31 May 3 Ways Artificial Intelligence Is Transforming Business Operations
Today’s business landscape is demanding that companies spearhead large-scale changes in order to survive and remain competitive. In an ever-changing political, social, and economic climate, constant organizational change is the new normal. Few advancements promise to help organizations cross critical business chasms more profoundly than artificial intelligence. When it comes to business operations, artificial intelligence has enormous potential to catapult companies beyond the status quo and adapt to new dynamics.
1. Enhancing the customer experience
According to research by Walker, customer experience will overtake price and product as the key brand differentiator by 2020. The centrality of customer experience in today’s business landscape has motivated many companies to adopt a more holistic approach to customer experience improvement. Companies such as Intuit, EMC, and Adobe all have core customer experience leadership embedded in their sales, operations, and marketing organizations.
Artificial intelligence can help businesses craft highly-personalized customer experiences. Artificial intelligence can ingest and aggregate all of the various touch-points a customer has with a brand and determine what’s driving customers behavior. Are they eager to buy more? Why? Are they on the verge of churning to a key competitor? Why? Armed with this information, business operations teams are afforded unprecedented insight into the end-to-end customer experience, far beyond that which can be gleaned from customer feedback surveys. According to Salesforce, 50% of consumers are likely to switch brands if a company doesn’t anticipate their needs. By providing the right messages and marketing prescriptions to customers at the right time, artificial intelligence promises to help organizations better understand customers and anticipate their needs.
Artificial Intelligence can also help businesses better understand brand strength and high-level customer trends. AI-powered tools can monitor brand perception on social and social channels and predict customer sentiment. This all-encompassing view minimizes guesswork and allows business leaders to confidently predict where customers will plant their wallets next and why. By accounting for everything from external temperature to the day of the week to political events, companies can drastically enhance their forecasting abilities.
2. Enhancing the hiring process
Strategic talent acquisition is central to business operations. Yet the hiring process is fundamentally flawed. The recruitment and interview process is rife with bias and is largely driven by first impressions. According to one recent study, despite increased awareness of discriminatory hiring practice, hiring discriminating against black workers in the U.S. has not declined in the past quarter century. The fact that employee referrals are the number one source of new hires, representing more than 50% of hires, underscores the limitations, biases, and potentially nepotism ingrained in current processes. It’s no wonder why approximately 40% of businesses say that the interview and assessment skills of their staff should be improved.
Artificial intelligence is already helping businesses transform their hiring operations and processes. It can help businesses cast a wider net by scanning large volumes of resumes and other talent sources to pinpoint highly qualified candidates for specific jobs. It can review job descriptions, interview transcripts, and call logs to uncover and correct hidden biases in the hiring process and accurately assess candidates. Several tools already exist on the market. IBM Watson Candidate Assistant, for example, is a talent management solution that helps match potential candidates with the specific jobs that they will thrive in. When implementing AI recruiting tools, it’s critical that we ensure that tools are not prone to the same biases that humans fall victim to.