Advanced Analytics and AI

Acknowledgements xi Preamble: Wellington and Waterloo xiii Introduction xv Prologue: What Do We Mean by Work? 1 Summary 1 Introduction 1 Slavery or Freedom? 2 The Rise of Industrialisation 4 Gen Z and the Flat White Society 8 The Impact of Unemployment 9 Replacing the Need to Work 12 Conclusion 13 Notes 14 CHAPTER 1 Introduction to Analytics 15 Summary 15 Introduction 15 Business Intelligence 17 Advanced Analytics 20 Prescriptive Analytics 25 Business Rules 27 Cognitive Analytics 29 The Accuracy of Analytical Outputs 31 Conclusion 34 Notes 35 CHAPTER 2 Artificial Intelligence 37 Summary 37 Introduction 37 The Turing Test 38 The Dartmouth Event 40 Post-Dartmouth, the AI Winter, and Singularity 41 Springtime for AI? 43 How Does AI Work? 45 Can Computers Be Creative? 48 Conclusion 50 Notes 51 CHAPTER 3 The Impact of AI on Leading-Edge Industries 53 Summary 53 Introduction 53 Financial Services 57 Retail Banking 57 Commercial Banking 59 Investment Banking 60 Wealth Management 62 Insurance 63 Automobiles 67 AI Implementation Timeline 68 Key Developments 69 Innovating to Zero 71 AI and Motor Manufacturing 72 Media, Entertainment, and Telecom 77 Retail 79 Conclusion 83 Notes 84 CHAPTER 4 The Impact of AI on Second-Mover Industries 88 Summary 88 Introduction 88 Construction 89 Augmented Reality 90 Drones and Remote Imagery 91 Contractor Plant and Equipment 92 Employee Behaviour 92 Cultural Change in Construction 94 Utilities and Infrastructure Resilience 95 Construction Industry Summary 96 Utilities 97 Electrical Power 97 Gas 98 Water 98 Wastewater 99 Smart Homes, Smart Infrastructure? 99 Interconnectivity, Poverty, and Famine 100 Public Services 101 Education 104 Policing 107 Healthcare 108 Agriculture 109 Technology Industry 111 Conclusion 113 Notes 114 CHAPTER 5 The Impact of AI on Professions 117 Summary 117 Introduction 117 Work and Professions 118 The Importance of Competences 122 The Morevec Paradox and Why it Threatens Professionals 122 Management 124 Office of Finance 125 Legal Profession 127 Sales and Marketing 130 Retailers 131 Commercial Media 133 Creative Arts 134 Publishing 135 Transportation 137 The Digital Railway 137 Autonomous Flight and Virtual Pilots 138 Air Traffic Controller 139 Engineers and the Built Environment 140 Building Engineers 140 Building Planners 141 Medical Profession 142 General Practitioners 143 Dentists 143 Neurosurgeons 143 Data Centres 145 Entrepreneurs 147 Conclusion 150 Notes 151 CHAPTER 6 Risk and Regulation 155 Summary 155 Introduction 155 What Is Risk? 156 Technology and System Failures 157 Data Security and Privacy 158 Employee Error and Fraud 160 Inadequate or Failed Procedures, Systems, and Policies 161 Reputational Risk 162 External Risk 163 Financial Risk 164 AI and the Future of Compliance 165 Roles, RegTech, and Forgiving the Machine 167 Conclusion 169 Notes 170 CHAPTER 7 Implementation Road Maps 172 Summary 172 Introduction 172 New Thinking on Employee Training 174 Robotics and Process Automation 176 Implementation Frameworks 177 Key Implementation Questions 177 Leadership and Sponsorship 179 Creating a Team 181 Finding Talent 182 Managing Progress 182 Human Resources Function 185 Alternative Spaces: The New Workplace 186 Timing: How Long to Implement? 189 Is Big Bang Transformation Possible? 190 Conclusion 191 Notes 192 CHAPTER 8 New Business Models 194 Summary 194 Introduction 194 Augment or Automate? 197 Issues of Place and Time 199 Contextual Insight 201 Wordplay and Communication 202 New Business Models for New Markets 203 Conclusion 203 Notes 205 CHAPTER 9 Coping with the Future 206 Summary 206 Introduction 206 Existing Roles in AI 207 Future Roles in AI 208 AI Education 209 Academic Education 210 On-the-Job Learning: Start-Ups and Innovation Labs 210 Personal Capabilities for Success 212 Can Computers Innovate? 212 Living with Robots 214 Elderly Healthcare and Robots 216 Taking Instructions and Advice from Computers 217 Rules for Robots 220 Conclusion 221 Notes 222 CHAPTER 10 Strategies for Personal Reinvention 224 Summary 224 Introduction 224 The Need for Personal Reinvention 225 How Easy Is It to Change? 226 The Importance of Events and Conferences 228 The Freedom of Franchises – from Employee to Owner 229 Can We Cope with Doing Nothing? 230 Third-Age Thinking 231 Conclusion 232 Notes 234 APPENDIX A: IMPLEMENTATION FLOWCHARTS 235 APPENDIX B: JOBS MOST AFFECTED BY ARTIFICIAL INTELLIGENCE 241 APPENDIX C: LIST OF PROFESSIONAL AI ORGANISATIONS 264 APPENDIX D: LIST OF TABLES 274 APPENDIX E: LIST OF FIGURES 276 INDEX 277