9/13/2019 Machine Learning Tutorial for Beginners

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Machine Learning Tutorial for Beginners

What is Machine Learning?
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Machine Learning is a system that can learn from
example through self-improvement and without
being explicitly coded by programmer. The
breakthrough comes with the idea that a
machine can singularly learn from the data (i.e.,
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Machine learning combines data with statistical

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tools to predict an output. This output is then
used by corporate to makes actionable insights. Machine learning is closely related to data
mining and Bayesian predictive modeling. The machine receives data as input, use an
algorithm to formulate answers.

A typical machine learning tasks are to provide a recommendation. For those who have a
Netflix account, all recommendations of movies or series are based on the user's historical
data. Tech companies are using unsupervised learning to improve the user experience with
personalizing recommendation.

Machine learning is also used for a variety of task like fraud detection, predictive maintenance,
portfolio optimization, automatize task and so on.

In this basic tutorial, you will learn-

What is Machine Learning?

Machine Learning vs. Traditional Programming
How does machine learning work?
Machine learning Algorithms and where they are used?
How to choose Machine Learning Algorithm
Challenges and Limitations of Machine learning
Application of Machine learning
Why is machine learning important?
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9/13/2019 Machine Learning Tutorial for Beginners
Machine Learning vs. Traditional Programming
Traditional programming differs significantly from machine learning. In traditional
programming, a programmer code all the rules in consultation with an expert in the industry
for which software is being developed. Each rule is based on a logical foundation; the machine
will execute an output following the logical statement. When the system grows complex, more
rules need to be written. It can quickly become unsustainable to maintain.

(/images/tensorflow/082918_1102_WhatisMachi1.png)

Machine learning is supposed to overcome this issue. The machine learns how the input and
output data are correlated and it writes a rule. The programmers do not need to write new
rules each time there is new data. The algorithms adapt in response to new data and
experiences to improve efficacy over time.

(/images/tensorflow/082918_1102_WhatisMachi2.png)

How does Machine learning work?

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 Machine learning is the brain where all the
9/13/2019
learning takes place. The way the machine learns is
Machine Learning Tutorial for Beginners

similar to the human being. Humans learn from experience. The more we know, the more easily
we can predict. By analogy, when we face an unknown situation, the likelihood of success is
lower than the known situation. Machines are trained the same. To make an accurate
prediction, the machine sees an example. When we give the machine a similar example, it can
figure out the outcome. However, like a human, if its feed a previously unseen example, the
machine has difficulties to predict.

The core objective of machine learning is the learning and inference. First of all, the machine
learns through the discovery of patterns. This discovery is made thanks to the data. One crucial
part of the data scientist is to choose carefully which data to provide to the machine. The list of
attributes used to solve a problem is called a feature vector. You can think of a feature vector as
a subset of data that is used to tackle a problem.

The machine uses some fancy algorithms to simplify the reality and transform this discovery
into a model. Therefore, the learning stage is used to describe the data and summarize it into a
model.

(/images/tensorflow/082918_1102_WhatisMachi3.png)

For instance, the machine is trying to understand the relationship between the wage of an
individual and the likelihood to go to a fancy restaurant. It turns out the machine finds a
positive relationship between wage and going to a high-end restaurant: This is the model

Inferring
When the model is built, it is possible to test how powerful it is on never-seen-before data. The
new data are transformed into a features vector, go through the model and give a prediction.
This is all the beautiful part of machine learning. There is no need to update the rules or train
again the model. You can use the model previously trained to make inference on new data.

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9/13/2019 Machine Learning Tutorial for Beginners

(/images/tensorflow/082918_1102_WhatisMachi4.png)

The life of Machine Learning programs is straightforward and can be summarized in the
following points:

1. Define a question
2. Collect data
3. Visualize data
4. Train algorithm
5. Test the Algorithm
6. Collect feedback
7. Refine the algorithm
8. Loop 4-7 until the results are satisfying
9. Use the model to make a prediction

Once the algorithm gets good at drawing the right conclusions, it applies that knowledge to
new sets of data.

Machine learning Algorithms and where they are used?

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9/13/2019 Machine Learning Tutorial for Beginners

(/images/tensorflow/082918_1102_WhatisMachi5.png)

Machine learning can be grouped into two broad learning tasks: Supervised and Unsupervised.
There are many other algorithms

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Supervised learning
An algorithm uses training data and feedback from humans to learn the relationship of given
inputs to a given output. For instance, a practitioner can use marketing expense and weather
forecast as input data to predict the sales of cans.

You can use supervised learning when the output data is known. The algorithm will predict new
data.

There are two categories of supervised learning:

Classification task
Regression task

Classification

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 Imagine you want to predict the gender ofMachine
9/13/2019
a customer for a commercial. You will start gathering
Learning Tutorial for Beginners

data on the height, weight, job, salary, purchasing basket, etc. from your customer database.
You know the gender of each of your customer, it can only be male or female. The objective of
the classifier will be to assign a probability of being a male or a female (i.e., the label) based on
the information (i.e., features you have collected). When the model learned how to recognize
male or female, you can use new data to make a prediction. For instance, you just got new
information from an unknown customer, and you want to know if it is a male or female. If the
classifier predicts male = 70%, it means the algorithm is sure at 70% that this customer is a
male, and 30% it is a female.

The label can be of two or more classes. The above example has only two classes, but if a
classifier needs to predict object, it has dozens of classes (e.g., glass, table, shoes, etc. each
object represents a class)

Regression
When the output is a continuous value, the task is a regression. For instance, a financial analyst
may need to forecast the value of a stock based on a range of feature like equity, previous stock
performances, macroeconomics index. The system will be trained to estimate the price of the
stocks with the lowest possible error.

Algorithm Description Type

Name

Linear Finds a way to correlate each feature to the output to help Regression
regression predict future values.

Logistic Extension of linear regression that's used for classification tasks. Classification
regression The output variable 3is binary (e.g., only black or white) rather
than continuous (e.g., an infinite list of potential colors)

Decision Highly interpretable classification or regression model that splits Regression

tree data-feature values into branches at decision nodes (e.g., if a Classification
feature is a color, each possible color becomes a new branch)
until a final decision output is made

Naive The Bayesian method is a classification method that makes use Regression
Bayes of the Bayesian theorem. The theorem updates the prior Classification
knowledge of an event with the independent probability of each
feature that can affect the event.

Support Support Vector Machine, or SVM, is typically used for the Regression
vector classification task. SVM algorithm finds a hyperplane that (not very
machine optimally divided the classes. It is best used with a non-linear
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9/13/2019 Machine Learning Tutorial for Beginners
Random The algorithm is built upon a decision tree to improve the Regression
forest accuracy drastically. Random forest generates many times Classification
simple decision trees and uses the 'majority vote' method to
decide on which label to return. For the classification task, the
final prediction will be the one with the most vote; while for the
regression task, the average prediction of all the trees is the final
prediction.

AdaBoost Classification or regression technique that uses a multitude of Regression

models to come up with a decision but weighs them based on Classification
their accuracy in predicting the outcome

Gradient- Gradient-boosting trees is a state-of-the-art Regression

boosting classification/regression technique. It is focusing on the error Classification
trees committed by the previous trees and tries to correct it.

Unsupervised learning
In unsupervised learning, an algorithm explores input data without being given an explicit
output variable (e.g., explores customer demographic data to identify patterns)

You can use it when you do not know how to classify the data, and you want the algorithm to
find patterns and classify the data for you

Algorithm Description Type

K-means Puts data into some groups (k) that each contains data with Clustering
clustering similar characteristics (as determined by the model, not in
advance by humans)

Gaussian A generalization of k-means clustering that provides more Clustering

mixture model flexibility in the size and shape of groups (clusters

Hierarchical Splits clusters along a hierarchical tree to form a classification Clustering

clustering system.

Can be used for Cluster loyalty-card customer

Recommender Help to define the relevant data for making a recommendation. Clustering
system

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9/13/2019 Machine Learning Tutorial for Beginners
PCA/T-SNE Mostly used to decrease the dimensionality of the data. The Dimension
algorithms reduce the number of features to 3 or 4 vectors with Reduction
the highest variances.

How to choose Machine Learning Algorithm

There are plenty of machine learning algorithms. The choice of the algorithm is based on the
objective.

In the example below, the task is to predict the type of flower among the three varieties. The
predictions are based on the length and the width of the petal. The picture depicts the results
of ten different algorithms. The picture on the top left is the dataset. The data is classified into
three categories: red, light blue and dark blue. There are some groupings. For instance, from
the second image, everything in the upper left belongs to the red category, in the middle part,
there is a mixture of uncertainty and light blue while the bottom corresponds to the dark
category. The other images show different algorithms and how they try to classified the data.

(/images/tensorflow/082918_1102_WhatisMachi6.png)

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Challenges and Limitations of Machine learning

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 The primary challenge of machine learning
9/13/2019
is the lack of data or the diversity in the dataset. A
Machine Learning Tutorial for Beginners

machine cannot learn if there is no data available. Besides, a dataset with a lack of diversity
gives the machine a hard time. A machine needs to have heterogeneity to learn meaningful
insight. It is rare that an algorithm can extract information when there are no or few variations.
It is recommended to have at least 20 observations per group to help the machine learn. This
constraint leads to poor evaluation and prediction.

Application of Machine learning

Augmentation:

Machine learning, which assists humans with their day-to-day tasks, personally or
commercially without having complete control of the output. Such machine learning is used
in different ways such as Virtual Assistant, Data analysis, software solutions. The primary
user is to reduce errors due to human bias.

Automation:

Machine learning, which works entirely autonomously in any field without the need for any
human intervention. For example, robots performing the essential process steps in
manufacturing plants.

Finance Industry

Machine learning is growing in popularity in the finance industry. Banks are mainly using ML
to find patterns inside the data but also to prevent fraud.

Government organization

The government makes use of ML to manage public safety and utilities. Take the example of
China with the massive face recognition. The government uses Artificial intelligence to
prevent jaywalker.

Healthcare industry

Healthcare was one of the first industry to use machine learning with image detection.

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 Broad use of AI is done in marketing thanks
9/13/2019
to abundant access to data. Before the age of
Machine Learning Tutorial for Beginners

mass data, researchers develop advanced mathematical tools like Bayesian analysis to
estimate the value of a customer. With the boom of data, marketing department relies on AI
to optimize the customer relationship and marketing campaign.

Example of application of Machine Learning in Supply Chain

Machine learning gives terrific results for visual pattern recognition, opening up many potential
applications in physical inspection and maintenance across the entire supply chain network.

Unsupervised learning can quickly search for comparable patterns in the diverse dataset. In
turn, the machine can perform quality inspection throughout the logistics hub, shipment with
damage and wear.

For instance, IBM's Watson platform can determine shipping container damage. Watson
combines visual and systems-based data to track, report and make recommendations in real-
time.

In past year stock manager relies extensively on the primary method to evaluate and forecast
the inventory. When combining big data and machine learning, better forecasting techniques
have been implemented (an improvement of 20 to 30 % over traditional forecasting tools). In
term of sales, it means an increase of 2 to 3 % due to the potential reduction in inventory costs.

Example of Machine Learning Google Car

For example, everybody knows the Google car. The car is full of lasers on the roof which are
telling it where it is regarding the surrounding area. It has radar in the front, which is informing
the car of the speed and motion of all the cars around it. It uses all of that data to figure out not
only how to drive the car but also to figure out and predict what potential drivers around the
car are going to do. What's impressive is that the car is processing almost a gigabyte a second
of data.

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9/13/2019 Machine Learning Tutorial for Beginners

(/images/tensorflow/082918_1102_WhatisMachi7.png)

Why is Machine Learning important?

Machine learning is the best tool so far to analyze, understand and identify a pattern in the
data. One of the main ideas behind machine learning is that the computer can be trained to
automate tasks that would be exhaustive or impossible for a human being. The clear breach
from the traditional analysis is that machine learning can take decisions with minimal human
intervention.

Take the following example; a retail agent can estimate the price of a house based on his own
experience and his knowledge of the market.

A machine can be trained to translate the knowledge of an expert into features. The features
are all the characteristics of a house, neighborhood, economic environment, etc. that make the
price difference. For the expert, it took him probably some years to master the art of estimate
the price of a house. His expertise is getting better and better after each sale.

For the machine, it takes millions of data, (i.e., example) to master this art. At the very
beginning of its learning, the machine makes a mistake, somehow like the junior salesman.
Once the machine sees all the example, it got enough knowledge to make its estimation. At the
same time, with incredible accuracy. The machine is also able to adjust its mistake accordingly.

Most of the big company have understood the value of machine learning and holding data.
McKinsey have estimated that the value of analytics ranges from $9.5 trillion to $15.4 trillion
while $5 to 7 trillion can be attributed to the most advanced AI techniques.
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