Lecture Notes - Wiley

boorishadamantAI and Robotics

Oct 29, 2013 (3 years and 9 months ago)

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Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

1

CHAPTER 11

INTELLIGENT SYSTEMS

IN BUSINESS

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

2

Learning Objectives


Describe artificial intelligence and compare it to
conventional computing


Identify the characteristics, structure, benefits,and
limitations of expert systems


Describe the major characteristics of natural
language processing and voice technologies


Describe neural computing and its capabilities


Define intelligent agents and their role in IT


Describe virtual reality

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

3

Chapter Overview

Artificial Intelligence
and Intelligent Systems


Artificial Intelligence


and Intelligent Behavior


Comparing Artificial


and Natural


Conventional versus


Al Computing


Commercial Artificial


Intelligence Systems

Expert Systems


Concepts of Expert Systems


Benefits and Limitations of


Expert Systems


Processes and Components


of Expert Systems


Illustrative Applications


Expert Systems and the


Internet/intranets

Other

Intelligence Systems


Natural Language


Processing and


Voice Technology


Neural Computing


Card
-
Based


Reasoning


Fuzzy Logic

Intelligent Agents


Characteristics of


Intelligent Agents


Applications of


Intelligent Agents

Virtual Reality: An
Emerging Technology


What is Virtual Reality?


Applications of Virtual
Reality?

Ethical and Global Issues
of Intelligent Systems


Ethical and Social Issues


Legal Issues


Global Aspects of


Intelligent Systems

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

4



The Problem

Case:
Analog Devices Uses



Intelligent Systems to Support Sales


faced a problem of matching
products to customers efficiently in
the very competitive ICs industry



The Solution



The Results


using an intelligent technology call case
-
based reasoning
to improve the customer
-
company communication


quality of the service makes the difference in
this competitive market

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

5


What have we learned from this case??

Case
(continued…)


the intelligent system solution was integrated with
other information technologies (CD
-
ROM, Internet,
extranet, search engine) as well as with a DSS



how an intelligent system solved a
difficult business problem by improving

the communication and collaboration

between the company and its customers

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

6

Intelligent Systems and
Artificial Intelligence


Artificial Intelligence (AI)


the branch of computer science that deals with ways of
representing knowledge, using symbols rather than
numbers, and heuristics, or rules of thumb, rather than
algorithms for processing information


involves studying the thought processes of humans


deals with representing those processes via machines


objectives:


to make machines smarter


to understand what intelligence is


to make machines more useful

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

7

Comparing Artificial and
Natural Intelligence

AI’s commercial advantages

over natural intelligence



more permanent



less expensive



consistent and thorough



can be documented



ease of duplication and


dissemination

Natural intelligence’s

advantages over AI




creative



enables people to benefit


form and directly use


sensory experience



enables people to recognize


relationships



enables people to make use


of a wide context of


experiences


Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

8

Conventional
vs.

AI Computing

Dimension

Artificial Intelligence

Conventional Programming

Processing

Include symbolic
conceptualization

Primarily algorithmic

Nature of
input

Can be incomplete

Must be complete

Search
approach

Frequently uses
rules and heuristics

Frequently based on
algorithms

Explanation

Provided

Usually not provided

Focus

Knowledge

Data, Information

Maintenance
and update

Relatively easy changes
can be made in self
-
contained modules

Usually difficult

Reasoning
capability

Yes

No

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

9

Commercial AI Systems


Expert systems (ESs)


Natural language technology


Speech (voice) understanding


Robotics and sensory systems


Computer vision and scene recognition


Intelligent computer
-
aided instruction (ICAI)


Machine learning


Handwriting recognizers

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

10

Expert Systems

Expertise is
transferred

from an expert
to a computer
and it is stored
there

Users can

call on the
computer for
specific
advice as
needed

The
computer

can make
inferences
and arrive at
a conclusion

The computer program
advises the nonexperts and
explains, if necessary, the
logic behind the advice

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

11

Benefits of Expert Systems



Increased output and productivity



Increased quality and reliability



Capture of scarce expertise



Ability to operate in hazardous environment



Improved customer service



Human
-
like intelligence



Fault tolerance



Complex problem solving and decision making



Training capabilities



Reduction of cycle time and downtime

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

12

Limitations of Expert Systems



Limited expertise



No single correct solution



Natural cognitive limits



Narrowly defined subject areas



Occasional incorrect recommendations



Limited vocabulary or jargon



Cost



Lack of trust by end users



Biases



Liability issues

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

13

The Process of ES

User

User

interface

Recommended

action

Explanation

facility

Inference engine

draws conclusions

Blackboard

(workplace)

Knowledge

refinement

Expert and

documented

knowledge

Knowledge

engineer

Knowledge bases




Facts:What is know about the


domain area



Rules: Logical reference

Knowledge
acquisition

Facts about the
specific incident

Consultation Environment

Development Environment

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

14

The Components of ES


The knowledge base
contains knowledge necessary
for understanding, formulating, and solving problems


The Blackboard
is an area of working memory set
aside for the description of a current problem


The inference engine
is essentially a computer
program that provides a methodology for reasoning and
formulating conclusions


The user interface
in ES allows for user
-
computer
dialog usually presented as questions and answers, and
sometime supplemented by graphics


The explanation subsystem
can trace responsibility
for conclusions to their source

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

15

ESs and the Internet/Intranet

Support

Support

Net

provide the
opportunity to
disseminate expertise
and knowledge to
mass audiences

Expert

Systems

provide knowledge
and advice to large
numbers of user

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

16

Other Intelligent Systems


Natural Language Processing (NLP)


Communicating with a computer in English or
whatever language you may speak, instead of
commands


Voice Technology


Voice (speech) recognition and understanding


allows users to communicate with a computer by
speaking to it


Voice synthesis


the technology by which computer ‘speak’

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

17

Other Intelligent Systems
(continued …)



Neural Computing or




Artificial Neural Network (ANN)


emulates a biological neural network


receives information from other neurons or
from external sources, transform the
information, and pass it on to other neurons or
as external outputs


value : useful for pattern recognition, learning,
and the interpretation of incomplete inputs

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

18

Other Intelligent Systems
(continued …)


Case
-
Based Reasoning (CBR)


basic idea: adapt solutions that were used to solve
old problems and use them to solve new problems


an extremely effective approach in complex cases


used by itself or it can be combined with other
reasoning paradigms


used to facilitate and expedite knowledge acquisition
and information system development, enhance
learning and training, and generate explanations to
users of systems

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

19

Other Intelligent Systems
(continued …)



Fuzzy Logic


deals with uncertainties by simulating the
process of human reasoning, allowing the
computer to behave less precisely and logically
than conventional computers do


rationale : not always a matter of true or false or
black and white


creative decision
-
making processes are often
unstructured, playful, contentious, and rambling

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

20

Intelligent Agents (IA)


Characteristics of Intelligent Agents


capability to work on their own (autonomy)


exhibition of goal
-
oriented behavior


transportable over networks (mobility)


dedication to a single repetitive task


ability to interact with humans, systems, and
other agents


inclusion of knowledge base


ability to learn

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

21

Applications of IA

Application

Description

User interface
agents

Monitor usage and suggest
improvement.

Operating
systems agents

Add accounts, do group management,
manage access, add/remove programs
and devices, monitor licenses.

Spreadsheet
agents

Offer suggestions for improvements.
Can tutor novice users.

Workflow and
task management
agents

Administer workflow management
-

monitor activities, alert, and remind.

Software
development
agents

Assist in routine activities such as
data filtering.

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

22

Virtual Reality (VR) :

Emerging Technology



What Is Virtual Reality (VR)?


most common definitions : interactive, computer
-
generated, three
-
dimensional graphics, delivered
to the user through a head
-
mounted display


technical definitions : environment and/or
technology that provides artificially generated
sensory cues sufficient to engender in the user
some willing suspension of disbelief

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

23

Applications of VR

Application

Description

Manufacturing



Worker training



Design, testing, and virtual prototyping


of products and processes



Engineering and ergonomic analysis



Simulation of assemble, production, and


maintenance

Transportation



Virtual aircraft mock
-
ups



New
-
car design and testing of cars in virtual


accidents

Finance



View stock prices and characteristics

Architecture



Display of building and other structures

Military



Training and battlefield simulation

Medicine



Training of surgeons and planning surgeries



Planning physical therapy

Marketing



Store and product display



Electronic shopping

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

24

Ethical and Global Issues


Ethical and Society Issues Related to
Intelligent Systems


The Laws of Robotics


Hal and Dave


computer may refuse human orders


Virtual Reality


peoples’ behavior in a world where the distinction
between the real and the virtual is unclear


Privacy

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

25

Ethical and Global Issues
(continued …)


Legal and ethical Issues


what is the value of an expert opinion when the
expertise is encoded in a computer?


who owns the knowledge in a knowledge base?


should royalties be paid to experts who provide
the knowledge to ES, and if so how much?


can management force experts to contribute
their expertise?


who is an expert? what if several experts
disagree?

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

26

Ethical and Global Issues
(continued …)


Global Aspects of Intelligent Systems


Foreign trade


Advising companies on how to exploit opportunities related
to the NAFTA agreement


Foreign exchange transactions


FS System advises on trading currencies of various nations


Employee training


Intelligent systems cut the time to train employees online
before they go to a foreign country


Weather forecasting


Climatic expert systems provide long
-
range climate forecasts


Automatic language translations


Intelligent systems translate languages, including voice in
telephone conversations

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

27


For Accounting


Intelligent systems are used extensively in
auditing to uncover irregularities, uncover
and prevent fraud


For Finance


Intelligent systems can facilitate the use of
spreadsheets and other computerized systems
used in finance; and can help in reducing
fraud in credit cards, stocks, and other
financial markets

What’s in IT for Me?

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

28

What’s in IT for Me?
(continued …)



For Marketing


Intelligent systems are partially useful in mining
customer databases and predicting customer
behavior


For Production/Operations Management


Expert systems were developed for tasks ranging

Introduction to Information Technology

Turban, Rainer and Potter

Chapter 11 Intelligent Systems in Business

29

What’s in IT for Me?
(continued …)



For Human Resource Management


Intelligent agents can find resumes of
applicants posted on the Web and sort them to
match needed skill and can facilitate training
and to manage fringe benefits programs


Expert systems are used in evaluating
candidates


Neural computing is used to predict employee
performance on the job and to pre