Machine learning is a branch of artificial intelligence (AI) and computer science which focuses on the use of data and algorithms to imitate the way that humans learn, gradually improving its accuracy.
Machine learning is an important component of the growing field of data science. Through the use of statistical methods, algorithms are trained to make classifications or predictions, uncovering key insights within data mining projects. These insights subsequently drive decision making within applications and businesses, ideally impacting key growth metrics. As big data continues to expand and grow, the market demand for data scientists will increase, requiring them to assist in the identification of the most relevant business questions and subsequently the data to answer them.
While machine learning and artificial intelligence (AI) have been used in supply chain applications for some time, there is an ongoing arms race to more effectively leverage both machine learning and artificial intelligence in demand planning solutions in new ways.
This is not surprising. Demand planning is one of the key applications in supply chain planning (SCP) suites. In ARC’s recent global market study on this market, demand applications account for just under a third of a $2 billion plus market. And these applications are often the wedge purchase; the SCP solution that is first implemented by a company that then goes on to purchase other solutions in the suite.
Machine learning works by taking the output of an application (for example, a forecast), examining that output against some measure of the truth, and then adjusting the parameters or math involved in generating the output (forecast), and seeing if the adjustments lead to more accurate outputs. It can truly be said that the machine is learning from experience.
One of the key trends in the AI world is machine vision. We now have computers that can see and recognize objects on a video or photograph. Language processing is also making big advances, so machines can understand our voices and speak back to us.
artificial intelligence (AI), the ability of a digital computer or computer-controlled robot to perform tasks commonly associated with intelligent beings.
Leave a Reply