The giant technology companies are already well immersed in AI applications. Amazon, Google, Apple and Microsoft all have their own virtual assistants. Other tech companies are working on self-drive vehicles. Many others, from IBM to Oracle, as well as a plethora of startups, are competing for technology and talent so they can benefit from the spread of AI into non-tech enterprises.
Business leaders who want to improve revenue, increase efficiency and offer better experiences for customers are adopting artificial intelligence (AI). AI is moving very fast and igniting change but the challenge for businesses is to understand how to create value from AI investments.
Many businesses already have AI in production
A survey conducted by Vanson Bourne in 2017 revealed much with businesses, with entrepreneurs believing it could keep them ahead of their competitors. The “State of Artificial Intelligence for Enterprises” report showed that a large percentage of enterprises already had some form of AI in place and a number were planning to extend their AI investments. Many of them are planning to hire Chief AI Officers in the future.
AI is driving revenue faster than expected
Enterprises are positioning AI to create gains throughout their business practice areas and across revenue streams. Globally, businesses are seeing plenty of room for further implementation of AI. They are driving revenue from AI faster than was expected. With the ability to automate manual tasks, improve existing products and create new ones, the potential to increase revenue is enormous. .
Dominant AI capabilities
The majority of enterprises use several different AI analytic techniques. Intelligent workflow is one aspect of AI perceived to have the greatest potential to reduce costs and increase productivity. Other dominant AI capabilities lie in data engineering, analytic operations at scale and decisioning automation.
Industries embracing AI
Many industries will be positively impacted by AI. Banking, health care and retail are all testing the waters with pilot projects. We see conversational ‘chat bots’ on many company websites, helping to improve customer service by answering questions.
Walmart is using AI to optimize inventories and supply chains. It can predict future demand and reorder stock. John Deere is looking to AI for reduction of chemical spraying volumes for farmers. Banks see AI as a way to combat money laundering and fraud.
The applications of AI in healthcare could result in predicting diseases before they develop and identifying the best form of treatment. Google has developed a new algorithm that can identify heart disease through a retinal scan. Experiments with short-term memory networks are at the point where cancer detection is at the same level as experienced medical doctors
Manufacturing industries are looking at predictive analytics, AI and machine-learning to help increase productivity and grow revenue. E-commerce marketers use AI tools to target customers with adverts of products and services they are likely to buy. Industries from agriculture to entertainment and media are all embracing AI.
Improving customer experience is one of the main reasons why businesses invest in AI technologies. Another important reason is to improve product innovation and achieve operational excellence. Enterprises believe that AI has the potential to revolutionize the way they do business. Many time consuming, repetitive tasks can be automated with AI.
Some of the stumbling blocks
Lack of talent and IT infrastructure are seen as significant stumbling blocks. Others are lack of revenue and negative perceptions about AI. Some people believe that AI is too expensive. Others find AI a difficult concept to wrap their business heads around and put its adoption off into the future.
The future of AI
A key to the future of AI will be to make it easier to implement. Open-source software is a big AI trend and it means that companies can build solutions to suit their specific needs. Technology is advancing rapidly and more tools are available all the time that allow companies to customize AI.
One problem is a lack of employees who can build AI powered apps. This gives information technology services firms, like IBM and Accenture an opening to help businesses develop custom AI apps. The fact that many non-tech companies want to dip their toes into the AI pool, gives startups an opportunity to give them a helping hand.
What we can expect to see, as with other trends in technology with potential to create value, is that adoption of AI in business will start to increase over time. It might take a while to see the full impact on the economy. On the other hand, companies that are competing against other companies using AI have to take the plunge or be left behind.
Business leaders need to understand AI and how it can be used as a competitive weapon. It may take a long time for the entire economy to change as a result of AI, but it can change individual businesses very quickly. CEO’s of large companies need to move quickly. If they have not already done so, they need to build technology and start changes within their businesses which will enable them to go into AI-enabled processes.
Having more than 8 years of writing experience, Smridhi is a professional technology, business, marketing, and finance blogger. She loves to gather and share her profound knowledge about latest developments in technology.
Smridhi is a management graduate and visual graphics artist and is currently pursuing masters in behavioral psychology. Her hobbies are practicing mindfulness, counseling children and traveling (a special love for Africa).