Once considered a plot for sci-fi movies, AI is now with us and is taking over the world of business bit by bit. While it took a while to become a reality, AI and automation are now here and showing no signs of slowing down any time soon. Now, the concept of AI and automation goes beyond the thousands of robots we once saw in a Will Smith movie. Its rapid growth is attributed to the vast amounts of data being created every day and the ability of creative minds to put it to good use. If you’re still in the dark about just how big this is, here’s a look at how AI & Automation are transforming the world of business.
What Are AI and Automation?
Before we dive into how AI and automation are transforming the world of business, it’s vital that you first understand the difference between the two. AI, also known as machine intelligence, refers to the imitation of human intelligence by machines.
AI refers to the concept of a machine being programmed to think and make decisions based on data it’s fed. While it may sound simple, AI is quite diverse, and its systems are quite complex and compelling. This is why they’re able to process vast amounts of data within a few seconds.
Automation, on the other hand, refers to software designed to run processes and is usually used in monotonous and repetitive tasks. Simply put, the main difference between AI and automation is that AI is programmed to simulate natural human processes, such as thinking and making decisions.
Automation, on the other hand, is all about following a particular order. When the two technologies become one in what is known as robotics processes automation or RPA, they’re incredibly powerful and have been changing the scope of business at a rapid pace.
The Impact of AI and Automation
Now that you are aware of what the two concepts are and their differences, here’s how they’re transforming the business landscape.
AI and Automation are Enhancing The Consumer Experience
In business, the customer is king. Thus, when customers are happy, the company in question thrives. There’re many ways that AI and automation have been transforming the user experience, but the most outstanding one is through the provision of personalized content.
Businesses are now using AI to analyze the vast amounts of data collected every day to offer goods and services that are a perfect fit for every client. Other than personalization, AI, and automation have helped improve customer services significantly. Customers no longer have to wait in line for ages as chatbots, and virtual assistants will address simple problems or direct them to free agents if the concern is complex.
Helping Businesses Cut Costs
When people hear AI and automation, first thing that comes to mind is the use of robots or Amazon’s Alexa. Nevertheless, there’s a lot that’s going on behind the scenes that have been helping businesses cut business operation costs significantly.
For example, most businesses have been able to reduce the number of heads on their payroll by automating tasks that previously required several employees. For instance, as noted above, simple customer concerns are addressed by chatbots, while real agents handle complex ones. This means that businesses no longer have to hire large customer care teams as a majority of problems can be controlled automatically through virtual assistants.
This is just one of the many examples of how AI and automation to help reduce operating costs. Behind the scenes, AI is being used to protect businesses from cybercriminals that have a knack for finding new exploits and using them to steal and compromise sensitive data. As we advance into the future, businesses will enjoy even more cost-effective operations. As this technology is expected to bring forth even better solutions. By reducing operation costs, AI is expected to add approximately $16 trillion to the world’s economy.
Redefining The Supply Chain
Thanks to AI and automation, the supply chain will never be the same again. By analyzing unfathomable amounts of data within a few minutes, AI makes it possible for businesses to track and measure all factors that influence demand. This, in turn, helps improve production and supply accuracy.
It has also eliminated the chances of supplying defective products. For instance, through AI-powered visual inspection machines businesses in the logistics and supply chain industry to automatically identify and determine the extent of damage on products.
Improves Decision Making
Better decisions fuel business success. AI has helped make the decision-making process in most businesses a walk in the park. How? Every day a big amount of data is created. This data is valuable to businesses as it shows their customer’s spending habits and helps them assess their performance. However, all that information is unstructured and hence of no good use to them. Using AI and automation, businesses analyze raw data, turn it into practical information, and then use it to make decisions. If a company’s sales have been improving, the company uses the data to identify the factors behind the excellent performance. With such info, they get to know what they should do next to improve the number of sales even more.
The Relationship Between AI & Automation And Today’s Worker
As everything gets automated, most people can’t help but wonder whether AI will replace today’s workers. If you’re among them, you should not worry as AI and automation won’t wipe away the average worker. What will happen is the structure of the workforce will be different from what it was like a decade ago. Businesses will require more technology-oriented employees instead of manual ones.
The Future of AI and Automation
As more businesses continue to deploy AI & automation, it’s easy to wonder what’s in store for this technology. Will it get better, or is this it? Well, even though it’s hard to tell what AI and automation have in store for the business world. One thing is for sure, the two technologies will be much better five years from now. Transformation took longer than expected, the world is currently enjoying a lot of conveniences thanks to AI and automation.