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Modelling of AI
AI modeling is the creation, training, and deployment of machine learning algorithms that
emulate logical decision-making based on available data.AI models provide a foundation to
support advanced intelligence methodologies such as real-time analytics, predictive analytics,
and augmented analytics.

These models use various types of algorithms, such as linear or logistic regression, to recognize
patterns in the data and draw conclusions in a manner that emulates human expertise. Simply
put, AI modeling is the creation of a decision-making process that follows three basic steps:

Modeling: The first step is to create an AI model, which uses a complex algorithm or layers of
algorithms that interpret data and make decisions based on that data. A successful AI model can
act as a surrogate for human expertise in any given use case.

AI model training: The second step is to train the AI model. Most often, training involves
processing large amounts of data through the AI model in iterative test loops and checking the
results to ensure accuracy, and that the model is behaving as expected and desired. Engineers are
on hand during this process to modify and improve the AI model as it learns.

Inference: The third step is known as inference. This step refers to the deployment of the AI
model into its real-world use case, where the AI model routinely infers logical conclusions based
on available data.

Intelligent System
Intelligent systems are technologically advanced machines that perceive and respond to the
world around them. Intelligent systems can take many forms, from automated vacuums such as
the Roomba to facial recognition programs to Amazon's personalized shopping suggestions.

Applications of intelligent systems

Intelligent systems are poised to fill a growing number of roles in today's society, including:

Factory automation

Field and service robotics

Assistive robotics

Military applications

Medical care

Education
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Entertainment

Visual inspection

Character recognition

Human identification using various biometric modalities (e.g. face, fingerprint, iris, hand)

Visual surveillance

Intelligent transportation

Challenges in intelligent systems

Research in intelligent systems faces numerous challenges, many of which relate to representing
a dynamic physical world computationally.

Uncertainty: Physical sensors/effectors provide limited, noisy and inaccurate

information/action. Therefore, any actions the system takes may be incorrect both due to noise in
the sensors and due to the limitations in executing those actions.

Dynamic world: The physical world changes continuously, requiring that decisions be made at
fast time scales to accommodate for the changes in the environment.

Time-consuming computation: Searching for the optimal path to a goal requires extensive
search through a very large state space, which is computationally expensive. The drawback of
spending too much time on computation is that the world may change in the meantime, thus
rendering the computed plan obsolete.

Mapping: A lot of information is lost in the transformation from the 3D world to the 2D world.
Computer vision must deal with challenges including changes in perspective, lighting and scale;
background clutter or motion; and grouping items with intra/inter-class variation.

Areas Of AI
Education powered by AI

future, AI-powered education systems will learn individual’s’ preferences, and by aggregating
the data these systems will be capable of accelerating education research and the development of
new tools. The future of education will witness the utilization of intelligent tutors and other AI
technologies to deliver personalized education at scale. The use of AI will widen educational
access, making learning lifelong, and retraining easier.
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Employment in the era of AI

Artificial Intelligence is being proactively introduced and implemented across different sectors
globally. The technology has already found its application and significance for different job
roles, performing the same task humans do, with more precision and efficiency. The standout
aspect lies in the fact that not only is the time taken to perform the job reduced, but AI also
eliminates the chances of human error.

Entertainment and Artificial Intelligence

Entertainment industry is expected to transform in a bit different manner. The use of AI will
make the industry more interactive, personalized, engaging in the future. Proliferation in the use
of sensors and hardware will witness virtual reality, haptics and companion robots increasingly
enter the home. Moreover, user would be able to interact with entertainment systems.

Healthcare re-imagined

AI promises the capability to automate medical diagnostics by mining patient records and the
scientific literature. This technology will allow doctors to focus primarily on dimensions of care
while utilizing their experience to guide the process. Personalized medicine will soon become a
reality owing to the data obtained from patient records, wearables, mobile apps, and personal
genome sequencing. IBM’s Watson is already assisting oncologists to process patient data for
them to make better decisions about treatment.

Home and Service Robots

Within the next couple of decades, you will be able to witness the advent of AI machines with
the ability to deliver packages or clean the offices. The robots will make use of the Cloud
connection to share data for accelerated learning. Moreover, the use of low-cost 3D sensors will
aid in speeding up the development of perpetual technology. Also, these machines will be able to
better interact with humans, owing to progress in speech comprehension techniques.

Low-Resource Communities

AI and predictive analytics techniques will facilitate government agencies in better allocation of
limited resources by helping them forecast environmental hazards or building code violations.
Responsible organization can make use of AI-based planning to distribute excess food from
restaurants to food banks and shelters. However, these capabilities will take some time to reflect,
as the investment in this arena is under-funded currently. But, once implemented properly, the
technology will help in improving lives for the poorest members of the society.

Predictive Policing

Policing is yet another domain where the future of AI can have a major stake. Within a decade,
cities will fully rely on AI technologies for detecting and predicting crime. Surveillance agencies
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will use the power of AI in automatically processing CCTV and drone footages, which in turn
will help in easily and swiftly identifying anomalous behavior.

Space Exploration with AI

Artificial Intelligence is not a new technology for NASA, as the international body for space has
already utilized unmanned shuttles, rovers and probes to explore distant galaxies, which could
have otherwise taken several years. These AI-powered vehicles can identify obstacles, like
craters, and find safe paths of travel around them. For future, AI can be instrumental in times of
emergency, as the technology can help astronauts identify and prevent problems before they
occur. Data and photographs collected from the Martian surface were earlier furnished by
autonomous land rovers, reflecting on the scope of utilizing AI for space exploration.

Weaponry in the world of AI

Artificial Intelligence enters the battlefield, as significant research is being undertaken to develop
weapons capable of targeting, and firing on their own. The use of AI for this purpose is a
controversial topic, as the consensus dictates that humans have ultimate control over any kind of
weaponry. Some technology leaders have gone to the extent of calling an outright ban on the
production or use of autonomous weapons, lacking human control.

Psychological Model
Theories used to provide a model/pattern for understanding human thoughts, emotions, and
behaviors.It must describe a behavior.It must make predictions about future behaviors.

1. Behavioral Psychology
2. Cognitive Theories of Psychology
3. Developmental Theories
4. Humanistic Theories
5. Personality Psychology
6. Social Psychology

Behavioral Psychology

Artificial intelligence (AI) is learning more about how to work with (and on) humans. A recent
study has shown how AI can learn to identify vulnerabilities in human habits and behaviours and
use them to influence human decision-making.

It may seem cliched to say AI is transforming every aspect of the way we live and work, but it’s
true. Various forms of AI are at work in fields as diverse as vaccine development, environmental
management and office administration. And while AI does not possess human-like intelligence
and emotions, its capabilities are powerful and rapidly developing.There’s no need to worry
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about a machine takeover just yet, but this recent discovery highlights the power of AI and
underscores the need for proper governance to prevent misuse.

Cognitive Theories of Psychology

Cognitive psychology attempts to understand cognition’s complexity through research, testing,

and building models of how the human mind handles and processes complex information during
attention, memory, and perception .AI and cognitive psychology share similar aims – to
understand the nature of intelligent behavior – with the former attempting to build such processes
using advanced technology.

And while computational modeling and AI have subtle differences, they are both valuable
approaches for understanding the nature of intelligent thinking and providing insights into the
growing field of cognitive psychology.Computational modeling involves “programming
computers to model or mimic aspects of human cognitive functioning”. Artificial intelligence’s
underlying processes, on the other hand, typically bear no resemblance to the mechanisms used
by the human brain.Rather than attempt to develop computational models that help us understand
human intelligence, the AI designer’s goal is to produce an outcome that appears intelligent.
Such processes do not need to be functionally similar to those of a human.

However, there is one particular model that appears to bridge the gap between the two
approaches.Connectionism was originally inspired by the network of neurons that exists within
the brain. “Connectionist models typically consist of interconnected networks of simple units
exhibiting learning” and model cognition with no explicit rules.While the brain may be described
as a highly complex neural network, and connectionist models have successfully modeled
specific human-like processes (such as face recognition), the jury is still out regarding whether
such models explain human cognition.

Developmental Theories

Humans have no trouble recognizing objects and reasoning about their behaviors — it’s at the
core of their cognitive development. Even as children, they group segments into objects based on
motion and use concepts of object permanence, solidity, and continuity to explain what has
happened and imagine what would happen in other scenarios. Inspired by this, a team of
researchers hailing from the MIT-IBM Watson AI Lab, MIT’s Computer Science and Artificial
Intelligence Laboratory, Alphabet’s DeepMind, and Harvard University sought to simplify the
problem of visual recognition by introducing a benchmark — CoLlision Events for Video
REpresentation and Reasoning (CLEVRER) — that draws on inspirations from developmental
psychology.

Humanistic Theories
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There is no question that we have reached a new level of competence in the development of
Artificial Intelligence. We read breathless celebrations of how AI programs have beaten the
masters of humanity’s most challenging games, or how it can recognize a human face among
billions of images. We are alarmed by warnings that AI will displace our jobs, or even threaten
our existence as it reaches superhuman levels of cognition. Yet we hope that it will be used
towards more useful and benevolent ends, like driving our cars and curing diseases.

Both of these futures are possible. Are they both inevitable? That’s up to us — and how we
frame the problem is vital. Must we live in a world where machines are set against humans at
every turn, surveilling us, shaping our beliefs, manipulating our attention, and competing with us
for jobs, all driven by a zero-sum race to superintelligence that leaves the winners to take all?
What can we do to ensure that applications of AI that are beneficial to humanity receive the
necessary resources, priority and policies?

What can we do today to help guide a future that supports the common good?

There is no simple answer to these questions. But there is a simple way to begin. Start from a
philosophy that guides what forms of AI should be developed and why, and use this guidance to
navigate the many ethical questions that will inevitably arise.

Throughout the history of AI, there have been two competing philosophies on the purpose of AI:
to create machine intelligence (for its own sake) and to augment human intelligence with AI.
Both are good reasons to do research, and great progress has been made in both camps. Today, as
progress is accelerating and applications of AI are reaching global impact, the consequences of
these two philosophies are worth considering.

Personality Psychology

Personality AI is a technology that analyzes millions of online data points to identify someone’s
personality, before you ever meet them.

At our company, Crystal, we first brought Personality AI to market in 2015. Since then, we have
seen both the technology and adoption advance tremendously, as early adopters have used our
products for millions of emails, meetings, and phone calls with amazing results that they often
refer to as “magic.” The feeling of magic usually happens when our customers click the Crystal
button in LinkedIn and immediately see insights about someone’s personality.When we make
decisions, our brains quickly process all of our past experience and knowledge to help us come
to the right conclusion. AI is very similar, but it’s a brain that can be loaded with tremendous
amounts of “past experience and knowledge” (i.e. data) to make better decisions. Personality AI,
specifically, can be best thought of as a machine that has inputs and outputs.

Personality AI takes multiple types of inputs - text samples, demographic data, real life
observations, questionnaire responses - and outputs personality insights.
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These insights could tell us, for example, that my coworker Jonathan appreciates research and
accuracy, before I ever meet him in person. For most people, the value of Personality AI is in the
output. Tools like Crystal provide unprecedented insights to help them communicate more
effectively with others, so they make Personality AI a part of their daily meetings, phone calls,
and emails.

Social Psychology

Moving beyond the current state of AI trends, social psychologists may also be able to make
contributions to more future-state AI developments. We already know that researchers have built
models based on the fundamental concepts governing classical and operant conditioning with the
use of reinforcement learning. Going forward, mathematical advances may be able to learn from
social learning theories such as those developed by Albert Bandura, Lev Vygotsky, and Carol
Dweck. In other words, what should we consider as we teach machines to learn from other
people or other machines through observation? Social psychology can help answer this question.

Improving Efficiancy
AI is a wonder of modern science that has made a lot of things possible that were unthinkable
before. Now thanks to AI many things can be done more quickly and more effectively. AI has
increased the efficiency and productivity of many things in the industry. In this article, some of
the examples of how AI has been helping in improving efficiency has been discussed.

To analyze data and reporting speed

AI can be very helpful in improving the data analyzing speed and also to increase the reporting
time. The data are analyzed more accurately and the reporting time is also increased. AI can be
used to analyze large amounts of data to draw conclusive reports. If the same work is given to
any human the time required would be very high and also there would be a high possibility to do
some kinds of error in the report.

24/7 service

Unlike humans, AI does not need to rest and they can provide their service 24 hours a day.
Humans can work up to a minimum time and they can’t be consistent in their performance all
day long. On the other hand, AI is essentially a machine that does not get tired or bored. It can
work all day giving the same performance and consistency throughout the whole day. This
improves the efficiency of the business and make the industry runs smoother and more
effectively. There is also lower chances of error if the job is done by an AI.

Automation of process

After the invention of AI, many of the complex processes have now been automated. There is no
need for any human support to do those processes. Many of the microservices are automatically
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provided by the AI. A microservices example can be application deployment which used to be a
very tedious and boring task for the developers and now it can be done easily with the help of an
AI. Many other complex processes have been automated reducing the cost of the business
industry and also reducing the effort of the employees.

Analytics

AI can be used widely in data analytics. AI is good at processing algorithms and use them to
extract meaningful information from a very large sum of data. The business collects data on a
large scale regularly so they can be analyzed to develop better strategies to get more customers.
These data are very hard to be analyzed properly as they contain a huge amount of information.
With the help of AI, these data can be processed quickly and a detailed report can also be
generated quickly. This is very helpful in the business and increases the efficiency of the
business industry as a whole.

Increase security

AI is very helpful in increasing the security of a network, an application or a website. A network,

application or a website contains vital information and trade secrets of a business that is very
essential for any business to protect. AI can be used to enhance protective measures in the
network of the business. AI has revolutionized the cyber security industry making changes to the
processes of cyber security and detecting abnormalities in the network. A system is more
protected when AI technology is implemented to maintain the security of the network.

Providing better customer support

AI is now used to provide customer support to users that are visiting the website of the business.
It is reducing the cost as the company needs to hire less customer service agents. But it is
essential to understand the proper balance between a human and a machine. There are certainly
some limitations to AI when it comes to providing customer support to the users. It is important
to realize that in which parts of the customer service experience AI is to be implemented. If
implemented properly AI can save a lot of costs for the whole business.

Appreciative Intelligence

Appreciative Intelligence is defined as “the ability to perceive the positive inherent

generative potential within the present.” More simply, it is “the ability to see the mighty oak
in the acorn. It is the ability to reframe a given situation (or person), to appreciate its positive
aspects, and to see how the future unfolds from the generative aspects of the current situation.”
These three characteristics form the foundation of appreciative intelligence.
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Reframing is about shifting reality by choosing what feedback we will ignore and what feedback
we will pay attention to. Appreciating the positive is the ability to see the positive aspects of any
given situation. To see how the future unfolds from the present refers to the ability to see what
can be done instead of what can’t. Appreciative intelligence is the mindset that allows you to
step back and access the situation and move forward instead of being thwarted by circumstances.

Appreciative intelligence can, of course, be developed by consciously expanding your responses

to situations as they occur. Asking yourself different questions by questioning your assumptions
(what you know to be right), looking for positive and different meaning in what you experience,
and becoming what Saul Bellow calls a first-class noticer, will help you improve your
appreciative intelligence.

Appreciative Intelligence In Practice

 Based on their research, there are three components of Appreciative Intelligence:

 Reframing
 Appreciating the positive
 Seeing how the future unfolds from the present

It also leads to four qualities:

 Persistence
 Conviction that one’s actions matter
 Tolerance for uncertainty
 Irrepressible resilience
 These are helpful starting points from which to understand this particular form of
intelligence and how it works.

A Business Model Analysis involves taking a high-level look at the business as a whole and then
focussing on areas which are perceived to indicate significant potential for performance
improvement. The starting point is the preparation of a Business Model Canvas which is an
internationally recognised tool for developing and evaluating business models.

Business Model Analysis

A Business Model Analysis involves taking a high-level look at the business as a whole and then
focussing on areas which are perceived to indicate significant potential for performance
improvement. The starting point is the preparation of a Business Model Canvas which is an
internationally recognised tool for developing and evaluating business models. There are many
tools and techniques which can be used to analyse the overall business model and/or its
constituent components. These include, but are not limited to:
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Benchmarking

Financial Health Analysis

Organisation Structure

Ecosystem Analysis

Process Review

Work Study

Skills & Competencies

The model provides a framework for analysis containing the following 9 elements:

Value Propositions

Key Customers

Channels

Communications

Key Revenues

Key Partners

Key Activities

Key Resources

Key Costs

 Benchmarking

Benchmarking against other companies across a comprehensive range of criteria allows

organisations to put their performance into context with a like-for-like comparison with similar
types and/or sizes of companies and to prioritise areas for improvement. This can be a useful
starting point for a company-wide performance improvement drive as it casts a wide net and
promotes collaboration between individuals and groups within the organisation. It is particularly
useful where a company is in danger of becoming stagnant in terms of its results and wishes to
challenge itself to achieve more.

In carrying out such assignments PRL uses two different questionnaires one based primarily on a
Quantitative Analysis and the other taking more of a Qualitative Approach. Both combined can
be particularly useful as a prelude to a Strategic Review of an organisation.
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 Financial Health Analysis

A comprehensive Financial Ratio Analysis is a useful approach which allows one to evaluate the
financial results of the Business Model and to shed lights on areas of the model which may need
to be improved, or which show promising opportunities for performance improvement. While it
is a narrower focus than Benchmarking as it does not involve a comparison with other
companies, the analysis provides the Client with a comprehensive assessment through expert
eyes which are experienced in challenging existing perceptions and assumptions in the search for
sources of improvement.Typically, the period of analysis is between 3 and 5 years.

 Organisation Structure Analysis

How an organisation is structured and which functions are outsourced can greatly influence, for
better and for worse, the results of a Business Model. Very often the structure of an organisation
lags behind changes in the Business Model and in time can lower performance or, it can prevent
the organisation from taking opportunities or from making the most of opportunities over time.

An analysis of the Organisation Structure provides a Client with a rigorous assessment of how
good a fit a particular organisation structure is in the context of a particular Business Model, and
identifies opportunities for improvement and the expected benefits.

 Ecosystem Analysis

The Ecosystem Analysis is an extension of the Organisation Structure/Outsourcing Partner

Analysis which looks at all of the actors interacting with the Organisation and impacting on, or
with the potential to impact on the Business Model. Such Actors would include Regulators,
Quality Assurance Companies, amongst others. The purpose of the analysis is to understand the
relationships between the various ecosystem elements and how they might be reconfigured to
facilitate improvements in the functioning of the Business Model.

 Skills & Competencies

No matter how good the design of a Business Model and the Organisation Structure, if the
profile of skills and competencies required to adequately perform the tasks required of resources
in the defined roles, whether that is at an Operator, Staff or Management level, in house or an
external resource, are below what they need to be, the performance generated through the
business model cannot be at its best. A Skills and Competencies analysis involves defining tasks
corresponding to the roles falling within the scope of the assignment, and scoring the
performance of those tasks for each individual involved in the analysis. The analysis will
highlight the tasks and the roles where deficiencies exist and options for improvement.

 Process Review
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A Process Review can range from a review of a specific well-defined process to an end-to-end
process review such as ‘Order-to-Cash’, ‘Purchase-to-Pay’ or other such extended processes.

Depending on the processes and the context of the change, such as whether it involves a limited
scope and a small number of people, or whether it is a wide scope of work involving large
numbers of people will determine how the work is carried out. Where the scope is limited, it will
likely be sufficient to work through an iterative process involving interviews and process flow
diagrams, where the scope is more extensive, such as in the case of preparing for the
implementation of an ERP System, ‘Live’ Process Flows using Live Documents on ‘Life Size’
flows can work a lot better.

Artificial intelligence is the ecosphere’s prevalent and most comprehensive general acquaintance
common-sense cognitive engine. The artificial intelligence (AI) business platform model is
virtually at affluence with cloud SaaS model. It concerns AI solutions that can work together on
the top layer of the other digital systems, like a Customer Relationship Management (CRM) and
Enterprise Resource Planning (ERP) business system. AI admittances in the digital data fluid
through the coordination, fueling business enhancements over phases. In this business model, the
business will safekeep a recurrent subscription. This paper endeavors to emphasize on the
preventative side of the use of AI and machine learning (ML) technology to enterprise digital
platform business model innovation and business dynamics. We acme the strategic implications
and innovations with analytics. We explore the derivations of data-driven insights, models, and
visualizations.

Benchmarking Analysis
Benchmarking analysis is a specific type of market research that allows organizations to compare
their existing performance against others and adopt improvements that fit their overall approach
to continuous improvement and culture.
Many types of benchmarking exist; the most commonly recognized are:
 Process — evaluates specific business processes (e.g., purchase planning, e-procurement,
service delivery). Process maps are used to facilitate benchmarking.
 Performance — compares product and service as a way to assess the organization’s
competitive position against same-sector peers. Focuses on costs, technical quality, ancillary
service features, and performance characteristics (also called competitive benchmarking).
 Strategic — seeks to evaluate the organization’s strategic maturity against others across
various sectors. Focuses on general approach to the development and management of core
competencies, innovations, and change strategies.
Benchmarking analyses often rely on both quantitative and qualitative measures to generate
meaningful results. Quantitative analysis can provide metric-based outcomes, while qualitative
comparisons often reveal best practices. The benchmarking process usually encompasses four
steps:
1. Planning.
2. Analysis.
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3. Action.
4. Review.
Planning
 Determine the broad business process and tasks to benchmark.
 Identify the resources required for the study.
 Confirm the key activity performance measures or indicators.
 Document the existing process for conducting the activity.
 Identify appropriate reference models as a starting point for your assessment.
Analysis
 Collect information to identify the scope for improvement.
 Compare the existing process with that of appropriate reference models to identify
differences and innovations.
 Agree on expected targets for improvement.
Action
 Communicate the results of the study to key stakeholders.
 Develop an improvement plan to implement changes.
 Implement the improvement plan, monitoring progress and reviewing as necessary.
Review
 Review performance when the changes have been implemented; identify and rectify
bottlenecks.
 Communicate the results of the implemented changes.
 Schedule future benchmarking activities to continue the improvement process.

The AI Performance Benchmark uses performance indicators to indicate a global leadership rank
by creating five categories:

(1) Personnel

(2) Monetary Impact

(3)Competitiveness

(4) Research & Education

(5) Technology

This benchmark steps away from the aggregated relative perspective and instead focuses on
absolute numbers. By combining both benchmarks and splitting the graph into four quadrants
based on the median, the following categories of countries can be established:

• High readiness, high performance

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• High readiness, low performance

• Low readiness, high performance

• Low readiness, low performance

Needless to point out, is that countries falling under the low-low category should put most

effort in a transformation, if they wish to be able to compete and benefit from Artificial

Intelligence. Countries that fall in the high-high category should continue in a similar fashion.

The biggest gains can be realized by countries in the low-high category, as they perform well

but are unable to reap the full benefits of AI. The reverse holds for countries in the high-low

Category, as they can take advantage of AI, but they don’t have the best performance in

the field. They have a big incentive to increase their performance as they are already able to

reap all the associated benefits of AI. In practice this means that China and the

United States both has the most to gain, scoring subpar in AI readiness while currently

performing well. Germany, France, Japan, Republic of Korea and to a lesser extent

Australia, Canada and the Netherlands especially when size is considered, perform

Well in both readiness as well as performance.

They are all scoring well on digitization measures, infrastructure components and

Population measures, and should focus on further developing their IT Skill Advancement

To create more and better specialists in the field of AI to enhance their performance.

Poland and Russia should focus both on increasing all their performance indicators,

For example by improving their basic IT infrastructure, their institutional readiness and

By educating the population. To avoid missing out on the potential of AI

And to safeguard us from any potential risks, companies and countries need to make

Fundamental changes to become ready for integrating AI holistically into their strategies,

Business operations and lives. The following policy recommendations could be considered

to aid in this process:

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• AI awareness should be increased by intensively experimenting with AI .

• Existing legal frameworks need to be revised to create a favorable AI-enabled

Environment.

• SMEs and bigger companies should work collaboratively and prioritize the low

complexity and high benefit projects to create quick wins.

• Data sharing and accessibility should be stimulated.

• The skills gap between the general workforce and the one that can work with AI

needs to be decreased.