&
Machine Learning
Nugroho Gito – ngito@id.ibm.com
IBM Indonesia - Software Architect
Cognitive Computing

Agenda
1. What is Cognitive Computing
2. Cognitive Computing Adoption
1. Where we are today
2. Where we are heading tomorrow
3. Cognitive Computing in Vertical Industries
3. Tap into Cognitive Computing evolution
1. Watson API
2. Watson Developer Cloud Resources
4. Demo!!

What is Cognitive Computing

We’ve come a long way…
4
Imagination Innovation
… and this is only the beginning!
IBM Institute for Business Value

Pioneers and significant events…
have shaped where we are today…
We are moved increasingly closer to the cognitive functions
5
1974- 1980: 1st AI “Winter”
1950s 1960s 1970s 1980s 1990s 2000s 2010…
1956: “Birth” of AI
John McCarthy coins term
artificial intelligence (AI) at
Dartmouth Conference
1965: First Expert System
Stanford team led by Ed
Feigenbaum creates DENDRAL
1987- 1993: 2nd AI “Winter”
1950: Turing Test
Turing introduces way to
test for intelligent behavior
1990s: AI on www
AI-based extraction
programs prevalent on www
1997: Deep Blue
IBM Deep Blue defeats
World Chess Champion
2011: Watson
IBM’s Watson competes
and wins on Jeopardy!
2005: Autonomous Car
Stanford-built autonomous car wins
DARPA Grand Challenge
IBM Institute for Business Value
2014: Key Market Moves
IBM formation of Watson Group and
Google acquisition of Nest Labs

käg-nə-tiv (adjective): of, relating to, or involving
conscious mental activities (such as thinking,
understanding, learning, and remembering)
Late 16th century: from medieval Latin cognitivus, from cognit- 'known', from the verb cognoscere.
Cognitive skills are the core skills your brain uses to think, read, learn,
remember, reason, and pay attention. Working together, they take incoming
information and move it into the bank of knowledge you use every day at
school, at work, and in life
What is Cognitive?

Cognitive systems democratize innovation by scaling knowledge.
Ingestion, Integration, Governance

Cognitive systems
Humans excel at:
Dilemmas
Compassion
Dreaming
Abstraction
Imagination
Morals
Generalization
Common Sense
Cognitive Systems
excel at:
Natural Language
Locating Knowledge
Pattern Identification
Machine Learning
Eliminate Bias
Endless Capacity
forge a new partnership between man and machine.
Cognitive systems amplify
human cognition.
And the cognitive systems are not
programmed. They learn their behavior
through training.

Over time, cognitive systems will
simulate more of how the brain actually
works and help us solve the world’s
most complex problems by penetrating
the complexity of Big Data.

Cognitive Systems Capabilities
REASON
They can reason, grasp
underlying concepts,
form hypotheses, and
infer and extract ideas.
UNDERSTAND
Cognitive systems
understand imagery,
language and other
unstructured data
like humans do.
LEARN
With each data point,
interaction and
outcome, they develop
and sharpen expertise,
so they never stop
learning.
INTERACT
With abilities to see,
talk and hear, cognitive
systems interact with
humans in a natural
way.
Capabilities differentiate cognitive systems from traditional programmed computing systems…

Cognitive Computing Complements Traditional Analytics
by creating a value continuum for the industry
Analytics Cognitive Computing
 Addresses predefined
problems
 Addresses ambiguous
problems
 Provides accurate and
definitive answers
 Provides answers with a
margin of error
 Handles information with
known semantics
 Handles information
without explicitly knowing
semantics
 Interacts in formal digital
means (e.g. commands,
screens) with humans
 Interacts in natural
language with humans

Cognitive systems rely on collections of data and information
Data, information, and expertise create the foundation.
• Examples include:
• Analyst reports
• tweets
• Wire tap transcripts
• Battlefield docs
• E-mails
• Texts
• Forensic reports
• Newspapers
• Blogs
• Wiki
• Court rulings
• International crime database
• Stolen vehicle data
• Missing persons data

Cognitive Computing Adoption

Watson
In 2011, IBM created
a system to play the
Jeopardy game against
the best human players
… and named it:
Watson won the game

Watson Process Overview
. . .
Answer
Scoring
Models
Answer &
Confidence
Question
Evidence
Sources
Models
Models
Models
Models
ModelsPrimary
Search
Candidate
Answer
Generation
Hypothesis
Generation
Hypothesis and Evidence
Scoring
Final Confidence
Merging & Ranking
Synthesis
Answer
Sources
Question &
Topic
Analysis
Evidence
Retrieval
Deep
Evidence
Scoring
Learned Models
help combine and
weigh the Evidence
Hypothesis
Generation
Hypothesis and Evidence
Scoring
Question
Decomposition
431 2
https://www.youtube.com/watch?v=DywO4zksfXw&t=44s

How far have we progressed since Jeopardy
R&D
Demonstration
Commercialization
Cross-industry
Applications
IBM
Research
Project
(2006 – )
Jeopardy!
Grand
Challenge
(Feb 2011)
Watson
for
Healthcare
(Aug 2011 –)
Watson
Industry
Solutions
(2012 – )
Watson
for Financial
Services
(Mar 2012 – )
Expansion
New IBM Division

Current IBM Watson Technology Adoption
19
36
Countries
50,000
Students
in Melbourne
5.5M
Citizens
in Singapore
5
Languages
Learned by Watson
160
Universities
offering Watson courses
400+
Partners
Powered by Watson
1.1M
Patients
at Bumrungrad
29
Industries
80K
Developers
building with Watson
As the Watson technology evolves and deepens, so too are the ways it’s
being put to work in the world.

2020
Help oil
companies
mitigate risks
and improve
operations

2121
Help lawyers
get answers to
tough legal
research
questions

2222
Help doctors
diagnose and treat
patients

23
Provides tactical,
strategic and
command-level
access to vast
quantities of
seemingly
unrelated data.

24
Extends the power
of cognitive
computing to
connected cars,
acquiring data from
sensors and
systems to improve
the in-car
experience
Gartner predicts
there will be
250 million
connected vehicles
on the road by
2020.*

Humanoid
companion
created to
communicate with
humans through
his voice, touch,
and the
expression of his
emotions.
How can I help you?
Hi,
My name is Pepper,
“
“

Where Are We Heading Tomorrow?
• There was more than $300 million in venture capital invested in AI startups in 2014, a 300% increase over the year before.
(Bloomberg)
• By 2020, 85% of customer interactions will be managed without a human. (Gartner)
• 32% of executives say voice recognition is the most-widely used AI technology in their business. (Narrative Science)
• By 2018, six billion connected devices will proactively ask for support. (Gartner)
• 44% of executives believe artificial intelligence’s most important benefit is “automated communications that provide data
that can be used to make decisions.” (Narrative Science)
• By the end of 2018, “customer digital assistants” will recognize customers by face and voice across channels and
partners. (Gartner)
• 80% of executives believe artificial intelligence improves worker performance and creates jobs. (Narrative Science)
• By 2020, smart agents will manage 40% of mobile interactions. (Gartner)
• Artificial intelligence will replace 16% of American jobs by the end of the decade. (Forrester)
• 15% of Apple phone owners users use Siri’s voice recognition capabilities. (BGR)
http://customerthink.com/artificial-intelligence-in-business-10-important-statistics/

Next Cognitive Computing Evolution – Brain Chip
SyNAPSE is a DARPA-funded
program to develop electronic
neuromorphic machine technology
that scales to biological levels. More
simply stated, it is an attempt to build
a new kind of computer with similar
form and function to the mammalian
brain. Such artificial brains would be
used to build robots whose
intelligence matches that of mice and
cats.
http://www.research.ibm.com/cognitive-computing/brainpower/
https://www.youtube.com/watch?v=5izS3lAZHmI

Tap into Cognitive Computing
evolution

Follow
instructions
Programmable computing
Numbers, strings,
structured, algorithms,
precise, deterministic
Learn from
input
Languages, images, videos,
unstructured, concepts,
relationships, fuzzy,
probabilistic
Cognitive systems
Cognitive Development Requires a paradigm shift

Watson Developer can focus on solving world problems
Industry
Solutions
Cognitive
Platform
Cognitive
Science
Probabilistic
Statistics
Reasoning
Algorithm
Machine
Learning
Natural
Language
Processing
Information
Retrieval
Neural
Network
Commerce
Education
Energy
Financial Services
Health
IoT
Marketing
Security
Supply Chain
Transportation
Public Sector
Natural Language
Processing
Machine Learning
Question Analysis
Feature Engineering
Ontology Analysis

CONVERSATION
Watson trained on
a domain to
understand
questions from a
real human and
answer in context
DISCOVERY
Watson relied on
as a researcher’s
assistant to
provide guidance
on what to look for
LANGUAGE
ANALYTICS
Use Watson to
make sense of
vast textual data
within your
systems
360° VIEW
Watson deployed
to get a 360
degree view of a
topic without
needing a data
mart
MICROSERVICES
Democratising
Cognitive
capabilities for
developers to
access and build
FOCUSED
The Cognitive
Solutions Team is
hard at work to
create specialised
solutions
IBM Watson: A Portfolio of Capabilities

Watson APIs to apply cognitive capabilities.
32
Message Resonance
Concept Expansion
Face Detection
Natural Language Classifier
Speech to Text
Text to Speech
Language Translation
Language Detection
Sentiment Analysis
Dialog
Retrieve and Rank
Image Link Extraction
Tradeoff Analytics
Entity Extraction
Tone Analyzer
Personality Insights
Taxonomy
Author Extraction
Concept Tagging
Relationship Extraction
Concept Insights
Relationship Extraction
Question & Answer
Feed Detection
Keyword Extraction
Visual Recognition
Image Tagging
Text Extraction
IBM’s Watson technology is served today in the
Cloud through 28 publicly accessible APIs
Retrieve and Rank
Natural Language
Classifier
Tone Analyzer
Natural Language
Processing
Machine Learning
Question Analysis
Feature Engineering
Ontology Analysis
… Soon to become 50 APIs

Team behind IBM Watson Q&A 2011
It took 2 years of multi disciplines IBM Researcher to build the first Watson with IBM
DeepQA software to win Jeopardy game back in 2011
www.research.ibm.com/deepqa/deepqa.shtml
https://www.research.ibm.com/deepqa/faq.shtml

Natural Language Question Answering System
https://github.com/tanmayb123
http://www.atimes.com/article/technology-for-these-indian-kids-coding-is-childs-play/
http://factordaily.com/tanmay-bakshi-worlds-youngest-watson-programmer/
Team behind NLQA 2016
5 years later, IBM has push Cognitive
Computing adoption to broader
industries and audience

Sign in to IBM Bluemix to access IBM Watson API
Get your Bluemix account to access Watson API (http://www.bluemix.net/)

Join cognitive computing evolution now
1. Register Bluemix account
http://www.bluemix.net/
2. Browse Watson API Starter kits
https://www.ibm.com/watson/developercloud/starter-kits.html
https://github.com/watson-developer-cloud/
3. Join Watson Developer Cloud Community
https://developer.ibm.com/watson/
https://www.ibm.com/developerworks/topics/watson/
http://stackoverflow.com/questions/tagged/ibm-watson-cognitive/
4. Access Watson API via REST API or SDK
https://github.com/watson-developer-cloud/java-sdk
https://github.com/watson-developer-cloud/node-sdk
https://github.com/watson-developer-cloud/python-sdk
https://github.com/watson-developer-cloud/android-sdk
https://github.com/watson-developer-cloud/ios-sdk

Watson Demo

Watson Demo
1. Credit Card Navigator
2. Cognitive Claims

Credit Card Navigator
39
Top attractive
features on a
credit card
Credit card usage for college
students
• Rewards
• Card
Brand
• Flexibility
Market Opportunity
The average American owns 3-4 credit cards
43%
People that apply
for a credit card are
not confident they
will be approved
30% Americans don’t
own a credit card
Freshmen
Sophomore
Junior
Senior
14%
27%
40%
47%

Credit Card Navigator Overview
40
Natural
Language
Dialog
Educate
Humanize the chat bot experience with natural language input and
responses.
The chat framework is able to educate the user on general
knowledge around credit scores, building credit, billing, maximizing
benefits, etc..
Chat bot is full of pre-trained intents pertaining to education on
various cards, maximizing benefits, personalized recommendation
based off the conversation.
Solution Components
• Watson Conversation
• Retrieve & Rank
• Text to Speech
• Predictive Analytics (future)
Content Sources
• Credit Card FAQ’s
• Credit Card Wikis
• Interest Rate Wikis
Multi-channel
Engagement
Whether it is SMS text, in-app messaging, or chat on Facebook or
Slack, the chat bot can run on any engagement platform to support
customer requirements.
Increase Sales
Increase Customer
Satisfaction
Client Benefits:

Insurance Industry - Key Challenges
Current state of the industry and how it affects insurance companies
41
Manual Fact
Extraction
Audit processes have revealed less than
80% of claims meet the quality standard
on average
53% of insurance companies cite lack of IT
resources as the main stumbling block in
implementing anti-fraud technology
50% of a claims professional’s time is
spent on administrative activities such
as compiling and fact-checking data
Manual time intensive task to
review all submitted documents
and identify additional
informational needs
Maintaining
Knowledge
Insurance professionals struggle in
identifying and evaluating risk
exposure due to lack of uniformity
and control
Unidentified
Fraud
?
Each claims handler relies on
their own experience to make a
liability and valuation
determination for claims

Current state of the industry and how it affects insurance companies
42
Fact Extraction Claims Analysis Decisioning
Simplify information gathering
- Extract info from submission
documents
- Identify gaps in submission
information
- Provide provenance and audit
trail of facts
Transform claims decisioning
- Automate simple claims
- Provide likelihood of acceptance
- Perform pattern-based,
contextual fraud analysis
Enrich claims data
- Identify claims “like this”
- Case Law related to the claim
- Personality of the claimant
solicitor
- Workflow management – route
to most relevant adjustor
CognitiveCapabilities
Watson Claims Advisor

Watson Claim Advisor Solution Architecture
• Watson Explorer v11 AE for Text
Analytics incl Entity Extraction
• Watson Document Conversion for
converting PDF’s/Word’s into text
• Watson AlchemyData News for
related news articles relevant /
related to the claim
• Watson Personality Insights * to
create a personality portrait of
litigator
• Watson Retrieve & Rank * for
fetching related sections in the
policy guidelines
– Watson Visual Recognition * to
augment claim based on visual info
from photos, etc.
• Watson Relationship Extraction with
Medical / HC Cartridge
43
Corpus
Medical Reports
Watson
Document
Conversion
(convert PDF/HTML to
Passage Units)
WEX AE API’s
(annotate & reason
facts)
Medical
Report
Passage
Units
Watson
Relationship
Extraction (Medical &
HC Entity + Relation
Extraction)
Watson
AlchemyData News
(Relevant & Related
News)
IBM Insights for
Twitter
Cognitive Claims 360o UI (Responsive App)
Claims Analyst
Raw PDF’s /
HTML’s
Claims Queue
Claims Facts &
Details
Medical Report
Analysis
Additional
Claims Analytics
Claims Data
Watson
Personality Insights
(Claim Solicitor Portrait)
Claims Store
(Synched from External
IT Systems, Files, Box
etc.)
Bluemix Rules &
Workflow
Predictive Analytics
Watson Retrieve &
Rank
(for related sections in
the policy guidelines)

Cognitive Computing Journal
1. http://ieeexplore.ieee.org/xpl/tocresult.jsp?reload=true&isnumber=6177
717&cm_mc_uid=45715670813514779035039&cm_mc_sid_50200000
=1479265460
2. http://www.research.ibm.com/journal/
3. http://ieeexplore.ieee.org/stamp/stamp.jsp?arnumber=6905473
4. http://ieeexplore.ieee.org/document/7229264/?reload=true&arnumber=
7229264
5. http://www.research.ibm.com/articles/brain-chip.shtml

“In the future, every decision that
mankind makes is going to be
informed by a cognitive system
like Watson”
http://www.businessinsider.co.id/ginni-rometty-on-ibm-watson-and-ai-2015-5/#l8EWIWQROgr3tlUi.99

Thank You