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Joining Industry and Students for Cognitive Solutions at Karlsruhe Services Research Center

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Gerhard Satzger, Director of the Karlsruhe Service Research Institute and two former students and IBMers, Sebastian Hirschl and Kathrin Fitzer, presention"Joining Industry and Students for Cognitive Solutions at Karlsruhe Services Research Center" as part of the Cognitive Systems Institute Speaker Series.

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Joining Industry and Students for Cognitive Solutions at Karlsruhe Services Research Center

  1. 1. KARLSRUHE SERVICE RESEARCH INSTITUTE (KSRI) www.kit.edu www.ksri.kit.edu KIT – The Research University in the Helmholtz Association Joining industry and students for cognitive solutions @ KSRI Prof. Dr. Gerhard Satzger, Sebastian Hirschl, Kathrin Fitzner April, 2017
  2. 2. Karlsruhe Service Research Institute www.ksri.kit.edu Joining industry and students for cognitive solutions @ KSRI Introduction to KSRI Three examples: Watson showcases (Gerhard) Cognitive / analytics assistance for car insurance: reserving for damages (Sebastian) Cognitive / analytics support for health insurance: processing medical documents (Kathrin) Discussion 2 1 2 3
  3. 3. Karlsruhe Service Research Institute www.ksri.kit.edu KSRI – An “industry-on-campus” model with focus on interdisciplinary and application-oriented research €€ €€€€€€ € €€ €€€ € €€€€€€ Discrete Optimization & Logistics Prof. Dr. Stefan Nickel Knowledge Management Prof. Dr. Rudi Studer Prof. Dr. York Sure-Vetter Information & Market Engineering Prof. Dr. Christof Weinhardt € Digital Service Innovation Prof. Dr. Gerhard Satzger Energy Economics Prof. Dr. Wolf Fichtner Information Systems & Service Design Prof. Dr. Alexander Mädche Value Stream Services Dr. Markus Bauer, Prof. Dr. Kai Furmans 3
  4. 4. Karlsruhe Service Research Institute www.ksri.kit.edu OR CS ElectiveMgt. KSRI Education Program – Offering Majors and Minors in Digital Service Systems Job Profiles Digital Service Systems Economics / Mgt: Information & Service Systems ServiceInnovation, Design&Engineerg. ServiceDesign ServiceEconomics &Management ServiceAnalytics ServiceSociety ServiceMarketing ServiceOperations ServiceComputing DigitalServiceSystemsI DigitalServiceSystemsII B.Sc.M.Sc. Fundamentals of Service Systems I D E A S Master Thesis Bachelor Thesis 4
  5. 5. Karlsruhe Service Research Institute www.ksri.kit.edu KSRI one of first European institutions to introduce cognitive technologies / IBM Watson into program Seminars since 2015; 4 groups of 5 students each High demand, interest, and enthusiasm with students Watson APIs, e.g. Watson AlchemyAPI 2016 and 2017: Students present @ CeBIT fair Examples: Watson Travel Advisor Watson Formula 1 Expert Watson Game of Thrones Expert Watson Takes the USMLE 5 Example 1
  6. 6. Karlsruhe Service Research Institute www.ksri.kit.edu Cognitive / analytics assistance for car insurance: reserving for damages 6 Situation – Why? Approach – How? § 3.6 million claims § Comprehensive insurance only § Claims between 2011 and 2016 § Provided by large German insurance company § Claim Reserve 1A123456 400 EUR 2B801234 1200 EUR 3C129398 300 EUR 6F471123 2500 EUR Claim Payments 1A123456 400 EUR 2B801234 1200 EUR 3C129398 300 EUR 6F471123 2500 EUR ! 𝐶𝑙𝑎𝑖𝑚' Current reservation technique Required reservation technique Example 2
  7. 7. Karlsruhe Service Research Institute www.ksri.kit.edu Cognitive / analytics assistance for car insurance: reserving for damages 7 Results – What? Future use cases § Connect the developed model to a cognitive system § Develop insurance claim assistant to automa- tically handle claims for insurance company § Insurance claim assistant leverages developed model to autonomously handle claims and to suggest immediate payment Dimension New model Old model Average deviation % 38.1 % 60% Average 1011 € 1011 € ! 𝐶𝑙𝑎𝑖𝑚' ? Example 2
  8. 8. Karlsruhe Service Research Institute www.ksri.kit.edu Cognitive / analytics support for health insurance: processing medical documents 8 Example 3 Situation § High volume of unstructured data (20000 documents per day) § Medical records contain technical language, codes, abbreviations, Latin terms, … § Time-consuming and costly processing by SMEs § Goal: Accelerate decision making by Watson support Approach Information extraction by Watson Raw medical document Surgery reports: Machine learning based approach Psychological reports: Rule- based approach Annotated document Results § Appropriate approach must be chosen § Rule-based approach is very powerful, but expensive to develop § ML approach based on Watson API provides quick results, but limited customization § F-Scores of 0.55 – 0.57: Cognitive systems are not mature enough for automatic processing, but provide high potential
  9. 9. Karlsruhe Service Research Institute www.ksri.kit.edu www.ksri.kit.edu Thank you for your attention – We are always happy to continue the conversation … Prof. Dr. Gerhard Satzger Karlsruhe Service Research Institute (KSRI) Karlsruhe Institute of Technology (KIT) Kaiserstraße 89, D-76133 Karlsruhe, Germany Director KSRI IBM Deutschland GmbH IBM-Allee 1, D-71139 Ehningen Phone: +49 (0) 721 6084-3227 (KIT) +49 (0) 7034 15-1594 (IBM) Email: satzger@de.ibm.com www.ibm.com 9

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