TURNING ARTIFICIAL INTELLIGENCE INTO BUSINESS VALUE, TODAY
As the economic and business potential of artificial intelligence filters up to the C-suite, how to separate hype from reality?
AI ALL THE RAGE
Artificial Intelligence—which we define as information systems and applications that can sense, comprehend and act—has moved beyond the research lab and captured the attention of CEOs and other high-level executives.
The media regularly draws attention to innovative business solutions based on AI. Venture capitalists are funding AI start-ups at a rapid pace. Technology companies are moving swiftly to create and capture value in this emerging area.
Decision makers must recognize that AI isn’t a matter of any single technology or application—whether driverless cars, smartphone virtual assistants or myriad of other examples.
In this report, we offer a perspective on how these technologies affect business and society, and present a framework for understanding how AI can deliver value for your organization and industry.
AI is a rich and diverse field. The greater value will come from understanding the multitude of related technologies, and then integrating those technologies into full solutions.
SENSE, COMPREHEND & ACT
AI systems can be self-learning, like bright students who are Comprehend
given educational materials and then can learn by themselves. AI systems also comprehend through technologies such as
Sense natural language processing, inference engines and
Consider how a border-control kiosk uses computer vision expert systems. These technologies have a wide range of
technologies such as facial recognition to sense applications across multiple industries. For example,
characteristics of travelers. Integrated with other technologies a medical diagnostic system can help doctors identify
such as multispectral image analysis (scanning passports using diseases and suggest treatments. That is, computers
infrared and ultraviolet light), extensive information are enabled to do the following:
databases and matching algorithms, an integrated solution here Act
can improve security by identifying people on unauthorized entry An AI system acts independently, taking action within a
lists or others posing a risk. process through technologies such as inference engines
and expert system action in the physical world.
Consider the driverless car, which senses the
environment, understands the myriad inputs and then
steers the car without assistance from a human driver.
IDENTIFYING OPPORTUNITY & VALUE
The range of available AI solutions can be categorized by the Effectiveness model
optimize recommendations. complexity of the work that is being done, The goal is to improve the overall ability of workers
and second, the complexity of the data and information being and companies to produce a particular desired result.
worked with. The range of solutions can be classified into four This class of workers typically requires considerable
primary types of activity models. knowledge of their industry, company and business
Efficiency model processes. Their success is highly reliant on
The efficiency model characterizes, which characterizes more coordination and communication and involves a wide
routine activities based on well-defined rules, procedures and range of interconnected activities—work such as
criteria. The goal here is to provide consistent, low-cost administration, managing, sales and so forth. In these
performance. solutions, technology acts as personal assistant
Expert model or agent on behalf of humans at their direction.
In this model, work is more likely to involve judgment and is
highly reliant on individual expertise and experience—activities
performed, for example, by doctors, lawyers, financial Innovation model
advisors and engineers. Decision-making and action is generally In this model, AI solutions enhance creativity and
taken by humans themselves, while technology’s role is to ideation by humans—activities and roles such as
augment human sensing and decision making—enabling biomedical researchers, fashion designers, chefs,
analysis and offering advice and implementation support. musicians, entrepreneurs. Humans make decisions and act,
while technology helps identify alternatives and
GAME-CHANGER FOR EVERY INDUSTRY
Businesses, educators and policy makers will need to Game-changer for every industry
work together to access impacts and take actions A key is not to become too entranced by any particular
technology, as if that technology by itself is the
accordingly. answer. It is vital to think first in terms of types
of work, and then consider the business rationale for
integrating technologies into a total AI solution
related to that work.
It is important that business continues to engage
in the ongoing dialogue about these technologies
effects on jobs, education and society.
What happens in terms of the social impact of AI is
not up to the technology, but to us.
The business opportunity of getting it right is too
significant to be left to chance.