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2022 IEEE MetroXRAINE
Future of AI and IA:
A Service Science Perspective
Jim Spohrer
Retired Executive – IBM and Apple
UIDP Senior Fellow & Member ISSIP.org
Questions: spohrer@gmail.com
Twitter: @JimSpohrer
LinkedIn: https://www.linkedin.com/in/spohrer/
Slack: https://slack.lfai.foundation
Presentations online at: https://slideshare.net/spohrer
Thanks to Pasquale Arpaia and Cristina Mele for the invitation
to discuss Future of AI and IA
Friday October 28, 2022, 11:00-12:00 Rome Time
Highly recommend:
Humankind: A Hopeful History
By Dutch Historian, Rutger Bregman
<- Thanks
To Ray Fisk
For suggesting
this book, see
My summary here.
LA LUCE DELLA SCIENZA CERCO E ‘L BENEFICIO
10/28/2022 Jim Spohrer (ISSIP.org) 2
I seek the light of science and benefit
National Research Council HQ of Italy
Piazzale Aldo Moro 7, Roma
“The goal of science is to make the wonderful and complex
understandable and simple – but not less wonderful.” – Herb
Simon, The Sciences of the Artificial
10/28/2022 Jim Spohrer (ISSIP.org) 3
Prof. Mariano Alcaniz
XRBB = Extended Reality
Behavioral Biomarkers
10/28/2022 Jim Spohrer (ISSIP.org) 4
Prof. Cristina Mele
Science as a public good.
10/28/2022 Jim Spohrer (ISSIP.org) 5
Today’s Talk
Jim Spohrer, Board of Directors, ISSIP.org
Jim Spohrer serves on the Board of Directors of the International Society of
Service Innovation Professionals, and as a contributor to the Linux Foundation
AI and Data Foundation. He is a retired IBM Executive since July 2021, and
previously directed IBM’s open-source Artificial Intelligence developer
ecosystem effort, was CTO IBM Venture Capital Group, co-founded IBM
Almaden Service Research, and led IBM Global University Programs. After his
MIT BS in Physics, he developed speech recognition systems at Verbex (Exxon)
before receiving his Yale PhD in Computer Science/AI. In the 1990’s, he attained
Apple Computers’ Distinguished Engineer Scientist and Technologist role for
next generation learning platforms. With over ninety publications and nine
patents, he received the Christopher Loverlock Career Contributions to the
Service Discipline award, Gummesson Service Research award, Vargo and Lusch
Service-Dominant Logic award, Daniel Berg Service Systems award, and a
PICMET Fellow for advancing service science. Jim was elected and previously
served as LF AI & Data Technical Advisory Board Chairperson and ONNX Steering
Committee Member (2020-2021), UIDP Senior Fellow for contributions to
industry-university collaborations.
7
From 2002 - 2009, Jim co-founded
IBM Almaden Service Research (ASR)
ASR mission - advance service science
and people-centered, data-driven
service innovation
Who I am
Who I am: Take 2
The Three Ages of Man (Giorgione)
Thanks to Alan Hartman for kind inspiration (slides) (recording)
Service is an actor applying resources (e.g., knowledge) to benefit another
Service system entities are responsible actors that give and get service
(e.g., people, businesses, universities, nations, etc.)
Service science studies service systems as an evolving ecology
of responsible actors that interact and change.
Service innovations improve win-win interaction and change
in business and society
Service systems are dynamic configurations of four types of resources
What I study
Service Science and Open Source AI – Trust is key to both
Service
Science
Artificial
Intelligence
Trust:
Value Co-Creation/Collaboration
Responsible Entities Learning to Invest
Transdisciplinary Community
Trust:
Secure, Fair, Explainable
Machine Collaborators
Open Source Communities
Two disciplines: Two approaches to the future
Artificial Intelligence is almost seventy-years-old discipline in computer
science that studies automation and builds more capable technological
systems. AI tries to understand the intelligent things that people can do
and then does those things with technology. (https://deepmind.com/about “...
we aim to build advanced AI - sometimes known as Artificial General Intelligence (AGI) - to
expand our knowledge and find new answers. By solving this, we believe we could help
people solve thousands of problems.”)
Service science is an emerging transdiscipline not yet twenty-years- old
that studies transformation and builds smarter and wiser socoi-
technical systems – families, businesses, nations, platforms and other
special types of responsible entities and their win-win interactions that
transform value co-creation and capability co-elevation mechanisms
that build more resilient future versions of themselves – what we call
service systems entities. Service science tries to understand the
evolving ecology of service system entities, their capabilities,
constraints, rights, and responsibilities, and then then seeks to improve
the quality of life of people (present/smarter and future/wiser) in those
service systems.
Artificial Intelligence
Automation
Generations of machines
Service Science
Transformation
Generations of people
(responsible entities)
Service systems are dynamic configurations of people,
technology, organizations, and information, connected
internally and externally by value propositions, to other
service system entities. (Maglio et al 2009)
Overlap
Acknowledgement: E. Noei, S. Brisson, Y. Liu
2010
2019
11
Kelly Lyons
Service Science: Conceptual Framework
10/28/2022 (c) IBM MAP COG .| 12
Service Science
(c) IBM MAP COG .| 13
Service Science: Transdisciplinary Framework to Study Service Systems
Systems that focus on flows of things Systems that govern
Systems that support people’s activities
transportation &
supply chain water &
waste
food &
products
energy
& electricity
building &
construction
healthcare
& family
retail &
hospitality banking
& finance
ICT &
cloud
education
&work
city
secure
state
scale
nation
laws
social sciences
behavioral sciences
management sciences
political sciences
learning sciences
cognitive sciences
system sciences
information sciences
organization sciences
decision sciences
run professions
transform professions
innovate professions
e.g., econ & law
e.g., marketing
e.g., operations
e.g., public policy
e.g., game theory
and strategy
e.g., psychology
e.g., industrial eng.
e.g., computer sci
e.g., knowledge mgmt
e.g., statistics
e.g., knowledge worker
e.g., consultant
e.g., entrepreneur
stakeholders
Customer
Provider
Authority
Competitors
resources
People
Technology
Information
Organizations
change
History
(Data Analytics)
Future
(Roadmap)
value
Run
Transform
(Copy)
Innovate
(Invent)
Stackholders (As-Is)
Resources (As-Is)
Change (Might-Become)
Value (To-Be)
Why the complex systems trend is impotant
Business and societal systems and supply chains are increasingly complex and interconnected.
Real-world problems do not respect discipline boundaries.
Scalable solutions require many schools of practice working together, and current solutions may have unintended
consequences, short-term or longer-term, especially if perspectives are not invited/considered.
Technological progress improved the scalability of agriculture and manufacturing, and next all types of service will be
made more scalable (and currently, energy intensive) by future AI capabilities and progress.
A small sampling of schools and disciplines below – more exist  - apologies for not adding yours to this summary.
School of practice for
Physical Sciences & Engineering
Technology
School of practice for
Behavioral $ Social Sciences,
Humanities & Arts
People
School of practice for
Managerial Sciences &
Entrepreneurship
Information & Organizations
Comp. Sci./AI
HCI/Robotics
Electrical &
Mech. Eng.
Systems
Engineering
Economics Public Policy
& Law
Design Information
Systems
Operations
Research
Marketing &
Strategy
Read enough of Kline (1995) to understand conceptual foundation of multidisciplinary thinking
and the techno-extension factor and the accelerating soci—technical system design loop concepts.
10/28/2022 National Academy - Service Systems and AI 14
Early Service Science Work
• Revisiting SSME and T-Shaped Skills in the AI Era
• SERVICE SCIENCE DEFINED.—In this section, the term ‘‘service
science’’ means curricula, training, and research programs that
are designed to teach individuals to apply scientific, engineering,
and management disciplines that integrate elements of
computer science, operations research, industrial engineering,
business strategy, management sciences, and social and legal
sciences, in order to encourage innovation in how organizations
create value for customers and shareholders that could not be
achieved through such disciplines working in isolation.” (US 110th
Congress 2007)
• T-SHAPED SKILLS DEFINED. – T-shaped skills is a metaphor for
describing the skills of a person who combines both breadth and
depth, like the shape of the letter T - a combined generalist with
excellent interactional communication skills across business and
technology as well as a specialist in one or more areas with
contributory problem-solving skills, the area(s) of the person’s
earned “bon fides.” (see also IfM and IBM 2008).
Service Systems Engineering in the Human-Centered AI Era 15
Nick Donofrio
IBM Fellow Emeritus
NAE Member
Service Systems Engineering in the Human-Centered AI Era 16
Value
Science
Engineering
Policy
Investing in Skills
for Diverse Systems to
Sustainably Serve
People and Planet
in the AI Era
Management
Service
Science
Management
Engineering
Many disciplines
Many sectors
Many regions/cultures
(understanding & communications)
Deep
in
one
sector
Deep
in
one
region/culture
Deep
in
one
discipline
T-Shaped Skills
Depth and Breadth
People-centered
Data-intensive
+Design-Arts-
Public-Policy
Why upskilling with AI trend is important to systems thinking
Talent development is moving from I to T to X (eXtended with AI)
National Academy - Service Systems and AI 17
6 T-shape Skills
Knowledge Areas
To be eXtended
By AI tools:
1. Disciplines
2. Systems
3. Cultures
4. Technologies
5. Practices
6. Mindsets
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10/28/2022 Jim Spohrer (ISSIP.org) 18
APPLE
https://podcasts.apple.com/us/podcast/service-science-and-the-impending-ai-revolution/id1612743401?i=1000583800244
SPOTIFY:
https://open.spotify.com/episode/0n3h9rgX6UYDCwxgTzokoK?si=yVF0mtHsRZSmdfy-aMi8DA
GOOGLE
https://podcasts.google.com/feed/aHR0cHM6Ly9mZWVkcy5idXp6c3Byb3V0LmNvbS8xOTQ5NTE3LnJzcw?sa=X&ved=2ahUKEwiPzL-Zxvv6AhXzjo4IHVbTAuUQ9sEGegQIARAC
Timeline: Every 20 years,
compute costs are down by 1000x
• Cost of Digital Workers
• Moore’s Law can be thought of as
lowering costs by a factor of a…
• Thousand times lower
in 20 years
• Million times lower
in 40 years
• Billion times lower
in 60 years
• Smarter Tools (Terascale)
• Terascale (2017) = $3K
• Terascale (2020) = ~$1K
• Narrow Worker (Petascale)
• Recognition (Fast)
• Petascale (2040) = ~$1K
• Broad Worker (Exascale)
• Reasoning (Slow)
• Exascale (2060) = ~$1K
19
10/28/2022 Jim Spohrer (ISSIP)
2080
2040
2000
1960
$1K
$1M
$1B
$1T
2060
2020
1980
+/- 10 years
$1
Person Average
Annual Salary
(Living Income)
Super Computer
Cost
Mainframe Cost
Smartphone Cost
T
P
E
T P E
AI Progress on Open Leaderboards
Benchmark Roadmap to solve AI/IA
Timeline: GDP/Employee
10/28/2022 Jim Spohrer (ISSIP) 20
(Source)
Lower compute costs translate into increasing productivity and GDP/employees for nations
Increasing productivity and GDP/employees should translate into wealthier citizens
AI Progress on Open Leaderboards
Benchmark Roadmap to solve AI/IA
Timeline: Leaderboards Framework
AI Progress on Open Leaderboards - Benchmark Roadmap
Perceive World Develop Cognition Build Relationships Fill Roles
Pattern
recognition
Video
understanding
Memory Reasoning Social
interactions
Fluent
conversation
Assistant &
Collaborator
Coach &
Mediator
Speech Actions Declarative Deduction Scripts Speech Acts Tasks Institutions
Chime Thumos SQuAD SAT ROC Story ConvAI
Images Context Episodic Induction Plans Intentions Summarization Values
ImageNet VQA DSTC RALI General-AI
Translation Narration Dynamic Abductive Goals Cultures Debate Negotiation
WMT DeepVideo Alexa Prize ICCMA AT
Learning from Labeled Training Data and Searching (Optimization)
Learning by Watching and Reading (Education)
Learning by Doing and being Responsible (Exploration)
2018 2021 2024 2027 2030 2033 2036 2039
10/28/2022 Jim Spohrer (ISSIP) 21
Which experts would be really surprised if it takes less time… and which experts really surprised if it takes longer?
Approx.
Year
Human
Level ->
+3
See: https://paperswithcode.com/sota
10 million minutes of experience
10/28/2022 Understanding Cognitive Systems 22
2 million minutes of experience
10/28/2022 Understanding Cognitive Systems 23
IA Progression – Tool, Assistant, Collaborator, Coach, Mediator
10/28/2022 Jim Spohrer (ISSIP) 24
Rouse & Spohrer (2018)
Siddike, Spohrer, Demirkan, Kodha (2018)
Araya (2018)
Spohrer& Siddike (2018)
Intelligence Augmentation (IA) =
Socio-Technical Extension Factor on Capabilities
• Engelbart (1962)
• Spohrer & Engelbart (2002)
10/28/2022 Jim Spohrer (ISSIP) 25
Dedicated to Douglas E. Engelbart, Inventor
The Mouse (Pointing Device)
The Mother of All Demos
Bootstrapping Practice/Augmentation Theory
Note: Bush (1945) and Licklider (1960) created funding programs that benefitted Engelbart in building working systems.
IA as Socio-Technical Extension Factor on Capabilities & Values
IA (human values) is not AI (technology capability)
Difference 1: IA leads to more capable people even when scaffold removed
Difference 2: IA leads to more responsible people to use wisely the capabilities
10/28/2022 Jim Spohrer (ISSIP) 26
Superminds
Malone (2018)
Things that Make
Us Smart
Norman (1994)
Worldboard
Augmented Perception
Spohrer (1999)
Bicycles for the Mind
Kay & Jobs (1984)
Techno-Extension Factor
Measurement
& Accelerating
Socio-Technical Design Loop
Kline (1996)
10/28/2022 Jim Spohrer (ISSIP.org) 27
0 25 50 100 125 150
Automobile
75
Years
50
100
Telephone
Electricity
Radio
Television
VCR
PC
Cellular
%
Adoption
Capability Augmentation and Adoption Rate Increases
Better Building Blocks
10/28/2022 Spohrer (ISSIP) 28
But how long would it take one person to rebuild everything from scratch? Teams of 10 students – future of university?
What goal to work towards? What augmentation goal to work towards?
What can one person know and make?
10/28/2022 Spohrer (ISSIP) 29
10/28/2022 Spohrer (ISSIP) 30
Brief History of Knowledge and Making: Personbyte and Peoplebyte
The IA Resilience Goal: Rapidly rebuild the machine
that can rebuild all machines from scratch?
10/28/2022 Spohrer (ISSIP) 31
Both Turing and von Neumann dreamed of universal machines and constructors
Learning to invest
• Run = Routine Activities
• Transform = Copy Activities
• Innovate =
Invent and Apply Activities
10/28/2022 Jim Spohrer (ISSIP.org) 32
Innovate
Invest in each
type of change
33
How responsible entities (service systems) learn and change over time
History and future of Run-Transform-Innovate investment choices
• Diverse Types
• Persons (Individuals)
• Families
• Regional Entities
• Universities
• Hospitals
• Cities
• States/Provinces
• Nations
• Other Enterprises
• Businesses
• Non-profits
• Learning & Change
• Run = use existing knowledge
or standard practices (use)
• Transform = adopt a new best
practice (copy)
• Innovate = create a new best
practice (invent) Innovate
Invest in each
type of change
Spohrer J, Golinelli GM, Piciocchi P, Bassano C (2010) An integrated SS-VSA analysis of changing job roles. Service Science. 2010 Jun;2(1-2):1-20.
March JG (1991) Exploration and exploitation in organizational learning. Organization science. 1991 Feb;2(1):71-87. URL:
exploit
explore
AI Tools to Experiment with Today
• #1 Magic Eraser
• #2 Craiyon
• #3 Rytr
• #4 Thing Translator
• #5 Autodraw
• #6 Fontjoy
• #7 Talk to Book
• #8 This Person Does Not Exist
• #9 Namelix
• #10 Let's Enhance
Thanks to @TessaRDavis
for compiling this list: “Service providers
will not be
replaced by AI,
but service providers
who do not use AI
will be replaced by
those who do.”
National Academy - Service Systems and AI 34
Try at least two
from the list
as soon as possible
What do you think?
And Stable Diffusion
Every person in a role in an organization is a service provider.
10/28/2022
Who I track to learn about new AI tools to use
• Alan D. Thompson
• https://lifearchitect.ai/how-do-
i-talk-to-gpt/
• https://youtu.be/D3tTsoX02d8
10/28/2022 Jim Spohrer (ISSIP.org) 35
10/28/2022
The International Society of Service Innovation Professionals
(ISSIP.org)
36
10/28/2022
The International Society of Service Innovation Professionals
(ISSIP.org)
37
10/28/2022
The International Society of Service Innovation Professionals
(ISSIP.org)
38
Read Wakefield
(2020)
enough to
understand what a
”digital twin” of
you might be like in
the future decades
with very advanced
AI capabilities.
Also see Rouse
(2018; 2022) ”Life
with a Cognitive
Assistant.”
National Academy - Service Systems and AI 39
AI Tools
in coming
decades…
10/28/2022
10/28/2022
The International Society of Service Innovation Professionals
(ISSIP.org)
40
10/28/2022
The International Society of Service Innovation Professionals
(ISSIP.org)
41
“AI won’t replace entrepreneurs, but entrepreneurs
who use AI will replace those who don’t.”
What does it mean to become a digital entrepreneur?
Concluding Remarks: Two Books
10/28/2022 Jim Spohrer (ISSIP.org) 45
Better Models (Spohrer, Maglio, Vargo, Warg 2022)
• Increasing complex, interconnected world
• All models are wrong, some are useful
• Better models are needed
• of the world – both physical, social, virtual
(science)
• in people and win-win interactions (logics)
• of organization and win-win change (architecture)
• in technology (AI)
• Better models for better investing
• “We get the future we invest in, so responsible
actors must learn to invest wisely and
systematically in improved win-win interaction
and change.”
10/28/2022 Jim Spohrer (ISSIP.org) 46
From Human-Centered to Humanity-Centered Design (Norman 2023)
• Human-Centered Design
1. Solve the core, root issues, not just the
problem as presented (which is often the
symptom, not the cause).
2. Focus on the people.
3. Take a systems point of view, realizing
that most complications result from the
interdependencies of the multiple parts.
4. Continually test and refine the proposed
designs to ensure they truly meet the
concerns of the people for whom they
are intended.
10/28/2022 Jim Spohrer (ISSIP.org) 47
• Humanity-Centered Design
1. Solve the core, root issues, not just the
problem as presented (which is often the
symptom, not the cause).
2. Focus on the entire ecosystem of people, all
living things, and the physical environment.
3. Take a long-term, systems point of view,
realizing that most complications result from
the interdependencies of the multiple parts
and that many of the most damaging impacts
on society and the ecosystem reveal
themselves only years or even decades later.
4. Continually test and refine the proposed
designs to ensure they truly meet the concerns
of the people and ecosystem for whom they
are intended.
5. Design with the community and as much as
possible support designs by the community.
Professional designers should serve as
enablers, facilitators, and resources, aiding
community members to meet their concerns.
Preamble: On Value
• Service Science
• S-D Logic (Vargo & Lusch 2016)
• Service is the application of resources (e.g.,
knowledge) for the benefit of another
• Value … uniquely … determined by beneficiary
• Improvement processes for service system
innovation and value cocreation
• Learning to invest systematically to…
• Improve win-win interaction
• Improve win-win change
• Businesses as service systems
• Technology platforms, energy, investing, healthcare
• Nations as service systems
• Investments in upskilling people
• Top ranked global universities
• Population (+ capital-technology-wealth)
• A Brief History of Value
• Family (GDP of tribes)
• Cities (GDP of cities)
• Nations (GDP of nations)
• Businesses (GDP of AI-powered platforms that help
people interact, upskill, upenergy, upwealth,
uphealth, etc.)
Value cocreation is accelerated when large numbers of highly skilled people with advanced technology have a safe, ethical, and sustainable environment for win-win interaction and change.
Jim Spohrer (ISSIP) 48
9/2/22
“The best way to predict the future is to inspire the
next generation of students to build it better”
Digital Natives Transportation Water Manufacturing
Energy Construction ICT Retail
Finance Healthcare Education Government
10/28/2022 50
1955 1975 1995 2015 2035 2055
Better Building Blocks
Call to Action
• Responsible actors need to learn to invest wisely in
getting the future service innovations we want with AI
– guided by “Service Innovation Roadmaps (SIRs).”
National Academy - Service Systems and AI 51
Read enough of IfM and IBM (2008)
to understand what a “Service Innovation
Roadmap (SIR)” is – and who should be
creating them.
10/28/2022
Discussion
• Are you positive or negative about AI?
• If positive, are you using any specific AI tools today?
• See list of AI tools to try on a previous slide
• How are you investing in upskilling with AI?
• If negative, do you have a specific concern (“ditch to avoid”) – for example…?
• AI will take away my job
• AI will be used primarily by “bad actors” for mischief
• Or used by social media platforms to generate more clicks/attention thru angry
reactions
• AI will try to take over people and planet
• AI will deskill and weaken people over time
• … or other concerns about AI?
• Do you believe responsible actors (e.g., people, businesses,
universities, governments, etc.) are learning to to invest
systematically and wisely in getting the future we want? If not, why
not – what is needed?
• Join ISSIP.org (free for individuals) if you would like to continue the
conversation!
National Academy - Service Systems and AI 52
Read enough of pages 45-54 of Spohrer, Maglio, Vargo, Warg (2022) to formulate an
opinion on the topic of “investing wisely to get the future service systems we want.”
10/28/2022
References
• Araya D (2018) Augmented Intelligence: Smart Systems and the Future of Work and Learning. Peter Lang International Academic Publishers; 2018 Sep 28.
• Bush V (1945) As we may think. The Atlantic Monthly. 1945 Jul 1;176(1):101-8.
• Engelbart D (1962) Augmenting human intellect. Summary report AFOSR-3223 under Contract AF. 1962 Oct;49(638):1024.
• Gardner P, Maietta HN (2020) Advancing Talent Development: Steps Toward a T-Model Infused Undergraduate Education. Business Expert Press. URL:
https://www.amazon.com/Advancing-Talent-Development-Undergraduate-Education/dp/1951527062
• Kay A, Jobs S (1984) Wheels for the Mind. Apple Computer.
• Kline SJ (1995) Conceptual foundations for multidisciplinary thinking. Stanford University Press; 1995.
• Licklider JC (1960) . Man-computer symbiosis. IRE transactions on human factors in electronics. 1960 Mar(1):4-11.
• Malone TW (2018) Superminds: The surprising power of people and computers thinking together. Little, Brown Spark; 2018 May 15.
• Norman D (1994) Things that make us smart: Defending human attributes in the age of the machine. Diversion Books; 2014 Dec 2.
• Rouse WB, Spohrer JC (2018) Automating versus augmenting intelligence. Journal of Enterprise Transformation. 2018 Feb 7:1-21.
• Siddike MA, Spohrer J, Demirkan H, Kohda Y (2018) A Framework of Enhanced Performance: People's Interactions With Cognitive Assistants. International Journal
of Systems and Service-Oriented Engineering (IJSSOE). 2018 Jul 1;8(3):1-7.
• Spohrer JC (1998) Information in places. IBM Systems Journal. 1999;38(4):602-28.
• Spohrer JC, Engelbart DC (2004) Converging technologies for enhancing human performance: Science and business perspectives. Annals of the New York Academy
of Sciences. 2004 May;1013(1):50-82.
• Spohrer J, Siddike (2018) The Future of Digital Cognitive Systems: Tool, Assistant, Collaborator, Coach, Mediator. In Ed. Araya D. Augmented Intelligence: Smart
Systems and the Future of Work and Learning. Peter Lang International Academic Publishers; 2018 Sep 28.
• Spohrer J (2020) Online Platform Economy and Gig Workers: A USA Perspective. Presentation.
• Spohrer J & Maglio PP (2006) Service Science Management and Engineering (SSME): An Emerging Discipline. IBM Presentation.
10/28/2022 (c) IBM MAP COG .| 53
Additional Resources
• Arthur WB (2019) Foundations of Complexity Economics. Nature Review Physics.
• Dietrich BL, Plachy EC, Norton MF (2014) Analytics Across the Enterprise.
• Donofrio N, DeMarco M (2022) If Nothing Changes, Nothing Changes: The Nick Donofrio.
• Fleming M (2022) Breakthrough: The Growth Revolution (in an Era of Artificial Intelligence and Worker Engagement).
• IfM and IBM (2008) Succeeding through service innovation: A service perspective for education, research, business and government.
• Larson RC (2022) Model Thinking for Everyday Life Working Wonders with a Blank Sheet of Paper. (Coming Soon).
• Lebovitz S, Lifshitz-Assaf H, Levina N (2022) To Engage or Not to Engage with AI for Critical Judgments: How Professionals Deal with Opacity When Using AI for Medical Diagnosis. Organization Science.
• Madhavan G, Poste G, Rouse W (2020) Complex Unifiable System. Editors' Note: Systemic Vistas. Winter 2020. The Bridge.
• Maglio PP, Kieliszewki CA, Spohrer JC (2010) Handbook of Service Science
• Maglio PP, Kieliszewki CA, Spohrer JC, Lyons K, Patrício L, Sawatani Y (2019) Handbook of Service Science, Vol II
• McDermid JA (2022) Safe, Ethical & Sustainable: A Mantra for All Seasons?
• Munn L (2022) The uselessness of AI ethics.
• Norman D (2023) Design for a Better World: Meaningful, Sustainable, Humanity Centered
• Rouse WB (2018) Life with a cognitive assistant. (2022) Emily 2.0..
• Rouse WB, Spohrer JC (2018) Automating versus augmenting intelligence. Journal of Enterprise Transformation.
• Schneiderman (2022) Human-Centered AI.
• Spohrer J (2017) Imagination Challenge: Quantify and graph cost of digital workers and GDP per employee USA from 1960-2080.
• Spohrer J, Maglio, PP (2009) Service Science: Toward a Smarter Planet. In Service Engineering.
• Spohrer J, Maglio PP, Vargo SL, Warg M (2022) Service in the AI Era: Science, Logic, and Architecture Perspectives.
• US 110th Congress (2007) SEC. 1005. STUDY OF SERVICE SCIENCE.
• Vargo SL, Lusch RF (2016) Institutions and Axioms: An Extension and Update of Service-Dominant Logic. JAMS.
• Wakefield J (2022) Why you may have a thinking digital twin within a decade. BBC News Online.
• West S, Meierhofer J, Mangla U (2022) Smart Services Summit: Smart Services Supporting the New Normal.
• West S, Stoll O, Muller-Csernetzky P (2022) A Handbook for Smart Service Design - The design of Smart Services in a world of people, process and things.
• Wladalsky-Berger I (2016) The Continuing Evolution of Service Science. (2019) The Increasing Demand for Hybrid, “T-Shaped” Workers . (2021) The Supply Chain Economy - A New Categorization of the US Economy (2022) A New
Measurement Framework for the Digital Economy. (2022) Foundation Models: AI’s Exciting New Frontier.
Service Systems Engineering in the Human-Centered AI Era 54
ISSIP: Service Innovation and T-Shaped Adaptive Innovators Breadth
Depth
Breadth
Depth
Depth
Depth
Breadth
Breadth
Breadth
Depth
Depth
Depth
Breadth
Breadth
Breadth
Depth
Depth
Depth
Breadth
Breadth
Communications
Problem
Solving
Cultures
Systems
Disciplines
Cultures
Disciplines
Systems
Cultures
Systems
Disciplines
Cultures
Disciplines
Systems
Mindsets
Mindsets
Work
Practices
Advancing
Tech.
Work Practices
Advancing Tech.
Individual Expertise – T1, T3
Collective Expertise – T6
Augmented Expertise – T6
Role
Skills
Identity
Threatened Empowered
Service
Offerings
Service-for-Service
Exchange
Sustaining “mindsets” requires “like-minded”
Sustaining “innovation” requires “depth-diversity-inclusion”
Sustaining above requires “lifelong learning – interaction & change”
Sustaining people requires “rhythmic cycles” – breath, drink & eat, sleep, etc.
T1
T3
T6
I
We
I
We
Me
Me
5/18/22, 6:57 AM
Page 1 of 2
https://media.licdn.com/embeds/native- document.html?li_theme=light
See Ricardo Martins - https://www.linkedin.com/in/ricardoalexmartins/
Future of Service Science
Smarter and Wiser Service Systems:
Entities transform to better future versions of
themselves by inventing win-win games and competing
for collaborators
Past Present Future
Organizational
Units
Family
Local Clan
Family
Business/Nation
Family
Platform Society
Change Individual
Generalist
(Breadth)
Individual
Specialist
(Depth)
Individual
T-shaped
(L)earners
Constant Competing for
collaborators:
win-win games
Competing for
collaborators:
win-win games
Competing for
collaborators:
win-win games
10/28/2022 (c) IBM MAP COG .| 59
60
What is a Responsible Service System Entity?
… customers/practitioners just name <your favorite provider>
… learners just name <your favorite role model>
Economics, Law, & Public Policy
Social & Behavioral Sciences
Design/
Cognitive Science
Systems
Engineering &
Human Factors
Operations
Computer Science/
Artificial Intelligence
Marketing
“a service system is a human-made system
to improve value co-creation interactions;
a dynamic configuration of resources
interconnected by value propositions.”
“service science is
the transdisciplinary study of
the evolving ecology of
responsible service systems entities
& their value-cocreation and
capability co-elevation
interactions.”
What is Service Science?
…researchers just name <your favorite discipline>
…educators just name <your favorite aha moment>
Future of AI
• What is the timeline for solving AI and IA?
• TBD: When can a CEO/anyone buy AI capability <X> for price <Y>?
• Who are the leaders driving AI progress?
• What will the biggest benefits from AI be?
• What are the biggest risks associated with AI, and are they real?
• What other technologies may have a bigger impact than AI?
• What are the implications for stakeholders?
• How should we prepare to get the benefits and avoid the risks?
10/28/2022 (c) IBM 2020, Cognitive Opentech Group 61
Who is winning
10/28/2022 (c) IBM 2017, Cognitive Opentech Group 62
https://www.technologyreview.com/s/608112/who-is-winning-the-ai-race/
Robots by Country
• Industrial robots per 10,000 people by country
10/28/2022 IBM #OpenTechAI 63
34
AI Benefits
• Access to expertise
• “Insanely great” labor productivity for trusted service providers
• Digital workers for healthcare, education, finance, etc.
• Better choices
• ”Insanely great” collaborations with others on what matters most
• AI for IA = Augmented Intelligence and higher value co-creation interactions
10/28/2022 (c) IBM 2017, Cognitive Opentech Group 64
AI Risks
• Job Loss
• Shorter term bigger risk
= de-skilling
• Super-intelligence
• Shorter term bigger risk
= bad actors
10/28/2022 (c) IBM 2017, Cognitive Opentech Group 65
Other Technologies: Bigger impact? Yes.
• Augmented Reality (AR)/
Virtual Reality (VR)
• Game worlds
grow-up
• Blockchain/
Security Systems
• Trust and security
immutable
• Advanced Materials/
Energy Systems
• Manufacturing as cheap,
local recycling service
(utility fog, artificial leaf, etc.)
10/28/2022 (c) IBM 2017, Cognitive Opentech Group 66
Predict the Timeline: GDP/Employee
National Academy - Service Systems and AI 67
(Source)
Lower compute costs translate into increasing productivity and GDP/employees for nations
Increasing productivity and GDP/employees should translate into wealthier citizens
AI Progress on Open Leaderboards
Benchmark Roadmap to solve AI/IA
Alistair Nolan (OECD AI for Science Productivity): “It has been stated that the number of engineers proclaiming the end of Moore's Law doubles every two years.”
Rouse WB, Spohrer JC. (2018) Automating versus augmenting intelligence. Journal of Enterprise Transformation. 2018 Apr 3;8(1-2):1-21.
Read Rouse & Spohrer (2018)
enough to understand this slide
including what ”exascale” means
10/28/2022
Write
Speak
Offer
Awards
Volunteers
ISSIP Platform Operations, Leadership Team, Supporters, Sponsors
International Society of Service Innovation Professionals (ISSIP.org)
“service innovations improve win-win interactions and change in business and society”
Join ISSIP to network with service innovation professionals and upcoming students,
while growing your knowledge sharing eminence about service systems/responsible actors,
in a non-profit professional association that promotes lifelong learning and T-shaped upskilling.
“everyone has something to learn, everyone has something to share”
Service – The application of resources (e.g., knowledge) for the benefit of another.
Service Innovations – Improvements in win-win interactions and change in business and society.
Win-Win– Service-for-service exchange, also called value co-creation interactions between actors.
Responsible Actors – individuals, businesses, universities, governments, also called service system entities.
Eminence – Professional reputation that comes from learning to invest more wisely in service innovations.
ISSIP helps members learn to invest more systematically in service innovations that matter.
Discovery Summit:
Future of
Expertise 1
Upskilling 2030:
Service Innovation Roadmaps and
Responsible Entities Learning
Jim Spohrer (IBM & ISSIP)
International Exploration of Service Science (IESS 2.1)
March 25, 2021
IfM, IBM (2010)
Succeeding through
service innovation:
a service perspective
for education, research,
business and government.
University of Cambridge
Institute for Manufacturing,
Cambridge UK
2010
What is a SIR?
• Service Innovation Roadmap (SIR) is a kind of Business Model Canvas
(BMC) that responsible entities create for themselves to describe
three types of investments in learning/upskilling activities:
• Run: BMC for optimize activities (e.g., agile improvement method)
• Transform: BMC for copy activities (e.g., find role models)
• Innovate: BMC for invent activities (e.g., research, pilot, prove, monetize)
• Based on March (1991)
• March JG (1991) Exploration and exploitation in organizational learning.
Organization science. 1991 Feb;2(1):71-87.
Business
Model
Canvas
10/28/2022 (c) IBM MAP COG .| 75
Arthur, W.B. Foundations of complexity economics. Nat Rev Phys (2021). https://doi.org/10.1038/s42254-020-00273-3
Service in the
AI era
Science science Service
dominant (S-D)
logic
Service Dominant
Architecture
(SDA)
Service in the
AI era
revisited
Core
message?
Better automation
and augmentation
improve service
Better science
improves
understanding
Better logics
improve
interactions
Better
architectures
improve adaption
(change)
X+AI requires
investing
wisely to
improve
service
Where are the
better
models?
Technology Disciplines Minds Enterprise Minds + AI
Enterprise + AI
What type of
model?
Technology
System (T)
Quantitative &
Qualitative (I)
Mental Model in
Person (P)
Distributed
Organizational (O)
P+O+I+T
Service in the AI Era: Science, Logic, and Architecture Perspectives
(Spohrer, Maglio, Vargo, Warg – in progress)
Service Innovation Questions
• What real-world service system studied?
• What interaction process improved? How measured?
• What change process improved? How measured?
• Which stakeholders (responsible entities) benefitted?
How measured?
If you have concise and clear answers to these service innovation questions for your paper,
Then please consider applying for the ISSIP Excellence in Service Innovation Award
Recognition includes an ISSIP Digital Badge and opportunity for great visibility for the work.
Go to ISSIP.org website, recognition menu, second menu item - to learn more, and apply by filling out form
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Keynote 20221028 v5.pptx

  • 1. 2022 IEEE MetroXRAINE Future of AI and IA: A Service Science Perspective Jim Spohrer Retired Executive – IBM and Apple UIDP Senior Fellow & Member ISSIP.org Questions: spohrer@gmail.com Twitter: @JimSpohrer LinkedIn: https://www.linkedin.com/in/spohrer/ Slack: https://slack.lfai.foundation Presentations online at: https://slideshare.net/spohrer Thanks to Pasquale Arpaia and Cristina Mele for the invitation to discuss Future of AI and IA Friday October 28, 2022, 11:00-12:00 Rome Time Highly recommend: Humankind: A Hopeful History By Dutch Historian, Rutger Bregman <- Thanks To Ray Fisk For suggesting this book, see My summary here.
  • 2. LA LUCE DELLA SCIENZA CERCO E ‘L BENEFICIO 10/28/2022 Jim Spohrer (ISSIP.org) 2 I seek the light of science and benefit National Research Council HQ of Italy Piazzale Aldo Moro 7, Roma “The goal of science is to make the wonderful and complex understandable and simple – but not less wonderful.” – Herb Simon, The Sciences of the Artificial
  • 3. 10/28/2022 Jim Spohrer (ISSIP.org) 3 Prof. Mariano Alcaniz XRBB = Extended Reality Behavioral Biomarkers
  • 4. 10/28/2022 Jim Spohrer (ISSIP.org) 4 Prof. Cristina Mele Science as a public good.
  • 5. 10/28/2022 Jim Spohrer (ISSIP.org) 5
  • 7. Jim Spohrer, Board of Directors, ISSIP.org Jim Spohrer serves on the Board of Directors of the International Society of Service Innovation Professionals, and as a contributor to the Linux Foundation AI and Data Foundation. He is a retired IBM Executive since July 2021, and previously directed IBM’s open-source Artificial Intelligence developer ecosystem effort, was CTO IBM Venture Capital Group, co-founded IBM Almaden Service Research, and led IBM Global University Programs. After his MIT BS in Physics, he developed speech recognition systems at Verbex (Exxon) before receiving his Yale PhD in Computer Science/AI. In the 1990’s, he attained Apple Computers’ Distinguished Engineer Scientist and Technologist role for next generation learning platforms. With over ninety publications and nine patents, he received the Christopher Loverlock Career Contributions to the Service Discipline award, Gummesson Service Research award, Vargo and Lusch Service-Dominant Logic award, Daniel Berg Service Systems award, and a PICMET Fellow for advancing service science. Jim was elected and previously served as LF AI & Data Technical Advisory Board Chairperson and ONNX Steering Committee Member (2020-2021), UIDP Senior Fellow for contributions to industry-university collaborations. 7 From 2002 - 2009, Jim co-founded IBM Almaden Service Research (ASR) ASR mission - advance service science and people-centered, data-driven service innovation Who I am
  • 8. Who I am: Take 2 The Three Ages of Man (Giorgione) Thanks to Alan Hartman for kind inspiration (slides) (recording) Service is an actor applying resources (e.g., knowledge) to benefit another Service system entities are responsible actors that give and get service (e.g., people, businesses, universities, nations, etc.) Service science studies service systems as an evolving ecology of responsible actors that interact and change. Service innovations improve win-win interaction and change in business and society Service systems are dynamic configurations of four types of resources
  • 9. What I study Service Science and Open Source AI – Trust is key to both Service Science Artificial Intelligence Trust: Value Co-Creation/Collaboration Responsible Entities Learning to Invest Transdisciplinary Community Trust: Secure, Fair, Explainable Machine Collaborators Open Source Communities
  • 10. Two disciplines: Two approaches to the future Artificial Intelligence is almost seventy-years-old discipline in computer science that studies automation and builds more capable technological systems. AI tries to understand the intelligent things that people can do and then does those things with technology. (https://deepmind.com/about “... we aim to build advanced AI - sometimes known as Artificial General Intelligence (AGI) - to expand our knowledge and find new answers. By solving this, we believe we could help people solve thousands of problems.”) Service science is an emerging transdiscipline not yet twenty-years- old that studies transformation and builds smarter and wiser socoi- technical systems – families, businesses, nations, platforms and other special types of responsible entities and their win-win interactions that transform value co-creation and capability co-elevation mechanisms that build more resilient future versions of themselves – what we call service systems entities. Service science tries to understand the evolving ecology of service system entities, their capabilities, constraints, rights, and responsibilities, and then then seeks to improve the quality of life of people (present/smarter and future/wiser) in those service systems. Artificial Intelligence Automation Generations of machines Service Science Transformation Generations of people (responsible entities) Service systems are dynamic configurations of people, technology, organizations, and information, connected internally and externally by value propositions, to other service system entities. (Maglio et al 2009)
  • 11. Overlap Acknowledgement: E. Noei, S. Brisson, Y. Liu 2010 2019 11 Kelly Lyons
  • 12. Service Science: Conceptual Framework 10/28/2022 (c) IBM MAP COG .| 12 Service Science
  • 13. (c) IBM MAP COG .| 13 Service Science: Transdisciplinary Framework to Study Service Systems Systems that focus on flows of things Systems that govern Systems that support people’s activities transportation & supply chain water & waste food & products energy & electricity building & construction healthcare & family retail & hospitality banking & finance ICT & cloud education &work city secure state scale nation laws social sciences behavioral sciences management sciences political sciences learning sciences cognitive sciences system sciences information sciences organization sciences decision sciences run professions transform professions innovate professions e.g., econ & law e.g., marketing e.g., operations e.g., public policy e.g., game theory and strategy e.g., psychology e.g., industrial eng. e.g., computer sci e.g., knowledge mgmt e.g., statistics e.g., knowledge worker e.g., consultant e.g., entrepreneur stakeholders Customer Provider Authority Competitors resources People Technology Information Organizations change History (Data Analytics) Future (Roadmap) value Run Transform (Copy) Innovate (Invent) Stackholders (As-Is) Resources (As-Is) Change (Might-Become) Value (To-Be)
  • 14. Why the complex systems trend is impotant Business and societal systems and supply chains are increasingly complex and interconnected. Real-world problems do not respect discipline boundaries. Scalable solutions require many schools of practice working together, and current solutions may have unintended consequences, short-term or longer-term, especially if perspectives are not invited/considered. Technological progress improved the scalability of agriculture and manufacturing, and next all types of service will be made more scalable (and currently, energy intensive) by future AI capabilities and progress. A small sampling of schools and disciplines below – more exist  - apologies for not adding yours to this summary. School of practice for Physical Sciences & Engineering Technology School of practice for Behavioral $ Social Sciences, Humanities & Arts People School of practice for Managerial Sciences & Entrepreneurship Information & Organizations Comp. Sci./AI HCI/Robotics Electrical & Mech. Eng. Systems Engineering Economics Public Policy & Law Design Information Systems Operations Research Marketing & Strategy Read enough of Kline (1995) to understand conceptual foundation of multidisciplinary thinking and the techno-extension factor and the accelerating soci—technical system design loop concepts. 10/28/2022 National Academy - Service Systems and AI 14
  • 15. Early Service Science Work • Revisiting SSME and T-Shaped Skills in the AI Era • SERVICE SCIENCE DEFINED.—In this section, the term ‘‘service science’’ means curricula, training, and research programs that are designed to teach individuals to apply scientific, engineering, and management disciplines that integrate elements of computer science, operations research, industrial engineering, business strategy, management sciences, and social and legal sciences, in order to encourage innovation in how organizations create value for customers and shareholders that could not be achieved through such disciplines working in isolation.” (US 110th Congress 2007) • T-SHAPED SKILLS DEFINED. – T-shaped skills is a metaphor for describing the skills of a person who combines both breadth and depth, like the shape of the letter T - a combined generalist with excellent interactional communication skills across business and technology as well as a specialist in one or more areas with contributory problem-solving skills, the area(s) of the person’s earned “bon fides.” (see also IfM and IBM 2008). Service Systems Engineering in the Human-Centered AI Era 15 Nick Donofrio IBM Fellow Emeritus NAE Member
  • 16. Service Systems Engineering in the Human-Centered AI Era 16 Value Science Engineering Policy Investing in Skills for Diverse Systems to Sustainably Serve People and Planet in the AI Era Management Service Science Management Engineering Many disciplines Many sectors Many regions/cultures (understanding & communications) Deep in one sector Deep in one region/culture Deep in one discipline T-Shaped Skills Depth and Breadth People-centered Data-intensive +Design-Arts- Public-Policy
  • 17. Why upskilling with AI trend is important to systems thinking Talent development is moving from I to T to X (eXtended with AI) National Academy - Service Systems and AI 17 6 T-shape Skills Knowledge Areas To be eXtended By AI tools: 1. Disciplines 2. Systems 3. Cultures 4. Technologies 5. Practices 6. Mindsets 10/28/2022
  • 18. 10/28/2022 Jim Spohrer (ISSIP.org) 18 APPLE https://podcasts.apple.com/us/podcast/service-science-and-the-impending-ai-revolution/id1612743401?i=1000583800244 SPOTIFY: https://open.spotify.com/episode/0n3h9rgX6UYDCwxgTzokoK?si=yVF0mtHsRZSmdfy-aMi8DA GOOGLE https://podcasts.google.com/feed/aHR0cHM6Ly9mZWVkcy5idXp6c3Byb3V0LmNvbS8xOTQ5NTE3LnJzcw?sa=X&ved=2ahUKEwiPzL-Zxvv6AhXzjo4IHVbTAuUQ9sEGegQIARAC
  • 19. Timeline: Every 20 years, compute costs are down by 1000x • Cost of Digital Workers • Moore’s Law can be thought of as lowering costs by a factor of a… • Thousand times lower in 20 years • Million times lower in 40 years • Billion times lower in 60 years • Smarter Tools (Terascale) • Terascale (2017) = $3K • Terascale (2020) = ~$1K • Narrow Worker (Petascale) • Recognition (Fast) • Petascale (2040) = ~$1K • Broad Worker (Exascale) • Reasoning (Slow) • Exascale (2060) = ~$1K 19 10/28/2022 Jim Spohrer (ISSIP) 2080 2040 2000 1960 $1K $1M $1B $1T 2060 2020 1980 +/- 10 years $1 Person Average Annual Salary (Living Income) Super Computer Cost Mainframe Cost Smartphone Cost T P E T P E AI Progress on Open Leaderboards Benchmark Roadmap to solve AI/IA
  • 20. Timeline: GDP/Employee 10/28/2022 Jim Spohrer (ISSIP) 20 (Source) Lower compute costs translate into increasing productivity and GDP/employees for nations Increasing productivity and GDP/employees should translate into wealthier citizens AI Progress on Open Leaderboards Benchmark Roadmap to solve AI/IA
  • 21. Timeline: Leaderboards Framework AI Progress on Open Leaderboards - Benchmark Roadmap Perceive World Develop Cognition Build Relationships Fill Roles Pattern recognition Video understanding Memory Reasoning Social interactions Fluent conversation Assistant & Collaborator Coach & Mediator Speech Actions Declarative Deduction Scripts Speech Acts Tasks Institutions Chime Thumos SQuAD SAT ROC Story ConvAI Images Context Episodic Induction Plans Intentions Summarization Values ImageNet VQA DSTC RALI General-AI Translation Narration Dynamic Abductive Goals Cultures Debate Negotiation WMT DeepVideo Alexa Prize ICCMA AT Learning from Labeled Training Data and Searching (Optimization) Learning by Watching and Reading (Education) Learning by Doing and being Responsible (Exploration) 2018 2021 2024 2027 2030 2033 2036 2039 10/28/2022 Jim Spohrer (ISSIP) 21 Which experts would be really surprised if it takes less time… and which experts really surprised if it takes longer? Approx. Year Human Level -> +3 See: https://paperswithcode.com/sota
  • 22. 10 million minutes of experience 10/28/2022 Understanding Cognitive Systems 22
  • 23. 2 million minutes of experience 10/28/2022 Understanding Cognitive Systems 23
  • 24. IA Progression – Tool, Assistant, Collaborator, Coach, Mediator 10/28/2022 Jim Spohrer (ISSIP) 24 Rouse & Spohrer (2018) Siddike, Spohrer, Demirkan, Kodha (2018) Araya (2018) Spohrer& Siddike (2018)
  • 25. Intelligence Augmentation (IA) = Socio-Technical Extension Factor on Capabilities • Engelbart (1962) • Spohrer & Engelbart (2002) 10/28/2022 Jim Spohrer (ISSIP) 25 Dedicated to Douglas E. Engelbart, Inventor The Mouse (Pointing Device) The Mother of All Demos Bootstrapping Practice/Augmentation Theory Note: Bush (1945) and Licklider (1960) created funding programs that benefitted Engelbart in building working systems.
  • 26. IA as Socio-Technical Extension Factor on Capabilities & Values IA (human values) is not AI (technology capability) Difference 1: IA leads to more capable people even when scaffold removed Difference 2: IA leads to more responsible people to use wisely the capabilities 10/28/2022 Jim Spohrer (ISSIP) 26 Superminds Malone (2018) Things that Make Us Smart Norman (1994) Worldboard Augmented Perception Spohrer (1999) Bicycles for the Mind Kay & Jobs (1984) Techno-Extension Factor Measurement & Accelerating Socio-Technical Design Loop Kline (1996)
  • 27. 10/28/2022 Jim Spohrer (ISSIP.org) 27 0 25 50 100 125 150 Automobile 75 Years 50 100 Telephone Electricity Radio Television VCR PC Cellular % Adoption Capability Augmentation and Adoption Rate Increases
  • 28. Better Building Blocks 10/28/2022 Spohrer (ISSIP) 28 But how long would it take one person to rebuild everything from scratch? Teams of 10 students – future of university? What goal to work towards? What augmentation goal to work towards?
  • 29. What can one person know and make? 10/28/2022 Spohrer (ISSIP) 29
  • 30. 10/28/2022 Spohrer (ISSIP) 30 Brief History of Knowledge and Making: Personbyte and Peoplebyte
  • 31. The IA Resilience Goal: Rapidly rebuild the machine that can rebuild all machines from scratch? 10/28/2022 Spohrer (ISSIP) 31 Both Turing and von Neumann dreamed of universal machines and constructors
  • 32. Learning to invest • Run = Routine Activities • Transform = Copy Activities • Innovate = Invent and Apply Activities 10/28/2022 Jim Spohrer (ISSIP.org) 32 Innovate Invest in each type of change
  • 33. 33 How responsible entities (service systems) learn and change over time History and future of Run-Transform-Innovate investment choices • Diverse Types • Persons (Individuals) • Families • Regional Entities • Universities • Hospitals • Cities • States/Provinces • Nations • Other Enterprises • Businesses • Non-profits • Learning & Change • Run = use existing knowledge or standard practices (use) • Transform = adopt a new best practice (copy) • Innovate = create a new best practice (invent) Innovate Invest in each type of change Spohrer J, Golinelli GM, Piciocchi P, Bassano C (2010) An integrated SS-VSA analysis of changing job roles. Service Science. 2010 Jun;2(1-2):1-20. March JG (1991) Exploration and exploitation in organizational learning. Organization science. 1991 Feb;2(1):71-87. URL: exploit explore
  • 34. AI Tools to Experiment with Today • #1 Magic Eraser • #2 Craiyon • #3 Rytr • #4 Thing Translator • #5 Autodraw • #6 Fontjoy • #7 Talk to Book • #8 This Person Does Not Exist • #9 Namelix • #10 Let's Enhance Thanks to @TessaRDavis for compiling this list: “Service providers will not be replaced by AI, but service providers who do not use AI will be replaced by those who do.” National Academy - Service Systems and AI 34 Try at least two from the list as soon as possible What do you think? And Stable Diffusion Every person in a role in an organization is a service provider. 10/28/2022
  • 35. Who I track to learn about new AI tools to use • Alan D. Thompson • https://lifearchitect.ai/how-do- i-talk-to-gpt/ • https://youtu.be/D3tTsoX02d8 10/28/2022 Jim Spohrer (ISSIP.org) 35
  • 36. 10/28/2022 The International Society of Service Innovation Professionals (ISSIP.org) 36
  • 37. 10/28/2022 The International Society of Service Innovation Professionals (ISSIP.org) 37
  • 38. 10/28/2022 The International Society of Service Innovation Professionals (ISSIP.org) 38
  • 39. Read Wakefield (2020) enough to understand what a ”digital twin” of you might be like in the future decades with very advanced AI capabilities. Also see Rouse (2018; 2022) ”Life with a Cognitive Assistant.” National Academy - Service Systems and AI 39 AI Tools in coming decades… 10/28/2022
  • 40. 10/28/2022 The International Society of Service Innovation Professionals (ISSIP.org) 40
  • 41. 10/28/2022 The International Society of Service Innovation Professionals (ISSIP.org) 41
  • 42.
  • 43.
  • 44. “AI won’t replace entrepreneurs, but entrepreneurs who use AI will replace those who don’t.” What does it mean to become a digital entrepreneur?
  • 45. Concluding Remarks: Two Books 10/28/2022 Jim Spohrer (ISSIP.org) 45
  • 46. Better Models (Spohrer, Maglio, Vargo, Warg 2022) • Increasing complex, interconnected world • All models are wrong, some are useful • Better models are needed • of the world – both physical, social, virtual (science) • in people and win-win interactions (logics) • of organization and win-win change (architecture) • in technology (AI) • Better models for better investing • “We get the future we invest in, so responsible actors must learn to invest wisely and systematically in improved win-win interaction and change.” 10/28/2022 Jim Spohrer (ISSIP.org) 46
  • 47. From Human-Centered to Humanity-Centered Design (Norman 2023) • Human-Centered Design 1. Solve the core, root issues, not just the problem as presented (which is often the symptom, not the cause). 2. Focus on the people. 3. Take a systems point of view, realizing that most complications result from the interdependencies of the multiple parts. 4. Continually test and refine the proposed designs to ensure they truly meet the concerns of the people for whom they are intended. 10/28/2022 Jim Spohrer (ISSIP.org) 47 • Humanity-Centered Design 1. Solve the core, root issues, not just the problem as presented (which is often the symptom, not the cause). 2. Focus on the entire ecosystem of people, all living things, and the physical environment. 3. Take a long-term, systems point of view, realizing that most complications result from the interdependencies of the multiple parts and that many of the most damaging impacts on society and the ecosystem reveal themselves only years or even decades later. 4. Continually test and refine the proposed designs to ensure they truly meet the concerns of the people and ecosystem for whom they are intended. 5. Design with the community and as much as possible support designs by the community. Professional designers should serve as enablers, facilitators, and resources, aiding community members to meet their concerns.
  • 48. Preamble: On Value • Service Science • S-D Logic (Vargo & Lusch 2016) • Service is the application of resources (e.g., knowledge) for the benefit of another • Value … uniquely … determined by beneficiary • Improvement processes for service system innovation and value cocreation • Learning to invest systematically to… • Improve win-win interaction • Improve win-win change • Businesses as service systems • Technology platforms, energy, investing, healthcare • Nations as service systems • Investments in upskilling people • Top ranked global universities • Population (+ capital-technology-wealth) • A Brief History of Value • Family (GDP of tribes) • Cities (GDP of cities) • Nations (GDP of nations) • Businesses (GDP of AI-powered platforms that help people interact, upskill, upenergy, upwealth, uphealth, etc.) Value cocreation is accelerated when large numbers of highly skilled people with advanced technology have a safe, ethical, and sustainable environment for win-win interaction and change. Jim Spohrer (ISSIP) 48 9/2/22
  • 49. “The best way to predict the future is to inspire the next generation of students to build it better” Digital Natives Transportation Water Manufacturing Energy Construction ICT Retail Finance Healthcare Education Government
  • 50. 10/28/2022 50 1955 1975 1995 2015 2035 2055 Better Building Blocks
  • 51. Call to Action • Responsible actors need to learn to invest wisely in getting the future service innovations we want with AI – guided by “Service Innovation Roadmaps (SIRs).” National Academy - Service Systems and AI 51 Read enough of IfM and IBM (2008) to understand what a “Service Innovation Roadmap (SIR)” is – and who should be creating them. 10/28/2022
  • 52. Discussion • Are you positive or negative about AI? • If positive, are you using any specific AI tools today? • See list of AI tools to try on a previous slide • How are you investing in upskilling with AI? • If negative, do you have a specific concern (“ditch to avoid”) – for example…? • AI will take away my job • AI will be used primarily by “bad actors” for mischief • Or used by social media platforms to generate more clicks/attention thru angry reactions • AI will try to take over people and planet • AI will deskill and weaken people over time • … or other concerns about AI? • Do you believe responsible actors (e.g., people, businesses, universities, governments, etc.) are learning to to invest systematically and wisely in getting the future we want? If not, why not – what is needed? • Join ISSIP.org (free for individuals) if you would like to continue the conversation! National Academy - Service Systems and AI 52 Read enough of pages 45-54 of Spohrer, Maglio, Vargo, Warg (2022) to formulate an opinion on the topic of “investing wisely to get the future service systems we want.” 10/28/2022
  • 53. References • Araya D (2018) Augmented Intelligence: Smart Systems and the Future of Work and Learning. Peter Lang International Academic Publishers; 2018 Sep 28. • Bush V (1945) As we may think. The Atlantic Monthly. 1945 Jul 1;176(1):101-8. • Engelbart D (1962) Augmenting human intellect. Summary report AFOSR-3223 under Contract AF. 1962 Oct;49(638):1024. • Gardner P, Maietta HN (2020) Advancing Talent Development: Steps Toward a T-Model Infused Undergraduate Education. Business Expert Press. URL: https://www.amazon.com/Advancing-Talent-Development-Undergraduate-Education/dp/1951527062 • Kay A, Jobs S (1984) Wheels for the Mind. Apple Computer. • Kline SJ (1995) Conceptual foundations for multidisciplinary thinking. Stanford University Press; 1995. • Licklider JC (1960) . Man-computer symbiosis. IRE transactions on human factors in electronics. 1960 Mar(1):4-11. • Malone TW (2018) Superminds: The surprising power of people and computers thinking together. Little, Brown Spark; 2018 May 15. • Norman D (1994) Things that make us smart: Defending human attributes in the age of the machine. Diversion Books; 2014 Dec 2. • Rouse WB, Spohrer JC (2018) Automating versus augmenting intelligence. Journal of Enterprise Transformation. 2018 Feb 7:1-21. • Siddike MA, Spohrer J, Demirkan H, Kohda Y (2018) A Framework of Enhanced Performance: People's Interactions With Cognitive Assistants. International Journal of Systems and Service-Oriented Engineering (IJSSOE). 2018 Jul 1;8(3):1-7. • Spohrer JC (1998) Information in places. IBM Systems Journal. 1999;38(4):602-28. • Spohrer JC, Engelbart DC (2004) Converging technologies for enhancing human performance: Science and business perspectives. Annals of the New York Academy of Sciences. 2004 May;1013(1):50-82. • Spohrer J, Siddike (2018) The Future of Digital Cognitive Systems: Tool, Assistant, Collaborator, Coach, Mediator. In Ed. Araya D. Augmented Intelligence: Smart Systems and the Future of Work and Learning. Peter Lang International Academic Publishers; 2018 Sep 28. • Spohrer J (2020) Online Platform Economy and Gig Workers: A USA Perspective. Presentation. • Spohrer J & Maglio PP (2006) Service Science Management and Engineering (SSME): An Emerging Discipline. IBM Presentation. 10/28/2022 (c) IBM MAP COG .| 53
  • 54. Additional Resources • Arthur WB (2019) Foundations of Complexity Economics. Nature Review Physics. • Dietrich BL, Plachy EC, Norton MF (2014) Analytics Across the Enterprise. • Donofrio N, DeMarco M (2022) If Nothing Changes, Nothing Changes: The Nick Donofrio. • Fleming M (2022) Breakthrough: The Growth Revolution (in an Era of Artificial Intelligence and Worker Engagement). • IfM and IBM (2008) Succeeding through service innovation: A service perspective for education, research, business and government. • Larson RC (2022) Model Thinking for Everyday Life Working Wonders with a Blank Sheet of Paper. (Coming Soon). • Lebovitz S, Lifshitz-Assaf H, Levina N (2022) To Engage or Not to Engage with AI for Critical Judgments: How Professionals Deal with Opacity When Using AI for Medical Diagnosis. Organization Science. • Madhavan G, Poste G, Rouse W (2020) Complex Unifiable System. Editors' Note: Systemic Vistas. Winter 2020. The Bridge. • Maglio PP, Kieliszewki CA, Spohrer JC (2010) Handbook of Service Science • Maglio PP, Kieliszewki CA, Spohrer JC, Lyons K, Patrício L, Sawatani Y (2019) Handbook of Service Science, Vol II • McDermid JA (2022) Safe, Ethical & Sustainable: A Mantra for All Seasons? • Munn L (2022) The uselessness of AI ethics. • Norman D (2023) Design for a Better World: Meaningful, Sustainable, Humanity Centered • Rouse WB (2018) Life with a cognitive assistant. (2022) Emily 2.0.. • Rouse WB, Spohrer JC (2018) Automating versus augmenting intelligence. Journal of Enterprise Transformation. • Schneiderman (2022) Human-Centered AI. • Spohrer J (2017) Imagination Challenge: Quantify and graph cost of digital workers and GDP per employee USA from 1960-2080. • Spohrer J, Maglio, PP (2009) Service Science: Toward a Smarter Planet. In Service Engineering. • Spohrer J, Maglio PP, Vargo SL, Warg M (2022) Service in the AI Era: Science, Logic, and Architecture Perspectives. • US 110th Congress (2007) SEC. 1005. STUDY OF SERVICE SCIENCE. • Vargo SL, Lusch RF (2016) Institutions and Axioms: An Extension and Update of Service-Dominant Logic. JAMS. • Wakefield J (2022) Why you may have a thinking digital twin within a decade. BBC News Online. • West S, Meierhofer J, Mangla U (2022) Smart Services Summit: Smart Services Supporting the New Normal. • West S, Stoll O, Muller-Csernetzky P (2022) A Handbook for Smart Service Design - The design of Smart Services in a world of people, process and things. • Wladalsky-Berger I (2016) The Continuing Evolution of Service Science. (2019) The Increasing Demand for Hybrid, “T-Shaped” Workers . (2021) The Supply Chain Economy - A New Categorization of the US Economy (2022) A New Measurement Framework for the Digital Economy. (2022) Foundation Models: AI’s Exciting New Frontier. Service Systems Engineering in the Human-Centered AI Era 54
  • 55. ISSIP: Service Innovation and T-Shaped Adaptive Innovators Breadth Depth Breadth Depth Depth Depth Breadth Breadth Breadth Depth Depth Depth Breadth Breadth Breadth Depth Depth Depth Breadth Breadth Communications Problem Solving Cultures Systems Disciplines Cultures Disciplines Systems Cultures Systems Disciplines Cultures Disciplines Systems Mindsets Mindsets Work Practices Advancing Tech. Work Practices Advancing Tech. Individual Expertise – T1, T3 Collective Expertise – T6 Augmented Expertise – T6 Role Skills Identity Threatened Empowered Service Offerings Service-for-Service Exchange Sustaining “mindsets” requires “like-minded” Sustaining “innovation” requires “depth-diversity-inclusion” Sustaining above requires “lifelong learning – interaction & change” Sustaining people requires “rhythmic cycles” – breath, drink & eat, sleep, etc. T1 T3 T6 I We I We Me Me
  • 56.
  • 57. 5/18/22, 6:57 AM Page 1 of 2 https://media.licdn.com/embeds/native- document.html?li_theme=light See Ricardo Martins - https://www.linkedin.com/in/ricardoalexmartins/
  • 58.
  • 59. Future of Service Science Smarter and Wiser Service Systems: Entities transform to better future versions of themselves by inventing win-win games and competing for collaborators Past Present Future Organizational Units Family Local Clan Family Business/Nation Family Platform Society Change Individual Generalist (Breadth) Individual Specialist (Depth) Individual T-shaped (L)earners Constant Competing for collaborators: win-win games Competing for collaborators: win-win games Competing for collaborators: win-win games 10/28/2022 (c) IBM MAP COG .| 59
  • 60. 60 What is a Responsible Service System Entity? … customers/practitioners just name <your favorite provider> … learners just name <your favorite role model> Economics, Law, & Public Policy Social & Behavioral Sciences Design/ Cognitive Science Systems Engineering & Human Factors Operations Computer Science/ Artificial Intelligence Marketing “a service system is a human-made system to improve value co-creation interactions; a dynamic configuration of resources interconnected by value propositions.” “service science is the transdisciplinary study of the evolving ecology of responsible service systems entities & their value-cocreation and capability co-elevation interactions.” What is Service Science? …researchers just name <your favorite discipline> …educators just name <your favorite aha moment>
  • 61. Future of AI • What is the timeline for solving AI and IA? • TBD: When can a CEO/anyone buy AI capability <X> for price <Y>? • Who are the leaders driving AI progress? • What will the biggest benefits from AI be? • What are the biggest risks associated with AI, and are they real? • What other technologies may have a bigger impact than AI? • What are the implications for stakeholders? • How should we prepare to get the benefits and avoid the risks? 10/28/2022 (c) IBM 2020, Cognitive Opentech Group 61
  • 62. Who is winning 10/28/2022 (c) IBM 2017, Cognitive Opentech Group 62 https://www.technologyreview.com/s/608112/who-is-winning-the-ai-race/
  • 63. Robots by Country • Industrial robots per 10,000 people by country 10/28/2022 IBM #OpenTechAI 63 34
  • 64. AI Benefits • Access to expertise • “Insanely great” labor productivity for trusted service providers • Digital workers for healthcare, education, finance, etc. • Better choices • ”Insanely great” collaborations with others on what matters most • AI for IA = Augmented Intelligence and higher value co-creation interactions 10/28/2022 (c) IBM 2017, Cognitive Opentech Group 64
  • 65. AI Risks • Job Loss • Shorter term bigger risk = de-skilling • Super-intelligence • Shorter term bigger risk = bad actors 10/28/2022 (c) IBM 2017, Cognitive Opentech Group 65
  • 66. Other Technologies: Bigger impact? Yes. • Augmented Reality (AR)/ Virtual Reality (VR) • Game worlds grow-up • Blockchain/ Security Systems • Trust and security immutable • Advanced Materials/ Energy Systems • Manufacturing as cheap, local recycling service (utility fog, artificial leaf, etc.) 10/28/2022 (c) IBM 2017, Cognitive Opentech Group 66
  • 67. Predict the Timeline: GDP/Employee National Academy - Service Systems and AI 67 (Source) Lower compute costs translate into increasing productivity and GDP/employees for nations Increasing productivity and GDP/employees should translate into wealthier citizens AI Progress on Open Leaderboards Benchmark Roadmap to solve AI/IA Alistair Nolan (OECD AI for Science Productivity): “It has been stated that the number of engineers proclaiming the end of Moore's Law doubles every two years.” Rouse WB, Spohrer JC. (2018) Automating versus augmenting intelligence. Journal of Enterprise Transformation. 2018 Apr 3;8(1-2):1-21. Read Rouse & Spohrer (2018) enough to understand this slide including what ”exascale” means 10/28/2022
  • 68. Write Speak Offer Awards Volunteers ISSIP Platform Operations, Leadership Team, Supporters, Sponsors International Society of Service Innovation Professionals (ISSIP.org) “service innovations improve win-win interactions and change in business and society” Join ISSIP to network with service innovation professionals and upcoming students, while growing your knowledge sharing eminence about service systems/responsible actors, in a non-profit professional association that promotes lifelong learning and T-shaped upskilling. “everyone has something to learn, everyone has something to share” Service – The application of resources (e.g., knowledge) for the benefit of another. Service Innovations – Improvements in win-win interactions and change in business and society. Win-Win– Service-for-service exchange, also called value co-creation interactions between actors. Responsible Actors – individuals, businesses, universities, governments, also called service system entities. Eminence – Professional reputation that comes from learning to invest more wisely in service innovations. ISSIP helps members learn to invest more systematically in service innovations that matter.
  • 70. Upskilling 2030: Service Innovation Roadmaps and Responsible Entities Learning Jim Spohrer (IBM & ISSIP) International Exploration of Service Science (IESS 2.1) March 25, 2021
  • 71. IfM, IBM (2010) Succeeding through service innovation: a service perspective for education, research, business and government. University of Cambridge Institute for Manufacturing, Cambridge UK 2010
  • 72. What is a SIR? • Service Innovation Roadmap (SIR) is a kind of Business Model Canvas (BMC) that responsible entities create for themselves to describe three types of investments in learning/upskilling activities: • Run: BMC for optimize activities (e.g., agile improvement method) • Transform: BMC for copy activities (e.g., find role models) • Innovate: BMC for invent activities (e.g., research, pilot, prove, monetize) • Based on March (1991) • March JG (1991) Exploration and exploitation in organizational learning. Organization science. 1991 Feb;2(1):71-87.
  • 74.
  • 75. 10/28/2022 (c) IBM MAP COG .| 75 Arthur, W.B. Foundations of complexity economics. Nat Rev Phys (2021). https://doi.org/10.1038/s42254-020-00273-3
  • 76. Service in the AI era Science science Service dominant (S-D) logic Service Dominant Architecture (SDA) Service in the AI era revisited Core message? Better automation and augmentation improve service Better science improves understanding Better logics improve interactions Better architectures improve adaption (change) X+AI requires investing wisely to improve service Where are the better models? Technology Disciplines Minds Enterprise Minds + AI Enterprise + AI What type of model? Technology System (T) Quantitative & Qualitative (I) Mental Model in Person (P) Distributed Organizational (O) P+O+I+T Service in the AI Era: Science, Logic, and Architecture Perspectives (Spohrer, Maglio, Vargo, Warg – in progress)
  • 77. Service Innovation Questions • What real-world service system studied? • What interaction process improved? How measured? • What change process improved? How measured? • Which stakeholders (responsible entities) benefitted? How measured? If you have concise and clear answers to these service innovation questions for your paper, Then please consider applying for the ISSIP Excellence in Service Innovation Award Recognition includes an ISSIP Digital Badge and opportunity for great visibility for the work. Go to ISSIP.org website, recognition menu, second menu item - to learn more, and apply by filling out form