AI Is Reinventing the Business World
Artificial intelligence is more than just a futuristic concept reserved for science fiction films. Today, she’s here for real! And now it is revolutionizing the business world.
Let’s go on a brief overview to put everything in context and help you better understand the impacts of artificial intelligence in companies like yours.
Ready to see how this new technology (not so new after all) can transform and enhance business functions in the future?
AI Revolution in the Business World
You’ve probably noticed, artificial intelligence is on everyone’s lips these days! Its fast evolution in recent years has caused much ink to flow.
Whether intrigued, frightened or fascinated, we all wonder what impact it will have on our business and how we can use it to our advantage.
Before we get into the applications of AI in companies, we think it’s interesting to do a little contextualization.
The Birth of AI
The word “artificial intelligence” was first used in 1956. One of the founding fathers was Marvin Minksy who defined it as “the science of making machines do things that would require the use of intelligence if they were made by men”.
Already in the 1960s, it was used for simple industrial applications. AI made it possible to perform repetitive tasks in the factory. Then it grows and its use extends to inventory management and data collection.
Without making too much noise in the public sphere, artificial intelligence began to gradually integrate into companies.
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AI and the Web (Until 2010)
It was in the 1990s that AI began to be used in the web. It makes it possible to develop expert systems and improve search engines. It is then used to better the user experience. This is also the beginning of machine learning.
The Use of AI in Businesses Today
Since 2010, artificial intelligence has been on the move! But, it is really from 2020 that it explodes with the arrival of generative AI. We now have access to platforms that write text, generate code and create images for us.
It opens doors for companies that want to customize their services and take innovation to another level.
Properly used, AI can become a tool playing a strategic role in the future of companies.
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Applications of AI in Companies
Artificial intelligence can change a lot of things in your company: make your internal processes more efficient, personalize the customer experience, human resources management, etc. The applications are almost endless.
Thanks to AI, we have access to tons of data that allows us to be proactive and make better decisions. And that’s not all, AI can also give a huge boost to the development of your products.
Basically, the possibilities with AI in business are huge.
In short, the applications of AI in business are multiple. Here are some key examples to give you an idea.
Process Optimization
Gone are the days when everything was done by hand!
Process automation will simplify your life and make your business ultra efficient.
It is able to use real-time data and do predictive analytics to then automate and optimize elements like supply chain management, logistics and production planning.
Data Analysis and Decision Making
One of the great strengths of artificial intelligence is its ability to collect and analyze a quantity of data; a job impossible to do by hand.
It gives companies really valuable insights to understand and predict market trends and customer behaviours. In fact, some retailers use it to predict their sales.
With these predictive analytics, you will be better equipped to make informed decisions, based on solid data and not just assumptions.
Customer Relationship Management and Marketing
AI is literally revolutionizing marketing campaigns.
Algorithms can analyze users’ online behaviour, preferences, and purchase histories to personalize product recommendations and ads. With all this data, we have a better understanding of customer expectations.
In addition, artificial intelligence makes it possible to create tools that improve customer service and customer relations.
Have you ever run into chatbots? The latter, along with the virtual assistants, are powered by AI. They provide 24/7 support by handling routine requests with efficiency that is difficult for humans to replicate.
Human Resources and Talent Management
AI also helps in the area of human resources. Some companies use it for automatic candidate selection and employee performance management.
AI systems can analyze resumes, help schedule interviews, and even predict which employees might be thinking about leaving the company.
Security and Surveillance
Challenges in Integrating this New Technology
Ethics and Transparency
The use of artificial intelligence in business raises real questions of transparency and ethics.
Automated decisions made by AI can affect people’s lives, especially in terms of human resources in hiring or even credit.
You need to make sure that your model is free of bias and that the decision-making process is transparent. The ideal is still to use this technology to sort first and leave the final decision to a human.
Data Security
Data leaks? They can throw your most sensitive information on the web and destroy your reputation in the process.
When adopting AI, it is also essential to adopt data management and cybersecurity best practices to ensure healthy risk management.
Legal Liability
Using AI in business also means understanding the legal implications that are still unclear. Laws surrounding the subject are constantly changing and vary enormously by region.
If you want to stay in good standing, you’ll have to juggle these regulations. Basically, you have to be a pro on the legal level to avoid trouble and use AI with peace of mind.
Integration of New Technology
Integrating a new technology like AI into a business can be a challenge on several levels:
- Training (of employees and executives)
- Resistance to change
- Integration with existing systems
- Implementation costs
AI helps reduce operational costs for many companies. It would be a shame to lose these benefits by neglecting the integration stage.
Building a digital transformation strategic plan will help you anticipate and manage these challenges.