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Driving valie with AI for SaaS Products

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Driving valie with AI for SaaS Products

  1. 1. Leveraging AI for boosting your SaaS product/business ROI’s COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM A Presentation by Vishal Sethi, Data Product Leader, Silicon Valley AVP, Bristlecone, Founder Startupomega.com
  2. 2. Insights Building AI Products Integrating AI in SaaS Ecosystem Role of ML in transforming SaaS Product ML as a Service Let us walk through fundamental product design and development thinking behind building world class AI products, that leverage AI to enhance SaaS business drawing examples from tech industry. COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  3. 3. About Me? 20+ Years Cross Industry Contributions within Data, Analytics and AI Product Leader, Investor, Technology evangelist, StartUp mentor Brought a wide array of Enterprise B2B and B2C Products to life What makes my experience unique is diversity of AI projects that I have worked on Keynote speaker in C level summits MSC – Data Science, MBA – strategy, Six sigma – champion, and Master in Finance management Heartfulness meditation practitioner Vishal.sethi@bristlecone.com vishal@startupomega.com COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  4. 4. Goal of this talk today? Inspire and inform product leaders Ideas and methodologies and technologies great products leverage Applied examples to illustrate above COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  5. 5. Thinking of an AI Startup? Open AI - 5-year search growth: 99X+, Funding: $1B (Corporate Round) ◦ creating artificial general intelligence (AI) to benefit humanity. Frame AI - 5-year search growth: 462%, Funding: $17.9M (Series B) ◦ The Voice of the Customer engine Moveworks - 5-year search growth: 1000%, Funding: $305M (Series C) ◦ platform is able to support employees’ issues end-to-end Cloudminds - 5-year search growth: -100%, Funding: $468.6M (Series B) ◦ open end-to-end software for robots H2O.AI - 5-year search growth: -100%, Funding: $251.1M (Series E) ◦ open-source AI platform that allows developers to import algorithms for different use cases Argo - Search growth status: Exploding, Funding: $3.6B (Corporate Round) ◦ first fully integrated self-driving system Eightfold - Search growth status: Exploding, Funding: $396.8M (Series E) ◦ AI to power a suite of HR-related products aimed at retaining, training, and finding the best talent Source: Crunchbase Unicorns Moorethread – 528.5M Mobvoi – 252.8M Scale.AI – 602M Insider – 167 M COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  6. 6. Rethinking products and business models Walter Thompson and Microsoft, 2016 148 MP, 168263 scans, 300 paintings Features –Caucasian male, 30-40 yrs, Facial hair, hat, white collar, facing right Rembrandt Harmenszoon van Rijn, 1606 lead white pigment and oils like linseed oil Titian, Hendrick ter brugghen, High viscosity and slow drying of oil paint COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  7. 7. AI and Product-Market Economics? Business model Digital Abundance New Possibilities AI Is changing the world AI helps you capture digital abundance AI helps you leverage economies of scope and learning beyond scale. COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  8. 8. Algorithms at the core od producst? More data Better algorithms Better service More usage Algorithm delivers customer experience and operational processes, and thus learn and becomes better over a period of time. COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  9. 9. Why AI for SaaS and Digital Economy? Source Competing in the Age of AI, Marco Lansiti COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  10. 10. Idea of an AI factory AI Factory as Operational Foundation COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  11. 11. Idea of an AI factory Source - Sciencedirect.com COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  12. 12. Unlocking Digital ROI’s Source Sameer Singh Breadcrump.vc COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  13. 13. Quick review and thought reference? How to augment human touchpoints with AI for networking and learning? How to build and leverage network effect for value? How to create learning effects to build competitive advantage? Mapping business networks for value for targeted user groups? What networks are key to providing that service, and what are their characteristics? How to overcome challenges with network clustering? Multihoming? Disintermediation? Where are we experiencing or likely to experience strong learning or network effects? AI Learning Effects Network Effects COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  14. 14. Convergence of technologies Virtualization Cloud Networking IoT/Device AI Compute cost Storage cost Data sourcing and generation Data abstraction AI for AI COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  15. 15. Product Planning Business Understanding Data Understanding Data Preparation Modeling Evalution Deployment Source - CRISP-DM model O'Reilly Not just magnitude but sentiments Clear vision on focus for feature engineering Experimentation and appetite for failure High touch custom productionable architecture Monitoring to observability E.g. fraud monitoring for credit card burst Learning system for physically challenged COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  16. 16. Roadmap Execution Data Quality and Standadization Interface Design Prototypes and MVP’s Right Scope Augmenting product with Technical Leadership Testing AI/ML Products UX driven design, user do not care about AI Apple sense of design scope making things work Minimize black box Create appetite for experimentation and failure Create a ecosystem of product design Form right technical partnership A/B, Multivariate testing, Model evaluation, fit and recalibrations, Data biases and more COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  17. 17. Cheatsheets Source ResearchGate Rbloggers Do not hesitate finding cheat sheets on line to map business problems to ML techniques and tools COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  18. 18. Netflix – Can a algorithm save a billion dollar? 1 M $ price to build a baseline algorithm Algorithm that saves 1B in customer retention Recommendation system influence 80% content geolocation, time, weather-data, device, voice recognition etc to recommend the best and most relevant content Viewing history, time and duration Similar members with taste and preferences Featuers such as Genre, categories, actors, releases Personalization of thumb nails Trending now Continue watching Because you watched a movie COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  19. 19. Netflix and AI Personalized recommendations Auto generation of thumbnails Location scouting Streaming quality Movie editing Personalized learning to rank Context awareness Presentation effects Social recommendations Full page optimization Cold start COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  20. 20. Netflix – A sneak peek Strategy Metric Tactic/Project Personalization RMSE Modal algorithm test, Voice ID, Movie personality quick, Language detection Original content % of members who watch at least 10 hours month of a original content Cold start merchandising test, weekly release test, episodic micro docs Watching experience % of customers who watch at least 40 hours/month Ultra HD, customer playback speed, shared viewing, lip synch, algorithms (40 languages) Interactive storytelling % of members who watch at least one hour interactive content per month Support for real timing branching prototyping, Kimmy, Schmidt, launch Strategy Q2 Q3 Q4 Q1 Personalization Mood algorithm test Voice recognition Language detection Movie personality quiz Original content Cold start system Weekly release test Support for episodic micro docs Expert panel forecasting Watching experience Shared viewing Customer playback speed Automated lip syncing in 40 languages Ulta HD custom mobile devices Interactive storytelling Kimmy scmidt launch Real time branch prototyping Voice activated decisions Banderstrach#2 Source - Gibson Biddle, Productled COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  21. 21. Netflix Data Stack a quick glance COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM Source Netflix Blog
  22. 22. A Guiding Framework • Pain and gain • User benefits • MVP – HIP, HBS • Product KPI’s Value Proposition • Automation, Assistance, and Personalization • ML technique • Model metrics and UI Problem Framing • Engineers and Data scientists • Data and variable engineering • Inhouse or Incloud Skills Data, Platform • Architecture – training time, infrastructure as a service • Model best practices • Integrations Microservices • Enhance UX • Enhance model • Enhance data Experiment and Iterate COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  23. 23. ML Platform Conceptual View Source Towards data science 1. Data ingestion and engineering 2. Feature store 3. Model management and obersvability GCP, AWS, Azure offer a verity of services that can be architected to enable this in a short time COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  24. 24. After deployment product management Inputs to pipeline, confidence of model, output it produces Inputs are complete, comply distributions, trigger alarms, model retaining and shutdowns GPU/TPU performance and caching. SLI’ SLO and SLA’s Time based model retaining, Continuous retaining Create a ecosystem of product design Form right technical partnership Michelengalo, Zipine, H2O.ai, Mlflow, Kubeflow, Seldon.io, Dask Debugging I/O validation Task Speed and SlO’s Durability and Monitoring Frameworks COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  25. 25. Embedding AI/ML in SaaS Ecosystem Create MVP don’t disrupt Feature Evaluation Project Estimation Cloud platform and Open stack Teams and Skills Secure your product COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  26. 26. Driving Value with AI in SaaS ecosystem AI’s capacity to learn from a user’s prior experiences can be used to customize interface design in SaaS. Personalization Human-machine, machine-machine processes may it be repetitive or intelligence can be automated with AI and mesh technologies. Automation Machine learning can help to predict user preferences or behavior, product performances, then perhaps trigger alerts or actions when it appears the user is disengaging Prediction An easy and intuitive search reduces the friction leaving customer satisfied in getting relevant results of their searches. Search AI can augment SaaS developers own coding abilities by providing the necessary checks that the coding is good. This avoid early release crashes and bugs while significantly reducing release cycle times. Release COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  27. 27. Some cool examples Personalized styling and clothing recommendation Personalization Customer support bots are able to login to systems and reset passwords based on user request. Automation Uber predicts surges in demand to determine pricing for peak period and optimizes its margins. Prediction Power BI offers voice services to query dashboards and reports. Search Alipay Tencent analyzes the data through machine learning algorithms to inform and automate an expanding variety of services. Release COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  28. 28. Take aways for Product Leaders Problem Framing Ethics Planning and managing project Metrics it’s even possible for an AI product “intervention” to move an upstream business metric, e.g. is recommendation even good? The scale and impact of a product over the difficulty of product development. AI performance tends to degrade over time Is it a problem that should be solved? How can the solution be abused? Markkula Institute at the University of Santa Clara Fault tolerance vs fault intolerant Guardrail metrics, they ensure that the product analytics aren’t giving the wrong signals. E.g reduce pick up time per user vs maximize trips per user COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM
  29. 29. Trends for Product Leaders to watch Human in the loop MLOps and FinOps Observability and Automation No Code Data Fabric COPYRIGHT@ VISHAL SETHI, VISHAL@STARTUPOMEGA.COM

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