Learn how to fine-tune LLMs for domain-specific tasks. Explore techniques, data preparation tips, and best practices to optimize for your business needs.
1/31/2025
machine learning
15 mins
The sudden shift towards deploying LLM models in business AI solutions has not only stepped up the technology transformation, but has also opened avenues for brainstorming on such ideas that can deliver a more focused, enhanced, and convenient AI-powered solution. Here the emerging efforts for fine-tuning LLMs can have a significant impact in leveraging a solution that can cover the need to provide a focused and detailed response to your business query.
This need for a solution that secures the ability to serve an accurate response for a focused problem is gaining importance with each passing day. Therefore, the practice of fine tuning in LLM is significantly attaining popularity to achieve the ideal results. This raises the question: Why is fine-tuning LLM so important? How does fine-tuning work? What is the impact of fine-tuning LLMs?
In this article we will assist you in finding out how fine-tuning LLM can help you build a solution that exhibits your desired performance in the most optimized way, alongside this you will also be able to discover the best practices for fine-tuning LLMs.
Fine-tuning alone is utilizing pre-trained machine learning models and training them on a more focused specific dataset to improve its performance for domain-specific tasks. However tuning LLMs means re-training an already existing LLM which is executing general purpose tasks, this involves a step of procedure to train the model to exhibit a domain-specific task with enhanced and reliable output, which eventually bridges the gap that general-purpose LLMs are unable to deliver.
Currently, there are several approaches available for fine tuning LLMs, many business industries have involved these fine-tuning approaches in their AI-powered solution to customize these large language models according to their business needs. Below we have discussed these fine-tuning approaches for LLM to help you build some understanding:
During the approach of full fine tuning LLMs, all of the parameters involved in the models are trained onto the new training dataset that holds the ability to provide a more enhanced result for domain specific queries. These Full fine tuning approaches require substantial memory and computational resources so that they can adequately train all the parameters. Full fine-tuning LLM approach should only be utilized when you possess access to large amounts of domain specific data so that your model can be trained accordingly to deliver the expected results.
Example: Language models adapting to medical-specific terminologies(BioBERT)
In the layer wise fine tuning of LLM, the parameters found in particular layers are targeted to be retrained on a dataset that holds the data to entertain the domain specific problem in the most optimised way, while the parameter present in other layers remains untouched from retraining and possesses the knowledge learned from previous training. While this fine tuning approach utilizes moderate memory resources, as only a few selected layers of parameters are updated; ultimately reducing the computational load. This layer wise fine tuning works best where domain specific approach is required, but the previous knowledge still holds the value for contributing towards a better response.
Example: Translation services (Google Translate).
Parameter efficient fine tuning of LLM is an approach where we intend to retrain a brief subset of parameters. This is a very delicate task, so in order to avoid disturbance for another parameter it is better to introduce a new layer containing these parameters, which will enable you to train these new parameters on the specific dataset without disturbing the functionality of others. Parameter efficient fine tuning is highly memory efficient as it delivers the required result while consuming the minimum resources, so for LLM it is ideally used where computational resources are limited and accuracy is crucial.
Example: Tuning key parameters in GPT-3 for chatbots.
Task specific fine tuning of LLM is an approach enabling your LLMs to exhibit enhanced and reliable tasks for the focused queries. It is made possible by training the model on a task specific dataset. Task specific fine tuning of LLM is best for tasks that demand higher accuracy for specific tasks.
Example: Legal Tech (LawGeex for contract analysis).
The prompt based fine tuning approach for LLMs exercises a methodology to ensure a focused and specific response for the provided input prompt. What actually happens is that the basic model remains untouched but some of the characteristics are adapted through prompt patterns. This prompt based fine tuning is well suited for conversational AI applications since it requires minimal memory resources.
Example: Prompt-based text generation in OpenAI GPT.
Adapter based fine tuning of LLM involves the incorporation of lightweight layers that hold the characteristics which need to be adapted to the pre-trained model, while the rest of the layer remain un disturbed.This allows your system to adapt to new behavior of the specific tasks. Adapter based fine tuning introduces excellent performance for multitasking environments where previous knowledge holds significance, therefore it needs to be preserved along with including the new one. This fine tuning approach is very much memory efficient, as it fine tunes the adapter layer only, while keeping the other layers unbothered.
Example: Adapters for multilingual translation tasks in BERT.
Fine tuning LLM enables you to acquire a methodology that can provide promising results for your customized LLM.This not only provides enhanced performance for domain specific problems but also helps in building an efficient model which utilizes all the computational resources intelligently.
Fine-tuning LLM is acquiring significant importance as this ensures the provision of a more accurate response for a focused and specialized task. While this fine-tuning of LLM introduces enhanced performance it also remains considerate about utilizing the computation resources most mindfully; ensuring optimized results but not at the expense of over utilising the resources.
The above explained text is very firmly endorsed by the statement made by Demis Hassabis (CEO & Co-Founder of DeepMind) which says
"Fine-tuning is crucial because it allows us to focus computational power where it matters most—on specific tasks—while still benefiting from the general knowledge embedded in large models."
Implementing fine tuning in LLM to ensure the development of a model that holds the ability to deliver the results you are expecting from it is a highly crucial step. Therefore search and implementing of such fine tuning methodology that is best suited for your LLM can be tough call to make, to assist you better we have listed down some fine tuning methodologies for LLM:
In this methodology of supervised fine tuning of LLM the model is fine tuned by utilising a labeled dataset that has mapped input with specific outputs. Supervised fine tuning is a go to option when targeted outputs already exist. This can positively impact in enhancing the performance for translation, classification or sentiment analysis tasks. The studies infer that
“supervised fine tuning enables domain specific task adaption to generalized LLM”
(Radford et al., 2019, GPT-2).
Example: Text Classification in spam email detection systems
The reinforcement learning fine-tuning methodology introduces a feedback mechanism for tuning LLMs. Thiss allows your model to learn from each provided input and make future decisions by learning and analysing these input,; eventually helping your model exhibit desired behaviour The research explains this aspects wel, concluding that
" a “1.3B parameter model trained with reinforced feedback was able to achieve a 61% raw preference score,which surpassed the performance of the 10x larger supervised model”
(Stiennon et al., 2020, OpenAI).
Example: Open AI’s chatbot
Transfer learning based fine tuning is a methodology incorporated for fine tuning LLM by using pre-trained models for training it on a smaller domain specific dataset. This can be validated by the study which indicated that
“transfer learning based fine tuning allowed LLM to learn specific tasks while being mindful about the computations which will be invested”
(Howard & Rudder, 2018, ULMFiT).
Examples: AI legal document summarizers
Few shot fine tuning provides a methodology for fine tuning LLM by training the pre-trained model on a really small dataset with minimal data, this enables to provide a technique of fine tuning that consumes minimum resources but promises reliable results. This research endorses that
“ few shot fine tuning can enable LLMs to learn and adapt for new tasks, within the limited provided resources” (Brown et al., 2020, GPT-3).
Example: Custom digital voice assistants
In the multitask fine-tuning methodology, we use the pretrained model to train it to perform multiple desired tasks in real time. This can happen when these multiple expected tasks share a common knowledge for their implementations. This is reflected appropriately by the research, which introduces
“multitask fine-tuning as an approach that empowers LLM to generalise better by training them together for related tasks”
Example: Versatile creative content generators
Contrastive learning fine tuning enables a methodology of fine tuning LLMs in such a way that the similar pairs are mapped together, and dissimilar are distanced apart. This is validated in studies that inform that contrastive learning has a significant role in bringing positive samples together and eventually encouraging the model to enhance understanding for relational data
Example: Text-to-image paired training models
The process for fine tuning LLM is very crucial for ensuring the desired performance is achieved from the model. Therefore it's of prime importance to handle fine tuning of LLMs with the required attention while staying considerate about the best practices for fine tuning LLMs.
In order to ensure the best fine tuning of LLM it is really important to ensure an excellent data collection and curation process. As this collected and structured dataset will eventually contribute to setting up a strong foundation for fine tuning LLM.
After data collection, the next important step in the pipeline is preprocessing the collected structured data set, and consequently assigning tokens to the data present in the dataset that will strengthen the fine tuning process.
The next crucial step in ensuring the best fine tuning LLM is to choose an appropriate hyperparameter, as by opting for a suitable hyperparameter you can save yourself from the potential hassle that can prolong and make your fine tuning process more complex.
Another important practice that should be prioritised while fine tuning LLM is to have proper evaluation of the dataset that is intended to be utilised, and accordingly set and regularise your dataset from the validation metrics to provide smooth and reliable fine tuning.
Utilizing appropriate and relevant regularisation techniques holds a significant place in promising a well fine tuned LLM, therefore incorporating the most suitable regularisation technique can prevent future hassle that can occur.
Monitoring and adjusting your training dataset is another great practice that can result in producing excellent and accurate responses from your LLM, as this helps in the best fine tuning of LLM by reducing the chances of faults.
Another great practice that should never be skipped at any cost is to evaluate your LLM post fine tuning, this helps in making you sure that your fine tuning was successful enough to deliver the desired outcome.
The final step after fine tuning LLM is the model deployment and making optimisation accordingly in it. This is the most essential step in which eventually you set up your model in the real environment, analyse and optimise its performance accordingly.
Data preparation has a huge importance in fine tuning LLM, as this data preparation holds the base for providing a strong and efficient fine tuned LLM. Fault in data preparation can result in serious consequences, leading to repeat the process of training or fine tuning. Below we have discussed some aspects of data preparation that have a significant impact on fine tuning procedures:
While collecting the training data it is really important to make sure that the collected data holds the best quality. As a top tier quality data can only promise a response that is reliable and accurate.
While preparation of a dataset is another fact for consideration is to acquire diverse data that has a balanced representation of all the possible aspects that can occur, this can help us in deploying a model that can deliver the desired response.
Data preparation has a significant impact in providing an LLM that ensures optimised performance, as LLMs are traditionally able to cater to generalise problems therefore during fine tuning them its extremely important to prepare a dataset that can solve domain specific problems.
Fine tuning LLMs not only results in providing high performance models, but plays a key role in saving you from future hassle. Therefore incorporating fine tuning of LLM can enhance the performance of your AI powered business solution. Below we have given some applications where fine tuning can introduce a positive impact:
Customized Customer Support Solutions
Having a customised customer support solution for ensuring a dependable response to customer queries is highly in demand these days. So, a fine tuned LLM which is able to deliver support for specific customer queries is one of the applications that has the ability to benefit the masses.
Example: Zendesk’s AI-driven customer support
A fine tuned LLM can be deployed to deliver an enhanced recommendation system, which can significantly secure profit for business organisations. As a fine tune LLM can generate a more focused recommendation for customers based on their personalized interest which can play a key role in ensuring your business growth.
Example: Netflix personalized movie recommendations
Fine tuned LLM can help in delivering tailored marketing content, which cannot only be the reason for increasing profits for business but can also help you reduce your cost and speed up your marketing process by ensuring a focused automated response.
Example: Copy.ai for customized marketing content
Another huge and valuable application that this fine tuned LLM can ensure is to extract domain specific knowledge from the scattered resources. This extraction of specific knowledge can actually help in speeding up their procedure for strategy making and even production, improving business efficiency.
Example: IBM Watson for industry insights
A fine tuned LLM holds the ability of providing a model which can develop understanding for larger complex context, ultimately be able to serve a response that has better contextual understanding and is focussing to address the given query.
Example: OpenAI Codex for code generation
In future fine tuning can result in more marvellous technical revolutions which will completely transform the current dynamics. The day is not far when fine tuning of LLM will be generating responses for businesses very close to human intelligence and by consuming less time.
While fine tuning LLMs hold the potential for upscaling your business solution, it is very important to use the most appropriate approach for your specific business requirement, so that you can be benefitted well with performance that is received after deploying it. We can safely say fine tuning LLM generally has more benefits than drawbacks, therefore deploying the right approach can prove to be a great business decision for you.
Still confused about fine tuning LLMs? Get in touch with our AI experts by booking the first free consultation session to share your ideas and reservations, bringing your vision to reality.
Muhammad Harris, CTO of Centrox AI, is a visionary leader in AI and ML with 25+ impactful solutions across health, finance, computer vision, and more. Committed to ethical and safe AI, he drives innovation by optimizing technologies for quality.
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