Artificial Intelligence (AI) has emerged as a game-changer for businesses across various industries in the rapidly evolving digital landscape. From streamlining operations to enhancing customer experiences, AI for businesses has the potential to unlock new opportunities for growth and profitability.
Ethically, significant challenges are currently being raised around AI. Ensuring responsible and sustainable implementation, as well as job displacement concerns, are the main issues which are dominating news cycles. At Nordens, we firmly believe in the future of AI to transform businesses’ future. We also believe that AI should be used to maximise efficiency and reinvigorate new life into a business, rather than displace current members.
We explain the ways businesses can harness AI to drive innovation and efficiencies, as well as highlight some high-profile companies that have used AI to increase long-term success.
Data-Driven Decision Making
AI enables businesses to make data-driven decisions by analysing vast amounts of information quickly and accurately. By leveraging machine learning algorithms, companies can gain valuable insights from customer behaviour, market trends, and operational data. These insights empower executives and managers to identify growth opportunities, optimise processes, and fine-tune business strategies to remain competitive in dynamic markets.
Netflix is a prime example of a company using AI for data-driven decision-making. The recommendation system, powered by AI algorithms, suggests personalised content to subscribers based on their viewing history. This results in increased engagement and customer satisfaction.
Enhancing Customer Experience
AI technologies, such as natural language processing (NLP) and computer vision, can significantly improve customer experiences. Chatbots and virtual assistants enable businesses to provide 24/7 support, answer customer queries, and resolve issues promptly, leading to higher customer retention and loyalty. Only recently, the head of Octopus Energy claimed that customers preferred emails written by AI instead of staff. Additionally, AI-powered sentiment analysis helps companies understand customer feedback and sentiment, allowing them to adapt and improve products and services accordingly.
Amazon’s Alexa is an AI-driven virtual assistant that has revolutionised the smart home ecosystem. Alexa’s ability to understand and respond to voice commands has enhanced customer experiences, leading to increased adoption of Amazon’s smart devices within a field they weren’t recognised in.
Process Automation
AI-driven automation can streamline repetitive and time-consuming tasks, reducing human error and improving operational efficiency. Businesses can deploy robotic process automation (RPA) to handle routine tasks such as data entry, invoice processing, and inventory management. This not only saves time and resources but also allows employees to focus on higher-value tasks that require creativity and problem-solving skills. In accountancy, this type of AI is already in large use across the industry through digital bookkeeping and cloud accounting. You can find out more about our Cloud Accounting services, and how they can revolutionise your business here.
Coca-Cola uses AI-powered robotic automation to manage its inventory and distribution processes. The global company has improved inventory accuracy and reduced supply chain costs by automating these tasks.
Predictive Analytics
AI empowers businesses to forecast future trends and outcomes based on historical data and real-time information (RTI). Predictive analytics enables companies to anticipate customer preferences, demand fluctuations, and potential risks, enabling proactive decision-making. By identifying trends and patterns, businesses can adjust their strategies to capitalise on opportunities and mitigate potential threats. This is something we’re very hot on at Nordens. By harnessing the power of historical and real-time information, our Strategic Advisory division are able to spot gaps in businesses and implement processes which maximise efficiency and growth.
Uber, for example, uses AI algorithms to predict rider demand in different locations and at various times of the day. This allows the company to optimise driver allocation and reduce wait times, enhancing the overall customer experience.
Personalisation and Targeted Marketing
AI also enables businesses to deliver personalised experiences and targeted marketing campaigns. By analysing customer behaviour and preferences, AI algorithms can tailor product recommendations, content, and advertisements to individual users. This personalisation improves customer satisfaction and increases the likelihood of conversion and upselling.
Spotify’s AI-powered recommendation engine suggests personalised playlists and music based on users’ listening history. This results in increased engagement, retention and brand awareness and is seen as one of Spotify’s redeeming, unique features which have culminated in its dominance.
Supply Chain Optimisation
AI can revolutionise supply chain management by optimising stock levels, demand forecasting, and logistics. By integrating AI into the supply chain, businesses can reduce costs, minimise waste, and enhance delivery efficiency. Predictive analytics helps companies anticipate supply chain disruptions and take pre-emptive measures to mitigate their impact.
Walmart leverages AI to optimise its supply chain operations. By using machine learning algorithms to forecast demand and adjust stock levels, Walmart has improved its overall supply chain efficiency.
Incorporating AI into business strategies can drive sustainable growth and profitability in today’s competitive landscape. From data-driven decision-making to personalized customer experiences and process automation, AI offers a plethora of opportunities for businesses to excel. To fully harness the potential of AI, companies must invest in the right talent, data infrastructure, and AI technologies. By embracing AI as a transformative force, businesses can stay ahead of the curve and unlock new avenues for success.
We hope this has outlined to you some of the ways that AI can transform your business. If you’d like to know any further information, or anything accounting-related, please do not hesitate to get in contact with us at Nordens, where one of our trusted advisors would be happy to talk you through your query.
