FORMULAS, EQUATIONS & LAWS

1. Adaptive learning: An ability to learn how to do tasks based on the data given for training or initial experience.
2. Self-Organisation: An ANN can create its own organisation or representation of the information it receives during learning time.
3. Real Time Operation: ANN computations may be carried out in parallel, and special hardware devices are being designed and manifactured which take advantage of this capability.
4. Fault Tolerance via Redundant Information Coding: Partial destruction of a network leads to the corresponding degradation of performance. However, some network capabilites may be retained even with major network damage.

• sales forecasting
• industrial process control
• customer research
• data validation
• risk management
• target marketing

1. First Attempts: There were some initial simulations using formal logic. McCulloch and Pitts (1943) developed models of neural networks based on their understanding of neurology. These models made several assumptions about how neurons worked. Their networks were based on simple neurons which were considered to be binary devices with fixed thresholds. The results of their model were simple logic functions such as "a or b" and "a and b". Another attempt was by using computer simulations. Two groups (Farley and Clark, 1954; Rochester, Holland, Haibit and Duda, 1956). The first group (IBM reserchers) maintained closed contact with neuroscientists at McGill University. So whenever their models did not work, they consulted the neuroscientists. This interaction established a multidiscilinary trend which continues to the present day.
2. Promising & Emerging Technology: Not only was neroscience influential in the development of neural networks, but psychologists and engineers also contributed to the progress of neural network simulations. Rosenblatt (1958) stirred considerable interest and activity in the field when he designed and developed the Perceptron. The Perceptron had three layers with the middle layer known as the association layer.This system could learn to connect or associate a given input to a random output unit.
   Another system was the ADALINE (ADAptive LInear Element) which was developed in 1960 by Widrow and Hoff (of Stanford University). The ADALINE was an analogue electronic device made from simple components. The method used for learning was different to that of the Perceptron, it employed the Least-Mean-Squares (LMS) learning rule.
3. Period of Frustration & Disrepute: In 1969 Minsky and Papert wrote a book in which they generalised the limitations of single layer Perceptrons to multilayered systems. In the book they said: "...our intuitive judgment that the extension (to multilayer systems) is sterile". The significant result of their book was to eliminate funding for research with neural network simulations. The conclusions supported the disenhantment of reserchers in the field. As a result, considerable prejudice against this field was activated.
4. Innovation: Although public interest and available funding were minimal, several researchers continued working to develop neuromorphically based computaional methods for problems such as pattern recognition.
   During this period several paradigms were generated which modern work continues to enhance.Grossberg's (Steve Grossberg and Gail Carpenter in 1988) influence founded a school of thought which explores resonating algorithms. They developed the ART (Adaptive Resonance Theory) networks based on biologically plausible models. Anderson and Kohonen developed associative techniques independent of each other. Klopf (A. Henry Klopf) in 1972, developed a basis for learning in artificial neurons based on a biological principle for neuronal learning called heterostasis.
   Werbos (Paul Werbos 1974) developed and used the back-propagation learning method, however several years passed before this approach was popularized. Back-propagation nets are probably the most well known and widely applied of the neural networks today. In essence, the back-propagation net. is a Perceptron with multiple layers, a different thershold function in the artificial neuron, and a more robust and capable learning rule.
   Amari (A. Shun-Ichi 1967) was involved with theoretical developments: he published a paper which established a mathematical theory for a learning basis (error-correction method) dealing with adaptive patern classification. While Fukushima (F. Kunihiko) developed a step wise trained multilayered neural network for interpretation of handwritten characters. The original network was published in 1975 and was called the Cognitron.
5. Re-Emergence: Progress during the late 1970s and early 1980s was important to the re-emergence on interest in the neural network field. Several factors influenced this movement. For example, comprehensive books and conferences provided a forum for people in diverse fields with specialized technical languages, and the response to conferences and publications was quite positive. The news media picked up on the increased activity and tutorials helped disseminate the technology. Academic programs appeared and courses were inroduced at most major Universities (in US and Europe). Attention is now focused on funding levels throughout Europe, Japan and the US and as this funding becomes available, several new commercial with applications in industry and finacial institutions are emerging.
6. Today: Significant progress has been made in the field of neural networks-enough to attract a great deal of attention and fund further research. Advancement beyond current commercial applications appears to be possible, and research is advancing the field on many fronts. Neurally based chips are emerging and applications to complex problems developing. Clearly, today is a period of transition for neural network technology.

• the operational problem encountered when attempting to simulate the parallelism of neural networks. Since the majority of neural networks are simulated on sequential machines, giving rise to a very rapid increase in processing time requirements as size of the problem expands.
  Solution: implement neural networks directly in hardware, but these need a lot of development still.
• instability to explain any results that they obtain. Networks function as "black boxes" whose rules of operation are completely unknown.