AI in Manufacturing Already A Mainstream: Google Cloud Study
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While the promise of artificial intelligence transforming the manufacturing industry is not new, long-ongoing experimentation hasn’t yet led to widespread business benefits. Manufacturers remain in “pilot purgatory,” as Gartner reports that only 21% of companies in the industry have active AI initiatives in production.
However, new research from Google Cloud reveals that the COVID-19 pandemic may have spurred a significant increase in the use of AI and other digital enablers among manufacturers. According to our data—which polled more than 1,000 senior manufacturing executives across seven countries—76% have turned to digital enablers and disruptive technologies due to the pandemic such as data and analytics, cloud, and artificial intelligence (AI). And 66% of manufacturers who use AI in their day-to-day operations report that their reliance on AI is increasing.
The top three sub-sectors deploying AI to assist in day-to-day operations are automotive/OEMs (76%), automotive suppliers (68%), and heavy machinery (67%).
In fact, Bryan Goodman, Director of Artificial Intelligence and Cloud, Ford Global Data & Insight and Analytics shares, “Our new relationship with Google will supercharge our efforts to democratize AI across our business, from the plant floor to vehicles to dealerships. We used to count the number of AI and machine learning projects at Ford. Now it’s so commonplace that it’s like asking how many people are using math. This includes an AI ecosystem that is fueled by data, and that powers a ‘digital network flywheel.’”
Moving from edge cases to mainstream business needs
Why are manufacturers now turning to AI in increasing numbers? Our research shows that companies who currently use AI in day-to-day operations are looking for assistance with business continuity (38%), helping make employees more efficient (38%), and to be helpful for employees overall (34%). It’s clear that AI/ML technology can augment manufacturing employees’ efforts, whether by providing prescriptive analytics like real-time guidance and training, flagging safety hazards, or detecting potential defects on the assembly line.
In terms of specific AI use cases called out by the research, two main areas emerged: quality control and supply chain optimization. In the quality control category, 39% of surveyed manufacturers who use AI in their day-to-day operations use it for quality inspection and 35% for product and/or production line quality checks. At Google Cloud, we often speak with manufacturers about AI for visual inspection of finished products. Using AI vision, production line workers can spend less time on repetitive product inspections and can instead focus on more complex tasks, such as root cause analysis.
In the supply chain optimization category, manufacturers said they tapped AI for supply chain management (36%), risk management (36%), and inventory management (34%).
In our day-to-day work, we’re seeing many manufacturers rethink their supply chains and operating models to better accommodate for the increased volatility that has been brought about by the pandemic and support the secular trend of consumers asking for increasingly individualized products. We’ll share more on deglobalization in the third installment of our manufacturing insights series.
AI use differs by geography, but not for the reasons you may think
The extent to which AI is already being used today varies quite strongly between geographies, according to our research. While 80% and 79% of manufacturers in Italy and Germany respectively report using AI in day-to-day operations, that percentage plummets in the United States (64%), Japan (50%) and Korea (39%).
It’s tempting to state this disparity is due to an “AI talent gap.” Although the most common barrier, just a quarter (23%) of manufacturers surveyed believe they don’t have the talent to properly leverage AI. Cost, too, does not appear to be a roadblock (21% of those surveyed). Rather, from our observations, the missing link appears to be having the right technology platform and tools to manage a production-grade AI pipeline. This is obviously the focus of our efforts and others in the space, as we believe the cloud can truly help the industry make a step change.
Looking ahead: The Golden Age of AI for manufacturing
The key to widespread adoption of AI lies in its ease of deployment and use. As AI becomes more pervasive in solving real-world problems for manufacturers, we see the industry moving away from “pilot purgatory” to the “golden age of AI.” The manufacturing industry is no stranger to innovation, from the days of mass production, to lean manufacturing, six sigma and, more recently, enterprise resource planning. AI promises to bring even more innovation to the forefront.
To learn more about these findings and more, download our infographic here and our full report here.
Research methodology
The survey was conducted online by The Harris Poll on behalf of Google Cloud, from October 15 – November 4, 2020, among 1,154 senior manufacturing executives in France (n=150), Germany (n=200), Italy (n=154), Japan (n=150), South Korea (n=150), the UK (n=150), and the U.S. (n=200) who are employed full-time at a company with more than 500 employees, and who work in the manufacturing industry with a title of director level or higher. The data in each country were weighted by number of employees to bring them into line with actual company size proportions in the population. A global post-weight was applied to ensure equal weight of each country in the global total.
Cohere uses Google Cloud’s new TPU v4 Pods on its quest to create larger and more powerful language models
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Over the past few years, advances in training large language models (LLMs) have moved natural language processing (NLP) from a bleeding-edge technology that few companies could access, to a powerful component of many common applications. From chatbots to content moderation to categorization, a general rule for NLP is that the larger the model, the greater the accuracy it’s able to achieve in understanding and generating language.
But in the quest to create larger and more powerful language models, scale has become a major challenge. Once a model becomes too large to fit on a single device, it requires distributed training strategies, which in turn require extensive compute resources with vast memory capacity and fast interconnects. You also need specialized algorithms to optimize the hardware and time resources.
Cohere engineers are working on solutions to this scaling challenge that have already yielded results. Cohere provides developers a platform for working with powerful LLMs without the infrastructure or deep ML expertise that such projects typically require. In a new technical paper, Scalable Training of Language Models using JAX pjit and TPUv4, engineers at Cohere demonstrate how their new FAX framework deployed on Google Cloud’s recently announced Cloud TPU v4 Pods addresses the challenges of scaling LLMs to hundreds of billions of parameters. Specifically, the report reveals breakthroughs in training efficiency that Cohere was able to achieve through tensor and data parallelism.
This framework aims to accelerate the research, development, and production of large language models with two significant improvements: scalability and rapid prototyping. Cohere will be able to improve its models by training larger ones more quickly, delivering better models to its customers faster. The framework also supports rapid prototyping of models that address specific objectives — for example, creating a generative model that powers customer-service chatbot — by experimenting and testing new ideas. The ability to switch back and forth among model types and optimize for different objectives will ultimately allow Cohere to offer models optimized for particular use cases.
The FAX framework relies heavily on the partitioned just-in-time compilation (pjit) feature of JAX, which abstracts the relationship between device and workload. This allows Cohere engineers to optimize efficiency, and performance by aligning devices and processes in the ideal configuration for the task at hand. Pjit works by compiling an arbitrary function into a single program (an XLA computation), that runs on multiple devices — even those residing on different hosts.
Cohere’s new solution also takes advantage of Google Cloud’s new TPU v4 Pods to perform tensor parallelism. which is more efficient than the earlier pipeline parallelism implementation. As the name suggests, the pipeline parallel approach uses accelerators in a linear fashion to scale a workload, like a single long assembly line. Accelerators must process each micro-batch of data before passing it along to the next one, and then run the backward pass in reverse order.
Tensor parallelism eliminates the accelerator idle time of pipeline parallelism, also known as the pipeline bubble. Tensor parallelism involves partitioning large tensors (mathematical arrays that define the relationship among multiple objects such as the words in a paragraph) across accelerators to perform computations at the same time on multiple devices. If pipeline parallelism is an ever-lengthening assembly line, tensor parallelism is a series of parallel assembly lines — one making the engine, the other the body, etc. — that simultaneously come together to form a complete car in a fraction of the time.
These computations are then collated, a process made practical thanks to Google Cloud TPU v4 VMs, which more than double the computational power. The superior performance of v4 chips has enabled Cohere to iterate on ideas and validate them 1.7X faster in computation than before.
At Cohere, we build cutting-edge natural language processing (NLP) services, including APIs for language generation, classification, and search. These tools are built on top of a set of language models that Cohere trains from scratch on Cloud TPUs using JAX. We saw a 70% improvement in training time for our largest model when moving from Cloud TPU v3 Pods to Cloud TPU v4 Pods, allowing faster iterations for our researchers and higher quality results for our customers. The exceptionally low carbon footprint of Cloud TPU v4 Pods was another key factor for us.
Aidan Gomez
CEO and co-founder, Cohere
Why Google Cloud for LLM training?
As part of a multiyear technology partnership, Cohere leverages Google Cloud’s advanced AI and ML infrastructure to power its platform. Cohere develops and deploys its products on Cloud TPUs, Google Cloud’s custom-designed machine learning chips that are optimized for large-scale ML. Cohere’s recently announced their new model improvements and scalability by training an LLM using FAX on Google Cloud TPUs, and this model has demonstrated that transitioning from TPU v3 to TPU v4 has so far enabled them to achieve a total speedup of 1.7x. In addition to a significant performance boost, TPUs provide an excellent user experience with the new TPU VM architecture. Importantly, Google Cloud ensures that Cohere’s state-of-the-art ML training is achieved with the highest standards of sustainability, powered by 90% carbon-free energy in the world’s largest publicly available ML hub.
By adopting Cloud TPUs, Cohere is making LLM training faster, more economical, and more agile. This helps them provide larger and more accurate LLMs to developers, and put NLP technology in the hands of developers and businesses of all sizes.
To learn more about these LLM training advances, you can read the full paper, Scalable Training of Language Models using JAX pjit and TPUv4. To learn more about Cohere’s best practices and AI principles, you can check this article co-authored with Open AI and AI 21 Labs.
New Technology: The Projected Total Economic Impact™ Of Google Cloud Contact Center AI
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According to Forrester Research, customers expect easy and effective customer service that builds positive emotional connections every time they interact with a brand or organization. Additionally, 40% of surveyed business leaders say that improving their organization’s customer experience (CX) is a high priority, ahead of initiatives like improving products and differentiation and reducing costs.
While this is a huge opportunity, improving CX in contact centers presents a significant challenge to organizations because most legacy interactive voice response (IVR) systems were never designed with CX in mind, and they are often left unchanged for years at a time except for the addition of more options when a new product or service is launched.
Providing great CX is a top priority for most organizations, but because contact centers typically operate 24/7, decision makers are hesitant to make significant changes or upgrades out of fear of breaking their already overtaxed systems. This paradox has left many organizations to rely on outdated or bloated IVR systems far too long. And with constantly rising customer expectations around service and support, these organizations are falling further and further behind competitors that are investing in next-generation solutions.
Google Cloud Contact Center Artificial Intelligence (CCAI) provides a cloud-based platform that leverages Google Cloud’s artificial intelligence (AI) and machine learning (ML) capabilities, including natural language processing and speech capabilities to augment, support, and assist contact center agents, and to deploy voice bots and chatbots that can naturally converse with customers to understand their intent and help resolve their calls with minimal intervention from an agent.
CCAI also has the ability to tie into an organization’s back-end data to enable bots to perform higher-value tasks, identify and authenticate customers, and augment agent desktops to provide relevant information and turn-by-turn guidance through different scenarios.
Google commissioned Forrester Consulting to conduct a New Technology: Projected Total Economic Impact™ (New Tech TEI) study and examine the projected return on investment (PROI) enterprises may realize by deploying CCAI.
Read the report and find out:
- Why businesses say their traditional contact center tools introduced challenges
- How Google’s Contact Center AI overcomes these challenges
- What effect the switch had to their financial and productivity investments
IT Prediction: The Importance of Workload-Optimized, Ultra-Reliable Infrastructure in Today’s World
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Editor’s note: This post is part of an ongoing series on IT predictions from Google Cloud experts. Check out the full list of our predictions on how IT will change in the coming years.
Prediction: By 2025, over half of cloud infrastructure decisions will be automated by AI and ML
Google’s infrastructure is designed with scale-out capabilities to support billions of people, powering services like Search, YouTube, and Gmail every day. To do that, we’ve had to pioneer global-scale computing and storage systems and shorten network latency and distance limitations with new innovations. Along the way, we’ve come to see cloud infrastructure as more than a simple commodity — it’s a source of inspiration and new capabilities.
But even as the demand on the industry’s cloud infrastructure continues to increase, there are simultaneously plateaus in the efficiency available from the underlying hardware. In the past, we saw annual performance gains of 30-40%, levels that often enabled a single infrastructure configuration to meet the needs of the vast majority of workloads. As these improvements have slowed and new workloads such as AI/ML and analytics have emerged, we have seen a corresponding explosion in the variety and capability of infrastructure. While empowering, the burden of picking the right combination of infrastructure components for a given workload still falls on an organization’s cloud architects.
But by 2025, we predict that the burden and complexity of infrastructure decision making will disappear through the power of AI and ML automation, which will automatically combine purpose-built infrastructure, prescriptive architectures, and an ecosystem to deliver a workload-optimized, ultra-reliable infrastructure. The focus for cloud architects will therefore be on enabling business logic and innovation, rather than how that logic maps to underlying infrastructure.
Already, we are making investments to turn this vision into reality, building custom silicon like the Infrastructure Processing Unit (IPU) for our new C3 VMs or a liquid-cooled board for the new tensor processing unit. The latter, the TPU v4 platform, is likely the world’s fastest, largest, and most efficient machine learning supercomputer. It can train large-scale workloads up to 80% faster and 50% cheaper than alternatives. Put another way, TPU v4 will nearly double the performance of critical ML and AI services at half the cost, unlocking new possibilities for what organizations can achieve when leveraging large-scale learning and inference for business services.
The TPUv4
These same IPUs and TPUs represent the foundation that will make it possible to automate cloud infrastructure decisions. They’ll be able to support the telemetry data and ML-based analytics for proactive infrastructure recommendations that will increase the performance and reliability of workloads.
Instead of determining hardware specifications and building the right infrastructure, you’ll only need to specify a workload. AI and ML will take over the burden and recommend, configure, and identify the best options based on your budgetary, performance, and scaling requirements. What is most exciting for us is how this will enable a much more rapid pace of service innovation, which is the primary end goal of great cloud infrastructure.
KLM’s Doubles Bookings With the Same Spend With Machine Learning
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GOALS
- Develop smarter, more effective media buying models through data
- Drive relevant advertising
- Scale predictive modelling across all touchpoints in the customer journey
APPROACH
Combined contextual data to create a predictive model with granular layers
Activated data in real-time
RESULTS
- 40% lower cost per booking
- More than twice as many bookings at same spend
- 1.4 times higher click-through rate for test group than control
KLM partnered with Relay42, whose data management platform (DMP) empowers marketers to achieve data-driven personalisation at scale.
The Relay42 DMP works by stitching together all touchpoints and data sources (including all Google solutions), orchestrating customer journeys in real-time and then activating the unified data to drive business and user experience results.
Relay42 and KLM created a data flow setup with the Relay42 DMP at the core. Thanks to Relay42’s tag management system, all customer interactions on KLM’s website and app, as well as relevant indicators from other channels and data sources such as email, social, CRM, call center and affiliates can be tracked and synced in Google Analytics 360.
Data gathered via Relay42’s own tags and DoubleClick Floodlight tags can also be sent from the DMP to the DoubleClick platform so that relevant ads can be targeted to appropriate audiences.
In order to perform deep-dive analyses, KLM simply exports raw-level data (from DoubleClick using Data Transfer and from Google Analytics 360 through seamless integration) to BigQuery. BigQuery can then correlate site behaviour with ad impressions, which enables Relay42 to activate the data and inform the build of predictive models.
“We believe that data in combination with technological innovation is bound to make advertising smarter and more relevant on every touchpoint. By combining data sources, leveraging first-party data and activating this in real-time, advertising can turn into a personal dialogue, a rewarding one-to-one interaction instead of one-to-many push messaging.”
– Kevin Duijndam, Cross Channel Marketing Manager, KLM
A Predictive Model to Improve Display Remarketing
KLM decided to test a new approach to remarketing.
“Our goal was to get rid of irrelevant ads, as they are simply annoying”, explains Kevin Duijndam, the airline’s Cross Channel Marketing Manager.
“Our assumption was that people who fly with us often already know us, so it would be irrelevant to tell them about flying with us again. However, we were wondering when exactly someone is a ‘frequent flyer’. The more we thought about it, the more complex the set of business rules became, so in the end we realized we couldn’t just focus on frequent flyers, but instead should use machine learning to understand when ads are irrelevant.”
KLM developed a real-time buying setup to include predictive modelling. In this setup, website and app interactions are tracked in the DMP thanks to the Relay42 tag management system.
Relevant consumer behaviour can be streamed in real-time to a prediction engine developed by KLM in the Google Cloud Platform, with the outputs then streamed straight back to the DMP. From here, the DMP can activate rule-based segments based on the prediction outcome. And by syncing this with DoubleClick, ads can be served and targeted to maximise relevance.
The team tested their new predictive model to assess any gains in performance. KLM deliberately chose to measure the results in an A/B setup within a defined period rather than measuring the differences year over year or month over month. Such comparisons are less reliable due to rapid changes relating to seasonality, internal capacities and external factors caused by competitors.
Business Gains and Customer Experience Wins
In the test, KLM linked the Relay42 DMP customer interaction data to their predictive model to predict how relevant their ads would be. The setup enabled a decision to be made in real-time whether or not to serve a specific ad to a user.
Through the A/B tests it became clear that the new model in fact did generate a significant uplift in bookings. With the cost per booking 40% lower during the test period, KLM was able to achieve more than twice as many bookings at the same spend.
The test produced wins in terms of customer experience, too. The click-through rate for the test group was more than 1.4 times higher than for the control group, indicating that the new model was successfully reaching users with messages they found to be relevant rather than annoying.
The success goes beyond improving KLM’s display remarketing efforts, though.
“Even more importantly, we’ve laid the IT data flow foundation in such a way that KLM is now able to execute on our data through all of our digital marketing channels and apply our prediction models at scale”, Kevin says. “So we can be flexible to plug in other models but can also now scale through other online media channels like search or video.”
Introducing Duet AI on Google Cloud: AI-Powered Developer Productivity Unleashed
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Last week we announced the private preview of Duet AI for Google Cloud, an always-on AI collaborator that uses generative AI to provide help to developers and cloud users. This article gives you a detailed look at Duet AI for developers, showing how Duet AI can help provide developers with real-time code suggestions, chat assistance, and enterprise-focused customization. You can sign-up here to join our waitlist for Google Cloud’s AI trusted tester program.
We believe that addressing these use cases with large language models (LLMs) will usher in a major leap in productivity in enterprise development. Duet AI uses Codey, a family of code models built on PaLM 2.
Developers continuously seek ways to improve their productivity and, over the past few decades, these efforts have resulted in massive productivity leaps due to technological changes. From advanced debuggers and online developer communities, to modern IDEs/notebooks and cloud computing, each advance brought massive changes in productivity. Despite these improvements, developers still face numerous challenges, some of which are unique to cloud development:
- Disruptive context switching and friction when integrating a new tool or service
- Excessive time spent on repetitive tasks
- Time required to understand a new code base or project
- Large cognitive workload when working on large code bases or complex APIs
Duet AI for developers focuses on challenges and tasks across the development lifecycle:
Code/Boilerplate Generation — Developers can describe the tasks they have in mind as a comment or function name, such as creating a Cloud Pub/Sub topic. Duet AI will generate a reference implementation that can be reviewed and modified, so developers don’t need to spend time reading through multiple documentation pages.
Inline Code Completion — To reduce the time spent on repetitive tasks and minimize the cognitive workload of tasks such as writing repetitive code or retrieving variable names, Duet AI provides intelligent, context-aware code completion, helping reduce the time spent on coding and enhancing the quality of the written code.
Enterprise Customization — Organizations frequently have massive code bases and specific recommended frameworks and best practices, which generic code assistance solutions may not be best positioned to support. With Vertex AI, developers will be able to tune and customize the underlying models and connect them to the Duet AI experience, allowing for assistance optimized to the needs of the organization.
Code Explanation — Developers spend significant time and effort reading and understanding code written by their peers or external contributors. To help assist in this process, Duet AI for code assistance provides an “Explain this code” option available whenever a developer selects their code, allowing them to more quickly understand, map, and navigate unfamiliar code bases.
Code security guardrails — Code generated by Duet AI can also be scanned for vulnerable dependencies via Source Protect, helping surface known public vulnerabilities impacting code, along with suggested fixes when available, bringing additional security.
By harnessing the power of AI-driven developer assistance such as the one provided by Duet AI for developers, businesses can unlock unprecedented levels of productivity and efficiency in software development, paving the way for a new era of innovation and growth.
These early features of Duet AI for Google Cloud will be available for limited users and we will be expanding access very soon. Sign up here to join Google Cloud’s AI Trusted Tester Program.
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