Category: Knowledge Base Economy

18 Mar 2019
Overcoming the challenges of digital transformation

Overcoming the challenges of digital transformation

Digital transformation is one of the steps on the way to a business being able to adopt artificial intelligence (AI), blockchain, augmented reality (AR) and other advanced technologies that provide it with a competitive advantage. It is also seen as necessary for survival.

According to two recent reports from Gartner, there are indications that digital transformation is a priority in 2019:

  • “Growth is the number one priority for CEOs, and many see digital business as the primary means of achieving its growth objectives. Only 33% of enterprises have managed to reach the scaling stage of digital business.” Getting to the Details of the Digital Platform: A Gartner Theme Insight Report, Bill Swanton, December 7, 2018
  • “Only 4% of organisations have no digital initiative at all, which signals a shift from digital as an option to digital as a mainstream platform.” Smarter with Gartner, CIO Agenda 2019: Digital Maturity Reaches a Tipping Point, October 16, 2018

Digital transformation is forcing organisations to look at IT from more perspectives than ever before, as an effective strategy spans many different, previously disconnected, technology disciplines and investments.

Leading organisations today are looking for complete sets of solutions to achieve greater speed and agility, supported by a high level of protection and an advanced analytics ecosystem, to balance managing the top and bottom lines without the added risk of starting from scratch.

Helping enterprises succeed with their digital transformation is a key opportunity for channel players.

Why digital transformation is hard

According to Harvard Business Review writers, Thomas H. Davenport and George Westerman: “Digital transformation is an ongoing process of changing the way you do business. It requires foundational investments in skills, projects, infrastructure, and, often, in cleaning up IT systems. It requires mixing people, machines, and business processes, with all of the messiness that entails.”

In other words, a digital transformation project is a massive, complex project one that affects the whole of an organisation’s business, and needs to be approached with precision and a clear change management plan.

An enterprise will first look to its technology partners to understand the business outcomes of the planned transformation project, and then work closely with them to develop a solution that meets the technology needs in a holistic manner. Often a transformation project requires resources to be pulled together from many different sources. Only a channel partner is equipped to architect such a complete solution and needs to take their customer on a linear and carefully structured journey.

The components of a successful transformation

The more that an organisation can source its transformation technology from a single vendor, the simpler the overall process will be, as components will already be operating harmoniously with one another.

By combining industry-leading software and domain expertise in four core areas Micro Focus is now uniquely positioned to deliver on all critical aspects of enterprise digital transformation to help customers innovate faster with less risk.

Micro Focus has built solutions that target the four areas most critical to lasting digital transformation success:

1. Enterprise DevOps — Build and deliver better software faster
Winning the race to innovate requires a high-speed approach. Micro Focus solutions unleash the power of DevOps across the hybrid IT landscape, quickly bringing innovative ideas to life at the pace of business to securely deliver high quality software and services faster.

2. Hybrid IT management — Run and transform
IT Infrastructure, services and even purchasing models are rapidly evolving.  Maximising business value and accelerating outcomes compels organisations to find new ways to extend existing investments and take advantage of new platforms – from containers to public clouds to Internet of Things (IoT). Micro Focus solutions help organisations run IT Ops at the speed of DevOps, delivering services on demand and generating operational and business insights, all while helping organisations address security, compliance and governance requirements.

3. Predictive analytics — Analyse in time to act
Data lakes are valuable only if the business can surface the insights hidden within its depths. Micro Focus helps leverage machine learning to transform unlimited volumes of data into accurate, actionable, automated insights at the speed of the business. Be in a position to make predictions and influence business outcomes quickly and efficiently with comprehensive and relevant real-time intelligence.

4. Security, risk, and governance — Secure what matters most
Cyber threats are escalating. Ageing apps and processes (along with new ones) are full of unforeseen risks. Privacy and compliance requirements are mounting. Micro Focus provides the industry’s broadest set of integrated security, risk, and governance solutions, with an analytics-driven approach to securing what matters most – identities, applications and data.

For the channel, the opportunity lies in taking customers on the transformation journey, providing consultancy and structuring hardware infrastructure to best leverage the software. Successful digital transformation needs the holistic oversight and cross-vendor capabilities of channel organisations. It’s for this reason that Micro Focus hired Lachlan Downing as NZ country manager – his specific remit is to support the local channel facilitating Micro Focus support and resources throughout the sales cycle.

In February this year, Micro Focus also announced the launch of its new, unified partner program, which includes access to all products across the Micro Focus portfolio on a global scale. In conjunction with the new program, a new partner portal was introduced that streamlines and simplifies the ways partners engage with Micro Focus and customers.

Lachlan Downing said, “This year Micro Focus New Zealand has transitioned to a channel-centric model and we have also fine-tuned our partner program, which will streamline access to marketing development funds (MDF) for Gold and Platinum partners and will help accelerate turnaround time for deal registration, quotes and orders as well as build skills and capability through full access to our training and certification content.

“The announcement of the new Micro Focus partner program and portal demonstrates our continued commitment to providing an easier path for our partners to confidently generate predictable revenue, build pipeline and do business with us.”

Todd Parsons, Channel Director – Australia and New Zealand, Micro Focus, said, “The new partner program and portal brings together the full Micro Focus product portfolio and allows full access from one system and program. Leading up to this we were still working with multiple partner programs and systems as we completed the acquisition of HP’s software business.  The new program will allow greater efficiencies but also ensure our customers and partners can more effectively utilise our portfolio of solutions and products.”

Source: https://www.reseller.co.nz/brand-post/content/658810/overcoming-the-challenges-of-digital-transformation/

09 Mar 2019
How AI And Machine Learning Helps In Up Skilling To Better Career Opportunities

How AI And Machine Learning Helps In Up Skilling To Better Career Opportunities

The AI market is expected to grow from $21.46 Bn to $190.61 Bn between 2018 and 2025

AI will create nearly 2.3 million jobs by next year

Mathematical and programming skills are central to acquiring competency in this field

 

There are at least two clear trends that show a demand-supply mismatch in tech jobs in cutting-edge IT fields such as Artificial Intelligence and Machine Learning. One is via industry predictions that estimate growth in the AI market from $21.46 Bn to $190.61 Bn between 2018 and 2025.

Year on year growth is projected to be an impressive 36.62% during the same period. The second trend is more subtle. Big Indian IT firms in the US are reportedly ‘hoarding’ employees in these two fields as they foresee a shortage of skilled experts. They also fear a corresponding rise in the cost of hiring employees for tech contracts they have bagged for the future.

How Are AI & Machine Learning Being Used In Industry?

Unlike the exaggerated robots of the 2001 Steven Spielberg movie of the same name, Artificial Intelligence (AI) in reality is tamer. AI is understood to mean ways of making computers, computer-controlled robots or program think intelligently mimicking the manner in which humans think intelligently.

A computer program with AI can use can solve generic problems it is programmed to instead of just specific ones. They can accommodate new modifications to input without breaking structure. Traditional programmers would have to sort, sift and debug thousands of lines of code to make modifications.

AI finds applications in strategy games such as chess or poker where advance moves are determined by heuristic logic, natural language processing, virtual assistant technology, image and speech recognition and automated robotics.

General AI systems which can solve any given problem are rare. Insurance and banking organizations regularly use AI to monitor fraud. Marketers use AI every time you shop online to gather your browsing habits and predict what you are most likely to buy. They will then advertise those products through pop-ups and logos. Self-driving cars, auto-pilot modes and smart homes using sensors all rely on AI and affect daily lives of consumers.

There is also a difference between AI and Machine Learning (ML) although a number of articles on the web club them together or use them interchangeably. “ML is the study of computer algorithms that improve automatically through experience” according to Tom Mitchell of Carnegie Mellon University. It is simply one of the ways we use to achieve AI or something closer.

Read more: https://inc42.com/resources/how-ai-and-machine-learning-helps-in-up-skilling/

05 Mar 2019
Healthcare AI to Play Major Role in $15.7 Trillion Economic Boost

Healthcare AI to Play Major Role in $15.7 Trillion Economic Boost

Artificial intelligence in healthcare is expected to play a significant role in bringing a $15.7 trillion boost to the global economy.

Advances in artificial intelligence within the healthcare industry will contribute significantly to the $15.7 trillion economic boost related to machine learning, according to a new report from PwC.

The firm anticipates a 14.5 percent increase in North America’s GDP by 2030, driven largely by AI’s ability to reduce waste, and support better decision-making.

Gains in productivity are expected to contribute $6.6 trillion to the overall total.

“From the personal assistants in our mobile phones, to the profiling, customization, and cyber protection that lie behind more and more of our commercial interactions, AI touches almost every aspect of our lives. And it’s only just getting started,” the report said.

“AI is set to be the key source of transformation, disruption and competitive advantage in today’s fast changing economy.”

The healthcare industry topped PwC’s list of industries ripe for significant disruption, sharing the number one spot with the automotive sector.

Every part of healthcare is lining up for change: providers, pharma and life sciences, payers, and consumers should all prepare for deeper integration of artificial intelligence into their processes and experiences.

“AI-powered diagnostics use the patient’s unique history as a baseline against which small deviations flag a possible health condition in need of further investigation and treatment,” the report explains.

“AI is initially likely to be adopted as an aid, rather than replacement, for human physicians. It will augment physicians’ diagnoses, but in the process also provide valuable insights for the AI to learn continuously and improve.”

Despite the huge potential, however, healthcare is likely to see slower adoption than many other industries.

Sectors such as retail, logistics, and financial services may have more immediately obvious opportunities for automation, and are more likely than healthcare to see widespread adoption within the next one to three years.

While 54 percent of retail organizations are expected to reach AI maturity by 2022, just 37 percent of healthcare entities are likely to do the same.

The financial services sector is anticipated to be fully AI-driven within the next seven years, but 40 percent of healthcare stakeholders will still need to work on infusing artificial intelligence into their operations during that time period.

Healthcare faces different challenges than these other industries, including strict privacy and security regulations and a deeply-rooted legacy technology environment, both of which make it difficult for organizations to apply machine learning techniques to their data assets.

In addition, healthcare organizations tend to face pushback from employees when introducing changes to workflows, especially when those changes raise the fear of job loss or alterations to the patient-provider relationship.

Read more: https://healthitanalytics.com/news/healthcare-ai-to-play-major-role-in-15.7-trillion-economic-boost

25 Feb 2019
Why Sheikh Mohammed's vision, leadership style should be taught in schools

Why Sheikh Mohammed’s vision, leadership style should be taught in schools

Dubai’s creative leadership paving the road for emirate to light and shine

Think of leadership and vision and the first name that comes to mind is His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of UAE and Ruler of Dubai. Hence, academia, researchers and business executives have suggested that the vision and style of leadership of Sheikh Mohammed should be taught in the schools and be made a part of the curriculum.

“Dubai’s creative leadership is paving the road for this emirate to light and shine. The unique style of leadership of Sheikh Mohammed is inspiring all of us. The environment that Dubai created paved ways for individuals like us and this is the reason for being here and what I am now. I am indebted to His Highness,” said Dr Manahel Thabet, president of the Economic Forum for Sustainable Development.

“Being a resident of Dubai, I believe his leadership style should be taught in schools. Sheikh Mohammed has taken critical, crucial and quick decision to tame the complicated financial issues that Dubai faced in the past 10-15 years. His vision is distinguishing him from the rest of the world.”

Dr Thabet has been ranked among the 30 smartest people alive worldwide by SuperScholar and is a Guinness World Record holder in mind ability.

She highlighted different styles of his leadership such as Dubai’s march towards being a knowledge-based economy, as well as the creation of incubators and accelerators, which she suggested they should be followed by emerging economies.

Dr Raed Safadi, chief economic advisor at Dubai’s Department of Economic Development, pointed out that the critical element of Sheikh Mohammed’s vision is flexibility, which helps seize an opportunity that arises and also foresee future challenges.

“This emirate has embraced technological changes before they were common currency. There was fear that technology is going to take away jobs, but we are embracing it – not fearing it,” he said during a panel discussion on leadership organised by Accounting, Audit & Advisory Services Focus Group (AAA), a unit of the Indian Business & Professional Council, in Dubai.

Sanjay Manchanda, CEO of Nakheel Properties, said Sheikh Mohammed is a great inspiration.

“Thanks to the vision of His Highness, they realised that there is somebody capable of [handling Nakheel] and that is how I took my seat as CEO,” Manchanda said during the panel discussion on leadership.

He strongly recommended public to read Sheikh Mohammed’s latest book, Qissati, which reveals a strong message of how Sheikh Mohammed shaped the business and the emirate with his vision. Citing an example, he said: “Dubai started the Government Summit and that has taken his entire vision to global platform of bringing global audience to the UAE.”

Naweed Lalani, head of audit and credit rating agencies supervision at the Dubai Financial Services Authority, also recommended reading 50th chapter of Sheikh Mohammed’s latest book, which talks about leadership.

“His Highness said either innovate or leave – you cannot sit without innovating. The leaders need not necessarily be creative but catalyst for the change.”

Naveen Sharma, convener at AAA Focus Group, said creativity will be an essential talent that people will be judged on by 2020.

“IBM had conducted a global CEO study and the results surprised the world. Creativity was selected as the most crucial factor for future success – way ahead of integrity, openness and even fairness.”

Other keynote panelists, speakers and attendees were Mishal Kanoo, chairman of Kaaf Investments; Abbas Ali Mirza, past president of the IBPC and ICAI Dubai Chapter; Dr Mohammed Abu Ali, dean of the school of business administration and professor of economics at American University; Rahul Mahajan, vice-president fpr digital transformation at Nagarro; and Mahmood Bangara, chairman of ICAI – Dubai Chapter.

Source: https://www.khaleejtimes.com/business/local/why-sheikh-mohammeds-vision-leadership-style-should-be-taught-in-schools

28 Jan 2019
THE TECHNOLOGY ECONOMY

THE TECHNOLOGY ECONOMY

If you look for the definition of Economy you would get the state of the country in terms of the production of goods or services.

This article isn’t about the economy of a country or the technology effects on the economy. It’s about the Technology Economy. A term which may be new to you. Don’t worry, Let us Explain.

It is stated that the Technology Economy is the 3rd Largest Economy in the world after China and the United States of America.

This term is derived from the fact that some companies choose to cut back technology to cut losses to increase profit, however, the research found that companies end up with exactly opposite due to missing out on important technological advancements.

Technology Advancements

Technology advancements include improved cybersecurity, the blockchain, better devices for the workplace and internet of things.

Not investing in cybersecurity may lead to cyber threats or worse, attacks. The investment must be continuous to continue to improve security and limit the damage. As cyber damage may end in court to data theft of employees or clients which would lead to more costs.

Seeking to improve and invest the current devices or electronics for the workplace can make the job easier for the employees and a better service or product to the clients which can only bring prosperity and more profit.

Internet of things is the network of command between all the devices in the world. The network of a workplace is also a part of the Internet of Things.

A company must look to keep investing in the internet of things so the communication stays clear and there aren’t maintenance issues that may delay the production of the product or service.

Many companies are moving on to be part of the blockchain craze currently going on. Companies, rightly so, believe that the way forward is the blockchain due to its numerous of benefits it offers such as transparency, security, and efficiency.

It’s a change that companies must embrace. It’s another technological advancement that is getting part of this Technology Economy with devices already being implemented with the blockchain operating system.

On another note, Technology Advancements are also breaking through the health sector with the growing industry of medical cannabis, where doctors and scientists are finding the technology available to keep improving the medicines. During the World Cannabis Forum 2018, speakers will be speaking about the benefits that technology can bring to the industry.

Source: https://bitemycoin.com/opinion/the-technology-economy/

 

15 Jan 2019

Congress Looking to AI and Education for Future Economy

Artificial intelligence is key to the future of the American economy, and investments need to be made now to ensure that the workforce is prepared, said members of Congress during a panel at a Washington Post Live event on Thursday.

When asked if artificial intelligence would put people out of a job, Rep. Pete Olson, R-Texas, cofounder of the Congressional AI Caucus, responded that AI will lead to different, but better-paying jobs. He pointed to examples at companies like IBM and Amazon of retraining and reskilling existing employees to fill AI-related roles.

In retraining local workers in his district, Olson noted that “AI is a big part of that, because it makes that worker better, more viable, more efficient. It drives down costs, drives up productivity, which is just great.”

Rep. Robin Kelly, D-Ill., shared Olson’s sentiments on needing more technology talent. She noted that in the rural, suburban, and urban areas of her district, the demand for skilled workers is a common theme.

Megan Smith, a former Federal CTO and CEO of digital experience agency Shift7, noted that AI could be used for more than economic benefit.

“Why would AI and data science not be for poverty and justice?” she asked. “I believe that the opportunity is about collective genius, and the surface area of participation, that…the more of us who can be included in the conversation, the more likely we are to succeed.”

However, all acknowledged the changes and potential hardships from the rise of AI.

Olson acknowledged that people are likely to experience job transitions and face changes, but he urged people to not be afraid of the change, and embrace it.

Source: https://www.meritalk.com/articles/congress-looking-to-ai-and-education-for-future-economy/

26 Nov 2018
Manahel Thabet

Life Sciences Success Stories in Hungary

The Hungarian Investment Promotion Agency (HIPA) talks to the Budapest Business Journal about recent life sciences success stories in the country.

During the past few decades, life sciences have become one of the growth engines for economies worldwide. The aim of many countries is to move towards a knowledge-based economy, combining natural sciences with experiences in IT-related areas and digitalization. The life sciences sector is considered to be among the most technology-driven and solution orientated sectors of the industry.

One of Hungary’s most traditional economic sectors is life sciences, a field that has seen almost 100 years of innovation, highly specialized technical developments and notable exports to the global market. Academic institutions, Hungarian and global players, innovative small- and medium-sized companies strengthen the ties between science and industry to boost the outcome for the country.

The geographic location of the country, combined with highly skilled staff as well as an excellent technical and scientific background, have positioned Hungary as an ideal location to do business on the European life sciences map.

Based on the location and the business environment, Hungary can provide several advantages to life sciences companies. In Hungary, the life sciences industry is diversified and consists of two sub-segments: biotechnology and pharma on one hand, and medical devices on the other.

Pharma, medical devices and biotechnology produce an important and growing share of the Hungarian economy. Eight out of the global top ten pharma and biotech companies have manufacturing or R&D activities in Hungary. In 2017, more than 48,000 people were employed here by pharma and medical device companies.

Economic Flagship

The pharmaceutical industry has always been one of the flagships of the Hungarian national economy. Pharmaceutical companies contributed 6.8% of the total manufacturing value in 2017. The four largest manufacturing bases (Richter, Teva, Egis, and Sanofi-Aventis) performed 85-90% of the total production and export activities of the industry. Within total Hungarian industrial R&D activity, 40-45% comes from the pharmaceutical industry. In 2017, the total amount of R&D expenditures of the pharma industry reached HUF 67 billion.

The manufacturing of medical devices is another traditional sector of the Hungarian economy where there are some 150 strongly export-driven Hungarian SMEs: the export ratio exceeds 90%. These flagship companies have a special role and characteristics, e.g.: flexibility, innovation, and strong export capability.

Although biotechnology is a relatively young science, its related industries and research fields have longstanding traditions in Hungary, giving companies access to a deep knowledge-base.

The continuous development of life sciences is supported by a network of academic research expertise. Academic institutions provide the sector with well-trained people, representing a strong pillar of Hungary’s educational system. In 2017, the total number of life science students at universities amounted to more than 24,300 and 3,700 students graduated.

The Hungarian labor force is well qualified and cost effective, which increases the country’s international competitiveness. In addition to that, the large number of high quality research institutions is a testament to Hungary’s traditional strengths in science and technology. There are four main centers of R&D which are connected to universities famous for medical and health sciences: Budapest, Debrecen, Szeged and Pécs.

Hungary can offer an attractive environment for investment and R&D activities within the network of scientific centers, enabling cutting-edge technologies and continuously growing business opportunities. Highly educated professionals, a rich tradition in natural, technical and medical sciences, an advantageous geographic setting and a supportive business environment for investment have been the key drivers to make Hungary a favorable location for life science investments.

Source: https://bbj.hu/promotion/life-sciences-success-stories-in-hungary-_157276

12 Nov 2018

Einstein letter showed he was fearful before Nazis came to power

JERUSALEM (AP) — More than a decade before the Nazis seized power in Germany, Albert Einstein was on the run and already fearful for his country’s future, according to a newly revealed handwritten letter.

His longtime friend and fellow Jew, German Foreign Minister Walther Rathenau, had just been assassinated by right-wing extremists and police had warned the noted physicist that his life could be in danger too.

So Einstein fled Berlin and went into hiding in northern Germany. It was during this hiatus that he penned a handwritten letter to his beloved younger sister, Maja, warning of the dangers of growing nationalism and anti-Semitism years before the Nazis ultimately rose to power, forcing Einstein to flee his native Germany for good.

“Out here, nobody knows where I am, and I’m believed to be away on a trip,” he wrote in August 1922. “Here are brewing economically and politically dark times, so I’m happy to be able to get away from everything.”

The previously unknown letter, brought forward by an anonymous collector, is set to go on auction next week in Jerusalem with an opening asking price of $12,000.

As the most influential scientist of the 20th century, Einstein’s life and writings have been thoroughly researched. The Hebrew University in Jerusalem, of which Einstein was a founder, houses the world’s largest collection of Einstein material. Together with the California Institute of Technology it runs the Einstein Papers Project. Individual auctions of his personal letters have brought in substantial sums in recent years.

The 1922 letter shows he was concerned about Germany’s future a full year before the Nazis even attempted their first coup — the failed Munich Beer Hall Putsch to seize power in Bavaria.

“This letter reveals to us the thoughts that were running through Einstein’s mind and heart at a very preliminary stage of Nazi terror,” said Meron Eren, co-owner of the Kedem Auction House in Jerusalem, which obtained the letter and offered The Associated Press a glimpse before the public sale. “The relationship between Albert and Maja was very special and close, which adds another dimension to Einstein the man and greater authenticity to his writings.”

The letter, which bears no return address, is presumed to have been written while he was staying in the port city of Kiel before embarking on a lengthy speaking tour across Asia.

“I’m doing pretty well, despite all the anti-Semites among the German colleagues. I’m very reclusive here, without noise and without unpleasant feelings, and am earning my money mainly independent of the state, so that I’m really a free man,” he wrote. “You see, I am about to become some kind of itinerant preacher. That is, firstly, pleasant and, secondly, necessary.”

Addressing his sister’s concerns, Einstein writes: “Don’t worry about me, I myself don’t worry either, even if it’s not quite kosher, people are very upset. In Italy, it seems to be at least as bad.”

Later in 1922, Einstein was awarded the Nobel Prize in physics.

Ze’ev Rosenkranz, the assistant director of the Einstein Papers Project at Caltech, said the letter wasn’t the first time Einstein warned about German anti-Semitism, but it captured his state of mind at this important junction after Rathenau’s killing and the “internal exile” he imposed on himself shortly after it.

“Einstein’s initial reaction was one of panic and a desire to leave Germany for good. Within a week, he had changed his mind,” he said. “The letter reveals a mindset rather typical of Einstein in which he claims to be impervious to external pressures. One reason may be to assuage his sister’s concerns. Another is that he didn’t like to admit that he was stressed about external factors.”

When the Nazis came to power and began enacting legislation against Jews, they also aimed to purge Jewish scientists. The Nazis dismissed Einstein’s groundbreaking work, including his Law of Relativity, as “Jewish Physics.”

Einstein renounced his German citizenship in 1933 after Hitler became chancellor. The physicist settled in the United States, where he would remain until his death in 1955.

Einstein declined an invitation to serve as the first president of the newly established state of Israel but left behind his literary estate and personal papers to the Hebrew University.

Source: https://www.foxnews.com/science/einstein-letter-showed-he-was-fearful-before-nazis-came-to-power

04 Nov 2018

Make sure you’re not investing in zombie AI

Ever notice how images of robots almost always accompany AI propaganda? It’s certainly an effective tactic. Robots conjure up images of highly intelligent solutions poised to create far more efficient and profitable businesses. Yet there are rarely details available about how these AI technologies work. And as a result, many AI solutions are a ‘black box’ to users.

What’s in the box?

Software developers and marketers often lead customers to believe there’s a robot in the box, when in fact it may be just an artificially intelligent zombie dressed up in a robot costume.

A zombie is a little like a robot. It’s self-sufficient. It doesn’t need a lot of guidance or direction to do the things it does. But it’s not truly intelligent.

And a zombie AI system operates independently, with no human interaction. On one hand, a lack of interactivity is positive as it can mean ease of use; on the other, there’s no way to train a zombie to do something else, or to do its job better. Users are not only unable to apply changes but are shielded from the decisions and logic used in creating the system. With no awareness or understanding, there can be no accountability, nor hope for progress.

While most organizations employ talented developers and technicians capable of ‘teaching’ AI systems to overcome weaknesses, the absence of transparency precludes their ability to do so.

True AI

Among the throngs of zombie AI systems, though, exist a few quality AI systems. These systems are highly intelligent, and though they have some minor human dependencies, they produce incredibly reliable results. The developers of these systems want customers to have a good grasp of the ‘magic’ behind the intelligence – ‘magic’ that really amounts to specific settings, mechanics, controls, even known limitations.

True AI can be recognized by its interactivity and trainability. These systems combine intuitive interfaces with algorithms, instructions that tell the robotic brain what logic to use. And with a little coaching along the way, true AI gets smarter and learns to differentiate right from wrong.

Compared to zombie systems, true AI systems require more time investment initially but are typically more sustainable in the long run because the coaching continually improves them over time.

Robots will reign

Any investment in a zombie system is a waste of resources. Businesses that venture down that path will eventually want more control. They will want the ability to coach. When variables require adjusting or errors occur, they’ll want to be able to make fixes and modifications. At the very least, they’ll want a basic understanding of how the system works.

What they’ll really want is the robot they thought they were getting the first time.

Many business leaders who are disappointed in the outcome of their zombie are focused on the exorbitant amount of time they invested into making the system ‘fit.’ Often, they’ve gone so far as to change their business processes to accommodate the zombie brain. And sadly, they continue to sink money and resources into a solution that will never do what they expected.

Don’t make that mistake. Bury your zombie AI system before it’s too late. Look for true AI. Seek out the system in the ‘glass box,’ or at least one with an access panel into its robotic brain. It’s the AI frameworks that effectively balance transparency and trainability with performance and ease of use that will deliver the highest ROI – and separate the zombies from the robots.

Source: https://venturebeat.com/2018/11/03/make-sure-youre-not-investing-in-zombie-ai/

03 Nov 2018
Manahel Thabet

How a small change will reduce distortion in measuring innovation

When your child is diabetic, a few minutes can make a big difference, and it pays to have real-time access to their blood sugar numbers. But what if no one sells a product that can do that? You build one, like the open-source community that developed the wireless blood sugar monitor Nightscout did.

The product serves a public good—keeping diabetics safe—and the community offers the plans to build it for free online. But until now, such clear examples of innovation haven’t been counted as such under the Organisation for Economic Co-operation and Development’s definition. That changed on Oct. 24: The organization’s new edition of the Oslo Manual, the guidebook for collecting and using data on industrial innovation used by most nations, now includes a revised definition of an innovation, removing the requirement that one must first be commercialized to be counted.

MIT Sloan economist Eric von Hippel, in his book Free Innovation, argues that household or “free” innovations—those developed by people on their own time and dollar—aren’t receiving enough support. That’s because they aren’t being recognized for what they are by public policymakers, even though they’re responsible for a significant proportion of new ideas and innovation.

Under the previous OECD definition, an innovation only qualifies as an innovation if it has been introduced to the market. That definition of “onto the market” means that innovators in the household sector—representing tens of millions of people spending tens of billions of dollars on product development and modification per year—don’t get credit for innovations because 90 percent of them simply give their innovations away.

In mountain biking, for example, participants in the sport—who are now the consumers of the mountain bike industry—designed and built the first mountain bikes, but didn’t receive any credit in the statistics, von Hippel said.

“Basically, the end result is a distorted system where businesses get a lot of credit for a lot of innovations they didn’t do. This, in turn, biases public policy toward the needs of companies and their intellectual property rights,” von Hippel said. “Now, finally, with a better OECD definition and better data we’ll be in a position to allocate innovations to the people who actually develop them. That in turn will make household sector innovation visible to government policymakers, and induce people to make a more level playing field where both consumer innovators and producer innovators are acknowledged and supported.”

The new OECD definition reads:

An innovation is a new or improved product or process, or combination thereof, that differs significantly from the unit’s previous products or processes and that has been made available to potential users (product) or brought into use by the unit (process). (This general definition uses the generic term “unit” to describe the actor responsible for innovations. It refers to any institutional unit in any sector, including households and their individual members.)

Tinkering leads to tech breakthroughs

Research by von Hippel and colleagues into consumer innovation across 10 nations found that the phenomenon was both very general and very important—generating a research and development capital stock of about $250 billion in the U.S. alone. These consumer hacks addressed all product areas of interest to consumers from new medical devices to sports and software hacks.

“If there is nothing out there, consumers will build it for themselves,” he said. “Ninety percent of these people just give [innovations] away for free, and the other 10 percent is where a lot of entrepreneurship comes from. That means 90 percent of innovation occurring in the household sector hasn’t been counted.”

That means efforts to support household innovators, like building more maker spaces, aren’t being carried out, von Hippel said. “If the household sector is developing many generally valuable innovations, this increases social welfare just as producer innovation does, and society ought to level the playing field and support both household sector innovation and producer innovation,” he said.

Read more at: https://phys.org/news/2018-10-small-distortion.html