Contents
Introduction
In today’s highly competitive and rapidly evolving business landscape, digital transformation has emerged as one of the most essential and influential drivers of how companies create and provide value to their consumers. The process is geared toward utilizing digital technology to design or revamp user experiences and business processes to accommodate users and the market’s ever-evolving requirements. Artificial intelligence (AI) is now widely acknowledged as a primary enabler of digital transformation across a variety of business sectors. Artificial intelligence has the potential to assist businesses in becoming more imaginative, agile, and adaptable than they have ever been before. Although many people consider it to be a technology of the future or a visionary advancement, the reality is quite the opposite. AI is already being implemented in several businesses in a cost-effective manner, which is helping to accelerate digital transformation while also improving productivity and competitiveness. This blog, looks into the AI and ML’s role in accelerating the digital transformation of a company. But before that let look at what digital transformation is.
What is digital transformation?
The term “digital transformation” refers to the practice of employing digital technologies to establish a sustainable new business model. As part of this process, digital technology and solutions are integrated into every facet of the company’s operations. Because of the fundamental changes that must be made in how businesses run and provide value to their consumers, this transition is as much a cultural as a technological one. Businesses can adapt to the ever-evolving demands of the market by focusing on the quality of their customer’s experiences. Both the workforce and the company model can benefit from digital solutions, which ultimately lead to an increase in productivity.
The use of newer and more cutting-edge technologies is only one aspect of the digital business transformation process. It is not only a matter of rethinking how things like sales, marketing, and customer support will be conducted in the future. Integrating technologies and services is the focus here, with the end goal of improving both the customer experience and the effectiveness of business operations through the application of digital technology. Now more than ever, executives and other top business decision-makers are giving top priority to investments in projects and programs that will drive future growth. The digital transformation process has many benefits, including better business agility, improved operational efficiency, and higher consumer involvement. It creates fresh value for shareholders as well as for customers and staff.
Pawan Kumar, Co-Founder of TechPlek Technologies, posted a quote from Jeff Bezos on the importance of digital transformation in linkedin, “There is no alternative to digital transformation. Visionary companies will carve out new strategic options for themselves — those that don’t adapt, will fail.”
The role of AI and ML in digital transformation
The incorporation of AI and ML into business marked a significant advancement in digital transformation. Since then, AI and ML have been the driving force for digital transformation and have given rise to numerous new business innovations. Together, they accelerate growth possibilities for customer-centric businesses that seek to maximize the potential of digitalization.
A growing number of innovative businesses across industries are enhancing their client service by employing AI, ML, and other forms of advanced analytics. AI and ML enable effective data collection and analysis that aid businesses in developing comprehensive data transformation strategies based on real-time market intelligence. ML analyzes and correlates patterns in vast amounts of data to provide insights regarding customer behavior and other occurrences. Using AI as part of a larger digital transformation plan, they have been able to streamline processes, increase the speed of response, and make better data-driven decisions. Some companies are harnessing the power of machine learning to teach their legacy systems to recognize speech, discover patterns, and automate mundane chores.
They acknowledge that ML is the next frontier that will help launch the next wave of digital disruption. AI mimics human intelligence by recognizing and reacting to behavior and occurrences and employs algorithms to build or modify programs to take benefit of ML insights to enhance customer experiences and business processes. Utilizing this transformative technology can provide long-term competitive advantages in a number of areas, including the enhancement of human decision-making, the processing of data from disparate sources, operational efficiency, scalability, speed, intelligent automation, cost management, and the optimization of the customer experience.
Check out an interview at DTV where Kim Polese, Chairwoman of ClearStreet Inc. talks about the Role of AI & Machine Learning in Digital Transformation
Businesses in all sectors can greatly enhance their customers’ day-to-day experiences with the help of artificial intelligence and machine learning if they implement these technologies in the right way. Let’s take a look at how AI and ML are helping businesses to revolutionize the digital customer experience and assist them in accelerating their digital transformation journey:
Automation
Automated systems are now increasingly widespread; chatbots and robotic process automation (RPA) are excellent for high-volume, cumbersome, and repetitive tasks. For instance, bots are capable of copying and pasting, performing computations, and connecting to application programming interfaces (APIs). Furthermore, Intelligent Automation (IA) is a combination of RPA and AI technologies that enables more rapid end-to-end business automation and accelerates digital change. Technology like this eliminates the need for time-consuming and error-prone human involvement. Automation aids businesses in rethinking their methods in a variety of sectors, including the financial and legal sectors as well as production. Businesses can improve their responsiveness to clients and vendors across a wide range of interactions by automating back-office processes.
AI and ML-based technologies have a huge effect on data analysis because they decrease the need for manual processes. Effective AI data mapping methods allow businesses to quickly and easily automate data transformation processes and tasks. AI integration makes it simpler for users to extract business intelligence and streamline decision-making from transformed data. Since the manual intervention is reduced, developers can focus on strategic duties like governance, control, and resource planning instead of transformation operations.
Bojan Tunguz, Data Scientist at Nvidia, tweeted aqoute from Bill Gates, on the importance of automation, “The first rule of any technology used in a business is that automation applied to an
efficient operation will magnify the efficiency. The second is that automation applied to an inefficient operation will magnify the inefficiency.”
The first rule of any technology used in a business is that automation applied to an efficient operation will magnify the efficiency. The second is that automation applied to an inefficient operation will magnify the inefficiency. – @BillGates
— Bojan Tunguz (@tunguz) May 13, 2019
Security
Organizations can identify and prevent the most sophisticated forms of cyber threats with the aid of artificial intelligence. AI-powered security technologies assist organizations by using machine learning-trained engines to predict how and where businesses are most likely to be compromised, scan systems for abnormal behavior (through pattern recognition), spot vulnerabilities, and notify IT technicians of potential threats. In addition, biometrics, multi-factor authentication, automatically generating complex passwords, and restricting access to particular accounts to only authorized users are just some of the ways in which artificial intelligence can be used to secure workplace and individual accounts. Furthermore, with their extremely precise features, AI and ML-powered technologies enhance system security and provide improved performance. Users can monitor suspicious behavior on the network and document it using a centralized logging architecture. These AI, and ML-powered technologies can aid in mitigating the effects of threats and cyberattacks, enabling businesses to execute digital transformation initiatives with greater precision.
Scalability
Artificial intelligence and machine learning produce autonomous systems that can operate effectively with little to no human oversight. AI & ML enables businesses to make tough choices accurately and at scale by employing a wide variety of data science theories and methods, such as classification, categorization, clustering, trend analysis, anomaly detection, visualization, etc., and ultimately driving digital transformation initiatives.
Faster Processes
One of the main causes of delay in processes and decision-making is the presence of redundant data and the difficulty in gaining access to necessary data. Increased customer happiness and better operational efficiencies are direct outcomes of a streamlined data access infrastructure that allows for instantaneous processing and decision-making. Because machine learning can analyze vastly more data than a human can, and in a more effective way, it has the potential to streamline and accelerate a variety of digital processes. In addition, machine learning can aid in the discovery of various relationships within your datasets, which can help businesses identify new revenue possibilities.
Dynamic Analytics
Successful digital transformation strategies depend on the systematic collection of actionable data. But how that information is turned into actionable insights is what drives the strategy’s success. With the help of machine learning, businesses can create models with predictive analytics that can be tested and retested at a rate far exceeding that of any human. Particularly when it comes to automating data science processes, it can bring a great deal of efficacy to the digital optimization process. Furthermore, machine learning can process tens of thousands of data points without human interaction to gather insights and identify trends in real-time. This allows businesses to correctly anticipate customer requirements in advance rather than simply responding to customers’ actions. With this knowledge,
businesses can provide customers with a more personalized shopping experience and use data to inform choices that lead to more efficient advertising campaigns.
Better customer experience
Increasing consumer engagement and experience is a primary reason why many businesses adopt digital transformation strategies. With the help of AI, companies can provide highly customized content and an all-encompassing marketing strategy to keep customers happy and coming back for more. The use of AI-based technologies has the potential to significantly influence the levels of productivity and performance achieved by organizations. They are able to create and launch their products more quickly while simultaneously reducing their total cost of ownership (TCO) and enabling faster development and deployment cycles. AI also enables businesses to focus on more essential tasks and gives them more control over their conversations with customers.
Conclusion
We live in an era of exceptionally high customer expectations, in which the much-hyped digital customer experience will persist for an extended period of time. And in order to gain a competitive edge, businesses will have to continue experimenting with artificial intelligence and machine learning in order to put forward their digital transformation initiatives and create compelling experiences in a digital world that foster long-lasting customer engagements. It’s no secret that artificial intelligence (AI) is a key component of today’s most cutting-edge digital tools and a key enabler of digital transformation. It paves the way for ever-improved strategies, which in turn influence market velocity, competitiveness, and the quality of service provided to customers. When AI and ML are leveraged in all of the above-mentioned parameters, it will drive growth, mitigate risks, increase operational efficiency and accelerate innovation and ultimately form a means of accelerating their digital transformation initiatives.
Sparity has been at the forefront of redefining the meaning of digital transformation in the era of AI and real-time data for global organizations. We create structured AI-driven transformation road maps that account for your existing capabilities while providing value, bolstering your economic resilience, and preparing you for long-term success. Contact Sparity, which offers AI-powered services for digital transformation, right away to start your digital transformation journey!
