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Scaling Up Chatbots for Corporate Service Delivery Systems

chatbots inside robot speech bubbles, illustration

Conversational agents, or chatbots, providing question-answer assistance on smart devices, have proliferated in recent years and are poised to transform online customer services of corporate sectors.1,6 Implemented through dialogue management systems, chatbots converse through voice-based and textual dialogue, and harness natural language processing and artificial intelligence to recognize requests, provide responses, and predict user behavior.5,28 Market analysts concur on current adoption trends and the magnitude of growth and impact of chatbots anticipated in the next five years. According to a report by Grand View Research, for instance, already 45% of users prefer chatbots as the primary point of communications for customer service enquiries, translating into a global 'chatbot' market of $1.23 billion by 2025, at a compounded annual growth rate (CAGR) of 24.3%.9

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Key Insights


The strategy for conducting conversations using chatbots requires an efficient resolution of two key aspects. First, user queries or automatically perceived needs through user interactions have to be interpreted and mapped into categories, or user intents. This is based on historical processing of queries and needs, and the use of intent classification techniques.12 Second, conversations must be constructed for specific intents using frame-based dialogue management2 and neural response generation techniques.15 In frame-based dialogue management, the chatbot needs to converse with the user to have a fully filled frame (for example, flight information) in which all slot values are provided by the user (for example, airline carrier, departure time, departure location, and arrival location). Inputs on one or more frames results in meeting the user's goal. The dialogue flow is constructed through an ordered sequence of frames.


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