How Artificial Intelligence Is Used In Business Right Now
/A review recently studied more than 150 artificial intelligence (AI) projects undertaken by companies in recent years — from small projects to the grandiose. It found that many of the big projects have made improvements, but many have not reached their end goal yet. For example, medical research into a cure for cancer has not come up with the cure but has netted other important discoveries. Three areas, in particular, are being effectively implemented and showing significant results:
Automation of business processes
Data analysis and insights
Customer and employee engagement
Robotic Process Automation
The most common use of AI found in the analysis was automating tasks. Robotic Process Automation (RPA) uses software algorithms to mimic human behavior and automate manual tasks for speed and efficiency.
Some examples include:
● Scanning legal documents to extract meaningful information using natural language processing
● Extracting data from email and call center software and inputting information into CRMs
● Processing healthcare and insurance claims
● Handling customer communications
RPA is often addressing a company’s low-hanging fruit. You might call it “AI-light” since most of the tasks don’t require deep learning although the sophistication of algorithms is growing rapidly.
Cognitive Insight
The second area HBR pointed to is cognitive insights, where algorithms are used to detect patterns in data. AI can see even minute changes in patterns where anomalies exist. It becomes difficult for humans to see these small changes with large data sets. They are easy to miss. AI sees the patterns and can track the results to see how it influences future behavior. As such, it becomes smarter over time. AI can also flag anomalies faster and take remedial action, if necessary.
Some examples include:
● Identifying security threats to computer networks
● Detection of insurance claim fraud or credit fraud in real-time
● Predicting consumer behavior and buying intent
● Nurturing customers at various stages of the buying journey
Cognitive insights using AI and machine learning are typically focused on large data sets.
Cognitive Engagement
Cognitive engagement involves using chatbots or intelligent agents that can employ natural language processing and complex decision trees.
Some examples include:
● Product recommendation engines for retailers
● Personalized delivery of website content based on customer history
● Chatbots for customer service and support
● Answering employee questions about policies or benefits
The Business Benefits of Artificial Intelligence
When surveyed by Deloitte, business leaders familiar with AI said their primary goal was to make existing products better. Here is how executives ranked the benefits:
● 51% - Enhance features, functions, and performance of products
● 36% - Optimize internal business operations
● 36% - Free up employees to work on higher-level tasks by using automation
● 35% - Make better business decisions
● 32% - Create new products
● 30% - Optimize processes, including sales and marketing
● 25% - Pursue new markets
Less than a quarter (22%) said they wanted to reduce personnel using automation.
Implementing AI In Business
As business leaders consider integrating AI solutions, experts recommend a four-step process to achieve business goals.
Understand the technology to make sure you are investing in the right capabilities. Executives should have realistic goals and understand the costs.
Evaluate the organizational need and work with stakeholders to develop projects that benefit the organisation the most.
Create pilot projects to test outcomes before launching throughout the company.
Scale up when outcomes are successful.
Learning About AI In Business
Executives looking to learn more about AI and acquire the knowledge they need to maximize the benefits of AI in their organization can take an AI course.
The ROI of AI
Another study showed mixed results for AI when it comes to the bottom line. 70% of companies surveyed reported no impact or minimal impact from AI in their organizations. Of the 90% of businesses that have invested in AI, only 40% report business gain within the past few years.
The study concludes that while some organizations have successfully integrated AI into their business models, most businesses struggle to generate value with AI.
Yet, more than 90% of firms say they have at least some ongoing investment in AI development.
Before making investments, business leaders need to understand the opportunities, challenges, and risks associated with artificial intelligence deployment.
Artificial Intelligence (AI) has significantly altered organizations' knowledge management landscape. As data volumes soar and the pace of business accelerates, traditional methods of capturing, processing, and sharing information prove increasingly inadequate. AI emerges as a transformative force, enabling smarter decision-making and seamless information flows.