Professional Documents
Culture Documents
Transformative
Power of
Narrow AI
How Artificial Intelligence is Changing
Businesses and Our Lives
BY ASH HOWELL & CLEMENS CONRAD
00 INTRODUCTION 03
01 B E YO N D T H E H Y P E : P U T T I N G A I I N CO N T E X T 05
02 T H E B R OA D I M P L I C AT I O N S O F N A R R OW A I 09
T h e Q u e s t to B u i l d S m a r te r S o c i e t i e s 10
A I i s Tra n s f o r m i n g H ow we Wo r k 12
Co n s u m e rs E m b ra c i n g A I 15
03 R E T H I N K I N G T H E C U STO M E R E X P E R I E N C E T H R O U G H N A R R OW A I 17
K n ow l e d g e i s Powe r 19
F i n d i n g i t s Vo i c e 20
Seeing is Believing 21
04 T H E P R I C E A N D P R O M I S E O F P E R S O N A L I Z AT I O N 22
05 T H E WAY FO RWA R D 26
01 Putting AI
in Context
Artificial 400 BC
Ancient Mythical Automaton
intelligence Talos was a giant automaton made of
bronze to protect Europa in Crete
has long been Nearly 2,500 years ago the
Greeks imagined a giant, bronze
shrouded in automaton that was brought to 1 9 5 0 ’s
life by the gods and roamed the The “Birth” of AI
fascination and isle of Crete. Fast forward Alan Turing: Can Machines Think?
fear – thousands of years later, society
still grappled with some of the 1 9 6 0 ’s
a potent same angst around modern The First AI “Spring”
combination creations. AI’s evolution hasn’t
been smooth or steady – it has
Increased Research funding & overall
positive hype, first Industrial
that can make it been marked by a series of starts Robot debuts
and stops, as societies,
difficult to sort governments, business leaders,
1 97 0 ’s
fact from and technology itself have
The First AI “Winter”
proven unready or unwilling to
science fiction. move forward. Slowdown + funding cuts due to loss
of patience, lack of necessary
computing power
6
01 BEYOND THE HYPE
1 9 8 0 ’s
Second AI “Spring”
Introduction of new algorithms &
funding from Japan
Today, no longer tethered
1 9 9 0 ’s
by a lack of data or Second AI “Winter”
As the implications of AI’s power The United States is currently National governments aren’t the
start to manifest, the world’s recognized as the global leader in only public entities with plans to
nations are entering a race to lead AI, thanks largely to the capitalize on AI. Worldwide
—or at least capitalize on—the use unparalleled talent and R&D spending on “smart city” initiatives
of artificial intelligence as a means investments by Google, Amazon, will increase nearly 20% in 2019,
to improve their societies, bolster and Microsoft. But China has and the number of such cities is
economies, and improve national unveiled a plan to become the AI expected to grow four-fold by
security. Eighteen countries have world leader and create an 2025 as urban populations swell.
already launched national AI industry worth $150 billion by Cities like Singapore, Chicago, and
strategies to develop everything 2030, and its government is New York are already using AI to
from surveillance systems to working hand-in-hand with its own analyze data from vast networks of
driverless cars, with funding trio of software giants— Alibaba, IoT-enabled sensors to address top
ranging from $20 million in Baidu, and Tencent—to invest pain points for citizens.
Denmark to nearly $2 billion in heavily in AI.
South Korea. 2
Public safety agencies nearly doubled their use of Cities are using AI for everything from smart outdoor
drones in 2018 ; predictive models are helping police,
5
lighting, to dynamic public bus routing algorithms, to
fire, and ambulance services improve response times; smart garbage bins that prompt just-in-time pick-up
and police departments are exploring how to leverage routes. Singapore, awarded the 2018 Smart City of the
facial recognition from public surveillance cameras to Year, is developing mobile apps to allow its
track criminals. homeowners to monitor and reduce their electrical
usage—similar to a solution already deployed by
Vectorform and DTE in Michigan/the U.S.. 6
3
jobs lost and created—painting a It’s a complex story. As processes
vision that’s alternately hopeful or from marketing to manufacturing are
dystopian—the world’s businesses transformed and work itself is
YEARS
are forging ahead. reimagined through the lens of AI,
new roles are being created at a
with workers who spend most
Three out of four executives say they faster pace than companies can fill of their time on routine,
plan to use AI to automate tasks in them. The rate at which they are repetitive activities at highest
the next three years, with workers shedding workers underscores the risk of disruption.
who spend most of their time on need to make rapid and fundamental
routine, repetitive activities at shifts in the skills of their workforce.
highest risk of disruption. But
despite the persistent hype around a
“robot apocalypse”, the majority of
AI powered self-driving and electric In the utilities industry, digitizing customer operations
cars will help create more than
100,000
could reduce human headcount in the back office and
the front-end customer experience while creating new
roles elsewhere in the industry. A Michigan-based utility
J O B S BY 2 0 3 0 company partnered with Vectorform’s Innovation
Constultancy to establish a drone program that enables
Engineers and Field Technicians to collect gas and
powerline data more safely, effectively and efficiently -
as a result, outages are prevented, and customer service
is increased.
13
02 T H E B R O A D I M P L I C AT I O N S O F N A R R O W A I
AI is changing not only what jobs Perhaps that’s why U.S. workers are
exist, but also how we work. It generally realistic and optimistic
enables a deeper, more about AI in the workforce: the
sophisticated interplay between majority believe it will be important
human and technology. Elevator to learn new skills to work with AI,
and airplane mechanics are wearing and believe AI will impact their
goggles that tag real-world objects, work in a positive way. It appears
11
03 The
Customer
Experience
THE TRANSFORMATIVE POWER OF AI 17
03 R E T H I N K I N G T H E C U STO M E R E X P E R I E N C E
18
03 R E T H I N K I N G T H E C U STO M E R E X P E R I E N C E
processing (NLP) and generation (NLG), Virtual assistants and chatbots are fast
the user experience is rapidly moving becoming the front lines of customer Even as it generates revenue, voice
from the screen to the speaker as service, serving as personal concierges can also drive significant efficiencies.
responsive AI becomes ever-better at for consumers. The majority of customers no longer
understanding human speech and have a preference whether they are
learning to mimic its patterns. The It’s easy to understand the appeal: voice interfacing with humans or AI-powered
results are, in some instances, uncanny. offers simplicity and instant gratification, tech as long as their problem is resolved
Google’s Duplex chatbot stunned an irresistible combination for impatient quickly and accurately. Companies and
listeners in 2018 with phone calls that and distracted consumers. A 2018 consumers were able to save 2.5 billion
seamlessly made dinner reservations Capgemini study found that 35 percent hours in 2018, and brands racked up $6
while navigating unpredictable of voice assistant users have made billion in cost savings in the healthcare,
conversations in real time, and AI purchases via voice, and Amazon retail, and banking sectors alone – all
narrowly lost to a human debate reports that voice shopping through while delivering a real-time
champion after holding its own through Alexa tripled during the December personalized customer experience. 16
20
Seeing is Believing
While remote cameras have been in Smart drones are now used at more than of day, enabling return users to simply
place for decades, AI-powered 400,000 job sites worldwide, mapping walk up and enjoy a perfectly
computer vision goes far beyond simply areas, assessing objects, and providing customized beverage out of thousands
recording objects: it has the ability to analytical feedback in real-time. And in
18
of possible variations. A smile might
recognize and extract meaning from a twist worthy of science fiction, in 2019 generate a typical brew, while a frown
visual elements. Facial recognition a start-up won FDA approval (and or weary expression delivers a stronger
enables phone and laptop users to funding from Bill Gates) to create dose of caffeine.
unlock their screens with a glance, and miniature robots that essentially “shrink
friends to quickly tag each other on doctors and place them virtually within
Facebook. When deployed at scale, patients’ bodies” to enable more
19
21
04 The Price
and Promise
of Personalization
THE TRANSFORMATIVE POWER OF AI 22
04 T H E P R I C E A N D P R O M I S E O F P E R S O N A L I Z AT I O N
23
described AI as “a fundamental risk to the existence
of human civilization”, and Microsoft is urging gov-
ernments to regulate facial recognition technology.
24
04 T H E P R I C E A N D P R O M I S E O F P E R S O N A L I Z AT I O N
The EU’s General Data Protection Regulation (GDPR) They can approach AI with the intent to alleviate pain
has ushered in the concept of “explainable AI": the points in the customer experience and create a dy-
right to understand the reasoning behind a machine’s namic product offering that adapts to users’ needs
algorithm-derived decisions. Explainable AI will en- and wants.
able businesses to make informed, responsible deci-
sions and create more effective teaming between hu-
mans and machines. This transparency will serve as a
powerful tool as companies seek to personalize cus- And they can pave a way
tomers’ experiences while protecting their privacy
and develop trusting, long-term relationships. forward that positions
It’s a topic that should be top of mind for responsible
them for new revenue
AI adopters. When KPMG surveyed 200 senior IT risk streams, increased
management executives, 34 percent admitted that
they adopted artificial intelligence (AI) without assess- efficiency, and improved
ing their risks.
customer loyalty.
25
CHANGE
27
05 T H E W AY F O R W A R D
A
Are your teams and partners
empowered to experiment?
Ensure you have an agile
technology infrastructure and
C
workflow so effective AI
models can be developed.
a·gil·i·ty
/əˈjilədē/
hon·es·ty
H
/ˈänəstē/
Do you understand how users’
clar·i·ty
/ˈklerədē/
data is being gathered, lever-
aged, and put into action?
Be transparent in communicat-
Do you know what you want to ing data usage and privacy im-
achieve within your organiza- plications to all users.
tion? Understand what specific
problems need to be solved
and determine whether AI is
the right solution.
N
Have you established clear
gov·ern·ance
processes to gauge whether AI is
G
/ˈɡəvərnəns/
meeting business expectations?
Continually monitor AI models as
they move from devel-opment to
neu·tral·i·ty production, testing to ensure they’re
/n(y)o͞ oˈtralədē/ performing as you intended.
E
only as “fair” as its creators equip
it to be; do your best to ensure
data integrity from the start, and
Do you have a guiding philosophy
be ready to quickly address any
toward innovation in your business?
subconscious biases that emerge
Adopt a paradigm that prepares you
after you deploy AI.
to fail, learn, and reimagine the way
e·thos
/ˈēTHäs/ that humans and technology work.
AI adoption is fast AI trends, but proactively position themselves for success in this
rapidly evolving market.
becoming a business
We welcome you to subscribe to our newsletter where we share our
imperative, it doesn’t thoughts on the latest innovations. You can also contact us to
happen overnight. continue the conversation around artificial intelligence, including
conversational user interface concepting, and discovering how AI can
transform your business and build your AI empire, observed by
drones and defended by self driving robots.
Ash Howell
Ash Howell is the Associate Experience
Director at Vectorform. Always keeping
the user and client goals in mind, she is
responsible for strategically leading
design teams to cultivate impactful, user-
centric digital products and experiences
leveraging the latest digital solutions.
Clemens Conrad
Clemens Conrad is the Executive Experience
Her philosophy when approaching a new Director at Vectorform. His creative mission
endeavor is to collaborate to push is to continually and strategically build a so-
boundaries while never losing sight of lution-oriented design team that is
what makes meaningful design. equipped to enable change and create
value for forward-thinking organizations.
31
A B O U T V E C TO R FO R M
1 https://www.gartner.com/en/newsroom/press-releases/2019-01-21- 16 https://www.juniperresearch.com/press/press-releases/chatbots-
gartner-survey-shows-37-percent-of-organizations-have to-deliver-$11bn
2 https://www.theverge.com/2019/2/11/18219981/american-ai- 18 https://builtin.com/artificial-intelligence/drones-ai-companies
initiative-trump-administration-funding-research-data
19 https://futurism.com/the-byte/surgical-robotics-virtual-reality
5 http://dronecenter.bard.edu/public-safety-drones-update/
22 https://www.cnet.com/news/china-turns-to-tech-to-monitor-
6 https://newsroom.intel.com/wp-content/uploads/sites/11/2018/03/ shame-and-rate-citizens/
smart-cities-whats-in-it-for-citizens.pdf
25 https://home.kpmg/us/en/home/media/press-releases/
7 http://reports.weforum.org/future-of-jobs-2018/ 2018/02/many-companies-are-not-assessing-risks-of-adopting-
emerging-technologies-kpmg-study.html
9 https://www.prnewswire.com/news-releases/mobility-and-
automotive-industry-to-create-100-000-jobs-exacerbating-the-talent- 26 https://www.businessinsider.com/deloitte-study-91-percent-
shortage-300776686.html agree-terms-of-service-without-reading-2017-11
10 https://www.wired.co.uk/article/jobs-of-the-future
11 https://www.accenture.com/us-en/company-reworking-the-
revolution-future-workforce
13 https://us.epsilon.com/pressroom/new-epsilon-research-indicates-80-
of-consumers-are-more-likely-to-make-a-purchase-when-brands-offer-
personalized-experiences
15 https://venturebeat.com/2018/03/11/google-empathy-lab-founder-
ai-will-upend-storytelling-and-human-machine-interaction/