Leveraging AI for Mobile Enterprise Applications

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1 Leveraging AI for Mobile Enterprise Applications Michael B. Meiner Oracle Director of Engineering PaaS Strategy and Product Management November 2017

2 Safe Harbor Statement The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle s products remains at the sole discretion of Oracle. Copyright 2017, Oracle and/or its affiliates. All rights reserved. 2

3 My Very First Cell Phone List of features: Makes phone calls Receives phone calls Can store as many as 10 phone numbers What else could you possibly want from a phone?? Copyright 2017, Oracle and/or its affiliates. All rights reserved. 3

4 My current cell phone List of features: texting internet apps gps tv remote and it also makes phone calls! Copyright 2017, Oracle and/or its affiliates. All rights reserved. Confidential Oracle 4

5 Communication Evolution (esp. Digital Natives) ? spam hey website? meh What up? my app? +1 phone? buhbye Then Now Copyright 2017, Oracle and/or its affiliates. All rights reserved. 5

6 Facebook $19B Acquisition Feb 2014 $19 Billion! Feb B+ Users! $19B Ha! Ha! Copyright 2017, Oracle and/or its affiliates. All rights reserved. 6

7 Messaging & Chatbot Market Size and Characteristics Chatbots will cause a near-term disruption in how businesses interact with consumers, and a long term paradigm shift in how people will interact with machines. VentureBeat, May 2016 Copyright 2017, Oracle and/or its affiliates. All rights reserved.

8 Messaging & Chatbot Market Size and Characteristics Copyright 2017, Oracle and/or its affiliates. All rights reserved.

9 The Next Killer Apps Will be Bots Backed by intelligence Bots will start replacing mobile apps. No more looking for an app, downloading an app, updating an app or managing an app Source: Gartner 2016 Copyright 2017, Oracle and/or its affiliates. All rights reserved. 9

10 What is a Chatbot? A chatbot (also chatterbot, chatterbox) is a computer program which attempts to maintain a conversation with a person - Wikipedia Copyright 2017, Oracle and/or its affiliates. All rights reserved. 10

11 There s an App for That fatigue ^ People typically engage with 25 apps per month Top 3 apps represent 80% of use by time After 30 days, only 3% of apps retain their new users Oracle Mobile Checking balance Your checking account Balance is $ Savings balance Your savings account Balance is $7, Transfer $1000 from saving To checking Done. Your checking account balance is $ Your Savings account balance is $6, Messaging is a top 3 app that offers a familiar environment Copyright 2017, Oracle and/or its affiliates. All rights reserved. 11

12 Billions (USD) ChatBot Savings Total Annual Salary Expenditure Potential Annual Savings $79 $43 $32 $20 60% 46% 36% 29% $23 $12 $15 $15 Insurance Sales Representatives Securities, Commodities, and Financial Services Representatives Sales Representatives Customer Service Representatives Note: Estimates are calculated against the potential of bots replacing these positions: Insurance sales rep = 60%; Securities, commodities and financial services rep = 46%; Sales rep = 36%; Customer service rep = 29%. Source: McKinsey estimates, US Office of Personnel Management Bi Intelligence Copyright 2017, Oracle and/or its affiliates. All rights reserved. 12

13 ChatBots Scale Bring it on humans! Chatbots can handle many incoming questions, but Cannot compute handoff to human staff experts can focus on complex questions Copyright 2017, Oracle and/or its affiliates. All rights reserved. 13

14 Banking in am am am am am am am am am Please hold the line To speak with an agent, press 1 One more minute, please... Please hold the line One more minute, please... Please hold the line Did you know, we've won the customer service people choice award Thank you. Please hold the line Good morning. My name is Marissa Turner, How can I assist you? Image courtesy of renjith krishnan at FreeDigitalPhotos.net Copyright 2017, Oracle and/or its affiliates. All rights reserved. 14

15 Banking 2000 Nobody to blame, but in 2017, this customer experience can be improved. Image courtesy of renjith krishnan at FreeDigitalPhotos.net Copyright 2017, Oracle and/or its affiliates. All rights reserved. 15

16 Chatbots Operate on the Conversational Interface Artificial intelligent agents Automate customer interactions Highly scalable Task based, Structured Guide users to completion of a service request Backend Service Integration Can do real work AI, NLP, ML As intelligent as needed Copyright 2017, Oracle and/or its affiliates. All rights reserved. 16

17 Oracle Intelligent Bots Part of Oracle Mobile Cloud Enterprise (OMCe) Bots as a Service Out-of-the-box Language Recognition Intent detection and entity extraction Component Based Dialog Framework Associates states with components to execute logic Custom Components JavaScript development in Node.js to add custom logic and backend integration Multi Channel Integration Facebook, Webhook, Voice and more Copyright 2017, Oracle and/or its affiliates. All rights reserved. 17

18 Demo: ZFashion Bot, a Virtual Assistant for Gen-Z clothing purchases Copyright 2017, 2017, Oracle and/or its its affiliates. All All rights rights reserved. 18

19 Natural Language Processing (NLP) Challenge Src: Copyright 2017, Oracle and/or its affiliates. All rights reserved. 19

20 But if it works as designed Src: Copyright 2017, Oracle and/or its affiliates. All rights reserved. 20

21 Two Broad Categories of Bots Task Oriented Data Driven & Predictive Copyright 2017, Oracle and/or its affiliates. All rights reserved. 21

22 Task Oriented Bots Most common types of bots initially deployed Typically user initiated, but systems can also initiate (e.g. alerts) Highly specialized and structured interactions Integrates with backend systems of record Most useful bots will be in the support or service category Conversational menus, dialog driven user experience Copyright 2017, Oracle and/or its affiliates. All rights reserved. 22

23 Data Driven Predictive Bots Incorporates Big Data Personalized based on profile, past behavior and context aware Monitors data, intent detection, initiates conversation e.g. Monitor campaign and initiate conversation when data crosses threshold Predictive Intelligence based on data key for bots to be a useful in the long run across use-case categories Data Analytics Machine Learning (ML) Natural Language Processing (NLP) Copyright 2017, Oracle and/or its affiliates. All rights reserved. 23

24 Say Hello to Oracle Intelligent Bots Service Copyright 2017, Oracle and/or its affiliates. All rights reserved. 24

25 Oracle Digital Engagement Platform Multi-Channel engagement at your fingertips User Engagement UI Development Back-end Systems Mobile Cloud Service 3 rd party On-premise packaged applications Messaging Cloud Custom applications Copyright 2017, Oracle and/or its affiliates. All rights reserved. 25

26 Oracle Intelligent ChatBot Service: Key Components Unified cross-channel chat interface between bots & humans Custom Channel Configurator Dialog Flow Execution Declarative bot builder UI for bot flow State machine that executes context driven workflows with scoped variables SDK to consume backend API s that satisfy human requests via the bot Custom Components in Dialog Flow AI Engine Active machine learning algorithms that identify relationships and extract insights from unstructured data Copyright 2017, Oracle and/or its affiliates. All rights reserved. 26

27 Oracle Bots: AI Flow Channel Integration Intent Classification Entity Extraction Dialog Execution Channel Agnostic Intent Modeling Entity Parsing YAML Dialog Flow Webhook Natural Language Entity Resolution Dialog State Security Linguistic Modeling Entity Type Built Component Message Processing Bot Model Training Entity Value Custom Component NL Understanding Intent Classification: Balances Required Entities: Account Type Entity Values Integration Component Intent Ranking Confidence 98% Checking Savings Credit Ent data Alex what s my balance For which account? Savings The balance in your checking account is $ Copyright 2017, Oracle and/or its affiliates. All rights reserved. 27

28 Bot Builder UI Demo: Build, Test & Deploy Bots Copyright 2017, Oracle and/or its affiliates. All rights reserved. 28

29 Oracle Cloud Platform for Mobile & Bots One multi channel engagement platform: linking user experiences across Bots, mobile & web One integrated solution brings it all together: channels, dialog flow, AI engine, integration with Bot builder UI Powerful Conversational AI Platform with machine learning, cognitive, context & knowledge services Integration to enterprise systems optimized for Mobile / Bots systems Seamless Hand offs Bot to human agent & Agent to Bot Real-time insights across mobile, bots & web: understand performance, usability issues, paths & test and train the model OPEN Copyright 2017, Oracle and/or its affiliates. All rights reserved. 29

30 Customer Use Cases Business to Consumer (B2C) FINANCE INSURANCE RETAIL UTILITIES Transactional & Customer Service Customer Service (Claims Processing) Business to Employee (B2E) Customer Service (Returns & FAQs) Customer Care & Billing (Outages, Change of residence, Usage) Transportation (Airlines) Customer Service (Seat assignment, flight updates) Single Bot covering Employee Self Service, Expenses, Time management, Sales CRM, Business Analytics, and other employee productivity apps Oracle teams have started embedding Bots for conversational experiences Copyright 2017, Oracle and/or its its affiliates. All All rights reserved. 30

31 Exelon Generation Fortune 100 energy company, largest number of utility customers in the U.S. One of the largest competitive U.S. power generators, operating one of the nation s cleanest and lowest-cost power generation fleets. Omni-Channel Customer Experience Provide modern infrastructure to enhance customer experience through consistent experience across any channel - mobile, web or chatbots Solution Oracle Cloud Mobile, Intelligent Bots, Integration, HCM Cloud, HW With Oracle, we are actively developing a channel agnostic technology architecture that allows us to build once and quickly apply the new capability across multiple channels. Not only does this allow us to deliver solutions for emerging channels quickly, it also ensures that our customers have a consistent experience however they choose to interact with us. Michael Menendez, vice president, IT, BGE and Exelon Utilities Customer Copyright 2017, Oracle and/or its its affiliates. All All rights reserved. 31

32 Ten years from today, the center of our digital lives will no longer be the smart phone, but device that looks like ordinary eyeglasses. What you really see and what is computer generated will be mixed so tightly together, that we won t really be able to tell what is real and what is illusion. Author of: The Fourth Transformation (about AR and AI) Robert Scoble, a blogger, technical evangelist, author Copyright 2017, Oracle and/or its affiliates. All rights reserved. 32

33 Introducing Oracle AR integrated with Oracle Mobile Cloud One cross platform JET AR-SDK partnered with Wikitude Object recognition services & SLAM Maps in the Oracle Mobile Cloud Studio tool to simplify 3D model visualization, 3D space for targets Enhance AR user experience with AI integration (e.g. Image Rec.) Insights into AR Apps along with Mobile, Bots and Web apps Copyright 2017, Oracle and/or its affiliates. All rights reserved. 33

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