If you think we are on the brink of a Technological Revolution and we are not living it yet, it means that your company is falling behind. I apologize if I sound somewhat aggressive, but I wouldn’t want the readers of my column to make bad decisions because I haven’t been clear enough. Viewing AI as a technology alien to our business, limiting ourselves to theorize about its possible applications, or perceiving it as a future event is, as of today, completely anachronistic. It is time to make business decisions, or not to make them at all. In this article, we will outline the steps to develop an AI strategy.
Step 1. Know your company inside out. A company is made up of a set of business processes, and a business process is made up of different business tasks. On the other hand, the people who carry out these business tasks are organized by departments that are responsible for a set of analogous business processes -sales, marketing, customer service, human resources, finance, logistics…-. In order to adopt this technology effectively, it is necessary for the entrepreneur to know their company inside out.
They should be able to describe it based on these three fundamental categories:
1. Data: data sources -including databases, business software, office documents, etc.-, their infrastructure, technical interconnection between them, security and compliance…
2. Logic: usefulness and reason for the existence of each data source, logical interconnection between them, processing of that data to turn it into information, usefulness of that information, business decisions made based on that information…
3. Actions: execution of the decisions made based on that information, which in turn generate new data that will be recorded in the identified data sources. This is what we call business tasks. Additionally, it is essential to identify the people responsible for each data source, for each decision, and for each business task to resolve any overlapping responsibilities. The mindset we must have is very similar to that followed to organize an army on the battlefield where each decision, each action, each ration of food, each vehicle, each piece of equipment are precisely defined and the responsible party is known.
Step 2. Understand how to apply AI. Due to the great popularity of ChatGPT and its derivatives, we tend to think of AI as an assistant that helps humans perform tasks. However, that is a very specific application of this technology. Yes, I agree, that is possibly the most effective way to apply it to the general public. But it is not so for companies.
The entrepreneur should think of AI as a hyper-automator of business processes. Let’s compare this concept comparatively:
1. Automation refers to the use of technology to perform tasks with minimal human intervention. It generally focuses on individual tasks, with the aim of increasing efficiency, reducing errors, and freeing up workers to perform higher value-added tasks. Automations are usually based on rules or predefined conditions delegating most decision-making to humans. The most common example is robotic process automation (RPA).
2. Hyperautomation, on the other hand, goes beyond automating individual tasks and represents a complete automation strategy. It involves the integration of advanced technologies such as artificial intelligence (AI), machine learning (ML), process mining, and advanced decision-making with the aim of automating complex business processes. Hyperautomation not only seeks to increase the efficiency of existing processes but also to improve them through more comprehensive decision-making.
In other words, the most effective application of AI in the company is as an automation agent, an autonomous worker, a hyper-automation of processes… Ultimately, as an Artificial Intelligence agent. This is why it is so important to know your company inside out, it is the only way to turn it into an AI-driven company. Oh! And don’t think that physical processes will not be affected, as Artificial Intelligence applied to robotics is already a reality.
Step 3. Develop a winning AI strategy. Some entrepreneurs will think that developing an AI strategy should be the first step. In our experience, the only winning AI strategies are those that have addressed the two previous steps we have detailed.
Next, we will detail the points that you should outline in your AI strategy:
1. AI strategic policy: the first step is to define the vision of AI in your company in the short, medium, and long term. From here, we must configure an internal AI team with well-defined responsibilities and determine the budget they will handle. It will also be essential to choose external partners, implement training programs, and develop a methodology to attract, retain, and develop talent in AI.
2. Regulatory and ethical compliance of AI: you must ensure that it complies with the binding AI regulations at the sectoral, national, and international levels. And that the ethical foundations your company pursues are respected.
3. AI privacy policy: it is necessary to define who can access what data and AI systems, properly manage credentials and user authentication, and establish clear data privacy policies both internally and externally.
4. AI project management policy: the selection of projects must follow a rigorous methodology that helps you quickly discard those that are not profitable. Furthermore, it is essential to implement and maintain the necessary technology and infrastructure, apply best practices in development, and continuously evaluate the performance of AI projects through dynamic KPIs that reflect technological advancements.
5. Communication policy: you must inform investors, clients, and employees about how AI is being implemented in your business. In a Technological Revolution environment, investment funds no longer focus on past results, and expectations based on qualitative criteria decide investments. Remember that not acting is also a decision. It is unavoidable that AI will permeate your company, consider that your employees use ChatGPT in their daily lives, how could they not use it in their work? And that “silent” adoption of Generative Artificial Intelligence is potentially risky. In case you decide to act, we recommend that you follow the steps indicated here because: Your company + AI Projects = AI-Driven Company.
