How Companies Are Using Machine Learning to Get Faster and More Efficient
Machine-reengineering is
a way to automate business processes using machine learning.
Although machine-reengineering is new, companies are already seeing
striking results with it, particularly in boosts to speed and
efficiency. Studying 168 early adopters, we’ve seen speed
improvements of two times or more for most business processes — and
some organizations are reporting speed improvements of 10 times or
more.
How do
companies do it? Our study found that organizations are using
machine-reengineering to establish new forms of human-machine
collaboration that break through the bottlenecks of complex digital
processes. In some cases, such as interpreting images or writing
reports, machine-reengineering directly helps workers perform digital
tasks. In other cases, machine-reengineering helps people uncover
insights that are buried in a mountain of data. Here are some
examples of how companies are using the speed and smarts enabled by
machine-reengineered processes.
Scanning Images, Voice and Text
As companies
implement digital strategies, they introduce new labor-intensive
tasks to sort through all the data they’re collecting. This data is
highly unstructured and produced in a variety of formats at an
ever-larger scale, which requires people to arduously scan through it
for specific items to complete a single process step. Human-machine
collaboration focused on digital-data scanning can accelerate at
least three kinds of routine digital tasks.
Previewing
video. Clarifai,
based in New York City, uses machine learning to find people,
objects, or scenes in videos in far less time than a person can. In
one demonstration, a 3.5-minute clip was analyzed in just 10 seconds.
The technology can pick out kinds of people — mountain climbers,
for instance — to help advertisers more efficiently match ads to
the videos. It can also be used to help editors and curators find new
ways to organize video collections and edit footage. This kind of
auto–editing assistant can dramatically change the day-to-day tasks
of workers in media, advertising, and film.
Interpreting
images. MetaMind,
in Silicon Valley, offers a service called HealthMind, which uses
computer vision to analyze medical scans of brains, eyes, and lungs
to find tumors or lesions. HealthMind relies on deep-learning
techniques for natural language processing, computer vision, and
database prediction algorithms. The upshot of HealthMind is that
doctors spend less time interpreting images and more time consulting
with their patients.
Documenting
and data entry. Machines
can learn to perform time-intensive documentation and data entry
tasks, letting knowledge workers spend more time on higher-value
problem-solving tasks. The London-based startup Arria, for instance,
helps its customers automatically generate reports in industries
ranging from health care to finance to oil and gas. The company’s
natural language processing technology learns how to write reports by
scanning texts and determining relationships between concepts. Then
it scours incoming data to build new reports. Arria has found that
the process changes can increase knowledge workers’ productivity by
25%. Engineers, for example, have saved up to 40 hours of reporting
task time each month.
Uncovering Buried Insights
Increasing
the amount of data in a workflow can increase the amount of time
needed for insight and action. We’ve seen this in stock trading,
marketing, and manufacturing, where more data streams make it harder
to find information that is urgent or meaningful. With machines as
sidekicks, though, people can more quickly find valuable insights
buried in big data. Our research found companies demonstrate this in
at least four types of analytical tasks.
Market
monitoring. Dataminr,
based in New York City, uses a variety of indicators to identify
tweets containing relevant information for stock traders. By
monitoring the propagation of information throughout the
network, Dataminr evaluates relevance and urgency. An alert sent to a
trader that provides even a three-minute advantage can translate into
significant profit. News services are using Dataminr to find breaking
news, which lets reporters cover stories faster.
Predictive
modeling. SailThru,
also out of New York City, helps marketers deploy more effective
promotional emails by analyzing email and web data to build customer
profiles. SailThru’s system learns customers’ interests (biking
versus rock climbing, for instance) and purchasing behaviors, and
then predicts which individuals will make which purchases and when,
delivering the right message when it’s most effective. The Clymb, a
SailThru customer that sells outdoor gear, saw a 12% increase in
email revenue and an 8% increase in total email purchases within 90
days of turning on SailThru’s personalization. After combining
personalization with predictions, The Clymb saw a 175% increase in
revenue per thousand emails sent, as well as a 72% reduction in
churn.
Root
cause analysis. Sight
Machine, a manufacturing analytics company based in San Francisco and
Livonia, Michigan, helps its customers solve complex quality control
issues. One problem that Sight Machine’s customers face is
interpreting alerts: A quality problem or incident can trigger
hundreds of alert codes from potentially thousands of different kinds
of sensors along an assembly line. Sight Machine’s software uses
machine learning to interpret the patterns of these alerts, helping
engineers to quickly pinpoint the few alerts that represent the root
cause of the problem, separating them from the ripple effect alerts.
Predictive
maintenance. Machine
learning can also aid human decision making by discovering meaningful
patterns in factory data that people would otherwise be unable to
find. Consider Sight Machine again: By analyzing data for patterns
that occur before trouble hits, the company’s systems help
manufacturing engineers anticipate and prevent problems. For one
client deploying a new robotic manufacturing line, Sight Machine was
able to reduce downtime by 50% and increase performance by 25% within
one month — far better than the 1%–2% performance increases
typical of the client’s industry.
It’s still
early days for machine-reengineering, so we expect our research to
uncover many more new types of machine sidekicks. But it’s already
clear that machine-reengineering has the power to help manage the
data deluge — and resulting bottlenecks — that modern
organizations face. Workers can become more efficient and effective,
which improves workflows as well as the bottom line. If data is the
path forward, machine-reengineering is paving the way.
Harvard Business Review
How Companies Are Using Machine Learning to Get Faster and More Efficient
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Wednesday, May 04, 2016
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