What Is the AI Development Process Like

Wondering what the AI development process is like? We've got you covered. Read our article to learn how to best leverage AI for your business!

AI software development is a complex but rewarding field. It combines data science, machine learning, and software engineering to create intelligent systems that can transform businesses. Now, if you want to hire your own AI development team, you’ll need to understand each step of the process to leverage your new AI developers best to drive long-term innovation and increase efficiency within your organization. At DevelopersLATAM, we understand that this is a relatively new technology and you might have a lot of questions about how it can help you develop new products or improve your applications. That’s why we’re dedicating this article to the AI development process and how it applies across industries. Keep reading to learn more!

What Is AI Development??

AI software development involves creating programs that can perform tasks that typically require manual human input. These tasks include recognizing speech, making decisions, and translating languages. At its core, this kind of development is about building systems that can learn, adapt, and improve over time. So if you’re wondering what AI developers do, we’ll walk you through the key steps of the AI lifecycle in the next section!

Phases of The AI Development Process

1. Definition of Project Goals:

The AI development process starts with defining clear objectives. What problem are you trying to solve? For instance, you might want to automate your company’s customer service or analyze large quantities of data to get growth-hacking insights. Whatever it is, having a well-defined goal will set you on the path toward more effective AI development, allowing you to see long-term results.

2. Data Gathering:

This isn’t an understatement: data is the undisputed backbone of AI development. Because of this, collecting and preprocessing as much preliminary information as you can is crucial. In order to help create automated processes, your data must be accurate, relevant, and well-organized. According to a report by IBM, poor data quality costs the US economy around $3.1 trillion annually. Don’t let your business be part of this statistic! Ensuring high-quality data recollection before you kick off AI development will help avoid these costly errors.

3. Model Development:?

The next step in this process is model development. No matter what you want to build, AI models are built using machine learning algorithms. These allow the system to learn from data. Common model design techniques include supervised learning, unsupervised learning, and reinforcement learning. Choosing the right one for your specific project goals is key to achieving the results your company needs!

4. Model Training:

Of course, once the model is built, it needs to be trained. This involves feeding it large datasets and tweaking parameters to improve performance. Keep in mind that the training stage can be resource-intensive, often requiring powerful GPUs and significant computational power, though this dedication is critical for developing durable AI applications.

5. Testing:

After training, your AI developers will have to test the model. This involves running it on new sets of data to see how well it performs and analyze where it could be improved. It's the perfect way to validate that your AI solution works in real-world scenarios. According to a study by McKinsey, well-implemented AI can enhance business productivity by up to 40%, so it’s best to be thorough when testing any models to ensure there are no problems that could delay your deployment timeline.

6. Deployment:

The final step is to deploy your AI project to watch it perform in real action. Moving these models into production means integrating them into your existing systems. This might involve setting up APIs or using cloud services to ensure scalability and reliability. However, keep in mind that the work isn’t over after the deployment phase, even though the stages of the AI development process are completed. You’ll need to keep a close eye on how the project evolves, as monitoring the model's performance post-deployment ensures it continues to meet business needs.

The Various Applications of AI in Various Industries

As we mentioned, AI is transforming industries by allowing all sorts of businesses to enhance efficiency, reduce costs, and enable new capabilities. Here are some key sectors where AI is being the most adapted and continues to make a significant impact:

AI in Healthcare.

When it comes to the healthcare industry, AI is completely revolutionizing diagnostics and treatment. AI-powered systems can analyze medical images with remarkable accuracy. In fact, a study by the Journal of the American Medical Association found that AI algorithms detected breast cancer with an accuracy of 94.5%, surpassing human radiologists by a long shot. This not only helps to streamline the diagnosis process but also provides better study results. Depending on each system, AI can also assist in personalized medicine by analyzing patient data to recommend tailored treatment plans, improving outcomes.

AI in Finance.

According to a recent report by McKinsey, AI can potentially deliver up to $1 trillion of value per year to the banking sector. This is thanks to the way the finance industry leverages AI for risk management, fraud detection, and algorithmic trading. AI algorithms can analyze vast amounts of data much faster, helping to identify fraudulent transactions in real-time to then send an alert within seconds. Not only this, but AI-driven chatbots and virtual assistants enhance the banking industry’s customer service by providing instant responses to queries and improving customer satisfaction through streamlined processes.

AI in Manufacturing.

Manufacturing benefits from AI through predictive maintenance and quality control. These automated systems monitor machinery to predict failures before they occur, reducing downtime and maintenance costs. A study by Deloitte highlighted that predictive maintenance can reduce maintenance costs by 20% and extend the life of aging assets by yet another whooping 20%. But there’s more! AI also improves quality control by inspecting products for defects with greater accuracy than human inspectors.

AI in Retail.

In retail, AI enhances customer experiences and optimizes supply chain operations. AI-powered recommendation engines analyze customer behavior to suggest products, boosting sales and customer satisfaction. AI also optimizes inventory management by predicting demand trends and reducing stockouts and excess inventory. Thanks to these industry-wide innovative improvements, AI in retail can increase profitability by 59% by 2035 according to Accenture.?

AI in Transportation.

The transportation sector has continued to leverage AI to develop autonomous vehicles and traffic management. Self-driving cars, powered by AI, are becoming increasingly common. For example, Waymo's autonomous vehicles have driven over 20 million miles on public roads, showcasing AI's potential to improve safety and efficiency. AI also enhances traffic management systems by analyzing traffic patterns and optimizing signal timings, reducing congestion and emissions.

Ready To Hire Nearshore AI Developers?

AI's diverse applications across various industries demonstrate the transformative potential that comes with simply leveraging its development process. By taking advantage of AI, your company can drive greater innovation, improve efficiency, and gain a competitive edge. Understanding these applications and the development dynamic helps you identify opportunities to integrate AI into your own operations, paving the way for growth and success. Get in touch with us to schedule a free discovery call!