There is no doubt that artificial intelligence is all the rage these days. Visionaries around the globe recognize its potential. It’s evident that wherever you look, AI is revolutionizing the ways businesses operate and earn profit. Whether that’s by automating repetitive processes or looking for problem solutions, AI is deeply integrating into the core processes of businesses that know how to utilize the tech.
In fact, many companies around the world fret the moment when they can’t delay AI implementation any longer. And it’s not that they don’t see the benefits, they’re simply not ready.
In fact, according to research conducted by MIT Sloan, 85% of companies worldwide believe that AI will grant them competitive advantage, yet only 20% incorporated AI into some of their processes or offerings, and less than 5% make extensive use of the technology. While 63% know that in the next five years AI will affect their organization’s offerings, only 14% see those effects today. You might think that the rest are in the process of making crucial preparations to implement, but that number is abysmal as well – less than 39% of companies have an AI strategy at all.
In other words, most companies understand the impact AI can have on their information technology, operations and manufacturing, supply chain management, and customer-facing activities. They also know that AI will inevitably affect them in the near future. But despite that, they take no tangible action. Meanwhile, the leaders in their fields take concrete steps to stay relevant in the game.
Because they don’t know how to prepare.
Of course, in order to decide to implement, all shareholders must understand what the technology is, what it needs to work, and how they can use it to their advantage. However, 49% of MIT’s research participants understand the costs and data requirements that AI brings, whether they’ve started implementing or not.
This is worrying news because implementing AI has specific requirements in company organization, analytics, and data access. Investing in the costly tech without a proper foundation is a road to disaster.
When you get a new employee, you want them to become a well-liked part of the team. It’s the same with software – it’s employees that will be using the tech, so they all need to be on board.
No matter what you do with it, AI is bound to change how your workplace functions and feels on a day-to-day basis. So, naturally, people react to that environment.
Many companies fear this clash of people and machines, so they put it off indefinitely. However, that’s not the best course of action, as it only delays the inevitable.
As changes happen, it’s likely that the most radical shift will be reflected in the company culture. Adopting AI changes what you value – holding soft skills and organizational flexibility in high regard. In order to achieve a steady transition, you need to execute a thorough digital transformation. Naturally, this will take some work. But if done properly, it can immensely benefit your business. Digital transformation is the shift to a system that smoothes out human and machine collaboration.
AI is a great way to both cut costs, find solutions to problems, and compete in the evolving market. However, it can only be an expense if it doesn’t do its job right. And for that job, it requires data. Easily accessible, well organized, all encompassing, relevant data, which it can use to train and learn.
Companies that fail to implement AI properly mostly trip over an improperly trained algorithm. AI can’t be bought as a one-size-fits-all solution, and it requires intricate training before it can get to work. The tool you need before you can train AI to help your business is your own, unique data.
If you don’t have what it takes, you’re not alone. In fact, only 19% of companies think they have a deep understanding of the data required to train an algorithm. These companies tend to keep their data in silos, which are hard to use. It doesn’t help that they don’t have sufficient analytics infrastructure nor expertise.
Before a company can think of implementing AI into their processes, they need to ensure their existing information technology is a fertile ground for it. This is achieved through well-organized data and thorough analytics.
If you are not able to achieve this on your own – don’t fret. LifeUp is a team experienced in planning and executing digital transformation for small and medium financial organizations. We can help you define your digital strategy, and organize your data and company structure for the best results. Our task is to prepare you to implement state-of-the-art technologies that will boost your business.
We are ready to invest in the first steps of your digital transformation!
Our key consultants can help you to build a successful digital transformation roadmap.