Why should our company invest in AI?The short answer as to why firms should invest in AI is: It’s profitable to do so. A few weeks back, we blogged about learnings from McKinsey’s April report, “Notes from the AI Frontier, Insights from Hundreds of Use Cases,” where its consultants analyzed over 400 use cases to assess how machine learning and a subset of ML called deep learning were helping to solve a range of business problems. The paper examined the broader value of machine learning, reporting that a company could expect to gain returns between 1 and 9 percent of its overall revenue from applying AI. That translates to trillions of dollars of potential impact across the business sector. Naturally, every organization is different. An AI investment strategy must therefore be customized to advance each firm’s overall business strategy. That’s the principal reason to invest in any technology—machine learning included—to progress the wider strategic vision. You can start by asking questions like:
- What product development feedback loops could we shorten using machine learning?
- Could we derive greater value and become more efficient by better analyzing our data stores?
- Is there predictive modelling we could be doing to help us focus on certain markets over others?