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Internal AI Service Provider/Center of Excellence

Abstract/Summary

When implementing AI/GenAI within a company, a common pattern is to have one group take the lead. This is often central IT, but not always; a key business unit can work just as well. This coincides with the rise of the Chief AI Officer (CAIO) role being created and elevated to often reporting to the CEO to ensure business is unincumbered to quickly take advantage of these new models.

There are many aspects to rolling this structure forward, and this repo will discuss many of them to ensure you have a plan, or at least provide a framework/structure to think about each of them. It is broken up into the following considerations but also cross linked where appropriate.

  • Business/Process
  • People
  • Technology

This document is a living document and will be updated as new information becomes available and can be directly linked here: AI COE. Everyone (Partners, Customers, Microsoft Internal, etc.) should feel free to fork and submit pull requests to improve this document as it is to lift the entire community. Thank you!

Business/Process Considerations for a COE

  1. Business value of AI/GenAI:

    • Enhanced Decision Making:

      • AI-driven insights provide a deeper understanding of business operations and market trends, enabling better and faster decision-making processes.
    • Increased Efficiency:

      • Automating routine tasks with AI frees up human resources for more strategic work, improving overall productivity and reducing operational costs.
    • Personalized Customer Experiences:

      • Leveraging AI to analyze customer data can lead to highly personalized interactions, increasing customer satisfaction and loyalty.
    • Innovation and Competitive Advantage:

      • Implementing cutting-edge AI solutions can foster innovation, providing a significant competitive edge in the marketplace.
    • Cost Reduction:

      • AI can optimize resource allocation and reduce waste, leading to substantial cost savings across various business functions.
    • Risk Management:

      • AI can enhance risk management by predicting potential issues and enabling proactive measures to mitigate them.
    • Scalability:

      • AI systems can handle large-scale operations efficiently, allowing businesses to scale their operations without a proportional increase in costs.
  2. Vetting Application Portfolio:

    • Responsible for assessing applications from individual business units for corporate fit. This process often involves quantifying business value and technical capability, plotting them along the x and y axis to prioritize applications. Items in the top right quadrant are approved first. Sometimes, the COE may simply provide feedback, leaving the final decision to each business unit.
    • Key links:
  3. Consistent Implementation of Responsible AI Principles:

  4. Legal Indemnification Requirements:

  5. Corporate Compliance:

  6. Cost Containment and Resource Utilization:

  7. Chargebacks to Business Units:

  8. Independent Software Vendors (ISVs):

  9. Approved System Integration (SI) Partners:

    • Vetted SI partners with expertise in your business and AI can be crucial for developing and deploying generative AI applications into production.
    • Key links:

People Considerations for a COE

  1. AI Talent Acquisition:

    • Recruiting top AI talent to join the COE, ensuring the team has the necessary skills and expertise to drive AI initiatives forward.
    • Key links:
  2. Training, Certification and Development:

    • Providing ongoing training and development opportunities for COE team members to enhance their AI skills and stay current with industry trends.
    • Key links:
  3. Performance Management:

    • Implementing a performance management system to evaluate and reward team members based on their contributions to AI projects and the overall success of the COE.
    • Key links:
  4. Team Building and Collaboration:

    • Fostering a collaborative and inclusive team environment to encourage knowledge sharing and innovation among team members.
    • Key links:
  5. Hackathons and Innovation Challenges:

    • Organizing hackathons and innovation challenges to encourage creativity and experimentation among team members, driving new ideas and solutions.
    • Key links:
  6. Retention and Succession Planning:

    • Developing retention and succession plans to ensure the COE retains top talent and has a clear path for future leadership.
    • Key links:

Technical Considerations for a COE

  1. Vetting Application Portfolio:

    • Responsible for assessing applications from individual business units for corporate fit. This process often involves quantifying business value and technical capability, plotting them along the x and y axis to prioritize applications. Items in the top right quadrant are approved first. Sometimes, the COE may simply provide feedback, leaving the final decision to each business unit.
    • Key links:
  2. Guidance on AI Application Development:

    • Providing advice to other business units on how to craft applications using generative/classical AI. Many application development teams excel in web development but lack expertise in generative AI. The COE can offer tips and guidance, especially for current search and RAG (Retrieval-Augmented Generation) patterns prevalent in AI/GenAI applications.
    • Prompt Eng framework and understanding of tools/process
    • Key links:
  3. Strong LMMOps Model and Process:

    • Ensuring a robust model for managing machine learning operations (MLOps), specifically for large language models (LLMs). This includes monitoring, maintaining, and updating models to ensure they meet the company's standards and needs. Moving models to production is key.
    • Review AI Studio as a framework for LLMOps continuous evaluation and deployment
    • Roleback Deployments
    • Key links:
  4. Model Management:

  5. Testing of New AI Stack (including Models, Frameworks, APIs, etc.):

  6. Key Management:

  7. API Management:

    • Managing APIs to ensure they are secure, efficient, and meet the needs of various business units. This includes version control and monitoring API usage.
    • Key links:
  8. Agentic Framework:

    • Establishing frameworks for AI agents that can autonomously perform tasks, ensuring they align with business goals and ethical standards.
    • Key links:
  9. Fine-Tuning Guidance:

  10. Unified Model for Content Safety and Abuse Monitoring:

  11. Error Handling and Control:

  12. Support for GenAI/Ticketing:

  13. Efficient Use of GenAIs:

  14. Security Implementation:

  15. Lightweight Service Provisioning:

    • Providing a service that simply offers provisioning without additional assistance or commentary, for teams that prefer a more hands-on approach.
    • Key links:

Conclusion

This can be a daunting checklist. Once you determine which items are key for your corporate AI Service Provider function, we are happy to have specific discussions around each or review your architecture as a whole. If you do not wish to centralize these functions, the first business unit to roll out generative AI solutions can offer a "blueprint" documenting their approach. This can help new business units avoid common pitfalls and ensure a smoother implementation process. Starting from scratch is challenging, and many teams forget one or more of these crucial elements.

Thank you!

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Living document about how to setup/run a GenAI/AI Center of Excellence

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