Existing Models of AI-Driven Business Strategy
Formulation
The introduction of AI in business goes beyond just advanced technology;
it’s changing how companies operate and interact. Let’s explore some key
models of AI-driven business strategies:
- Automating Business Processes:
- What It Means: Using AI to perform routine tasks more efficiently
and accurately than humans.
- Real-life Example: Self-checkout kiosks in supermarkets are a basic
example. A larger scale example is Amazon’s warehouses, where
AI-driven robots assist in picking and packing items, improving the
shipping process.
- Paper Reference: Davenport & Ronanki, 2018 [11]
- Gaining Insight Through Data Analysis:
- What It Means: Analyzing vast amounts of data to find patterns and
insights that guide business decisions.
- Real-life Example: Netflix’s recommendations are based on AI
analyzing your viewing habits and comparing them with millions of
others, suggesting shows and movies you might like.
- Paper Reference: Davenport & Ronanki, 2018 [11]
- Engaging with Customers and Employees:
- What It Means: Enhancing interactions between businesses and their
stakeholders (customers, employees) to be more personalized and
intuitive.
- Real-life Example: Chatbots on websites that offer help or
assistance are AI-driven tools aimed at improving user experience.
- Paper Reference: Davenport & Ronanki, 2018 [11]
Implementing AI in business is more complex than it seems. It requires a
balanced strategy that combines the right technological tools with
trained personnel and optimized processes. It’s about harmonizing human
and machine capabilities, strategic planning, and practical application.
TABLE 3: SNAPSHOT OF THE MULTI-DIMENSIONAL ROLE OF AI IN MODERN BUSINESS
STRATEGY