Technology – Retail Future In Digital (RFID)

Digitilisation

Technology - Retail Future in Digital (RFiD)

By Stan Jit Singh, Secretary-General, MRCA

“You can have Data without Information, but you cannot have Information without Data”.

DEMYSTIFY ARTIFICIAL INTELLIGENCE (AI)

So, what exactly is AI? – Firstly, AI refers to the simulation of human intelligence in machines that are programmed to think like humans and mimic their actions. The term may also be applied to any machine that exhibits traits associated with a human mind such as learning and problem solving. And so, in the final analysis, and to simply put it, AI is the intelligence that is artificially created for a particular fit and purpose or intent in business, operations, monitoring or research, and that means, anything and everything where it applies.

The ideal characteristic of artificial intelligence is its ability to rationalise and take actions from all data sources, and that have the best chance to achieving a specific goal or outcome to provide a slate or position, for a near accurate decision-making process.

A subset of the AI is machine learning, which refers to the concept that computer programmes can automatically learn from and adapt to new data without being assisted by humans. On the other hand, deep learning techniques enable this automatic learning through the absorption of huge amounts of unstructured data such as text, images, sound or video to provide the correct analytics and perhaps predict the business outcome.

When most of us hear the term, AI, the first thing that comes to mind is, Robots. This is because the movie makers have created that sense of belief from “Star Trek”, “Star Wars” and so on, have weaved stories about human-like machines that wreak havoc on Earth or the neighbouring planets, but nothing could be further from the truth that this science is fictional in nature. Let’s not write this off so soon because with the emerging technologies and the technological revolution cycle and development, it has impacted the current IT & business landscape and we are not far from using AI to disrupt and bring that needed benefit to the organisation in a new and improved way as well. After all, data points are readily available and all we need to do is capture them to good and sound use.

AI can be categorised in three areas respectively for easy understanding and for clarity, namely, Soft AI, Hard AI, and Deep AI. Soft AI – Soft AI can be referenced to as being used in Smart Homes, Smart Appliances, Smart Offices, where processes and interval activation of devices are based on conditions, senses and motions arising in that environment. Hard AI – Hard AI can be referenced to as being used in Smart Cities where a more complex management of the environment is needed in controlling the environment, example, Traffic, Street Lights, Monitoring Cameras, Pedestrian Walks, Information Kiosks, Emergencies, Bus Stop Management, Crime Watch, Facial Recognition, Fall Detection and so on. Deep AI – Deep AI can be referenced to as being used in Smart Factories where some degree of automation has been implemented with the view to automate processes using Robotics for Manufacturing & Production, Early Warnings for Equipment Maintenance Management on Wear & Tear, Manpower & Labour Force Controls, Security Management, Human Fall Detection and Monitoring Premise For Emergencies & Logistics.

Incidentally the above is not an exhaustive list as there are many other related applications and areas that AI is deployed for its rightful purpose in managing the most difficult task/s at a greater speed, accuracy, reliability and flexibility to drive home the benefits and results.

SMART HOME

SMART CITY

SMART FACTORY

What makes AI powerful and effective is that AI feeds on the data received from various data source points, coupled with Big Data. Sets of algorithms, permutations, mathematical formulas, data patterns and data behaviour are embedded together, supported by the high computing power to produce accurate desired results with precision, speed and in a timely manner without any room for error. Although we know that in the technological world, we sometimes refer to “Bad Data” as “GIGO”, meaning, “Garbage In Garbage Out”. Whilst this may be true, AI does need to feed on good data to ensure its data accuracy, data reliability, and data integrity. And thankfully today there are good AI operatives working within the system to weed out and isolate or reject the so-called “Bad Data” and so we are comforted by this notion.

In comparison, can a human mind produce the same results with such speed and accuracy? And you have probably guessed it right, it’s totally impossible for obvious reasons. Why not?, after all isn’t the intelligence created by humans in the first place? You are right as well but it simply cannot be done.

However, even though the intelligence is artificially created but over time, what has happened is that the so-called AI Engine mimics these setups and with continuous process of machine learning or deep learning has capabilities to “learn” and “understand” the data pattern, frequency, velocity, behaviour, appearance, and so on and with the power of the scientific algorithms encoded within the AI Engine and Framework, will make sense of the data to provide reliable information for its good use with actionable intel and allow organisations to make sound and informed decisions about a situation or their business.

Please let me put this into perspective and without naming one of the busiest airports in the world where flights take off and land about every three minutes or so. At the entrance of the departure area there are a good number of smart cameras carefully and precisely crafted for their positions to capture high quality images to track passengers leaving and it takes just one second to compare 16,000 facial images with that of the control hot database list to pick out suspecting passengers with criminal record/s or reported by Interpol. One of many AI’s uses is assisting in real time to battle challenging situations arising and one can never imagine how difficult it would be if this was ever done manually. One of AI’s effective applications utilised is in real time situations arising and there are many more to list in the AI world plus in just about every industry that there is, where the power of AI can be readily deployed to harness benefits.

WHAT ABOUT AI IN RETAIL?

SMART STORE – IN-STORE DATA POINTS

In Retail there are a number of applications and areas where AI is heavily used to solve business, operational challenges and other pain points. Examples of areas where AI is heavily deployed are as follows, namely, 1) Improved Demand Forcasting, Advance

Replenishment & Inventory Optimisation 2) Make Effective Pricing Decision For Merchandising 3) Suppliers Stocks Management & Performance 4) Customer Touch Points Tracking Purchases

Experience, Behaviour & Facial Recongition 5) Transform Drive-Thru & Pick-Up Points on

Customer Experiences 6) Development of Effective Promotions Up sell &

Cross sell 7) Staff Optimization On Service & Performance 8) Timely Order Management, Tracking, Fulfilment & Logistics For Stores & Online Orders 9) Store POS Transactional Fraud Detection & Security 10)Reduction in Shrinkages & Automate Weighing

Scale Pricing Management 11) Increase Sales Through Conversational AI Chatbots

Using Social Media

The use of AI continues to revolutionalise Retail over and above what has already been mentioned and this journey continues as new business applications are built upon the AI foundation and framework combined with Big Data in creating the competitive advatage for the Retailers to take hold of their businesses and to build upon them.

Over time, AI has also shifted the business landscape providing Retailers business opportunities to venture into new grounds in terms of its timing to restart, revamp, reorganise and rebuild their businesses through the Digital Revolution. It is said that the timing can’t be more than now to come on board to take that Digital Journey to embrace AI to create the impact and reshape the organisation’s destiny, if you have not already done so. In the continous use of AI & Big Data, over time this will create what we call today, “Data Driven Cultured Organisation”, for data is the new “currency”.

The pandemic equally has brought this huge opportunity to allow Retailers all alike to embrace newer technologies to disrupt their current business to overcome the roadblocks, obstacles, and cut through the devastated landscape left behind by the pandemic to move forward with a winning start and get to a better place with AI. The Time and Future is Right Now.