Innovative AI - Artificial Intelligence (AI) and its impact on businesses.
Corporate managers are increasingly starting to engage with AI. What are the benefits, which application areas are being targeted, and what challenges do companies face when implementing AI?
This week in Innovative AI
Executives’ Highlight: Corporate Managers are finding their way into AI
Prompts for your Organization: Digital marketing specialist; Semantics SEO optimization
Tools to try out: Murf.ai
Downloads: Executive Report
Corporate Managers are finding their way into AI
The field of artificial intelligence (AI) has been expanding rapidly in recent years, with companies across various industries investing heavily in technology to improve their operations and gain a competitive edge. As a result, corporate (innovation) managers are starting to incorporate AI into their business strategies, driving growth and transformation.
The advantages and applications of AI are manifold!
One of the most important benefits of integrating AI into business operations is increased efficiency. AI can automate repetitive tasks, giving employees time to focus on more strategic tasks. Hence, allowing businesses to operate more efficiently and effectively. AI can also help to provide more personalized customer service. For example, by analyzing customer data, AI can provide tailored recommendations, therefore, helping to increase customer satisfaction and loyalty. Moreover, AI can be used to assist companies in making more informed decisions. Using Big-Data-based predictive analytics, AI can identify trends even before they emerge in the mainstream/corporate landscape. Last but not least, through automating tasks and streamlining processes, AI can also enable cost savings, reducing operating costs, and hence increasing a company's profitability.
The benefits AI can bring to the business world are starting to be recognized
According to recent reports and surveys by Accenture, AI has become the top digital priority among C-suite leaders when it comes to achieving operational resilience. Accordingly, almost three-fourths (73%) of companies are prioritizing AI over all other digital investments, with a specific focus on enhancing operational resilience in today's unprecedented environment. Further, 90% of business leaders are currently leveraging AI to address various aspects of operational resilience, including leveraging data-driven capabilities in areas such as finance (89%) and supply chain (88%), as well as experimenting with generative AI.
Source: Accenture (2023) - A new era of generative AI for everyone
“… generative AI and foundation models will massively increase a company’s intelligence index and create new opportunities for every person in an organization to drive next-level innovation, optimization and reinvention. This will create new ways to elevate employee capabilities, delight customers, introduce new business models, and respond to signals of change.”
Accenture (2023) - A new era of generative AI for everyone
Analyzing the growth potential of the AI market, a study by Next Move Strategy Consulting suggests that the AI market will grow up to two trillion U.S. dollars by 2023. Drivers of this growth will include industries such as supply chain, marketing, product development, research, and analytics, along with many others.
Source: Next Move Strategy Consulting (2022) Explainable AI (XAI) Market
McKinsey & Company's report, "The State of AI in 2022 - and a Half Decade in Review," offers insight into the global landscape of AI adoption, value creation, challenges, and opportunities. Based on a survey of more than 2,000 executives and experts, the report provides valuable insights into the current state of AI. Findings from the report include that the majority of companies worldwide have already begun to leverage AI, with many of them increasingly using more advanced tools and practices to increase the value and impact of AI.
Source: Source: McKinsey & Company (20222) The State of AI in 2022 - and a Half Decade in Review
Consequently, AI is advancing to become a strategic priority for many companies. The spectrum of use cases is diverse, whereby the field of service operations seems to be dominating.
Source: Source: McKinsey & Company (20222) The State of AI in 2022 - and a Half Decade in Review
Regarding the impact AI implementation will have on corporate culture and the working environment, the latest report published by MIT Sloan Management Review titled "The Cultural Benefits of Artificial Intelligence in the Enterprise" delves into the ways in which AI can positively impact organizational effectiveness and culture. The report specifically focuses on how AI can improve collaboration, communication, creativity, and learning within teams.
One of the key findings of the report is that AI can serve as a powerful tool for augmenting human capabilities and enabling teams to perform tasks with greater speed, efficiency, and creativity. By leveraging the power of AI, teams can achieve better outcomes and enhance their overall productivity.
“Among survey respondents with AI implementations that improved efficiency and decision-making, for example, more than 75% also saw improvements in team morale, collaboration, and collective learning.”
MIT Sloan Management Review (2021) - The Cultural Benefits of Artificial Intelligence in the Enterprise
Additionally, the report highlights that AI can foster a culture of experimentation and innovation within organizations. This is because AI tools are able to provide valuable feedback, insights, and suggestions to team members, which encourages ongoing learning and improvement.
Who are the companies already working with AI tools?
The number of companies is certainly countless, nevertheless, we want to present you some examples of well-known companies already successfully using AI.
Amazon: The e-commerce giant is expected to add new AI chatbot technology to Alexa. Further Amazon uses AI to improve its recommendation engine, which suggests products to customers based on their browsing and purchase history.
GE Healthcare: The healthcare company uses AI to analyze medical images and provide faster and more accurate diagnoses.
JP Morgan Chase: The financial services company uses AI to automate manual processes and detect fraud.
Microsoft: Besides being one of the major investors of OpenAI, Microsoft has also launched Azure AI, a cloud-based platform that offers various AI tools and services for developers and enterprises. Further, Microsoft Teams also uses AI to enhance communication and productivity.
Salesforce: Salesforce has launched Einstein, an AI platform that integrates with Salesforce products and provides various features such as prediction, recommendation, automation, and analytics.
Netflix: Netflix also uses AI to personalize recommendations, optimize streaming quality, create subtitles and dubbing, and generate trailers.
Starbucks: Starbucks uses AI to optimize inventory management, drive-through ordering, customer loyalty programs, and menu innovation. Further Starbucks started Deep Brew, an initiative that aims to enhance customer and partner experiences using AI.
Challenges of implementing and developing AI tools:
While the benefits of implementing AI into business operations are clear, there are also challenges associated with its adoption. These include:
Data quality and availability: AI tools heavily rely on large volumes of high-quality data for training and accurate predictions. Companies often encounter challenges in accessing and collecting relevant data, ensuring its quality, and addressing data biases and inaccuracies.
Lack of AI expertise: Implementing and managing AI tools requires specialized skills and expertise. Companies may face challenges in finding and retaining AI professionals who possess the necessary knowledge and experience to develop, deploy, and maintain AI models effectively.
Ethical considerations: AI tools raise ethical concerns related to privacy, fairness, accountability, and transparency. Companies need to ensure that AI systems are unbiased, respect user privacy, and comply with legal and regulatory frameworks. Developing and implementing ethical guidelines and frameworks can be a significant challenge.
Interpretability and explainability: AI models, particularly deep learning algorithms, often operate as "black boxes" with complex internal mechanisms. Companies face challenges in understanding and explaining the decisions and predictions made by these models.
Scalability and integration: Deploying AI tools at an enterprise level can pose challenges in terms of scalability and integration with existing systems and processes. Companies need to ensure seamless integration, manage computational resources, and address potential bottlenecks for optimal performance and efficiency.
Robustness and reliability: AI models can be vulnerable to adversarial attacks, data drift, and environmental changes. Ensuring the robustness and reliability of AI tools is a significant challenge, as companies must continuously monitor and update models to maintain accuracy and performance in dynamic real-world scenarios.
Hence, implementing or even developing AI in business operations can provide significant benefits in terms of efficiency, personalization, predictive analytics, and cost savings. Corporate (innovation) managers are recognizing the potential of AI and are starting to adopt the technology to drive growth and transformation within their organizations. Still, there are also challenges associated with implementing AI tools.
We, therefore, recommend getting professional consulting and testing the existing tools on the market beforehand in order to familiarize with the technology’s strengths and weaknesses.
Prompts for your Organization
Digital Marketing Specialist
“You are a digital marketing specialist tasked with creating email marketing strategies to achieve a specific goal. Your strategies should be crafted with the target audience in mind, using the appropriate tone, value proposition, and call-to-action. It's important to be creative and engaging, capturing the reader's attention and encouraging them to engage with the content. Always keep in mind that the email should provide value to the reader and be relevant to their needs. To help guide your thinking, consider the following questions: Who is the target audience? What is the primary message or value proposition? What tone should the email take? What specific action do you want the reader to take? What creative approaches can be used to capture the reader's attention and encourage engagement? Also, include all appropriate headings. For your first task, you should come up with two email marketing strategies that can help achieve the following goal: Invite people to the presentation of your new product, an AI-based storytelling device for kids.”
Semantic SEO optimization
“Give me 7 semantically relevant, but unique topics under the main category of using AI in companies”
Try it out: Murf.ai
Murf.ai is an AI voice generator that can be used to create voiceovers for various types of content, such as videos, podcasts, audiobooks, etc. It offers a range of 130+ AI voices across different languages and accents that sound natural and realistic. Further Murf.ai also allows users to customize the voice speed, pitch, and tone to suit their preferences.
Murf.ai offers different pricing plans. The free version is rather to be understood as a tryout version, allowing no downloads of the generated content, yet giving the possibility to try out the product with different voices. The paid versions are then divided into Basic $19/month, Pro $26/month, and Enterprise $99/month. They differ mainly in functionalities, access to different voices, and parallel use of several users (enterprise).
Downloads: Executive Report
Example: Digital Marketing Specialist
Example: Semantic SEO optimization
