AI and Business…

There’s been a lot of bluster about Artificial Intelligence (AI) with strong proponents and equally strong opponents. Let’s talk about some of the pros and cons of AI and how it can pertain to businesses. 

AI basically refers to the theory and development of computer systems that can mimic human intelligence. It is a technology that enables a computer or machine to simulate human learning, comprehension, problem solving, decision making, creativity and autonomy. There are various subsets of AI, building blocks so to speak, but most of the focus today is on generative AI (gen AI); learning models that can create original content. 

Chances are, you have already had some experience with AI. ChatGPT, Google Translate, even Netflix all use AI for specific purposes. 

There are advantages to using AI in business. Because AI uses predictive analytics, if programmed correctly, there is no room for error. This reduces the time and resources needed to obtain accurate and efficient results. 

AI enables routine tasks, such as data entry, data collection, email responses and invoice generation, to be automated thus leaving employees the time to focus on tasks requiring human attention. 

Using algorithms and AI skills, substantial amounts of data can be processed, and conclusions reached quickly. Relevant data can be extracted, then through interpretation, can provide needed analysis. 

AI systems are always available to gather pertinent and valuable information, make predictions and speed up decision making. 

AI based chatbots can reduce the need for customer service staff by handling routine customer inquiries and providing prompt and accurate responses. Two popular voice assistants are Siri and Alexa. 

Perhaps one of the most valuable advantages of AI is its use in hazardous environments; using drones or robots in environments too dangerous for humans. Some examples would be deep sea exploration, hazardous terrain or disaster-stricken areas. 

Companies can use AI to work more efficiently, streamline workflow by improving tedious tasks, and increase productivity to boost revenue. 

AI systems are available at any time and productive 24/7. 

With 77% of businesses incorporating some form of AI, it’s around to stay. But there are some disadvantages. 

AI can be costly, especially for smaller businesses. Software, hardware and training personnel are expensive. There are ongoing costs for maintenance and updates. 

AI technology can be complicated requiring a level of expertise that may be lacking in a company. 

AI relies heavily on data and care must be taken to protect that which is sensitive or be open to legal repercussions or loss of reputation. 

AI lacks the “human touch” in business interactions requiring a certain level of empathy or intuitiveness. A dissatisfied customer is unlikely to be swayed by an interaction with AI. 

There’s also the concern of job displacement. With the automation of routine tasks, there’s the potential of employees being dismissed as companies may lack the resources to retrain their employees. 

Integration requires time and effort. Workflow and disruptions in business systems may cause an interruption of operations. 

Care must be taken to use AI ethically. Algorithms can be biased which could result in discriminatory and unfair practices.  

In this age, it should be mentioned that AI can be an energy hog for its development, maintenance, use and disposal. MIT engineers shared that powering a large AI infrastructure emits more carbon dioxide than 5 times the emissions of a car over its lifetime. 

While AI can benefit a business, careful research is needed before implementation ensuring the advantages outweigh the disadvantages; that it will be used ethically and responsibly.