By Niklas Sandgren, Data Scientist, Cepheo.
In today’s rapidly evolving business environment, there’s only one strategic path forward when it comes to artificial intelligence (AI), and that is to start investing time and energy into understanding it.
By doing this, you’ll learn how to leverage this game-changing technology and stay ahead of the curve. History is filled with examples of companies that failed to adapt to technological shifts and lost their competitive edge.
On the other hand, there are countless stories of startups that embraced new technologies too early and couldn’t sustain their momentum. The businesses that thrive are those that strike the right balance and adopt technology at the right time to strengthen their position.
With AI, I think that the time to adopt is now. It is a tool that will only continue to improve over time, and the range of ways it can be applied to your business will continue to grow. Companies that adopt AI now will have a major competitive advantage over those that choose to wait.
The numbers from Microsoft and other major technology players already indicate widespread AI adoption across industries. The bottom line? The question is no longer whether AI will benefit your business, it is how soon you can start using it to drive growth and enable efficiencies.
What is AI?
Artificial Intelligence can be viewed as a versatile tool that’s quickly becoming essential for modern business. Much like a carpenter cannot effectively work without tools like screwdrivers and hammers, businesses will soon struggle to compete without AI-powered tools.
While traditional business tools have one or two specific purposes, AI is more like a toolbox, filled with a variety of tools that can be applied across numerous tasks. Tools that are already enhancing people’s capabilities.
Types of AI: Analytical and generative
The scope of AI applications are broad, but for the businesses we at Cepheo work with, two types are most relevant: Analytical AI and Generative AI.
Analytical AI is focused on processing large amounts of data to extract insights. This technology gained traction in the late 1990s with the rise of the internet and has since evolved into a critical business tool. Analytical AI helps businesses analyze data, find patterns and make informed decisions.
For instance, it can forecast future sales and product demand, or even classify customer support tickets based on urgency. Imagine looking at a two-dimensional graph of sales data over time. While you might spot high-level trends or seasonality, Analytical AI can dig deeper, uncovering insights and forecasts that help you plan and optimize your business.
This capability presents a significant opportunity for mid-market companies that currently do not rely on sophisticated methods for generating accurate demand forecasting, customer segmentation and predicting key business metrics like churn rates or win probabilities. Analytical AI’s strength lies in its ability to process complex, multi-dimensional data, offering insights that are otherwise beyond human comprehension.
Generative AI, on the other hand, excels at creating and understanding content in formats that are natural to humans, such as language, text and images.
Think of this as a new "co-worker" who is always available, never gets tired and has access to vast amounts of information. This co-worker can handle tasks like translating documents, transcribing meetings, recognizing images and even analyzing customer sentiment. What’s more, after the initial onboarding (training the AI on your business), this co-worker can operate at minimal cost.
If you had the chance to hire such an assistant – one that is fast, knowledgeable and works 24/7 –wouldn’t you jump at the opportunity? That’s the promise of Generative AI. From helping you automate customer service to assisting in marketing, Generative AI provides workflow efficiencies that enable your employees to focus on higher-value tasks.
Practical use cases for AI in business
There are countless ways AI can benefit your business, from improving efficiency to transforming customer interactions. Let’s explore a few key use cases:
-
AI can automate repetitive tasks, allowing your employees to focus on their core responsibilities.
For example, AI can automatically triage and respond to customer service tickets, saving your support team time and improving response times for customers.
It can also streamline internal workflows, reducing errors and boosting productivity.
-
As websites revolutionized customer interaction in the early 2000s, virtual assistants will transform it in the 2020s.
These AI-powered assistants are available around the clock, providing personalized responses based on a comprehensive understanding of your products and services. This leads to more meaningful, faster and efficient customer interactions.
-
Analytical AI can help you forecast future trends, from predicting product demand to identifying high-value customers.
Imagine having the ability to accurately predict sales or anticipate the most common complaints about a product.
This insight allows you to optimize operations, improve customer satisfaction and enhance profitability.
-
Generative AI can generate and review marketing content, customer communication and even product descriptions.
By doing so, your team can focus on strategic tasks rather than repetitive content generation.
AI is not a magic bullet
It’s important to note that AI is not an "automagic" solution that can be applied to any business problem. It requires careful planning, skilled professionals and a robust data foundation. AI doesn’t replace existing processes, but it does enhance them. For example, AI won’t completely replace your invoicing system, but it can make it faster, more accurate and less prone to errors.
In the same way, AI won’t eliminate the need for creating customer journeys but will make them more efficient and tailored to individual customer needs.
The time to embrace AI is now
AI is not a futuristic concept. It is a tool that can benefit your business today. While it’s not a one-size-fits-all solution, it can enhance processes, improve efficiency and open new opportunities when implemented strategically. AI won’t replace your operations but it will make them smarter.
To get started, focus on specific challenges where AI can help. If you’re using a cloud-based ERP like Microsoft Dynamics 365, analytical AI can improve cash flow predictions, sales forecasts and demand planning, offering valuable insights for decision-making.
For generative AI, workflow automation is a great starting point. Automating repetitive tasks and improving customer service can free up your team to focus on more strategic tasks.
By starting now, you’ll gain a critical advantage as AI evolves. We believe that companies that adapt early will thrive, and we’re here to help you along the way on your own AI adoption journey.
About the writer
Niklas is a Data Scientist and AI specialist, leading Cepheo’s AI initiatives across the Nordics. His expertise in artificial intelligence will help you explore how to use AI to drive efficiency, innovation, and growth in your organization.
-
Start your AI journey
Contact our Sales Directors for a discussion about your company's digitization.
-
John T. Hummelgaard
Sales Director, Denmark
-
Patrick Bubicic
Sales Director, Sweden
-
Lars Erik Lindhjem
Sales Director, Norway