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Management Support Systems- Advanced Intelligent Systems

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    Advanced Intelligent Systems

    Prof. Rushen Chahal 12-1

    Prof. Rushen Chahal

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    Learning Objectives

    Understand second-generation intelligentsystems.

    Learn the basic concepts and applications ofcase-based systems.

    Understand the uses of artificial neural networks.

    Examine the advantages and disadvantages ofartificial neural networks.

    Learn about genetic algorithms.

    Examine the theories and applications of fuzzyknowledge.

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    Household Financials Vision Speeds Loan

    Approvals With Neural Networks Vignette

    Loan product regulation varies in each state

    Develop an object-oriented loan approval system Neural network-based

    Fed risk, interest rate variables, customer data

    Estimates credit worthiness, potential for fraud

    Pattern recognition

    Integrates all loan approval phases

    Uses intelligent underwriting engine

    Reduced training time and administrative overhead

    Decreased managed basis efficiency ratio Upgradeable to web-based architecture

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    Machine Learning

    Acquisition of knowledge through historical

    examples

    Implicitly induces expert knowledge from history

    Different from the way that humans learn

    Implications of system success and failure

    unclear

    Manipulates of symbols instead of numbers

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    Methods

    Supervised learning Induce knowledge from known outcomes

    New cases used to modify existing theories

    Statistical methods

    Rule induction Case based and inference

    Neural computing

    Genetic algorithms leading to survival of fittest

    Unsupervised learning

    Determine knowledge from data with unknown outcomes Clustering data into similar groups

    Neural computing

    Genetic algorithms leading to survival of fittest

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    Case Reasoning

    Inductive

    Case base used for decision-making

    Effective when rule-based reasoning is not Case

    Primary knowledge element Ossified

    Paradigmatic Stories

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    Human Brain

    50 to 150 billion neurons in brain

    Neurons grouped into networks Axons send outputs to cells

    Received by dendrites, across synapses

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    Neural Networks

    Attempts to mimic brain functions

    Analogy, not accurate model

    Artificial neurons connected in network Organized by topologies Structure

    Three or more layers

    Input, intermediate (one or more hidden layers), output Receives modifiable signals

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    Network Learning

    Learning algorithms Supervised

    Connection weights derived from known cases

    Pattern recognition combined with weighting changes

    Back error propagation Easy implementation

    Multiple hidden layers

    Adjust learning rate and momentum

    Known patterns compared to output and allows for weight adjustment

    Established error tolerance

    Unsupervised

    Only stimuli shown to network Humans assign meanings and determine usefulness

    Adaptive resonance theory

    Kohonen self-organizing feature maps

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    Development of Systems

    Collect data The more, the better

    Separate data into training set to adjust weights

    Divide into test sets for network validation

    Select network topology Determine input, output, and hidden nodes, and hidden layers

    Select learning algorithm and connection weights

    Iterative training until network achieves preset error level

    Black box testing to verify inputs produce appropriate outputs Contains routine and problematic cases

    Implementation Integration with other systems User training

    Monitoring and feedback

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    Genetic Algorithms

    Computer programs that apply processes ofevolution Viability of candidate solutions

    Self-organized

    Adaptable

    Fitness function Measured by objective obtained

    Iterative process Candidate solutions combine to produce generations

    Reproduction, crossover, mutation

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    Genetic Algorithms

    Establish problem Parameters

    Number of initial solutions, number of offspring, number of parentsand offspring for each generation, mutation level, probabilitydistribution of crossover point occurrence

    Generate initial set of solutions Compute fitness functions

    Total all fitness functions

    Compare each solutions fitness function to total

    Apply crossover

    Apply random mutation

    Repeat until good enough solution or no improvement

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    Fuzzy Logic

    Mathematical theory of fuzzy sets

    Imprecise thinking

    Describes human perception

    Continuous logic Not 100% true or false, black or white

    Fuzzy neural networks Fuzzification

    Fuzzy logic applied to input and output used to create model

    Defuzzification Model converted back to original input, output scales

    Output becomes input for another intelligent system

    Prof. Rushen Chahal 12-20


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