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Scottsdale tech company using AI software to move beyond industrial sector and into big data; doubling workforce


A 17-year-old Scottsdale-based technology company that works in the industrial sector is now using its artificial intelligence software to help the National Football League, health care firms, police departments and the military.

As Third Evolution Inc. prepares for expected large growth in other industries, the company plans to hire at least 10 more software engineers by September with salary ranges from $85,000 to over $250,000 a year, said Mike Baciewicz, founder and president of Third Evolution.


“The concept of AI and advanced analytics is a hot button for everybody,” Baciewicz said. “The interest is why we see the growth because we also have a lot of interest from enterprise resource-planning, big data software companies.”

For years, Third Evolution has been working on the industrial side by helping industrial and utility facilities design and better optimize their processes, including natural gas companies, through its AI software, engineers and integration capabilities.

In the past year, the 12-employee company has started branching out to use its new Knowledge Molecule AI software, process engineering and automated systems to create big data solutions for a NFL team and the behavioral health field, among others, Baciewicz said.

“We built knowledge molecules for each player for one team in the NFL,” said Baciewicz, adding they started working with the NFL about four months ago. “We take their playbook, with their current roster and the competing team’s players to give statistical best plays the team should be running.”

About seven months ago, Third Evolution began helping a Phoenix-based health care firm that wanted to optimize therapists to patient outcomes for team efficiency. By crunching the numbers, Third Evolution’s technology showed who were the best therapists to work with certain patients to receive the greatest patient outcome, Baciewicz said.

Third Evolution brought on new Chief Operating Officer Stuart Wachs in January, the former president and CEO of the Jewish Community Association of Greater Phoenix, to help the company grow and move beyond the industrial sector.

“According to research, analysts are only able to review about 1 percent of the data relevant to decision-making,” Wachs said. “As technology continues to evolve in leaps and bounds, so too does the amount of data that becomes available. Without big data solutions, there’s simply no way to keep up or to manage processes and costs real-time.”

Last year, Third Evolution engineers developed the formal data software, known as Knowledge Molecule, that doesn’t need an industrial plant attached to it to fully optimize a business. This allows the company to bring its technology to other industries.

“We come in as an emergency room situation, and we’re good at finding ways to solve problems,” said Baciewicz, a former engineering executive for Invensys Ltd. and General Electric. “In designing solutions it’s really about finding a solution that goes out and discovers the missing pieces that makes that business more efficient.”

The Knowledge Molecule is AI software designed to allow organizations to manage decision making at an optimized level while dealing with the "overwhelming exponential growth of available data," Baciewicz said.

This unique application allows for the optimization and automation of data collection, compiling relevant data and automating or recommending first, second and third tier solutions. This allows for a "significant decrease in the time to sort, correlate and analyze data, along with improved real-time decision making," he said.

“We have AI software that is self-learning, exceptionally fast and stems from that notion that we need to control the process and optimize it,” said Baciewicz, who has a bachelor’s degree in computer science, low-voltage electrical engineering and interpersonal communications from the University of Pittsburgh. “You need to understand every molecule of data you have. We’ve learned that from the industrial side.”

With that industrial foundation, Third Evolution can apply its software to the big data space in a number of different markets, including universities, call centers and convenience stores.

“We start with your exact process, map it at the molecular level, and catch every deviation for bad or good directions,” Baciewicz said. “We reveal to the company ways to reach the best possible outcomes.”

Third Evolution engineers will also implement those solutions if the company chooses, which makes the company unique in that it is an integration firm as well.

“Our integration capability is another reason why our clients choose us,” he said.

Besides the 12 full-time employees, Third Evolution also has 40 contract employees.

The self-funded company has its office near Bell Road and the Loop 101.


Published in the Phoenix Business Journal June 27, 2017


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