Authored by Mr. Hiroshi Tahata, JDU Head, Fujitsu Limited
Digital transformation is no longer a new initiative for companies anymore. Adopting newer digital technologies has become crucial for organisations to optimise their operations, increase efficiency, and stand out from their competition. Businesses with the help of technology encourage the necessary innovation and stay abreast with the times. And helping them along the way is one of the most revolutionary technological developments of our time, Artificial intelligence (AI).
American technology entrepreneur Andrew Ng rightly said that it is difficult to think of a major industry that AI will not transform. True to his words, the global AI market is projected to witness exceptional growth from USD 387.45 billion in 2022 to USD 1,394.30 billion in 2029. Artificial Intelligence is building computer systems that can simulate the functions of the human brain. It helps a system perform tasks and make decisions independent of human intervention. Machine learning and natural language processing are branches of AI that involve systems learning from past data or experiences, without being explicitly programmed to do so.
With exposure to an ample quantum of datasets, AI can reduce manual or repetitive production work through automation and make certain tasks more efficient, such as fraud detection and customer services.
With so many benefits for companies, here are some of the ways in which AI is playing a key role in digital transformation:
AI’s manifold convenience: Despite being challenging to implement in businesses, AI is scalable and transformative as it can help bring down costs and increase productivity. Several industries like IT, banking, automotive, manufacturing, logistics and healthcare have adopted AI and are reaping its benefits. According to Accenture, firms that scale up AI achieve around three times greater return on investments as compared to those that take time to upgrade their technology. By leveraging AI during the digital transformation process, businesses can encourage innovation and automation, and mitigate risks. According to an IBM survey, advances in AI have also made the technology accessible for businesses for applications in data security and customer care among others.
Customer service management: One of the most common areas of implementation, AI has massively improved customer service and reduced human intervention by fast-tracking authentication work and troubleshooting or providing support through chatbots. With the help of Natural Language Processing and machine learning, chatbots resolve customer requests faster than humans, saving companies additional manpower. AI bots or assistants such as Google Assistant, Apple’s Siri, and Amazon’s Alexa enable personalized experiences by helping customers with their queries or orders. Predictive analytics allows AI to recommend products or services to customers on OTT or e-commerce platforms based on their past purchases or the products they checked out.
AI Cognitive abilities: AI technologies can mimic the functioning of the human brain, with cognitive capabilities like learning, knowing, sensing, communicating, and reasoning. Cognitive AI systems adapt and evolve as they are fed more information, allowing the scope for automation wherever possible. Subsets of AI like machine and deep learning can recognise patterns or speech, enabling the personalisation of various processes. By applying human-like cognitive functions, AI can also help companies analyse vast amounts of data to make predictions or suggest future strategies.
AI is becoming all-pervasive, touching all aspects of life. Similarly, AI has been proven to help businesses achieve greater degrees of efficiency and utilisation of services. Transforming your company to make it AI-driven is a comprehensive process requiring technological expertise, and continuous shifts in the organisational culture and decision-making process. However, it is becoming increasingly evident that AI will continue to aid digital transformation as businesses look to leverage technological advancements to address their needs. Contrary to fears of replacing humans, AI will help augment the work humans do by strengthening and speeding up operations.
