Artificial Intelligence Is Changing How Companies Operate
For many years, outsourcing various business processes to highly experienced, third-party professionals has been a popular way for organizations to manage costs and improve business agility.
While humans should be at the center of every business, the world is increasingly incorporating Artificial Intelligence (AI) into Business Process Outsourcing (BPO). New technology is shaping industries in every vertical with intelligent responses to evolving expectations of customers, suppliers and others. For example, AI has brought rapid and significant changes to Fortune 1000 organizations in areas of accounting tasks, including payroll, tax, banking and audit.
Tremendous opportunities exist for middle-market companies to tap into AI solutions, which can help create more efficiencies, fill skill gaps and bolster bottom line results.
What Is AI?
At its very essence, AI is the simulation of human intelligence processes by machines, especially computer systems. AI systems ingest large amounts of labeled training data, analyzing for correlations and using these patterns to make predictions about future states.
However, AI isn’t about replacing humans; rather, it’s intended to significantly enhance human capabilities and contributions.
How AI Reduces Mundane, Repetitive and Error-prone Tasks
AI technologies such as Chatbots, Machine Learning (ML) and Robotic Process Automation (RPA) offer several advantages for streamlining business processes, while ensuring greater accuracy of monotonous and repetitive tasks.
Chatbots can automate call centers and improve the customer experience by providing fast and accurate responses to questions. RPA can automate repetitive tasks, such as data entry or invoice processing. ML can improve the accuracy of predictions pertaining to customer behavior.
AI can augment human workers and allow them to focus on high-level tasks, so that organizations can capitalize on the full potential of its workforce by shifting to activities that provide more valuable time with customers. For instance, the synergy between human employees and banking machines have allowed additional tellers to focus on forging relationships with customers, solving problems and introducing them to new products that can enhance their lives.
Incorporating AI into business processes can also benefit industries such as industrial manufacturing. AI can help decrease forecasting errors, detect anomalies in production processes and save countless hours in quality control processes.
Additionally, AI is also helping legal teams work smarter, better and more efficiently without compromising on the quality of work or deadlines, especially in administering due diligence when reviewing contracts and agreements.
These are just a few ways that AI improves business processes.
Considerations With AI and BPO
While there are multiple benefits to AI, challenges do exist. For instance, businesses need to have a rock-solid plan to address privacy, data and security issues. In fact, businesses are going to be forced to address various AI issues as lawmakers develop upcoming federal regulations. To prepare, companies should begin mapping and assessing current and future AI dependencies, as well as policies that govern how their organization will implement AI.
Another challenge of using AI to streamline business processes is the lack of standardization. There is not a one-size-fits-all approach to AI, so organizations must develop their own system, which takes time and money. However, streamlining processes and removing redundancies can help companies in the long run.
The Birth of ChatGPT
One of the most talked about AI solutions is ChatGPT, which can be used to analyze data and provide subsequent insights and recommendations. Launched in November 2022 by OpenAI, a non-profit AI research company, ChatGPT can be used to write stories, reports, research papers, translate content, code and more. ChatGPT is not perfect and is not necessarily trained for accuracy, as it sometimes writes plausible, but incorrect or nonsensical answers. However, ChatGPT offers promising technology that will likely impact industries.
One of Cherry Bekaert’s alliance partners, Microsoft, has certainly taken notice of ChatGPT. In January 2023, Microsoft announced that it formed a partnership with OpenAI around a shared ambition to advance cutting-edge AI research and democratize AI as a new technology platform. This should be exciting news for all of us as we look forward to what’s to come with ChatGPT.
The Future of AI Is Here
Connecting AI to business processes is here to stay and will only continue to advance behind the walls of organizations. Yet, AI technologies require thorough strategy for successful implementation. Technology is the enabler, but not the driver of business transformation, and people remain at the heart of any organization. Companies that place people at the center, while leveraging technology, will accelerate their long-term value.
Cherry Bekaert’s Digital Advisory team is comprised of strategists who have broad industry experience and keen business acumen. Utilizing an agile and flexible approach, we help examine what you want to achieve with a focus on people, process, technology and culture. We are here to help organizations manage risks, enable growth and support sustainable operations. Leveraging our strategic process, we help digitally enabled organizations – especially middle-market companies – do more with less. Cherry Bekaert stays on top of the latest technology trends, but we know that technology is not a one-size-fits-all solution. Cherry Bekaert is here to guide you on what technology makes sense to adopt as it pertains to delivering the highest value to your organization.