No one really knows how the most advanced algorithms do what they do. That could be a problem. There’s already an argument that being able to interrogate an AI system about how it reached its conclusions is a fundamental legal right. Starting in the summer of 2018, the European Union may require that companies be able to give users an [...]

Intelligent enterprises today are being shaped by two distinct forces. The first is the growing power of computers and big data, which provide the foundation for operations research, forecasting models, and artificial intelligence (AI). The second is our growing understanding of human judgment, reasoning, and choice. Decades of research has yielded deep insights into what humans do well or poorly. [...]

Companies and individuals are notoriously inept at judging the likelihood of uncertain events, as studies show all too well. Getting judgments wrong, of course, can have serious consequences. Steve Ballmer’s prognostication in 2007 that “there’s no chance that the iPhone is going to get any significant market share” left Microsoft with no room to consider alternative scenarios. Source: Superforecasting: How [...]