How Artificial Intelligence will Change Business Forever?
— -Emerging World..
We live in an age of disruption. Industries are getting transformed. Small companies are slowly capturing market share and establishing their brand. Every industry is being transformed by Artificial Intelligence owing to its sophisticated capabilities and thorough data analysis. AI may help organizations in a variety of ways. Because AI is a larger technology, its commercial benefits are limitless. AI is capable of controlling corporate process automation as well as accumulating data analysis findings. Many global corporations are leveraging AI to improve employee and customer engagement. The rise of AI is upon us. From SIRI to self-driving cars, AI is evolving in a way that simulates human characteristics and behavior to the next level.
This article will discuss how businesses will use AI in the future year. Before delving into the details, let’s first go through the fundamentals of Artificial Intelligence.
What is Artificial Intelligence?
Artificial Intelligence (AI) is a machine that imitates the intelligence of a human and various other function. It looks after machine vision, natural language processing, and so on. Some programs have matched the speed and memory of a human. With the help of this technology, the computer and mobile can be developed to accomplish specific tasks.
Importance of AI
Artificial Intelligence is advancing as industries keep transforming. With the use of machine learning, many companies and organizations have benefited from implementing Artificial Intelligences. As the on-going coronavirus took a toll on business, many companies have decided to get their company into Artificial Intelligence. We all use Artificial Intelligence-based technologies, yet they can feel almost invisible at the same time. Every website act as an AI, be it Google’s search page or Facebook suggested articles that analyze your search history.
According to a study by Google, Nasscom, and think tank ICRIER, the increase in AI intensity by Indian businesses can result in a 2.5 percent increase in the country’s GDP. This can boost rapid growth & profitability and can transform businesses. AI is the most trending technological term in business world today. As per a Gartner analysis “within the next 5 years, 50% of the analytical decisions will be based on AI: opting it over simple verbal interactions.”
Many complex business processes can be automated using AI. Work hours can be reduced significantly and human brains can be utilized in more creative aspects of the business such as brainstorming, innovating and researching. There are many Companies or industries which implement AI application which help businesses to reinforce their workflow by allowing business leaders to spend more time on business growth and expansion while spending less time on common functions.
How AI will Transform Businesses in Upcoming Years?
Emerging technologies are reshaping our daily lives. It seems clear that AI will play a critical role in business transformation in the upcoming years. Here are some ways how Artificial Intelligence will transform businesses in 2021–22.
Market & Customer Insights:
AI can play an enormous role when it comes to analysing market and your customers. Predictive analysis can be applied to the data assembled from system matrix, web matrix, and social media to build a better and enhanced product. You can take customer experience to the next level through customer insights.
AI plays an incredible role for start-ups. Start-ups can explore opportunities to work on a different thought process and innovate new solutions for their business growth. Predictive maintenance helps start-ups in cost reduction on maintenance through regular quality checks. A lot of your customers are on social media and most of the business is taking place online. Artificial intelligence can be used to understand important measures of social networks online.
Virtual Assistance:
Chatbots and virtual assistance can play a significant role in how customers are interacting with technology. Many companies are either using or planning to use artificial intelligence for virtual assistance. Companies deploy chatbots for various uses.
For example. In a case of airline queries, an artificial intelligence application can be used to answer simple questions like the status of a flight, alternative flights, timings etc. We strongly believe that in next decade virtual assistants could become a core part of our lives and more companies are going to use this to take their customer service to the next level.
Process Automation:
Since last few decades, one thing which is frequently rising in technology is automation. Various automation tools are being innovated and developed, which make business processes agile. The first ever automation tools were home appliances and later industrial robots were invented. In the present day, advanced robots are working alongside humans in many places. Artificial intelligence is quickly automating routine cognitive processes. Smart algorithms are playing a crucial role in many industries like retail, hospitality, financial firms etc.
Personalized Customer Experience:
Artificial intelligence allows business owners to provide a more personalized experience to their customers. AI can analyze vast data way more efficiently. It can quickly identify patterns in the information- such as past buying history, buying preferences, credit scores and other common threads. Millions of transactions can be analyzed every day to provide personalized services to each customer.
Business Objectives that can be Achieved with AI
Many companies still limit themselves to watching AI technologies, while refraining from using them in practice. This happens because few people, if any, fully comprehend how efficient AI would be for their company. In analyzing existing business processes and their efficiency, you will understand what kind of AI you might need, which will simplify the task of finding the right solution on the market.
For example, say you are going to automate the inspection of parts rolling off the assembly line. This process can be defined as the use of image recognition technology. Moreover, this type of AI is a well-researched area with a number of successful solutions providers.
It is important to determine the specific use you intend for artificial intelligence beforehand. If you clearly understand your objectives, it will be a simple task for you to develop an action plan to achieve them.
Let’s have a look at the data from Deloitte’s How much time and money can AI save government? report. The figure below illustrates the most time-consuming tasks of the government workforce and the automation potential of these activities.
The Government workforce time savings, Deloitte estimates that even low levels of effort behind AI adoption could save government workforces between 2 and 4% of all their labor hours. With medium involvement, AI and machine learning could bring savings of 13 to 15% of time requirements within five to seven years. And with strong support for AI adoption, the potential benefits are 27 to 30% of time savings within five to seven years.
How important is AI for businesses as of today?
(Artificial intelligence and business today)
AI is extremely important for businesses, even today when we’re still in the stage of developing it. Artificial intelligence (AI) is probably the most widespread notion in tech world. AI has been leading all the top lists since 2010. According to Statista, revenues from the artificial intelligence software market have grown twice since 2018 when it was $10 billion and will continue this growth at accelerated speed. By the 2025, it’s expected to reach 126 billion dollars. (Statista report)
In the US, the annual growth rate went up from 2.6% to 4.6% which is an additional $8.3 Trillion with widespread AI adoption. In the UK, AI could add an additional $814 Billion to the economy, increasing the annual growth rate from 2.5% to 3.9%.
AI is set to be a fundamental predictive enabler helping start-ups to solve large-scale problems, poising them to gain a competitive edge. With companies spending nearly $20 billion collective dollars on AI products and services annually, tech giants like Google, Apple, Microsoft and Amazon spending billions to create those products and services, universities making AI a more prominent part of their respective curricula (MIT alone is dropping $1 billion on a new college devoted solely to computing, with an AI focus).
What are the Benefits of Artificial Intelligence for Businesses?
By deploying the appropriate AI technology, your business may see new heights. AI holds various advantages for businesses. It can take care of tedious, time-consuming tasks more efficiently. It basically does what we humans do much faster and more efficiently.
Let us see how Artificial Intelligence solutions are impacting businesses:
- Saves time & money by automating & optimizing the routine processes and tasks.
- Increases the productivity of the system and operational efficiencies.
- Efficiency and productivity gains: These are two of the most-often cited benefits of implementing AI within the enterprise. At the same time, by removing such tasks from human workers’ responsibilities, AI allows those workers to move to higher-value tasks that technology can’t do.
3. Fosters faster business decisions based on outputs from cognitive technologies.
4. Minimizes mistakes and chances of human error.
5. Helps in deriving useful insights that can be used to predict customer preferences and offer them a superior personal experience.
- Better Customer Experience: AI-based chatbots are capable of providing round-the-clock user request support at any time convenient for the customer. Better interaction quality and shorter response times help companies increase existing customers’ loyalty and attract new ones. Marketing personalization is another advantage of using artificial intelligence in business.
With the advanced AI-powered applications, businesses are now seeing exponential growths and are driving the system in the most efficient manner. AI services have the potential to change the way businesses work today to enhance operational efficiency & fueling business growth.
The Future of Artificial Intelligence
Artificial intelligence has been making convincing developments in the past few years. In 2019, IDC predicted that by 2023, investments in AI Technologies would reach $97.9 billion. 2020 has witnessed this growth, as many unique platforms, types of research and tools are benefited by AI.
In November 2020, a survey published by the McKinsey State of AI suggested that at least half of the organizations must have adopted AI functions in their organizations.
Since the COVID-19 pandemic hit the world, the potential value of AI has grown a lot. AI becomes more important, as businesses are connected more digitally now than ever before.
Data analysis has become popular and in demand in the past few years. It helps to predict aspects of smart businesses. AI technologies serve to raise accuracy up to 95% for those. So, this is the need of all small and big businesses struggling for their position in 2021.
Summary
In 2021, artificial intelligence is growing day by day. The addition of AI in the industry has allowed small enterprises to implement tested and successful methods to achieve higher business goals. Start-ups are constantly gaining a competitive edge through AI, while big corporates are providing the platform to build innovative solutions. From serving as a robot in a manufacturing unit to self-driven cars and voice activated resource in difficult medical procedures, AI has become an essential part of reality.
Accenture Institute for High Performance recently released a research paper saying that, by 2035, Artificial Intelligence (AI) could double annual economic growth rates in many developed countries. AI is no longer a way to say that a business is tech savvy. It is rapidly becoming a vital part of how business is done in the second decade of the 21st century.
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Authors:
- Sanskruti Kakade
- Shoaib Shaikh
- Aayusha Shingavi
- Devarshi Wadadkar
