If a business thinks the weather isn’t its business, it needs to think again. Practically all companies stand to gain or lose from incorporating weather data into their decision making, according to Michelle Boockoff-Bajdek (pictured, left), global head of global marketing, business solutions, at IBM Corp.

“There’s something like a half a trillion dollars in economic impact from weather alone every single year here in the U.S.,” Boockoff-Bajdek said. Despite this, most organizations have no weather strategy.

Since IBM acquired The Weather Company (joined at the hip to The Weather Channel), it has been working with customers on integrating weather services. These include not just weather forecasts, but blended big data insights. In the case of one such customer — the National Association for Stock Car Auto Racing Inc. (aka NASCAR) — a single weather forecast can make a multimillion-dollar difference. 

Boockoff-Bajdek and John Bobo (pictured, right), managing director of racing operations at NASCAR, spoke with Dave Vellante (@dvellante), host of theCUBE, SiliconANGLE Media’s mobile livestreaming studio, at the IBM Think event in Las Vegas, Nevada. They discussed the business value of weather data and insights. (* Disclosure below.)

Tracking the weather saves NASCAR millions

Rain in the forecast is more than a downer for racers of 3,500-pound stock cars. The lack of downforce from the vehicles makes slippery roads extremely dangerous for drivers. That’s why NASCAR takes its weather data seriously and partners with IBM to stay obsessively up-to-date about conditions. 

“We’re getting real-time information, hyper localized models designed around our event within four kilometers of every venue,” Bobo said.  

IBM built the NASCAR Weather Track with Flagship Solutions — a race-operations dashboard that generates insights specific to NASCAR’s concerns. In addition to this, human meteorologists at The Weather Company are available 24/7 to make an expert call on whether a race should be postponed or cancelled. That decision could cost NASCAR millions of dollars, not to mention thwart drivers and frustrate fans. 

The Weather Company’s insights are the product of a massive number of data feeds and algorithms. “The best model in the world isn’t going to produce the best forecast,” Boockoff-Bajdek said. “There’s actually a blend of 162 models. And we take the output of that, and we’re providing a forecast for anywhere that you are, and it’s specific to you, and it’s weighted differently based on where you are.”

Watch the complete video interview below, and be sure to check out more of SiliconANGLE’s and theCUBE’s coverage of the IBM Think event. (* Disclosure: TheCUBE is a paid media partner for IBM Think. Neither IBM, the event sponsor, nor other sponsors have editorial control over content on theCUBE or SiliconANGLE.)

Photo: SiliconANGLE