From Hype to Impact: Applying This Year's SXSW Highlights to Business Transformation

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<p>PowerPoint Presentation</p> <p>SHELDON INTRODUCE THIS PRESENTATION AS A COMBO OF THE HYPE AT SXSW AND OUR THOUGHTS ON OVERARCHING THEMES FOR THE FUTURE1</p> <p>From Hype to Impact: Applying This Year's SXSW Highlights to Business TransformationMarch 22, 2017</p> <p>SHELDON INTRODUCE THIS PRESENTATION AS A COMBO OF THE HYPE AT SXSW AND OUR THOUGHTS ON OVERARCHING THEMES FOR THE FUTURE2</p> <p>AgendaOverviewThe HypeAccessibility &amp; AffordabilityAugmentation &amp; ReplacementSocial Impact &amp; EthicsCulture &amp; TechThe ImpactReadinessReliabilityEducationPurposeQuestions &amp; Answers</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON3</p> <p>Our leading collaborators span our capabilities as much as they span the globe, bringing a holistic and cross-discipline view to this years trends.Sheldon monteiroGlobal Co-Chief Technology OfficerChicago, USA</p> <p>Simon jamesGlobal Lead for Data AnalyticsLondon, GBMelanie cookHead of Strategy &amp; Consulting, SEASingapore</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON4</p> <p>Section 1Overview</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON5</p> <p>We hosted our very own Innovation Day, where our speaker line-up was packed with some notable names and topics:Augmented Intelligence: The Next-Gen AI with Melanie Cook, Head of Strategy &amp; Consulting, Southeast Asia, SapientRazorfishThe Future of Content Creation with Ron Nagy, Senior Evangelist, AdobeBuilding the Cognitive Businesswith Simon James, Global Head of Performance Analytics, SapientRazorfishHeyMap: Blending Social Media with the Real World with The Communitys Andy Amendola, Director of Digital Strategy, Juan Aguilar, Art Director, and Lindsey Stormer, CopywriterSame, Same, Different: A Conversation on Changing the Ratio in Creative Technology with moderator Keri Elmsly, CCO, Second Story and panelists Ian Sefferman, GM, TUNE Marketing Console ; Julia Kaganskiy, Director, NEW INC at New Museum &amp; Aina Abiodun, Head of Strategy, Sideways Inc.Lessons Learned from Birthing a Bot with Chris Messina, inventor of the hashtag, former Googler, and proud participant in the open source/open web communities</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON6</p> <p>Innovation Day</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON7</p> <p>Our presence at SXSW didnt go unnoticedOne of the highlights from our presence on the ground came in the form of media attention. Most notably, our Innovation Day session with Chris Messina found its way onto CNBC thanks to reporter Michelle Castillo. </p> <p>We also had encore versions of our sessions. Melanie Cook, for example, saw a full audience both times for her session on AI vs. IA, not to mention getting featured on Forbes!</p> <p>Our efforts were also bolstered by social media, where our strong focus on Twitter (and the #SXSW hashtag) generated noteworthy impressions and mentions.TOTAL IMPRESSIONS</p> <p>TOTAL MENTIONS</p> <p>1651.7M</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON8</p> <p>Section 2The Hype: Accessibility &amp; Affordability</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON9</p> <p>Artificial intelligence has reached the state of the idiot savant.40 years ago, AI was a common conversation in academia. Now, the technology has broken out of labs and is being increasingly commercialized.</p> <p>These are some of the most coveted AI applications today:Virtual assistants (Alexa/Google Home)Insight generation (e.g., advanced analytics)Business acceleration (e.g., personalization)</p> <p>That being said, were still decades away from generalized intel. Google, for example, may be able to tell you the time, but not how long until something happens.</p> <p>That future is still being pieced together</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON10</p> <p>Chatbots are still a testing ground.Yes, you can build your own bot, but should you? Chris Messina did and it saved him 320,000 messages that he would have had to send himself.</p> <p>Supporting his choice, he highlighted the following:Social media and the Internet of Things are causing connections to grow exponentially.Messenger bots allow for context and history (unlike webpages).Bots aggregate info from various sources that you publish to from across the web.</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON11</p> <p>Personal assistants are here to stay.Across multiple verticals, leaders are experimenting with voice-activated assistants, asking:What portions of the experience can be automated and how?What does search sound like and how are results communicated?</p> <p>A great example is Lonely Planet, who has successfully shifted from physical publisher to being a digital-led brand. Case in point: theyre now looking into architecting (and monetizing) the planning of entire family vacations via Google Home.</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON12</p> <p>Section 3The Hype: Augmentation &amp; Replacement</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>MELANIE13</p> <p>Our goal should be to ensure that were augmented rather than replaced.Norbert Wieners concept of the negative feedback loop that in which technology works better than and, therefore, replaces us was a common discussion being had at this years SXSW. </p> <p>However, the idea of a positive feedback loop is more beneficial and, lucky for us, more plausible. In this case, exponential technology allows us to work less by automating only certain portions of our actions.We must build technology to be a complement to our humanity, and evolve our interactions with it as it evolves its interactions with us. </p> <p>Take coding, for example. A significant amount of coding will be done by robots, and coding efforts will have to shift into a process of developing products that complement human roles.</p> <p>AI:IA</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>MELANIE</p> <p>Fashion is another great example: You cannot decode fashion simply by looking at data: If retail brands want to provide meaningful online experiences and content, you need human interpretation and machine learning. Online retailers need to dig deeper in today's digital age: ask why consumers want to wear something, and the meaning clothes provide. Digital retailers should leverage both explicit data (information willingly provided) and implicit data (assessing your onsite behavior).14</p> <p>Automation is collar blind.Any tasks that can be automated that can be codified in standard steps and where decisions can be made on perfect information will be. </p> <p>Fukoku Mutual Life Insurance has replaced 34 of its human claims clerks with IBMs Watson Explorer, saving the company $1.1 million a year. </p> <p>Chatbots will replace up to 90% of public sector workers in the UK, as well as tens of thousands in the health sector, by 2030.</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>MELANIE</p> <p>Fukoku Mutual Life Insurance has replaced 34 of its human claims clerks with IBMs Watson Explorer, saving the company $1.1million a year. Theyre investment in Watson would be returned in two years just from salary savings. That doesn't take into account efficiencies from less paper work, faster claims and happier customers.</p> <p>Reform, a British think-thank that looks for efficiencies in public-sector spending, estimates that chat bots will replace up to 90% public-sector worker, as well as 10s of 1000s of people in the NHS and doctor surgeries by 2030, saving GBP4 Bn a year. In the UK it predicts that the healthcare sector will be Uberised. Instead of dealing up a car, youd dial up a surgeon, GP or nurse.</p> <p>15</p> <p>Is your job at risk of automation?If the answer to the above question is yes, then what can you do to drive technology towards being centered around our human strengths and values?</p> <p>The following are four courses of action that we can take as technology reaches superintelligence:Disconnect it from the world (i.e., Faraday Cage)Give the technology only binary responsesBuild an AI verifier (always have an anecdote, remedy, vaccine, etc.)Create a derived value system in which humans hold the values while machines execute (i.e., the tech watches and learns from you)</p> <p>Therein lies the difference between Artificial Intelligence and Intelligence Augmentation.</p> <p>(Collaboration between humans and machines can) amplify human power and release people from the repetitive drudgery of manual labor, in favor of more creative pursuits in knowledge work and the arts.</p> <p>NOBERT WIENER, FATHER OF CYBERNETICS</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>MELANIE</p> <p>Additional thought comparing AI to psychopaths. Psychopaths have no inherent moral compass nor empathy. They are also singleminded about achieving their goals manipulating man and machine to get their way. This is the exact description of an AI.</p> <p>With cooperative inverse reinforcement learning, the human holds the values, and machines carry out behaviour that achieve the values that is has derived.</p> <p>Here the human holds the values, and machines carries out the behaviour that achieves those same values. For this there needs to be a time where robots are allowed to learn what you value before it springs into action. Now how many of you remember how frustrating it was to wait for your new phone to charge. Then Apple came along we new pre-charged phones. The relief, the joy. Cooperative inverse reinforcement learning takes time!16</p> <p>Section 4The Hype: Social Impact &amp; Ethics</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SIMON17</p> <p>Theres no doubt that we saw a significant number of human sessions.Brexit and Trump showed us that profiling is back in a big way and that technology can place us in some uncomfortable situations if we continue to sleepwalk in terms of allowing our data to be accessed and used.</p> <p>Power without controls is dangerous. Technology can certainly help society, but it can also leave many people behind. Social impact and ethics have become key to the conversation. </p> <p>For example, M.I.T.s Andrew McAfee and Erik Brynjolfsson show that technology is widening the gap between the rich and poor in a phenomena called the hollowing out of the economy (specifically, the middle classes).</p> <p>So, who is going to be disenfranchised by technology and who will be empowered by it?Who will decide the regulation around ethics when it comes to evolving technologies such as autonomous cars and data application?Not sure what image to put here</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SIMON18</p> <p>Autonomous cars are sparking debate.As the autonomous car industry grows, so too will the need for legal, political, and ethical conversations and analyses. </p> <p>Danny Shapiro (Senior Director of Automotive @ NVIDIA) states that the government needs to start viewing autonomous cars on public roads similar to the pharmaceutical industry. </p> <p>Automakers will also need to take the responsibility for potential (albeit rare) crashes rather than having fault attributed to the vehicles user.</p> <p>But the biggest elephant in the room is this: What happens when people can hack into your vehicle (as folks from WIRED were able to do with a Jeep)? Will it be possible to design accidents for malicious purposes?</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SIMON</p> <p>As the autonomous car industry grows, so too will the need for legal, political, and ethical conversations and analyses. What will it mean for the future of cities, of the environment, of jobs and the economy? How will car companies choose to program their software to make life-and-death decisions? And how will lawyers and courts and politicians adjudicate those decisions, if and when they (inevitably, eventually) cause damage or loss of life?</p> <p>Similar to the pharmaceutical industry in that the government can never wait until a vehicle has a 0% crash rate, but rather must balance the benefit to the public with the unavoidable (but very small) percentage of side effects that do occur. </p> <p>Note: Fords Argo AI is going to be big. And by diversifying its portfolio, investing in startups and new technologies and data, the company may also be setting itself up nicely for a future that isnt so reliant on individual car sales.</p> <p>19</p> <p>Open APIs stand to change the game.FinTechs have changed what safety and security means being in the cloud was a deal breaker until a few years ago. </p> <p>Going back to cars: Are car companies morally obligated to share information if it could save peoples lives?</p> <p>Now, consumers are required to understand more and more where their data is going.</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SIMON</p> <p>Emotiv brainwear allows you to control the IOT telepathically with your brainwaves. Imagine being able to hack into your brainwaves talk about security!20</p> <p>The right to repair billWhether they be tractors or smartphones, if you don't own the software in your products, then what do you really own? Hardware is inanimate and useless without the software you merely license. You currently dont have the right to repair most devices. But if you cannot repair it, adapt it as you see fit like you can with clothes, for example then, do you really own the item?Legislation, entitled The Right to Repair Bill, is currently tackling this in the US and getting quite a bit of opposition from tech companies.</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON</p> <p>If you want to make something better, then you cannot hack into and do so legally?21</p> <p>SECTION 5The Hype: Culture &amp; Tech</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON22</p> <p>This year was all about bringing diversity from the individual level up to the systematic.A lot of companies talk about diversity, but they dont do it. In fact, they dont even know where to begin an unfortunate trend that was overheard across multiple sessions at this years SXSW. </p> <p>Now, more than ever, the lines between company and community are blurred. People cannot be expected to check themselves at the door and are entitled to certain expectations of their leaders when it comes to support.There will always be opposing points of view, but employees are increasingly expecting the CEO to be a caretaker, listener, and comforter to take a stand in a way that aligns with the companys culture and values.</p> <p>Weve seen this lately with gender discrimination and sexual harassment allegations brought against Tesla by AJ Vandermeyden and against UBER by Susan Fowler.</p> <p>Copyright SapientRazorfish | Confidential#</p> <p>SHELDON</p> <p>A female engineer at Tesla has accused Elon Musks car company of ignoring her complaints of pervasive harassment, paying her a lower salary than men doing the same work, promoting less qualified men over her and retaliating against her for raising concerns.The allegations of AJ Vandermeyden, who still works at the celebrated electric car manufacturer, paint a picture of a hostile work environment dominated by men where inappropriate sexual behavior is tolerated and women face numerous barriers to advance their careers.Vandermeyden, 33, shared her story with the Guardian at a time when Silicon Valley i...</p>