Digital Transformation using AI

and Emerging Technologies

Term IV Elective
Session 7 and 8
Agenda
• Artificial Intelligence – Conceptual Roots
• Overarching structure of AI
• AI Tools & Techniques
• AI – Business Implications and Digital Transformation
Who is he?

• John McCarthy, one of the founders of the

discipline of AI, coined the term "artificial
intelligence”.
The rise and fall of AI
 AI research had come of age almost a decade ago
1953

1969

1997

John McCarthy 2010

Father of AI
Shakey
First General-Purpose Robot
2016

Kasparov v/s Deep

Blue

Watson!
Man v/s Machine

AlphaGo
Man v/s Machine
AI has silently pervaded businesses this decade
Business Benefits and Challenges of AI
Co-existing with AI
Leave
Administration
to AI

Focus on
Judgement
Work

Coexisting
with AI
Treat
Develop Social
Intelligence
Skills and
Machines as
Networks
• Understand the colleagues
technologies
• Creating a portfolio of Work like a
designer
projects
• Launching pilots
• Scaling up
Artificial
Intelligence
• Artificial Intelligence (AI) is the
simulation of human intelligence
in machines that are
programmed to think like
humans and mimic their actions.
• Examples of technologies that
enable AI to solve business
problems are robotics,
autonomous vehicles, computer
vision, NLP, and ML. ML is an
enabling technology for AI.
 ML and Data Analytics – the connect

ML algorithms detect
patterns and learn
how to make
predictions and
recommendations (aka
prescriptions) by
processing data and
experiences, rather
than by receiving
explicit programming
instruction.
Machine
Learning
Algorithms
Three Types of ML algorithms
• Supervised learning
• The algorithm uses training data and feedback from humans to
learn the relationship of given inputs to a given output
• e.g., how the inputs “time of year” and “interest rates” predict housing
prices
• Unsupervised learning
• The algorithm explores input data without being given an
explicit output variable
• e.g., explores customer demographic data to identify patterns
• Reinforcement learning
• The algorithm learns to perform a task simply by trying to
maximize rewards it receives for its actions
• e.g., maximizes points it receives for increasing returns of an
investment portfolio
• Feedback is there
When to use which algorithm?
SUPERVISED
You know how to classify the
input data and the type of
behavior you want to predict,
but you need the algorithm to
calculate it for you on new data.
Example, inputs “time of year”
and “interest rates” predict
housing prices
UNSUPERVISED
You do not know how to classify
the data, and you want the
algorithm to find patterns and
classify the data for you.
Example, exploring customer
demographic data to identify
patterns
REINFORCEMENT
You don’t have a lot of training
data; you cannot clearly define
the ideal end state; or, the only
way to learn about the
environment is to interact with
it.
Example, optimizing an
investment portfolio based on
return
Some ML business use-cases

Netflix
Recommender Classifying Malignant
Learning Chess
System Tumours

Unsupervised Supervised Reinforcement

Learning Learning Learning
Deep Learning
• Deep Learning is a type of machine learning wherein interconnected
layers of software-based calculators known as “neurons” form a
neural network.
• DL can outperform ML.
Deep Learning Algorithms
• Convolutional neural network
• A multilayered neural network
with a special architecture
designed to extract increasingly
complex features of the data at
each layer to determine the
output
• Recurrent neural network
• A multilayered neural network
that can store information in
context nodes, allowing it to learn
data sequences and output a
number or another sequence
When to use which DL model

Convolutional neural network Recurrent neural network

When you have an unstructured When you are working with time-
data set and you need to infer series data or sequences.
information from it.

Example, images Example, audio recordings or text

NLP Fundamentals
• Natural Language Processing (NLP) is the technology that is used by
machines to understand, analyse, manipulate and interpret human
languages.

Components of NLP
• Natural Language Understanding (NLU) helps machine to
Computer
understand and analyse human language by extracting
Science
metadata from content such as concepts, entities,
keywords, emotions, relations and semantic roles.
NLP
• Natural Language Generation (NLG) acts as a translator
Artificial Human that converts computerized data into natural language
Intelligence Language representation. It mainly involves text planning, sentence
planning and text realization.
Building NLP Pipeline
• Step 1: Sentence Segmentation breaks the paragraph into separate sentences.
• Step 2: Word Tokenization is used to break the sentence into separate words or tokens.
• Step 3: Stemming is used to normalize words into base form or root form. For example, celebrates,
celebrated and celebrating – root word celebrate.
• Step 4: Lemmatization groups different inflected forms of the word called lemma. Always produces the root
word which has a meaning.
• Step 5: Identifying Stop Words – words that appear very frequently like “is”, “and”. These are filtered out
before any statistical analysis.
• Step 6: Dependency Parsing is used to find that how all the words in the sentence are related to each other.
• Step 7: POS tags which includes noun, verb, adverb indicates how a word functions with its meaning as well
as grammatically within the sentences.
• Step 8: Named Entity Recognition is the process of detecting named entity such as person name, movie
name.
• Step 9: Chunking is used to collect individual piece of information and grouping them into bigger pieces of
sentences.
 NLP Applications
Question Answering: focus on building systems that automatically answer
questions asked by humans in a natural language.

Spam Detection: is used to detect unwanted e-mails getting to a user’s inbox.

Sentiment Analysis: Also known as opinion mining, it is used to analyse the

attitude, behaviour, and emotional state of the sender. Involves a
combination of NLP and statistics by assigning values to the text (positive,
negative or natural), and identify the mood of the context (happy, sad, angry,
etc).

Machine Translation: is used to translate text or speech from one natural

language to another natural language.

Speech Recognition for converting spoken words into text and Spelling
correction for correction of speeling errors.
Chatbots
• A chatbot is a service, powered by rules and artificial
intelligence that you interact with via a chat interface.
• Weather bot: Get the weather whenever you ask.
• Grocery bot: Help pick out and order groceries for
the week.
• News bot: Ask it to tell you whenever something
happens.
• Life advice bot: Tell your problems and it helps you
with solutions.
• Personal finance bot: Helps manage money better.
• Scheduling bot: Getting a meeting with someone
on the Messenger team at Facebook.
• A bot that’s your friend. Meet Xiaoice (built by
Microsoft) that over 20 million people talk to.
Types of chatbot

Rule-based chatbots AI-based chatbots (AI Application-based

(click bots): This bot is bots): This bot has an chatbots: Chatbots
very limited as it can artificial brain. You which are built for
only respond to very don’t have to be specific purpose such as
specific commands. If ridiculously specific the weather bot.
you say the wrong when you are talking to
thing, it doesn’t know it. It understands
that you mean. Only language, not just
smart as it is commands. The bot
programmed to be. gets smarter as it learns
from conversations it
has with people.
Thank you.