In today’s rapidly changing business landscape, companies that don’t incorporate Artificial Intelligence (AI) into their processes are at a significant disadvantage. AI is fast becoming an indispensable tool for organisations seeking to optimise their operations and maintain a competitive edge. AI has the potential to revolutionise the way companies operate, providing them with valuable insights and enabling them to make better, more informed decisions. However, despite its many benefits, many companies still haven’t embraced AI, instead sticking with traditional methods.
There are many factors inhibiting the adoption of AI, and some of the most cited are as follows:
- Cost: AI technology and solutions can be expensive, making it difficult for businesses to adopt them.
- Technical skills: Implementing and maintaining AI technology often requires specialised technical skills, which can be hard to find and costly to acquire.
- Data quality and availability: AI systems generally require large amounts of data to function accurately. In many cases, data is unavailable, or the quality is poor.
- Resistance to change: Companies may hesitate to adopt AI due to a lack of understanding of its capabilities and resistance to change traditional business practices and processes.
- Regulatory and ethical concerns: Data privacy, bias, and transparency are ethical, and, in many cases, regulatory hurdles (both perceived and actual) make some companies hesitant to adopt AI.
The Cost of Not Adopting AI
These are all valid concerns about the difficulty of AI adoption. But what is the price of not adopting AI in your workplace? Let’s explore the cost of not adopting AI and why companies must invest in this technology.
- Decreased efficiency and productivity:
A study by McKinsey & Company, AI has the potential to increase labor productivity by up to 40%. AI can automate repetitive tasks, allowing employees to focus on more complex, higher-value work, which can increase overall efficiency and productivity.
- Missed opportunities:
Another cost of not adopting AI is the missed opportunities for growth and innovation. AI can provide companies with valuable insights to help them make better decisions and grow their business. Companies that don’t embrace AI miss out on these opportunities and will likely fall behind their competitors. A Gartner survey showed that by 2020, 90% of large organisations will have adopted AI in some form, leaving companies that don’t embrace the technology at a disadvantage.
- Reduce operational cost
By automating repetitive and manual tasks, AI can help to reduce operational costs by improving efficiency, reducing errors, and streamlining processes. This can result in cost savings by reducing labor costs, reducing the need for overtime pay, and increasing productivity. An Accenture report found that AI can reduce operational costs by up to 60%. By not taking advantage of AI, a business will see increased operating expenses compared to its AI-using competitors.
- Difficulty attracting and retaining top talent:
A study by Deloitte found that companies that invest in AI and other cutting-edge technologies are more likely to attract and retain top talent within their industries. If your company isn’t investing in AI, you could miss out on top talent and sacrifice your ability to compete with other companies in your industry.
The various costs of not adopting AI in your company are significant. However, the costs of not embracing AI are far-reaching, from increased operational costs and missed opportunities to difficulty attracting and retaining top talent and decreased productivity. Companies that want to stay competitive and remain relevant in today’s fast-paced business environment must invest in AI and other cutting-edge technologies.
Bringing SaaS to AI to Increase Adoption
The exciting news for companies who have yet to embrace AI in their business practices is that a whole new class of AI-driven products are now available that reduce the time and cost of onboarding AI-driven business solutions. Often called the “democratisation of AI,” this trend infuses SaaS (Software as a Service) principles. Typically, SaaS products are easy to use and deploy and provide an enjoyable user experience. Instead of requiring specialised skills, SaaS products are widely useable by people without a software engineering background. By applying SaaS principles to AI, algorithms and models that were once only available to large tech companies with a team of data scientists become available to smaller companies across industries. This democratisation allows AI to bring value to companies where, up until now, it has been out of reach.
Some benefits of the democratisation of AI include:
- The ability of smaller companies to compete with larger ones by implementing AI-powered tools for predictive maintenance, process optimisation, quality control, cost reduction, and increased productivity.
- Improved safety and reduced risk of accidents by detecting potential safety hazards and providing real-time feedback.
- Increased profitability through reduced waste, improved efficiency, and the ability to implement other Lean manufacturing principles.
- Better environmental outcomes through reduced energy consumption and more efficient supply chain management across an industry value chain.
Aicadium View is addressing the democratisation of AI through improved safety and productivity. The tools available in Aicadium View detect visuals, objects, and actions in videos and images to provide workplace insights that create better products and safer, more productive industrial environments. Using cameras within facilities and delivered as an easy-to-use enterprise software tool, Aicadium View empowers individuals and teams to make proactive, data-driven decisions, seamlessly integrating into daily work routines, providing tools for asset inspection, personal protective equipment detection (PPE), and measuring productivity.
Learn more about Aicadium View and how it can transform your company’s operations.