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ARTIFICIAL INTELLIGENCE

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Global Advisors: a consulting leader in defining quantified strategy, decreasing uncertainty, improving decisions, achieving measureable results.

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Quantified Strategy

Decreased uncertainty, improved decisions

Global Advisors is a leader in defining quantified strategies, decreasing uncertainty, improving decisions and achieving measureable results.

We specialise in providing highly-analytical data-driven recommendations in the face of significant uncertainty.

We utilise advanced predictive analytics to build robust strategies and enable our clients to make calculated decisions.

We support implementation of adaptive capability and capacity.

Our latest

Thoughts

Podcast – The Real AI Signal from Davos 2026

Podcast – The Real AI Signal from Davos 2026

While the headlines from Davos were dominated by geopolitical conflict and debates on AGI timelines and asset bubbles, a different signal emerged from the noise. It wasn’t about if AI works, but how it is being ruthlessly integrated into the real economy.

In our latest podcast, we break down the “Diffusion Strategy” defining 2026.

3 Key Takeaways:

  1. China and the “Global South” are trying to leapfrog: While the West debates regulation, emerging economies are treating AI as essential infrastructure.
    • China has set a goal for 70% AI diffusion by 2027.
    • The UAE has mandated AI literacy in public schools from K-12.
    • Rwanda is using AI to quadruple its healthcare workforce.
  2. The Rise of the “Agentic Self”: We aren’t just using chatbots anymore; we are employing agents. Entrepreneur Steven Bartlett revealed he has established a “Head of Experimentation and Failure” to use AI to disrupt his own business before competitors do. Musician will.i.am argued that in an age of predictive machines, humans must cultivate their “agentic self” to handle the predictable, while remaining unpredictable themselves.
  3. Rewiring the Core: Uber’s CEO Dara Khosrowshahi noted the difference between an “AI veneer” and a fundamental rewire. It’s no longer about summarising meetings; it’s about autonomous agents resolving customer issues without scripts.

The Global Advisors Perspective: Don’t wait for AGI. The current generation of models is sufficient to drive massive value today. The winners will be those who control their “sovereign capabilities” – embedding their tacit knowledge into models they own.

Read our original perspective here – https://with.ga/w1bd5

Listen to the full breakdown here – https://with.ga/2vg0z
While the headlines from Davos were dominated by geopolitical conflict and debates on AGI timelines and asset bubbles, a different signal emerged from the noise. It wasn't about if AI works, but how it is being ruthlessly integrated into the real economy.

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Strategy Tools

Fast Facts

Fast Fact: Great returns aren’t enough

Fast Fact: Great returns aren’t enough

Key insights

It’s not enough to just have great returns – top-line growth is just as critical.

In fact, S&P 500 investors rewarded high-growth companies more than high-ROIC companies over the past decade.

While the distinction was less clear on the JSE, what is clear is that getting a balance of growth and returns is critical.

Strong and consistent ROIC or RONA performers provide investors with a steady flow of discounted cash flows – without growth effectively a fixed-income instrument.

Improvements in ROIC through margin improvements, efficiencies and working-capital optimisation provide point-in-time uplifts to share price.

Top-line growth presents a compounding mechanism – ROIC (and improvements) are compounded each year leading to on-going increases in share price.

However, without acceptable levels of ROIC, the benefits of compounding will be subdued and share price appreciation will be depressed – and when ROIC is below WACC value will be destroyed.

Maintaining high levels of growth is not as sustainable as maintaining high levels of ROIC – while both typically decline as industries mature, growth is usually more affected.

Getting the right balance between ROIC and growth is critical to optimising shareholder value.

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Selected News

Term: Transformer architecture

Term: Transformer architecture

“The Transformer architecture is a deep learning model that processes entire data sequences in parallel, using an attention mechanism to weigh the significance of different elements in the sequence.” – Transformer architecture

Definition

The **Transformer architecture** is a deep learning model that processes entire data sequences in parallel, using an attention mechanism to weigh the significance of different elements in the sequence.1,2

It represents a neural network architecture based on multi-head self-attention, where text is converted into numerical tokens via tokenisers and embeddings, allowing parallel computation without recurrent or convolutional layers.1,3 Key components include:

  • Tokenisers and Embeddings: Convert input text into integer tokens and vector representations, incorporating positional encodings to preserve sequence order.1,4
  • Encoder-Decoder Structure: Stacked layers of encoders (self-attention and feed-forward networks) generate contextual representations; decoders add cross-attention to incorporate encoder outputs.1,5
  • Multi-Head Attention: Computes attention in parallel across multiple heads, capturing diverse relationships like syntactic and semantic dependencies.1,2
  • Feed-Forward Layers and Residual Connections: Refine token representations with position-wise networks, stabilised by layer normalisation.4,5

The attention mechanism is defined mathematically as:

Attention(Q, K, V) = softmax\left( \frac{QK^T}{\sqrt{d_k}} \right) V

where Q, K, V are query, key, and value matrices, and d_k is the dimension of the keys.1

Introduced in 2017, Transformers excel in tasks like machine translation, text generation, and beyond, powering models such as BERT and GPT by handling long-range dependencies efficiently.3,6

Key Theorist: Ashish Vaswani

Ashish Vaswani is a lead author of the seminal paper “Attention Is All You Need”, which introduced the Transformer architecture, fundamentally shifting deep learning paradigms.1,2

Born in India, Vaswani earned his Bachelor’s in Computer Science from the Indian Institute of Technology Bombay. He pursued a PhD at the University of Massachusetts Amherst, focusing on machine learning and natural language processing. Post-PhD, he joined Google Brain in 2015, where he collaborated with Noam Shazeer, Niki Parmar, Jakob Uszkoreit, Llion Jones, Aidan N. Gomez, ?ukasz Kaiser, and Illia Polosukhin on the Transformer paper presented at NeurIPS 2017.1

Vaswani’s relationship to the term stems from co-inventing the architecture to address limitations of recurrent neural networks (RNNs) in sequence transduction tasks like translation. The team hypothesised that pure attention mechanisms could enable parallelisation, outperforming RNNs in speed and scalability. This innovation eliminated sequential processing bottlenecks, enabling training on massive datasets and spawning the modern era of large language models.2,6

Currently a research scientist at Google, Vaswani continues advancing AI efficiency and scaling laws, with his work cited over 100,000 times, cementing his influence on artificial intelligence.1

References

1. https://en.wikipedia.org/wiki/Transformer_(deep_learning)

2. https://poloclub.github.io/transformer-explainer/

3. https://www.datacamp.com/tutorial/how-transformers-work

4. https://www.jeremyjordan.me/transformer-architecture/

5. https://d2l.ai/chapter_attention-mechanisms-and-transformers/transformer.html

6. https://blogs.nvidia.com/blog/what-is-a-transformer-model/

7. https://www.ibm.com/think/topics/transformer-model

8. https://www.geeksforgeeks.org/machine-learning/getting-started-with-transformers/

"The Transformer architecture is a deep learning model that processes entire data sequences in parallel, using an attention mechanism to weigh the significance of different elements in the sequence." - Term: Transformer architecture

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