17 Mar 2022
Over the past three years, the pandemic has accelerated digital transformation and innovations in general. Machine Learning and AI are the two significant technologies considered to distribute this vast transformation and shape our heading future, especially in business scenarios.
Since 2020, there has been a rise in data creation and replication at a record speed. According to International Data Corporation, 64.2ZB of data was created or replicated in 2020. This statistic is greater than twice the amount of data created since the advent of digital storage. Moreover, it is predicted to continue to rise in the next decades. A warning bell for businesses is ringing to remind them of their massive amount of data. Due to this, Machine Learning and AI can become an advantageous and competitive source to support businesses in using data to make smarter decisions and stand out in the market.
Artificial Intelligence (AI)
AI refers to computer science built with smart machines which are capable of performing human-intelligence tasks. In other words, AI allows machines to learn from experience, adjust to new inputs and perform human-like tasks. Since 1956 till now, people have widely applied AI through increased data volumes, advanced algorithms, and improvements in computing power and storage.
There are 4 types of AI technologies: Reactive Machines, Limited Memory, Theory of Mind, Self-Awareness. In fact, AI will become important to businesses if they apply the proper type. Thanks to this, businesses will gain a certain number of benefits as below:
- Save time and reduce operational costs by optimising routine processes & tasks
- Increase productivity and operational efficiencies
- Make faster business decisions based on outputs from cognitive technologies
- Avoid mistakes and human error
- Use insights to predict customer preferences and offer them a better & personalised experience
- Mine vast amount of data to generate quality leads and grow customer base
- Increase revenue by identifying and maximising sales opportunities.
Machine Learning
Machine Learning is a computer built-in algorithm that can learn and adapt to new data without human intervention ( Investopedia). There are 4 types of machine learning, depending on what type of data businesses want to predict. We have Supervised Learning, Unsupervised Learning, Semi-supervised Learning, and Reinforcement Learning.
In business scenarios, the technology enables enterprises to get a view of trends in customer behavior and business operational patterns. This, in fact, supports the development of new products. It also empowers them to understand customers at a deeper level by collecting customer data and behaviors over time. As such, more and more companies will use Machine Learning as their central operations in the future.
Machine Learning And AI In ERP Systems
In Enterprise Resource Planning (ERP) systems, we can integrate Machine Learning and AI technologies to push the benefits of ERP systems to a higher level.
When an ERP system is powered by AI and Machine Learning, these technologies are able to identify business opportunities using insight data to analyse the business status. In practice, integrating data from ERP systems to AI algorithms can help companies determine invisible patterns that interrupt the workflow in real-time using the problem prediction function.
The technology is able to automate repetitive mandatory tasks. For sales & marketing purposes, most ERP vendors utilise the technology in the CRM system to access information about customer interactions and identify their buying patterns. This allows businesses to record opportunities for multiple product lines through historical sales analysis and obtain better plans to attract, nurture potential prospects, thereby increasing revenue.
