The Prompt Engineer's Handbook: Effective Prompts for Optimal Results - Alexander Schmidt - E-Book

The Prompt Engineer's Handbook: Effective Prompts for Optimal Results E-Book

Alexander Schmidt

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Beschreibung

The Art of Prompt Engineering: Discover the transformative potential of AI systems. Artificial Intelligence is revolutionising the way we communicate and work. To fully harness the capabilities of AI systems like ChatGPT or Claude one must master the art of formulating precise and creative prompts. Prompt Engineering is essential for obtaining customised, high-quality results from AI. In this book, Alexander Schmidt, an experienced lecturer and expert in analytics and AI-powered communication, guides you through the world of Prompt Engineering step-by-step. Learn the basics, create effective Basic Prompts, and master advanced techniques such as Mega Prompts. Explore how to adapt prompts to various use cases, navigate common pitfalls, and maximise the use of language models like GPT-4. Packed with practical examples, reflective questions, and checklists, this book equips you to sharpen your Prompt Engineering skills in a focused manner. Whether in marketing, data analysis, or customer service, after reading this book, you will be well-prepared to effectively deploy AI systems in your daily work, boosting your productivity and creativity to new heights. Dive into the fascinating world of Prompt Engineering and unlock the vast opportunities that Artificial Intelligence offers for enhancing communication and collaboration. With this guide, you possess the essential tools to precisely control AI systems and achieve impressive results.

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Imprint

Title: The Prompt Engineer’s Handbook: Effective Prompts for Optimal Results

 

Publisher and responsible for the content:

Alexander Schmidt

Hans-Stempel-Str. 3

67346 Speyer

Germany

Secretariat E-Mail: [email protected]

 

Editorial deadline: 15 March 2024

Please note that due to the editorial deadline of 15 March 2024, events, developments, or information that took place or became known after this date are not reflected in the content of this book.

 

Self-publisher

Year of publication: 2024

Copyright © 2024 Alexander Schmidt. All rights reserved.

About the author

Alexander Schmidt is an experienced digital expert and thought leader, with over 25 years’ experience integrating Artificial Intelligence (AI), cloud technologies, and data analytics within organisations. In leadership roles at msg Rethink Compliance (msg group), IBM, SAP, and Oracle, he has specialised in the strategic design of scalable, regulation-compliant SAP and AI solutions.

With his extensive background in AI and analytics, including financial analytics, Alexander Schmidt has successfully served major clients worldwide and has focused his research on small and medium-sized enterprises. As a lecturer at the Graduate School Rhein Neckar and during his years of research at the Centre for Security and Society at the Albert-Ludwigs-University Freiburg and the Eastern Switzerland University of Applied Sciences, he shares his knowledge on Corporate Performance Management (CPM), AI ethics, and data protection in surveillance technology. He has published numerous articles on CPM, and the ethical and security aspects of AI implementation.

Holding a degree in International Management from Munich Business School and having international experience abroad in Paris and Dublin, Alexander Schmidt is well-equipped to guide participants through the intricacies of Prompt Engineering. With his ability to convey complex topics in an understandable and engaging manner, Alexander Schmidt knows how to raise awareness about the opportunities and risks of Artificial Intelligence. His profoundly visionary thinking and keen intuition for forward-looking trends powerfully inspire his audience to rethink their approach and encourage them to boldly forge new paths.

Alexander Schmidt lives with his wife, son, and family dog in Speyer, Rhineland-Palatinate, Germany.

About the Book: The Art of Prompt Engineering

Discover the transformative potential of AI systems. Artificial Intelligence is revolutionising the way we communicate and work. To fully harness the capabilities of AI systems like ChatGPT, one must master the art of formulating precise and creative prompts. Prompt Engineering is essential for obtaining customised, high-quality results from AI. In this book, Alexander Schmidt, an experienced lecturer and expert in analytics and AI-powered communication, guides you through the world of Prompt Engineering step-by-step.

Learn the basics, create effective Basic Prompts, and master advanced techniques such as Mega Prompts. Explore how to adapt prompts to various use cases, navigate common pitfalls, and maximise the use of language models like GPT-4. Packed with practical examples, reflective questions, and checklists, this book equips you to sharpen your Prompt Engineering skills in a focused manner.

Whether in marketing, data analysis, or customer service, after reading this book, you will be well-prepared to effectively deploy AI systems in your daily work, boosting your productivity and creativity to new heights. Dive into the fascinating world of Prompt Engineering and unlock the vast opportunities that Artificial Intelligence offers for enhancing communication and collaboration. With this guide, you possess the essential tools to precisely control AI systems and achieve impressive results.

About the Author

Alexander Schmidt is an expert in AI-supported communication and a lecturer in Prompt Engineering. As a sales and analytics expert and author, he combines technical expertise with many years of practical experience. His goal is to make the possibilities of AI usable for everyone.

Contents

0Foreword

1Basics and Significance of Prompting: The art and science of effective AI communication

2The Basic Prompt: Context and style for effective AI communication

2.1Basics: Factors for a Good Basic Prompt

2.2In-depth: Adapting the Basic Prompt to Different Scenarios

2.3Checklist

3Mega Prompt- The Swiss Army Knife - Introduction and Limits:

3.1Limits of Prompting

3.2Dealing with complexity: The solution - this is how it operates!

3.3Summarised View of Mega Prompts

4Good Prompts for Daily Work without Iteration

4.1Application Examples in Daily Work

4.2Advanced Use of Prompts for Complex Tasks

5Stumbling Blocks

5.1Incorrect and Outdated Information

5.2Prejudices / Bias

5.3Data Protection Breach

5.4Prompt Injection

5.5Harmful Advice

5.6Navigating the Stumbling Blocks of Large Language Models

6Best Practices for Creating Good Prompts

7A Comparison of Language Models and Their Limits

8Effective Dialogue Management: Introduction to the Use of Threads in ChatGPT

8.1Advantages of Thread Utilisation and Best Practices

8.2Loss of Context and Organisation: Understanding Pitfalls and Best Practices in Using Threads

9Application Examples and Case Studies: Mastering the Practice of Prompting

9.1Complex Use Cases

9.2Specific Applications for Process Optimisations

9.3Conclusion: The Transformative Power of Effective Prompts

10Application Examples by Business Sector

10.1HR and Talent Management

10.2Research and Product Development

10.3Advanced Application Examples for AI in Finance

10.4Sales and Business Development

10.5Strategy Development:

11Tools and Platforms: Essential Resources for Effective Prompting

11.1Detailed Look at the Tools

11.2Comparison of Tools: Which Tool for Which Purpose?

11.3The Essence: Orchestrating Tool Interactions for Enhanced Prompting

12Basic Terminology

13Conclusion and Outlook: Envisioning the Future of Prompting with AI

Foreword

If you have picked up this book, you may already be familiar with ChatGPT or other fascinating products from the world of Artificial Intelligence. This book invites you to join me in exploring deeper into the possibilities of Prompt Engineering and discovering how to leverage this technology effectively in your everyday professional life. The concept for this book originated from my work as a part-time lecturer. In my courses on Prompt Engineering, I was able to experience how the participants explored the many possible applications with curiosity and enthusiasm. Each course was a voyage of discovery, characterised by a dynamic learning atmosphere and an active exchange of ideas. These positive experiences have motivated me to share my knowledge and techniques with a broader audience. After all, the ability to formulate precise and creative prompts is the key to realising the full potential of AI systems - regardless of the specific language model. This book is designed to give you the basics and techniques to master prompts and become an expert in interacting with AI. My personal journey into the world of AI began with my first steps in ChatGPT. Since then, the technology has evolved rapidly and continues to open up new possibilities. It is this dynamic that still fascinates me today and motivates me to keep my finger on the pulse. When writing this book, I was able to count on the support of my personal environment. My family was always my first source of feedback for new ideas. My wife and my son (10 years old) gave me valuable feedback and kept pushing me to sharpen my approaches. I would also like to thank my friends and colleagues for their constructive comments throughout the creation process. My goal is to share with you my enthusiasm for Prompt Engineering and to inspire you to explore your creativity. The methods and examples presented should serve as inspiration and a starting point for your own experiments. After all, the art of prompting thrives on curiosity, creativity and the joy of trying things out. I hope you enjoy reading and discovering. May this book inspire you to use AI systems in new and creative ways in your everyday professional life and thus write your own personal success story.

Yours sincerely,

Alexander Schmidt

How to Get the Most Out of This Book

This book is intended to serve as a practical guide and source of inspiration. To help you maximise the benefits of the following chapters, I would like to provide you with a few suggestions to help you along the way: Familiarise yourself with the basics. The first few chapters will give you a solid understanding of the concepts and mechanisms of Prompt Engineering. Even if you are eager to jump straight to the practical applications, I recommend that you familiarise yourself with these basics first. They form the foundation for everything that follows. Choose your own path through the chapters: Although the chapters provide a building structure, they are designed to be self-contained. You can work through them in the suggested order to develop a systematic understanding of Prompt Engineering, or you can skip straight to the sections that are most relevant to your current needs and interests. Each chapter contains self-contained learning units and practical examples that also operate independently of each other - similar to an encyclopaedia where you can search for specific topics. Utilise the practical examples: The use cases and case studies in this book are designed to help you put what you have learnt directly into practice. Think of the examples as a framework. Use your own tasks, job descriptions and requirements as a guide. Analyse the examples carefully, reproduce them and consider how you can transfer the approaches to your own challenges. Reflect with the help of the reflection questions: At the end of each chapter you will find reflection questions to help you process what you have read and integrate it into your day-to-day work. Take time to think about these questions and write down your findings. This will deepen your understanding and help you recognise how you can apply the content in a specific way. Experiment and iterate: Think of working with Prompts as a continuous learning process. Don’t be afraid to experiment, adapt and refine prompts. Through repeated trial and error and optimisation, you will achieve better and better results and develop a feel for the subtleties of Prompt Engineering. Exchange ideas: Exchanging ideas with others is a valuable source of inspiration and new knowledge. Share your experiences, discuss challenges, and best practices with your colleagues. Together you can learn from each other and support each other. Stay up to date: The field of AI and Prompt Engineering is developing rapidly. Use this book as a springboard to keep up to date with the latest trends and technologies. I hope that these suggestions will help you realise the full potential of this book. Think of it as your personal guide to the fascinating world of rapid engineering. The journey may be arduous, but the rewards - in the form of greater efficiency, creativity, and innovation in your work with AI systems - are more than worth the effort. With this in mind: Have fun and success reading, learning and applying!

Reflection questions for you:

•In which area would you like to use Prompt Engineering and what are your specific purposes?

•What experience or previous knowledge do you have and how can this enrich your learning journey in Prompt Engineering?

•What do you expect from this manual and how do you intend to put what you have learnt into practice?

These reflection questions are designed to help you clarify your personal purposes and expectations and make the most of “The Prompt Engineer’s Handbook: Effective Prompts for Optimal Results” handbook. I am delighted to be able to accompany and support you on this exciting journey.

Illustration 1: Prompting mind map

1One

Basics and Significance of Prompting: The art and science of effective AI communication

Have you ever wondered how AI systems communicate in such a precise and human-like way? The answer lies at the heart of the emerging field of Prompt Engineering. Initially, interactions with AI systems were often limited and not intuitive. However, with the introduction of advanced language models such as GPT-4, Prompt Engineering has emerged as a crucial skill for getting effective and accurate responses from AI systems. Prompting is the interface between humans and machines, enabling the precise control of AI actions. Have you ever wondered why some prompts operate like a key in a lock while others lead to dead ends? The art of Prompt Engineering lies in the masterful formulation of every word.

Effective prompting provides AI with clear instructions that guide it towards the desired response. For example, asking an AI assistant like ChatGPT to “explain the basics of quantum physics in simple terms” will result in a customised, easy-to-understand explanation. A vague request such as “tell me about physics”, on the other hand, leads to a general, less helpful response.

Prompting is key to using large language models such as ChatGPT-3 / ChatGPT-4, which have been trained with large data sets so that they can generate remarkably human-like text. However, due to their open formulation, the prompts need to be carefully constructed to generate relevant and high-quality responses.

Various techniques can improve the prompts. Providing more context helps the AI to understand the distinctive features of a situation. Asking step-by-step questions that build on previous answers improves coherence. A complex prompt acts like a map, helping the AI navigate through the jungle of data to generate the most accurate answer.

Effective prompting requires an iterative, experimental approach. Factors such as word choice, tone of voice, length and formatting all influence AI results. Subtle variations in wording can make a big difference. Prompters need to continuously refine prompts based on results and optimise input.

Have you ever played an instrument or learned a new language? Just as these skills become second nature with practice, developing prompts can become an intuitive art form with constant practice. Experienced prompters can elicit creative content from AI by using their ability to summarise and explain concepts. For businesses, the quality of prompts opens up valuable applications such as automated report generation, data analysis and personalised communication.

However, poor prompting practices harbour risks. Without proper guidelines, AI can generate biased, incorrect, or meaningless text. To minimise these risks, prompts must be carefully designed. Using clear, neutral wording prevents unintentional bias. Specifying desired style elements, e.g. an academic tone, improves quality control.

Imagine a future where talking with an AI is as natural as chatting to an old friend. Advances in AI will allow prompts to become as fluid and intuitive as everyday conversations. Tools such as “Perplexity”, which optionally uses “Claude” from Anthropic in the background, are already able to deduce the user’s basic intentions from the prompts. Google’s “Bard” has been significantly improved over “Gemini” - yet ChatGPT can already conduct voice conversations on mobile devices. This is unprecedented, (at the time of writing in March 2024) Such improvements will make AI more intuitive and accessible.

In summary, the ability to understand prompts is essential to realise the potential of AI while ensuring responsible and ethical use. Those who learn to formulate precise and well-structured prompts can expand their skills, drive innovation and further integrate AI into everyday life. By mastering prompts, we have a powerful lever in our hands to make the technology work for us.

2Two

The Basic Prompt: Context and style for effective AI communication

Communicating with Artificial Intelligence (AI) requires precise and clear formulation of prompts in order to achieve optimal results. A Basic Prompt is like the foundation of an “organisation” - it sets the structure and tone for everything that builds on it. A well-laid foundation ensures stability and relevance in communication with the AI. An example of a real-life scenario where an HR manager uses ChatGPT to schedule or analyse candidate interviews could be the following Basic Prompt:

“I am an HR manager who specialises in conducting and evaluating candidate interviews. My style is fact-driven and analytical.”

This prompt enables the AI to tailor its responses specifically to the context of HR management.

Another scenario concerns a management consultant who focuses on organisational development and process optimisation. In this case, the Basic Prompt could be:

“As an experienced management consultant, I focus on organisational development and process optimisation. My work involves analysing business processes, identifying potential for improvement, and developing effective solution strategies. My communication style is analytical, solution-oriented and tailored to the needs of my clients.”