Yalbo Business Space

How to reduce costs using an expert system?

No panic... I will explain what it is...

An expert system, also known as a knowledge based system, is a computer program that contains some of the subject-specific knowledge of one or more human experts. This class of program was first developed by researchers in artificial intelligence during the 1960s and 1970s and applied commercially throughout the 1980s. The most common form of expert systems is a program made up of a set of rules that analyze information (usually supplied by the user of the system) about a specific class of problems, as well as providing mathematical analysis of the problem(s). It is a system that utilizes what appear to be reasoning capabilities to reach conclusions. (Source: Wikipedia)

My theory is very simple as always... I'm not someone that can have complex theories... I'm too lazy for that...

Let's say your business includes a large part of decision making and problem solving. In general, you will need some very clever and qualified employees to first of all understand the parameters of the problem and then propose the optimized solution(s) to you or an end-user. Hiring such employees is often extreemly hard, consisting of a large part of your cost (training, salary, etc...) and furthermore can be a serious pain in your business expansion.

If an expert system fully suitable for your problems was available, your life would have been much more easier now. You could in theory:
- Find more rapidily and easily employees suitable for the job you propose and ensure the expansion of your business at the speed you choose. In other words, the number of employees available of a specific mission is not the bottle neck anymore.
- Reduce the costs using on 3 differents vectors: hiring campagns cost saving, employee's salary cost saving, and training cost reduction.

Note that the cost of expert system on its own is not so high, the problem is more:
- To make it correct. Imagine using a system that gives you results with even let's say 20% of errors... It could be disaster for your entire business.
- TTM (Time To Market). Set-up such a system can take months of development and testing.

In short, if it's done very carefully and with the focus of your best people, this can be the key to the success of your company.
(Note that the next trend will be to have expert systems embedded in your CRM and covers all the entire flow of transactions faced by your business)

(:~ This article is for Myriam and the rest of the world ~:)

posted by Yohan [Yonathan] Albo @ 9:44 PM

Tweet