The perception of AI is changing as it advances and becomes more commonplace in our everyday lives. AI today has become a household term (and sometimes a household presence thanks to Alexa!).
However, its acceptance in mainstream society is relatively recent. Even though AI, as we know it today, officially came to be in 1956, it took decades of hard work to develop a system and make it a technological reality.
What is Artificial intelligence (AI)?
Definition of artificial intelligence (AI) is necessary prior to discuss its impact on business. Any type of computer software that engages in humanlike activities, such as learning, planning, and problem-solving, is referred to as "artificial intelligence." AI is generally viewed as a complement to human intelligence and ingenuity, rather than as a replacement.
As of now, AI is unable to perform common sense tasks, but it is capable of processing and analysing vast amounts of data much faster than the human brain. When the human user returns, the AI software can synthesise possible courses of action and present them to him or her.
As a result, humans can use AI to help them determine the potential consequences of their actions and streamline their decision-making processes. AI technology has the ability to learn and handle vast amounts of information, which will enhance and transform operations in various fields.
In order for machines to sense, learn, understand, and act in ways that augment human capabilities through AI, they must use a combination of technologies.
(Recommended blog: History of Artificial Intelligence)
How AI can transform business
Many industries, from healthcare to education to automotive to banking (Related blog - AI in banking) to retail are increasingly incorporating AI into their business functions. Let's take a look at how artificial intelligence is transforming the business world.
Your marketing functions may already be using artificial intelligence in several ways. It can be used to help develop marketing strategies, but it can also be used to execute them based on the customer's interests and preferences. User browsing history and personal information collected from customers will be used to target ads.
Now, it's critical to give customers what they want and need at the right time. The use of chatbots in marketing is another major way AI can be used. Chatbots can help solve problems, provide services, and support sales activities.
By analysing consumer behaviour based on data, AI tools can also assist in market research. All of these data-driven insights will help businesses evaluate their marketing campaigns and develop more effective plans for the future.
AI in marketing includes recommendations and content curation, among other things.
Pattern and image recognition for news feeds personalisation
Customer and sales prospect language recognition is used to process unstructured data.
Real-time bidding and customer segmentation for ad targeting and optimisation
Sentiment analysis and social semantics
Predictive customer service in web design automation
These are just a few use cases of how AI is being used in business today. A lot more is likely to happen in the near future, as the pace of development is increasing.
( Speaking of marketing you can also sneak a peek at our blog on Marketing Analytics )
However, AI can provide human professionals with the insights they need from time to time. When used properly, it can help improve sales functions in general, as well as forecast trends and predict consumer behaviour.
Using AI to better understand customer needs, sales tools can improve communication and coordination. This will allow sales professionals to better manage their time, identify who they want to follow up with and when and where customers may be ready to convert.
3. Research & Development
Anyone involved in research and development knows that AI can help them improve their efforts. As a result, the R&D process will be more efficient and error-free. As an innovation tool, what about AI?
With its ability to collect and analyse massive amounts of information efficiently and accurately it can help us gain a deeper understanding of nearly any industry including healthcare and pharmaceuticals, financial, automotive, and more.
Machine learning and artificial intelligence can help us solve problems we've never thought of before. However, AI will also lead to new discoveries and ways to improve products and services as well as accomplish tasks. In terms of strategy and effectiveness, artificial intelligence aids in R&D activities.
4. IT Operations
This is often the first time many organisations have implemented AI internally. Gartner says that machine learning and data science are being used to solve IT operations issues.
Automation of routine processes is now possible thanks to artificial intelligence. Therefore, the IT team can take proactive measures to resolve issues before they cause any IT systems to fail. As the IT systems supporting our businesses become more complex, AIOps assists IT in improving system performance and service.
( Recommended blog: Information Technology )
5. Human Resource Management
Is there a place for machines in a business with the word "human" in its name? Indeed! Recruiting to talent management, artificial intelligence has the potential to revolutionise a number of HR processes. Automating repetitive tasks can certainly improve efficiency and save money, but AI is capable of much more. Robot Vera was used by PepsiCo to interview candidates for sales positions by phone.
When it comes to their employer, talent will expect a personalised experience similar to what they've come to expect when shopping and enjoying their leisure pursuits. Machine learning and AI solutions can assist in achieving this goal.
Human Resources departments may also benefit from AI's information-based dynamics and ease of candidate screening and recruitment. In addition to answering basic questions about company policies and benefits, chatbots can be used to automate the process.
6. Contact centres
Another business area where artificial intelligence is already in use is the contact centre of an organisation. Incorporating artificial intelligence in the right way is achieved by organisations that use AI technology to enhance rather than replace humans with these tasks. Customers can learn more about them, predict their intentions, and improve the "next best action" for them to improve customer engagement by using these centres.
Machine learning can also be used to analyse the unstructured data collected by contact centres in order to uncover customer trends and improve products and services.
7. Building maintenance
AI is used in a variety of ways. Building automation is not a new concept. This concept is used in a number of commercial and residential construction projects. Construction professionals can use AI to optimise energy use and occupant comfort, which is another way AI is being used in business today.IoT and security systems can be controlled with AI.
When it comes to building automation, computer vision and internet-of-things devices are used. The AI system can adjust the structure's systems based on occupant count, time of day, etc. The firm can identify the building's energy efficiency by utilising the technology. Numerous of these systems also have a segment for building security.
Functions of AI in business
As a result of predictive intelligence, sensors on equipment can predict maintenance needs, which can be used to not only anticipate demand and ramp up or down production. As with many other companies, Heineken relies on data analytics at every stage of its manufacturing process, from the supply chain to the management of inventory on store shelves. In manufacturing facilities, a visual inspection can be used to improve quality control processes.
( Recommended blog: RPA in Manufacturing Industry )
9. Customer experience
Increasing the customer experience is another way that AI and big data are being used in business today. Burberry, a luxury fashion brand, uses both technologies to improve sales and customer interactions.
When customers shop online or in stores, the company collects data through loyalty and reward programmes, which it then uses to offer tailored recommendations. Another way to provide a great customer experience is to use chatbots at industry events.
It is now possible for AI to communicate with humans and provide meaningful responses thanks to advances in deep learning. A number of AI solutions are already available, including:
Vocabulary and speech recognition
Chatbots are automated programmes.
Answering questions from the public
Text mining is a type of text analysis
Search and retrieval of information
10. Accounting and finance
According to Accenture Consulting, RPA in the accounting and finance industry can produce amazing results in these areas. As a result of AI in accounting, finance professionals will be freed from repetitive tasks to focus on higher-level activities, while errors will be reduced.
Because it can monitor communication through natural language processing, AI can also provide organisations with a real-time financial status report.
As a result, it is an integral part of any organization's structure. Additionally, it reduces the likelihood of human error, increasing productivity and promoting growth.
(Recommended blog: AI Applications in Financial Services)
AI is now used by the majority of e-commerce companies. Smart searches, product recommendations, and dynamic price optimization are some of the prominent uses of artificial intelligence in e-commerce. AI-based data analysis is not limited to providing business insights.
When it comes to understanding consumer behaviour and preferences, sales data, for example, is a valuable resource. In fact, many companies are already taking advantage of this potential to increase profits while improving customer service. Most notably, Target's insights into consumer behaviour exceeded all reasonable expectations in terms of accuracy and relevancy.
As a result, e-commerce stands to benefit greatly from AI's ability to predict. As a result of artificial intelligence for businesses, the customer experience in digital stores is largely dependent on a platform's ability to direct customers to the desired product. Another advantage of this approach involves a much higher degree of personalization, which appears to be a key component of modern digital success.
smart searches and relevance features
personalisation as a service
product recommendations and purchase predictions
fraud detection and prevention for online transactions
dynamic price optimisation
12. AI in business management
AI can help in all aspects of business management, whether it's sorting emails or responding quickly. Intelligent assistants such as Siri and Google Now, smart devices, automated insight and security surveillance are all examples of how AI can be beneficial.
The following are examples of how AI can be used in business management:
smart email categorisation
voice to text features
smart personal assistants, such as Siri, Cortana and Google Now
automated responders and online customer support
sales and business forecasting
smart devices that adjust according to behaviour
automated insights, especially for data-driven industries (eg financial services or e-commerce)
Cybersecurity does not appear to be the responsibility of artificial intelligence (AI) at first glance, as most of its protective measures require only the basic functions currently performed by simple algorithms. When dealing with more sophisticated schemes, this method will not be effective against rudimentary threats. In addition, some security breaches, such as the use of fictitious documents, are nearly impossible to detect, even by experts.
Thanks to AI-powered antivirus software and multi-layered systems that prevent threats through suspicious behaviour detection and persistent vulnerabilities, machine learning offers a wide range of creative cybersecurity solutions.
AI helps human decision-making
AI helps human decision-making
The power and success of AI will only increase as machine learning algorithms become smarter and computing power increases. The technology is capable of processing and analysing vast amounts of data much faster than a human brain. AI can then synthesise a number of possible courses of action and present them to the human user.
So, humans can make better decisions by using AI to determine the possible consequences of each action. AI and human interaction may be combined in the future to better serve customers' needs.
When it comes to the quality of Google's AI-driven search results, for example, thousands of human 'raters' are employed by the search giant. In order to improve the accuracy of Facebook's facial recognition software, people are asked to label their photos.
Data mining, pattern recognition, and natural language processing are some of the tools AI uses to leverage self-learning systems. Because of this, AI offers a number of business advantages over human intelligence, including the ability to scale up and save money.
Apart from that, AI's consistency and rule-based programmes enable enterprises to minimise their errors. Its longevity, combined with its ability to improve continuously and document processes, translates into lucrative business opportunities for companies.
( Recommended blog: Latest AI Innovations )
AI does indeed have a bright future, but it is also important to gather AI information that can be used to learn more about it and its potential application scenarios. To think about what AI can accomplish and what it will leave humans with is a fascinating concept. Lucky for us, the human spirit is innovative, and we'll likely find new ways to utilise our talents and intellect when technology takes over.