Going “all-in” on generative AI: A big bet for your business
Why companies cannot afford to ignore it — yours included
On March 14, Tom Davenport (Professor & Author) joined me for a live episode of “What’s the BUZZ?”. We discussed how business and AI leaders are already embracing AI today beyond just tinkering with AI in a few processes or doing a few experiments here and there. Going “all-in” on AI is about committing to using the technology to change your business model, strategy, key processes, and even customer behavior. Companies who have done this successfully come from all around the world. The conclusion is simple: If you're not considering going all-in on AI, you may be at risk of falling behind your competitors who are. Here’s what we talked about…
» Watch the latest episodes of “What’s the BUZZ?” on YouTube or listen to it wherever you get your podcasts. «
Staying ahead of your competition — with AI
AI is changing the way companies do business all over the world. Ping An in China, Airbus in Europe, and Sompo in Japan are among the companies using AI to create new business models. Ping An has five business ecosystems powered by AI, including a healthcare ecosystem called Good Doctor, which is used by 400 million people in China and Southeast Asia. Good Doctor is an intelligent telemedicine system that uses AI to triage patients and suggest a diagnosis and treatment strategy.
» [Going “all-in” on AI means to] dedicate yourself to some important production deployments and to change something important about your business, your business model your strategy, key processes end-to-end. «
— Tom Davenport
At Airbus, AI is used to create an ecosystem of all the airlines around the world that buy and use Airbus commercial aircraft, as well as a satellite imagery business on their defense side. Other companies are also using AI to change their products, services, and strategy. Shell, for example, is changing how it runs processes like maintenance and exploration with AI and is moving toward a less carbon-oriented business model. These are all substantial changes that are happening rapidly in the business world. The use of AI is transforming business and the way companies connect buyers and sellers through platforms, whether they are digital natives like Uber and Airbnb or large organizations like Ping An, Airbus, and Sompo.
From data to dollars: How AI is transforming ecosystems
Companies that are “all-in” on AI have created an ecosystem where all participants supply data, which is used to create new products and services. This creates a virtuous circle that leads to faster growth and better profitability. For example, Shell uses drones and deep learning based image recognition models to inspect its pipelines and refineries, which has reduced the time it takes to complete it from years to a matter of days. This results in huge savings in terms of operations. Social media companies have used AI to change the behavior of customers, which has resulted in several negative outcomes such as polarization and depression. On the other hand, some companies, mostly insurance companies, are using AI to change health behaviors to be more positive. Companies like Progressive are using metrics to tell customers when they're driving in an unsafe fashion and discourage them from doing so. This is to create healthier people and better drivers. Overall, AI has the potential to create positive outcomes if used responsibly and with the right intentions.
Why generative AI is a game changer for large organizations
Generative AI is becoming more and more important in the corporate world. It involves using special tools to create new ideas and concepts. It can be costly and uses up a lot of energy, but it has a lot of potential to help people. If you don't use these tools, you could be at a disadvantage. Generative AI can help companies unlock all of their knowledge that has been locked up inside. It is especially useful for large companies like Morgan Stanley, who can use it to make knowledge easily available to their financial advisors. However, it is not easy to use generative AI because it requires a lot of fine-tuning and training. Different industries may need their own specific versions of the models to fit their needs. Overall, it can be very valuable for companies to explore generative AI and its potential.
» AI is always rated ahead of any other technology in surveys of business people for what is the most transformative technology that we're looking at now. […] AI hasn't really dropped over the past year or so. Because of generative AI, I think it's even gone up. «
— Tom Davenport
Summary
AI is rapidly transforming the way businesses operate all over the world. Companies in various industries, from healthcare to aerospace to insurance, are utilizing AI to create new business models and change their products, services, and strategy. By going “all-in” on AI, companies are able to connect buyers and sellers through platforms, creating a virtuous circle that leads to faster growth and better profitability. Generative AI is also becoming increasingly important in the corporate world, as it allows companies to unlock their knowledge and create new ideas and concepts. However, the use of AI must be responsible and with the right intentions to create positive outcomes.
And you? Are you “all-in” on generative AI, yet?
» Watch the latest episodes of “What’s the BUZZ?” on YouTube or listen to it wherever you get your podcasts. «
What’s next?
Appearances
March 28 - Join me for a virtual conference hosted by SwissCognitive together with 20 Global AI Ambassadors and experts on Redefining Business Performance with Generative AI.
April 10 - Together with Joe Reis & Matt Housley, we’ll talk about defining a company’s AI strategy and how data professionals can better collaborate with the business stakeholders. Check out Monday Morning Data Chat and mark your calendar: We’ll go live at 11am ET (event link to follow).
Join us for the upcoming episodes of “What’s the BUZZ?”:
March 28 - Amit Arora, VP - Head of Product Cyber Risk Solutions, and I will talk about Assessing Cyber Risk Potential With AI. Join live and ask your questions on the show.
April 11 - Maya Mikhailov, Founder & AI Leader, will join the show to share how as an AI leader, you can Set Expectations With Your Leaders.
April 25 - Ramsay Brown, Founder & CEO Mission Control, will be on the show when we talk about How Businesses Can Trust Generative AI in times of rapid innovation.
Follow me on LinkedIn for daily posts about how you can set up & scale your AI program in the enterprise. Activate notifications (🔔) and never miss an update.
Together, let’s turn hype into outcome. 👍🏻
—Andreas