IBM Academy of Technology

Fostering innovation by bridging spheres of knowledge

Maryela Weihrauch
IBM Distinguished Engineer
z Systems Analytics WW technical sales and
client champion

Cedrine Madera
Executive Information Architect - IBM Senior
Certified Architect- Analytics zChampion

Avijit Chatterjee, Ph.D.

Machine Learning for z/OS
STSM, Analytics Evangelist
June 27th, 2017
Member of IBM Academy of Technology
 Unite. Ignite. Reinvent.
zChampion & AoT Joint Program
§ Two STRONG technical Teams
• zChampion
• Academy of Technology
§ Educate about mainfame
growth and strategy
• HW and SW, LinixOne, New
technologies, Payments, Cognitive,
Blockchain, Security, DevOps, Hybrid
Cloud, API economy and much more!
AoT & zChampion Collaboration § Delivered AoT Webcasts
• zSystems global (2016 Dec 1st)
• Payments on z (2017 Mar 14th)
• Blockchain on z (2017 Jun 8th)
• Machine Learning on z (now)
§ Executive Champions
• Ross Mauri
§ Links • Erin Williams
• zChampion & AoT Joint Program: http://ow.ly/B2Yp309vr0O
• New Technical Training programs for zSystems: https://ibm.biz/BdixFd
 Unite. Ignite. Reinvent.

Agenda

§ Introduction to Machine Learning – semantics & positioning

§ IBM Machine Learning for z/OS
§ How it works – demo
§ Call to action
Semantic Unite. Ignite. Reinvent.

Cognitive Systems : A category of technologies that uses natural language

processing and machine learning to enable people and machines to interact more
naturally to extend and magnify human expertise and cognition.

These systems will learn and interact to provide expert assistance to scientists,
engineers, lawyers, and other professionals in a fraction of the time it now takes.

§ Artificial Intelligence (AI)

– Intelligence exhibited by machines or software Cognitive / AI
§ Machine Learning (ML) Human Intelligence Exhibited by Machines
– Type of AI that enables computers to learn without
being explicitly programmed
Machine Learning
§ Deep Learning (DL) Advanced
“Trained” using large amounts of data &
– Type of ML, based on neural networks loosely ability to learn how to perform the task Analytics:
NoSQL,
modeled after the brain Hadoop &
Analytics
– learns features and representations of data Deep Learning
§ Training Break tasks into Artificial
Neural Networks
– neural “inspired”, fed by millions of data points
– repetition drives weighting and connections

© 2017 International Business Machines Corporation 4

 > BIG DATA, MACHINE LEARNING AND COGNITIVE/AI Unite. Ignite. Reinvent.

Artificial
Intelligence

Cognitive
Big Data Learn Dynamically

1000101

Prescriptive 1000101
Best Outcomes?
NLP

Machine
010101010101010111100010011001010111 Deep Learning Learning
00000000000010101010100000000000 111101011
Predictive
What Could Happen?
1000101

Descriptive Robot
What Has Happened?

111010111010

Knowledge
Base

© 2017 International Business Machines Corporation 5

 > Strong analytics foundations to go to Cognitive area Unite. Ignite. Reinvent.

BUSINESS Information
VALUE systems
Cognitive

Cognitive
2017
Cognitif
Learn Dynamically

Information System
2014

Machine Learning

Deep Learning
Data Lake
2012 To support digital transformation, data driven model

Prescriptive
Best Outcomes? BIG DATA
1990’s
Integrate non structured data – Apache Hadoop experimentation -
Predictive hybrid information & data driven systems
What Could Happen?

DATA
Descriptive
What Has Happened? WAREHOUSE
Store and analyse growing volumes of data to answer to analytics requirements- Information driven Systems

© 2017 International Business Machines Corporation 6

 Unite. Ignite. Reinvent.

Machine Learning Basics

Machine learning is everywhere,

influencing nearly everything we do…

§ Identifies patterns in historical data

Waze personalized
§ Builds/trains behavioral models from patterns driving experience

§ Makes recommendations
Netflix personalized movie
recommendations

7 out of 10 financial
customers would take
recommendations from
a robo advisor

© 2017 International Business Machines Corporation 7

 Unite. Ignite. Reinvent.

IBM has transformed machine learning to learning machines

Quick model development

Fast deployment
Continuous auditing & proactive notification
Easy management

© 2017 International Business Machines Corporation 8

 Unite. Ignite. Reinvent.

IBM Machine Learning for z/OS

Continuous intelligence on your most valuable data

When the majority of your data originates on z Systems

§ Leverage existing people, processes and infrastructure
§ Access z Systems data securely in place
§ Use live transactional data
§ Scale for the enterprise
§ Combine structured & unstructured data from z and non-z data sources

Convert more opportunities into revenue

Optimize resources, predictions and decisions
Automatically identify and minimize risk
Disrupt the competition and the disrupters

© 2017 International Business Machines Corporation 9

 Unite. Ignite. Reinvent.

Argus Health – Improving Diabetic Patient Health

Argus Health addresses complexity that payers, providers and
pharma face to help maximize clinical benefits for patients
Challenge
How to encourage diabetic patients to maintain blood sugar, cholesterol and blood pressure
through diet, exercise, and regularly taking their medication

Solution
Score diabetes patients at the point of sale based on factors such as average blood sugar level,
cholesterol, blood pressure, whether they take their meds regularly, etc. Depending on the
patient's score, their co-pay may vary as they request refills of their medications.

The team built a classification model to predict the risk categories of each patient using IBM
Machine Learning for z/OS.

Benefits
Argus was able to positively impact the health of its patients at a lower cost while improving
member experience.

© 2017 International Business Machines Corporation 10

 Unite. Ignite. Reinvent.

DB2 Analytics Accelerator - Accelerate Queries and Transform Data for Rapid
Ingestion into the Machine Learning for z/OS Framework

Shadow
Machine Learning and Statistical Analysis
Table
powered by Spark
APIs for Machine Learning pipelines, ML algorithm
Business Archive
Rules
Table
Scoring
Service CPU Intensive
Workload IMS/VSAM
/LUW/Log/
z/OS Platform for Apache Spark Non-DB2

Transaction Processing
Systems (OLTP)
Security ELT logic

DB2 VSAM IMS SMF

Transaction Processing
Summary and History
Analytics AOTs
Common Data
Provider z
Other Database
Analytics Mart AOTs
Accelerator
External Data Loader
© 2017 International Business Machines Corporation 11
 Unite. Ignite. Reinvent.

Demo!

© 2016 IBM Corporation

 Unite. Ignite. Reinvent.

Customer experience in the Digital World is the best ever

Source: Mike Gualtieri, Forrester Principal Analyst at IBM Machine Learnings for z/OS Launch (start at 15 min).
© 2017 International Business Machines Corporation 13
 Unite. Ignite. Reinvent.

Demo: Cognitive + Predictive analytics for real-time offers

§ Predict credit card churn probability (using customer summary
data and negative tweet counts) and use personality insights Twitter Weather
and sentiments from tweets, weather and transaction history to
target internet and churn offers Watson Services Offers

§ Provide a “celebrity” experience to the customer through a

Cognitive Bot Churn Scoring Cognitive
Bot
IBM ML4z/OS
Negative Liberty
tweet count Spark 2.0.2
Twitter MDS
DB2 for z/OS

z/OS

Customer
Interaction

© 2017 International Business Machines Corporation 14

 Unite. Ignite. Reinvent.

Calls to Action

§ Share this Cognitive Bank demo with customers

§ Encourage data scientists to download and try out DSX Desktop

© 2017 International Business Machines Corporation 15