Artificial Intelligence and how it works for the smarter decisions

by Stanislau Ebo da SilvaFor sure, you have heard people talking about AI or Artificial Intelligence, but do you know what it means or how it affects your day-to-day, how companies use it and how they get more powerful over the years and earn more money than ever? Let us try to cover parts of it in this article in a way you can understand and not feel overwhelmed.

You should know that Artificial Intelligence by concept is the attempt to make a computer as intelligent as or more intelligent than a human, giving it the ability to reason or think based on data that you are transmitting or giving as input. As the world becomes smarter and smarter, data becomes the key to competitive advantage (Bernard Marr, 2017).

Artificial Intelligence is everywhere like in machine learning, natural language processing or image recognition, movie suggestions on Netflix, route and traffic mapping by Google, price estimation of rides by Uber, customer relationship management, internet searches, and personal assistants. In our day-to-day, we use most of the applications that use AI and we are helping it become more intelligent and more efficient every time we use them.

At this point, you might be asking, “How do companies get powerful and earn money?”

Based on the input you give to their AI, they know how to make decisions, they know what you like, and based on that, they can always recommend new things and can make predictions of things you might like. Companies use AI to analyze potential customers and data. Companies make their product smarter to sell more. Back in 2020 when we were living the first wave of Covid-19, people were buying tons of toilet paper. If you had an online store with a system running AI and your customers were rushing to buy toilet paper, you would for sure see the AI analyzing a pattern where “toilet paper” is the most sold item in your store, for instance, and it could recommend other customers to buy it too. In other words, AI is a powerful determinant that managers need to know to be able to achieve their strategic goals.

Will AI make employees lose their stance?

Interestingly, some experts argue that, as AI is integrated into the workforce, it will create more and more jobs. At least in the short term, some jobs cannot be replaced by robots and there are other jobs occupied by the AI that needs human supervision.

AI is not a replacement for human intelligence but should be seen as a supporting tool. When it comes to processing and analyzing troves of data it is much faster than a human brain.

If you are thinking of using AI in your business, do not hesitate because as companies grow, data grows too and you need to control certain patterns or trends within your data with AI you won’t need to think “what is the business question?” and “how do I analyze it?” AI will do it for you, let us say you want to analyze which are your most profitable customers. Modern cloud computing infrastructure already can automate some of your analysis.

As AI is not a tool of the future but of the present which, crucially, will certainly be with us for many years to come and will continue making our lives easier and helpful. In addition, companies will get stronger and make better decisions with the help of AI. Humans will stay with more complex tasks that might not have yet been solved with AI in companies. AI will deal with high performance and data analysis to respond to high-quality standards established by the company.