Software Testing

Introducing Computer Agents

Most people’s knowledge of AI stops at Chat GPT. The “GPT” part of which stands for “Generative Pretrained Transformer”. Didn’t know that? Good, let’s break it down:

Generative: The AI model's ability to generate new content rather than relying solely on pre-existing data

Pretrained: The system has been trained on a large dataset to learn patterns, structures, and relationships in language.

Transformer: The underlying neural network infrastructure that allows the model to process and generate text quickly and efficiently. 

To say the absolute least, OpenAI set a whole new bar and got an absurd head start once they introduced Chat GPT, which has placed OpenAI among the top 20 most visited websites in the world during the 6-month span the platform’s been out. But this success alone won’t sustain them forever, especially since it’s influenced rival companies and researchers who are working tirelessly to catch up by developing their own products.

The Other AI Systems on The Rise

When you give a tool to the public, it’s a certainty that they will do whatever they can to make it as beneficial to them as possible. This mentality has led to the creation of Computer Agents which essentially act as a computer’s personal assistant. In case you’ve never heard of a computer agent, we’ll break the concept down.

The entire premise for computer agents is to do one thing: automate the tasks required to reach goals. This advanced AI infrastructure goes beyond basic copywriting and idea generation. It’s more so tailored to cater to the needs of enterprise businesses.

There are 3 key types of agents: Deliberative, Hybrid, and Reactive. While all are unique in their processes and abilities, they share the common goal which is to complete tasks as quickly and efficiently as possible. But not in the same way that Chat GPT responds to your prompts, computer agents use APIs to work with applications and services to perform tasks on your behalf.

Here is a closer look at each one:

Deliberative Agents: Deliberative agents use advanced planning and decision-making algorithms to perform complex tasks. Ever heard someone say “Use your brain”? Well, these systems do just that. They take their databases of past experiences and use them to analyze problems and make informed choices based on the situation they’re presented with. While they may not have a brain, they generate a plan of action to achieve the intended goal. These helpers are great for tasks that require foresight and optimization.

Reactive Agents: These tools are the complete opposite of what we know about deliberative agents. As the name implies, the system responds to its environment, except without any clear understanding of its purpose. The agent's behaviour and the rules they follow are usually pre-determined and don’t depend on reasoning. It has no learning capacity and instead relies on inputs to trigger pre-programmed responses. For tasks that need quick responses to a predictive environment (like an assembly line), this tool can be a game changer.

Hybrid Agents: With hybrid agents, you get the best of both worlds. These are your self-driving cars, Siri on your iPhone, and even the robots used for manufacturing. These systems combine the strengths of both deliberative and reactive agents to form one process. They can reason and plan like deliberative agents but also react quickly to dynamic environments just like reactive agents. They’re that perfect balance between preplanned actions and on-the-fly adaptation, which makes them great for tasks that require flexibility. 

You might be wondering then, “What’s the point of deliberative and reactive when there’s a hybrid?” Each agent serves a unique purpose, and there are going to be times when a hybrid isn’t as suitable a choice. Here are 4 reasons why: 

  1. Complexity: While hybrid agents can handle a wide variety of tasks with the conjoined capabilities of deliberative and reactive agents, the integration does add complexity to the system. In some cases, the simplicity and efficiency of reactive or deliberative agents are simply better for the task which as everyone in IT knows - tasks never need to be more complex. 

  2. Application Requirements: Different applications have different requirements. Some tasks prioritize speed and real-time responsiveness, while others require careful planning and decision-making. Having that variety of agent types allows programmers to select the most suitable one based on the application’s specific needs.

  3. Specialization: As we said before, reactive agents are best for applications where immediate reactions are crucial, such as emergency systems— especially cybersecurity. Deliberative agents, on the other hand, will cover the big-picture tasks. It’s just like a development team, members have their unique roles and abilities but all contribute to an end goal. 

  4. Resource Constraints: Depending on the available computational resources, it may be more practical to use simple reactive or deliberative agents as opposed to a complex hybrid agent. This consideration becomes crucial when dealing with limited processing power or memory constraints in resource-constrained environments.

How it Helps Businesses

Artificial Intelligence, Machine Learning, Autonomous Agents, you name it— it’s cool, but how can people use it to help their business? These systems integrate to fit the custom requirements of your product or service. As the trends suggest, if a company is not trying to automate as much of their workflows as possible, they’re putting themselves at a major competitive disadvantage.

Why would a company not want to move toward automation? Among many reasons, here are the most common:

  • A simple lack of awareness/underestimating new technology

  • Resistance to change

  • Security concerns

  • The complexity of the process

  • The investment

  • Volatile business environment

Most of these concerns are to be expected since the process of digital transformation— especially with AI involved— can be a significant undertaking with no clear guarantees. However, this is what it takes for companies to survive in times of change.

If a business leverages AI, ML, and these autonomous agents with a clear strategy defined and aligns them with their unique goals, they can embrace automation and adapt to the evolving landscape. What we’re getting at here is that leveraging the capabilities of systems like deliberative, hybrid, and reactive agents, such as a GPT, can drive efficiency and innovation, especially in the long term.

Frameworks Behind Computer Agents

Integrating computer agents into a business’s internal system requires a structured approach. Because of this, there are several framework options:

  1. Behavior Tree (BT) Framework: The Behavior Tree framework is used for designing reactive agents. It structures an agent's behaviour into a hierarchy of tasks and conditions. The agent then evaluates these tasks and conditions in real-time and makes decisions based on its immediate environment and the rules you’ve given it.

  2. Belief-Desire-Intention (BDI) Model: The BDI model is a very popular framework used in designing deliberative agents. It focuses largely on the agent's beliefs about the world, its desires or goals, and its intentions to achieve those goals. This model puts a big emphasis on reasoning, decision-making, and planning capabilities.

  3. Sense-Plan-Act (SPA) Architecture: SPA is a popular hybrid architecture used to create highly intelligent agents. Each step is part of a cycle that is sensing the environment, planning its actions, and executing those actions. This is considered the foundation of intelligence that every robot needs.

    The architecture enables agents to combine reactive behaviours with some higher-level deliberative processes. This makes responsiveness happen in real-time through the reactive component, while also providing the ability to reason, plan, and then make strategic decisions using the deliberative component. 

  4. Multi-Agent Systems (MAS): Simply put, MAS frameworks involve multiple agents working together to achieve common goals. Using a MAS framework, agents can coordinate their actions and communicate to solve problems that would be impractical for a single agent to handle alone.

The Takeaway

With a solid infrastructure in place, businesses can get the most out of integrating computer agents into their workflows. Whether it's leveraging reactive agents for quick responses, deliberative agents for strategic decision-making, or hybrid agents for the best of both, businesses first need to think about how their goals align with their technology selection. 

Written By Ben Brown

ISU Corp is an award-winning software development company, with over 17 years of experience in multiple industries, providing cost-effective custom software development, technology management, and IT outsourcing.

Our unique owners’ mindset reduces development costs and fast-tracks timelines. We help craft the specifications of your project based on your company's needs, to produce the best ROI. Find out why startups, all the way to Fortune 500 companies like General Electric, Heinz, and many others have trusted us with their projects. Contact us here.

 
 

Embedded Finance: The Key to Scaling Your FinTech Startup in 2023

For FinTech startups in 2023 and beyond, conventional banking methods may not even be on the radar anymore in terms of the services they offer. The focus is now on digital options that provide value to users both in terms of experience and financial well-being. Users need that extra bit of motivation not only when making investment decisions but when purchasing anything. 

Embedded finance is the change that’s made this shift away from conventional banking not only a viable option but a necessity for most consumers which has forced action from financial service providers. 

To put it simply, the concept behind embedded finance is to get consumers to use FinTech services that are already present on the platforms they use daily. For example, if you’re using an e-commerce platform like Amazon and you have the option to use BNPL, that is an example of an embedded finance feature. 

It is utilizing the banking tools offered by non-banking platforms (e-commerce, social media, ride-sharing apps, etc.) so that the consumer can get the full benefit of what the platform provides. 

Why is This Important to Know?

Understanding how to use embedded finance as a start-up or mid-size company in any industry is crucial to achieving scale. You’re not going to be making millions just by sending “hey we noticed you abandoned your cart…” emails because many consumers act on impulse

By non-banking platforms integrating financial services, they are providing value to their customers that is without a doubt going to be the separator between them and the competition. 

If we were to break down some of the key impacts embedded finance will have on the financial industry, the ones that stand out the most might look something like this:

User Experience:

First and foremost, the number one factor driving a successful platform is based on how much users - well, enjoy using it. What embedded finance does very well, in this case, is offer a seamless experience that is convenient and compatible. Without having to rely on a third-party provider, curious prospects are more likely to convert to paying customers when everything along the buying journey flows smoothly. 

Financial Awareness:

With the vast amount of features in embedded finance, users can view insights on their spending and saving habits. With this, platform providers can offer suggestions to their users. For example, a budgeting app could create a savings plan based on the data it collected from the users spending trends.

Revenue:

As mentioned earlier, prospects are more likely to convert when there are strategically embedded financial features in the platform. When the customer journey is good, the level of trust increases which makes the platform's value stand out to its users which keeps them coming back, and ultimately turns them into paying customers. 

Retention:

Building off the last point, having a solid user base is one thing. But the biggest issue FinTech companies will always argue about is how fast-paced and therefore competitive the industry is. With embedded finance, you’re more likely to have repeat customers and draw attention to your platform.

The Focus of Embedded Finance

You’ll notice most of this is focused on the user's benefits and that is because embedded finance offers nothing but benefits to consumers. The tricky part is how well non-banking platforms integrate the systems to make the vision a reality. For this reason, software development makes it possible to materialize the vision for the platform into reality. 

Software development for embedded finance can look different based on the goals of the platform but some essentials include the following:

  • API Development: A staple in any software development project for embedded finance, API development is what allows data to be exchanged and users to interact with the platform. 

  • Mobile: Accessibility is so important for users in 2023 especially when it comes to banking. Research is showing that a significant portion of the global population relies on mobile banking day-to-day (millennials especially).

  • Machine Learning: Since data analytics are at the forefront for effectively providing useful information to users, finding the shortcuts to efficiency like machine learning is important for businesses. What machine learning does is use algorithms to provide valuable suggestions to users by analyzing the patterns identified in their spending habits.

  • Payment Gateway: This is especially important for e-commerce platforms. Payment gateways are the IT systems that enable secure transactions between users and the platform. This is where private information will be stored (card details, authentication, encryption, etc.) which puts a lot of emphasis on quality software.

  • Compliance: When it comes to FinTech services, especially embedded finance, there are certain rules and guidelines that cannot be violated. KYC is a very useful and important aspect in this sense as it will mitigate risk and build trust between users and platforms. 

The Takeaway

Digital transformation is one thing, dominating the virtual marketplace is a whole other when it comes to the financial service sector. Embedded finance is not just a key component but a fundamental asset when it comes to running a successful platform. For any platform to be successful, custom software that is tailored to its needs can be the differentiating factor that keeps users coming back.

Written By Ben Brown

ISU Corp is an award-winning software development company, with over 17 years of experience in multiple industries, providing cost-effective custom software development, technology management, and IT outsourcing.

Our unique owners’ mindset reduces development costs and fast-tracks timelines. We help craft the specifications of your project based on your company's needs, to produce the best ROI. Find out why startups, all the way to fortune 500 companies like General Electric, Heinz, and many others have trusted us with their projects. Contact us here.

 
 

How Businesses Benefit From Software Prototyping

Businesses are always going to be anxious when integrating new software systems, and rightfully so. It’s exciting when organizations take on innovative projects aimed at improving workflows that contribute to the long-term success of the brand. On the IT side, developing custom software for businesses is just as exciting. Development teams share the enthusiasm with their clients as they’ve just contributed something that’s going to bring lots of value. 

But before anything can be celebrated, it’s customary in the IT service industry to provide clients with a glimpse of the final product using what’s known as a software prototype. This prototype is what gives businesses the first look at what they’ve invested in, but more than that, it is where they can offer any final feedback.

Nothing in the IT service industry is one-size-fits-all, and prototypes are no different. With that said, there are a few variations of software prototypes which include:

  • Low-Fidelity (LoFi) Prototypes: This is as basic as it gets. A LoFi prototype sketches out (hard copies or digitally) an outline of what the final product will look like. Some examples of this include the outline of a website or a paper-made mobile app prototype.

  • Feasibility Prototypes: This is where important questions can be asked about the project that any other form of research couldn’t fully give answers to. Note that this prototype is not a good indicator of what the final product will look like as it’s being used to fill in gaps of what is unknown about the product.

  • High-Fidelity (HiFi) Prototypes: This is almost as close to the finished product as it gets since this prototype has active links, realistic graphics, and all pieces of content that will be seen when it’s done.

  • Live-Data Prototypes: A prototype that uses live-data sources such as user inputs, databases, and APIs can generate both tailored and dynamic experiences that resemble the final product. For instance, it can gather a user's name from a sign-up form to produce a personalized greeting message.

3 Key Areas That Benefit From Software Prototyping:

The Overall Vision

Software prototypes show businesses how their original concept for an IT system was materialized by programmers. When they see how well their vision was understood by the development team, they will be able to highlight any discrepancies or misunderstandings that can be resolved while the process is still in its early stages.

Changes to Software Requirement Specifications (SRS)

Prototypes are great for ensuring that new systems integrate well with existing systems and workflows. By having this visual representation of the software, businesses can offer feedback and make changes to the SRS before the development process has progressed too far. 

The Stakeholders

Without alignment and enthusiasm from those who will be using the system, the product will be nowhere near as effective since the team will resort back to what they know. Prototypes are great for generating this interest from stakeholders and will allow the team to effectively plan how they will use the tool to improve processes.

Variations of Prototyping 

So we’ve covered the common prototypes and what sort of benefits they offer to the organization, but now what we need is to understand the execution aspect. There are a handful of prototyping models that can be used depending on the scenario the company is facing. 4 of which are as follows:

1) Rapid Prototyping

As the name suggests, this variation of a software prototype is used to quickly examine changes to the system. This is an agile method also referred to as “throwaway prototyping” since each version becomes less relevant as the project progresses. 

What’s it useful for?

  • Saves Money: While making only small changes in the iterative models, rapid prototyping does not cost a lot in the broad scope of the development project’s budget while mistakes not caught early on can amount to much more. 

  • For Every Project: Rapid prototyping can be used in projects of all sizes.

  • Saves Time: Every time a prototype is built, the next one is built on top of it which eliminates the need to go back and start from scratch.

2) Incremental Prototyping

When it comes to enterprise software, this is the only viable option since enterprise applications typically require significant integration. In this variation, small prototypes are being developed but at a higher volume for each aspect of the software solution. All prototypes are then taken and used to construct a grand prototype that is the software itself. 

What’s it useful for?

  • Best prototyping model for enterprise-level software

  • Flexible and adaptable

  • Smaller models allow for easy changes

  • Proficient at finding defective code

3) Evolutionary Prototyping

This approach is typically used when the software requirements are unclear at the start of the project. It involves creating prototypes that only consist of features that are well-defined and understood. As development progresses, stakeholders can provide feedback, and new requirements can be added to refine the prototype. 

What’s it useful for?

  • Enables the identification of new requirements and ensures compatibility with existing ones.

  • It’s comparable to creating a minimum viable product, except that it starts with a set of well-understood features.

4) Extreme Prototyping

This variation of a prototype is exclusively used in web development and it follows a 3 stage process. What these stages are meant to do is create a prototype model with several layers. Using these several layers, the compatibility between the front and back-end functionality can be examined and made sure to be effective. 

The three stages include:

  1. Preparing an HTML build to reflect what will be presented

  2. To transform the prototype into a fully functional model, it is necessary to link it with the service layers (the most important step). 

  3. Finish by successfully integrating the service layers. 

What’s it useful for?

  • Saves time by avoiding anything unproductive to the development project.

  • By having numerous stages, it is easier to reflect on and present the project at each level. 

The Takeaway

Having a clear vision is one thing, but seeing the execution of that vision turn into something that can be used to benefit a business is the most important part of software development. By focusing on implementing features that save your business time, the ability to scale that business opens up dramatically. 

Software prototyping is just one way that IT service providers help clients meet their goals and be able to scale their operations long-term. 

Written By Ben Brown

ISU Corp is an award-winning software development company, with over 17 years of experience in multiple industries, providing cost-effective custom software development, technology management, and IT outsourcing.

Our unique owners’ mindset reduces development costs and fast-tracks timelines. We help craft the specifications of your project based on your company's needs, to produce the best ROI. Find out why startups, all the way to fortune 500 companies like General Electric, Heinz, and many others have trusted us with their projects. Contact us here.