contest to get 2 complementary passes like I did last year . Matt Stromberg won that one



see last year results-


Cyber Cold War

I try to write on cyber conflict without getting into the politics of why someone is hacking someone else. I always get beaten by someone in the comments thread when I write on politics.

But recent events have forced me to update my usual “how-to” cyber conflict to “why” cyber conflict. This is because of a terrorist attack in my hometown Delhi.



Iran allegedly tried  (as per Israel) to assassinate the wife of Israeli Defence Attache in Delhi using a magnetic bomb, India as she went to school to pick up her kids, somebody else put a grenade in Israeli embassy car in Georgia which was found in time. 

Based on reports , initial work suggests the bomb was much more sophisticated than local terrorists, but the terrorists seemed to have some local recce work done.

India has 0 history of antisemitism but this is the second time Israelis have been targeted since 26/11 Mumbai attacks. India buys 12 % of oil annually from Iran (and refuses to join the oil embargo called by US and Europe)

Cyber Conflict is less painful than conflict, which is inevitable as long as mankind exists. Also the Western hemisphere needs a moon shot (cyber conflict could be the Sputnik like moment) and with declining and aging populations but better technology, Western Hemisphere govts need cyber conflict as they are running out of humans to fight their wars. Eastern govt. are even more obnoxious in using children for conflict propaganda, and corruption.

Last week CIA.gov website went down

This week Iranian govt is allegedly blocking https traffic on eve of Annual Revolution Day (what a coincidence!)


Some resources to help Internet users in Iran (or maybe this could be a dummy test for the big one – hacking the great firewall of China)

News from Hacker News-



I’m writing this to report the serious troubles we have regarding accessing Internet in Iran at the moment. Since Thursday Iranian government has shutted down the https protocol which has caused almost all google services (gmail, and google.com itself) to become inaccessible. Almost all websites that reply on Google APIs (like wolfram alpha) won’t work. Accessing to any website that replies on https (just imaging how many websites use this protocol, from Arch Wiki to bank websites). Also accessing many proxies is also impossible. There are almost no official reports on this and with many websites and my email accounts restricted I can just confirm this based on my own and friends experience. I have just found one report here:


The reason for this horrible shutdown is that the Iranian regime celebrates 1979 Islamic revolution tomorrow.

I just wanted to let you guys know about this. If you have any solution regarding bypassing this restriction please help!


The boys at Tor think they can help-

but its not so elegant, as I prefer creating a  batch file rather than explain coding to newbies. 

this is still getting to better and easier interfaces


Obfsproxy Instructions

client torrc

Step 1: Install dependencies, obfsproxy, and Tor


You will need a C compiler (gcc), the autoconf and autotools build system, the git revision control system, pkg-config andlibtoollibevent-2 and its headers, and the development headers of OpenSSL.

On Debian testing or Ubuntu oneiric, you could do:
# apt-get install autoconf autotools-dev gcc git pkg-config libtool libevent-2.0-5 libevent-dev libevent-openssl-2.0-5 libssl-dev

If you’re on a more stable Linux, you can either try our experimental backport libevent2 debs or build libevent2 from source.

Clone obfsproxy from its git repository:
$ git clone https://git.torproject.org/obfsproxy.git
The above command should create and populate a directory named ‘obfsproxy’ in your current directory.

Compile obfsproxy:
$ cd obfsproxy
$ ./autogen.sh && ./configure && make

Optionally, as root install obfsproxy in your system:
# make install

If you prefer not to install obfsproxy as root, you can instead just modify the Transport lines in your torrc file (explained below) to point to your obfsproxy binary.

You will need Tor or later.

Step 2a: If you’re the client…


First, you need to learn the address of a bridge that supports obfsproxy. If you don’t know any, try asking a friend to set one up for you. Then the appropriate lines to your tor configuration file:

UseBridges 1
Bridge obfs2
ClientTransportPlugin obfs2 exec /usr/local/bin/obfsproxy --managed

Don’t forget to replace with the IP address and port that the bridge’s obfsproxy is listening on.
 Congratulations! Your traffic should now be obfuscated by obfsproxy. You are done! You can now start using Tor.

For old fashioned tunnel creation under Seas of English Channel-


Tunneling SSH over HTTP(S)
This document explains how to set up an Apache server and SSH client to allow tunneling SSH over HTTP(S). This can be useful on restricted networks that either firewall everything except HTTP traffic (tcp/80,tcp/443) or require users to use a local (HTTP) proxy.
A lot of people asked why doing it like this if you can just make sshd listen on port 443. Well, that might work if your environment is not hardened like I have seen at several companies, but this setup has a few advantages.

  • You can proxy to anywhere (see the Proxy directive in Apache) based on names
  • You can proxy to any port you like (see the AllowCONNECT directive in Apache)
  • It works even when there is a layer-7 protocol firewall
  • If you enable proxytunnel ssl support, it is indistinguishable from real SSL traffic
  • You can come up with nice hostnames like ‘downloads.yourdomain.com’ and ‘pictures.yourdomain.com’ and for normal users these will look like normal websites when visited.
  • There are many possibilities for doing authentication further along the path
  • You can do proxy-bouncing to the n-th degree to mask where you’re coming from or going to (however this requires more changes to proxytunnel, currently I only added support for one remote proxy)
  • You do not have to dedicate an IP-address for sshd, you can still run an HTTPS site



and some crypto for young people



Me- What am I doing about it? I am just writing poems on hacking at http://poemsforkush.com

PMML Augustus

Here is a new-old system in open source for

for building and scoring statistical models designed to work with data sets that are too large to fit into memory.


Augustus is an open source software toolkit for building and scoring statistical models. It is written in Python and its
most distinctive features are:
• Ability to be used on sets of big data; these are data sets that exceed either memory capacity or disk capacity, so
that existing solutions like R or SAS cannot be used. Augustus is also perfectly capable of handling problems
that can fit on one computer.
• PMML compliance and the ability to both:
– produce models with PMML-compliant formats (saved with extension .pmml).
– consume models from files with the PMML format.
Augustus has been tested and deployed on serveral operating systems. It is intended for developers who work in the
financial or insurance industry, information technology, or in the science and research communities.
Augustus produces and consumes Baseline, Cluster, Tree, and Ruleset models. Currently, it uses an event-based
approach to building Tree, Cluster and Ruleset models that is non-standard.

New to PMML ?

Read on http://code.google.com/p/augustus/wiki/PMML

The Predictive Model Markup Language or PMML is a vendor driven XML markup language for specifying statistical and data mining models. In other words, it is an XML language so that (more…)

Statistics on Social Media

Some official statistics on social media from the owners themselves

1) Facebook-


Date -17 Nov 2011


People on Facebook
  • More than 800 million active users (more…)

Funny Economics

Some wry observations from me  on the world on economics-

1) 150 years after humiliating their country in the Opium Wars, Chinese mandarins have somehow convinced their leaders and military to park 2 trillion assets in Anglo Saxon debt. If Greece geting a 50% discount on its loan is the new precedent, when will the USA force its lendors to the negotiation table.

2) Income inequality and protests are something the Arabs and Israelis have in common. Besides being the sons of Abraham of course. Note the Persians are not considered the same as Arabs.

3) Advance knowledge of geo-political events can and ensures Western financial dealers have an edge on the sovereign funds in the other hemisphere.  What used to be the playgrounds of Eton has now shifted to the pubs of Boston and So Cal.

4) After spending 1 trillion USD on arms in the past one decade (funded by guys in item 1), the United States military forces is in a much better more advanced position to wage simultaneous war.

5) Can a war in Korean peninsula affect war in the Persian sphere of influence. Just follow the money , baby.

6) Saudi Wahabis continue to fund terror despite losing a lot of money in the economic meltdown in past few years. For every 1 $ increase in Saudi oil revenue, western oil companies ,traders, financiers make more, much more.

7) Demographics is an important key to economics. An aging Japan, and stagnant West is one cause to shift from manpower intensive warfare to cyber warfare. Plus Cyber warfare is good business . Underpopulated Russia and Arabs continue to lack true economic potential.

8) There are new economic incentives to develop tools to disseminate as well as distort information flow in real time in a hyper connected digital world.



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