Supervised learning algorithms are trained using labeled examples, such as an input where the desired output is known. For example, a piece of equipment could have data points labeled either "F" (failed) or "R" (runs). The learning algorithm receives a set of inputs along with the corresponding correct outputs, and the algorithm learns by comparing its actual output with correct outputs to find errors. It then modifies the model accordingly. Through methods like classification, regression, prediction and gradient boosting, supervised learning uses patterns to predict the values of the label on additional unlabeled data.