Understanding the value of AI for your business

Determining the best methods of running a business can be vital for organisations looking to reduce costs and make crucial time-saving decisions. While it’s true some traditional methods still have their place, the use of artificial intelligence (AI) in the modern age has become a major part of the successful business model.

The rise of artificial intelligence has become a dominant feature in the last couple of years, as technologies associated with AI transgress at a rate never before seen. Many major businesses such as Google understand this and are already gearing towards AI innovation to stay ahead of their competitors.

As the amount of data we consume grows exponentially and computers become more powerful, there has never been a better time for businesses to embrace artificial intelligence. Yet at a time of fierce global competition, the distance between technical promise and genuine achievement is a matter of grave concern.       

For all the money spent by companies on future-proofing their assets, there often remains a question mark between the inherent value of implementing new technology and its effectiveness within the organisation.

How can companies justify the use of AI?

With such high levels of demand and a limited network to compete in, companies are well aware that they will need to look for improved methods in order to stay ahead of their rivals in 2017 and the future.

Business needs may vary from company to company, but they still have to consider the implications of cost vs reward. Not every organisation can afford to have the latest technology, while there are those who can afford it but may not actually require spending money on a system that only improves efficiency by a fraction.

In today’s high-tech environment, creativity often leads to the best results, but when it comes to choosing the right technology it may not be as simple as it looks. That’s why companies should always consider the implications of the product within their existing market. Some things they may want to consider include:

• A marketing perspective
• Existing framework for available information
• Promotion vs hype
• Potential outreach
• Overall workflow

Examples of AI being used in business today

In order to justify investing in AI, it helps to understand where your money is being spent. Here are just a few examples of the key areas that have embraced artificial intelligence:

Virtual assistance

One of the most obvious ways of using artificial intelligence is through virtual assistance, with customer service being the main benefactor. According to Business Insider, 85 percent of customer interactions will be handled without a human by 2020, with many companies already employing ‘chatbots’ to help deal with the spike in demand in customer interaction.

E-commerce

The retail sector is one of the biggest in the world, generating vast amounts of money and dealing with billions of people over the course of a year. AI is already being used to help make a shopper’s experience more personalised via the use of mobile technology, with information being gathered to track customer habits and trends.

Business intelligence/analytics

Because of the high volumes of untapped data within the digital economy, AI is being used to collect information and transform it into something of value. The main benefit here being that, unlike purely statistical approaches, they can learn, which in turn allows them to adapt when market behavior changes.