Opportunity to Reinvent Your Business

Let us consider some examples of early success with AI. In “The Promise of Artificial Intelligence” (https://vimeo.com/215926017) Frank Chen of Andressen Horowitz has categorized various areas of AI that have made very good progress. These examples provide several useful ideas, both for stage 1 and stage 2, in the process of developing AI solutions for your business. He states that AI will be integrated into every important piece of software and applications. In today’s world software runs every product, service, and even entire businesses.

Chen says, in every major technology upheaval, a key technology component becomes significantly cheaper and its inclusion in many aspects of businesses and lifestyle creates a revolution. With the Industrial Revolution the steam engine, internal combustion engine, electricity and motors have made machine driven “muscle power” cheaper and easily available. In the last 50 years use of data has become cheaper through digitalization, computing and communication. AI is next. It will make prediction and data-based decision making much cheaper and better than alternatives, making it a de facto ingredient in all applications. Chen uses relevant examples to show six areas where AI has already shown amazing promise for significant change. Here is a summary:

  1. Self-driving vehicles
  2. Understanding the world
  3. Creating content
  4. Predicting future
  5. Optimizing complex systems
  6. Language understanding

 

  1. Self-Driving Vehicles – planes, trains, trucks, buses, ships, cars, carts etc.
  • It will seem odd to our grandchildren that something cannot get from A to B all by itself.
  • Things will come to you on their own.
  • Drones can follow and assist you in activities.
  • Drones can save lives in dangerous situations or finding survivors in disaster areas.
  • Self-driving vehicles or drones can deliver blood in emergencies.
  1. Understanding the World
  • Computer vision for “seeing” and image recognition
  • Tests consistently show that AI has over 95% accuracy, better than best humans.
  • Spotting individual objects within images.
  • Ability to identify objects with specific color and characteristics
  • Precision farming: identifying plants in a field that need fertilizers and avoid spraying the entire field with fertilizer or pesticide.
  • Automatic checkout in stores – all items in shopping cart are recognized and listed.
  • Robot in a hardware store to recognize visually what you need and showing you where to find it in the store
  • Ability to recognize content in a sequence of pictures and automatically creating a narrative of how they are linked.
  1. Creating Content – articles, tweets, stories, music, art and application software.
  • Generate detailed step-by-step recipes from a series of pictures or a video.
  • Generate photorealistic images from a description or a sketch
  • Generate music based on parameters provided
  • Creation of trailer for movies – using IBM Watson – a big help to editors even if it needs human tuning of the final trailer.
  • Generate application software using existing code modules
  1. Predicting future events 
  • Decide which videos to translate or dub from another language by predicting the success of a video or movie based on the success pattern of videos in a specific country.
  • Predict a person’s identity automatically from the way the person moves or handles the smartphone.
  • Predict how you will be received based on the physical behavior of the individual you want to interact with.
  • Predict heart related problems based on the data generated from the Apple Watch.
  1. Optimizing Complex Systems
  • Optimize driving routes for people based on their driving style, other people on the road, and current congestion situation.
  • Optimizing the configuration of soccer player placements in accordance with each player’s strengths and that of the opposing team in a match for a given strategy.
  • Software optimization that result in much denser code and faster execution times. 60% speed improvements are possible.
  • Getting better than average results on the stock market
  • Energy consumption in large organizations. Google achieved 20-15% savings on energy consumption in their data center by allowing AI to control their energy systems – monitoring 120 parameters from which servers are running at what load to cooling needs etc.
  • Optimizing the path/route taken to navigate large store aisles according to a given shopping list thus minimizing grocery shopping time.
  1. Language understanding
  • Speech recognition – we can communicate information 3x faster by speech vs. written.
  • Understanding the context of what is written. Google Smart-Reply can automatically formulate answers to emails.
  • Understanding and collating content derived from multiple reports on a specific topic and generating one synopsis that integrates critical elements from each text.
  • Textio can understand a job description and suggest changes with right words and language, in order to appeal to the person who is most appropriate for the job.
  • Everlaw looks through all the documents in a legal trial process during the e-discovery phase to categorize them and show lawyers which documents are relevant for any specific topic in the case, to ensure that the lawyers do not miss out something.

These are some current examples where AI is making a significant change in business processes. The list is growing by the day. You should take these as samples and inspiration providing new ideas for your business. AI provides a myriad of opportunity to reinvent your business just as was possible with the emergence of new technologies such as computing, the internet and mobile devices. Business model innovation – the stage 2 in this process – is where most focus needs to be devoted as this is what will truly allow for differentiation from competition and prompt a unique core strength for your organization. Next, we will illustrate using a few case studies and show how some businesses are innovating with AI.

Leave a Reply

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