GenAI Automation: The next frontier in business agility and scalability

Authored by Sameet Gupte, Co-Founder & CEO, EvoluteIQ

The era of Generative AI (GenAI) is just about starting, and this will be the “New Normal.” Gartner says more than 80% of enterprises will have used GenAI APIs or deployed GenAI-enabled applications by 2026. The question is no longer whether industries will adopt it. The question is, will it drive incremental improvements, or will it catalyze a radical business transformation? There is absolute excitement, curiosity, and fear of the unknown. While the initial euphoria has got all organizations rushing to deploy GenAI across the enterprise, fully realizing its benefits will take time. Business leaders must address the challenges this new era will bring to employees, technical environments, and the overall organizational culture.

The Metamorphic Impact of Generative AI on Knowledge Work and Productivity

One of the paradigm shifts that GenAI will drive is productivity gain. Goldman Sachs indicated that over the next ten years, AI could increase productivity by 1.5% per year. This technology has the potential to change the core fabric of work by augmenting the capabilities of individual workers by automating some of their individual activities. Unlike the previous technology transitions/innovations, GenAI is poised to have the biggest impact on knowledge work, particularly activities involving decision-making and collaboration, which previously had the lowest potential for automation.

Organizations will need to help employees acquire the requisite new skills, handle worker transitions, and control other risks that can prevent adoption if they are to fully realize the potential of GenAI. Building trust in GenAI involves transparency, ethical considerations, and ensuring that AI systems are reliable and fair. This is crucial for gaining acceptance from stakeholders, including customers, employees, and regulators. If implemented purposefully, it could contribute substantively to economic growth and support a more sustainable, inclusive world. It is highly likely that half of today’s work activities have the potential to be automated in the very near future.

This technology has the potential to disrupt and have a broad-based impact across all industries. A few examples of industries are shared below:

High Tech

GenAI can help build products and platforms that are scalable and also enable companies to launch them faster:

Product Development: It helps in designing new products and improving existing ones by generating innovative ideas and optimizing designs.

Software Development Automation: It can write code, test software, and identify bugs, accelerating development cycles and reducing costs.

Predictive Maintenance: For tech hardware, it can predict when equipment will fail and schedule maintenance before issues occur, reducing downtime and maintenance costs.

Banking

McKinsey estimates that across the global banking sector, GenAI could add between $200 to $340 billion in value annually, or 2.8 to 4.7% of total industry revenues, largely through increased productivity. 

Fraud Detection and Prevention: With a deep analysis of huge transactional data, GenAI can identify unusual patterns and flag potential fraud, reducing financial losses.

Customer Service: GenAI-powered chatbots and virtual assistants can handle routine customer inquiries, improving response times.

Risk Management: Enhanced risk assessment models by incorporating more variables and providing more accurate predictions, leading to better-informed lending decisions.

Personalized Financial Services: Customer data analysis to offer personalized financial advice, enhancing customer loyalty and increasing sales. 

Life Sciences

In life sciences, the impact of GenAI includes:

Drug Discovery: GenAI can analyze biological data to identify potential drug candidates faster than traditional methods, accelerating the drug development process.

Personalized Medicine: Analyzing genetic information using GenAI can help develop personalized treatment plans, improving outcomes.

Clinical Trials:  Optimized design and recruitment for clinical trials, making them more efficient and effective.

 Retail and Consumer Packaged Goods (CPG)

GenAI can significantly impact the retail and CPG sectors by:

Demand Forecasting: Analysis of historical sales data, market trends, and external factors to predict demand more accurately, reducing overstock and stockouts.

Personalized Marketing: Customer behavior analysis to create highly targeted marketing campaigns, increasing conversion rates.

Supply Chain Optimization: Enhanced supply chain efficiency by predicting disruptions and optimizing inventory levels and logistics.

Product Recommendations: Personalized product recommendations based on browsing and purchase history, increasing sales.

 Propelling Business Agility and Scalability

 GenAI will enable rapid adaptation of evolving market conditions, and customer demands with decision automation and real-time insights. It can also help generate new ideas, streamline processes, and bring up creative solutions faster, helping businesses stay abreast and ahead of the competition curve. 

It also broadens the scope for efficient resource management by automating routine tasks. This further enables easy scaling of operations without proportional increases in costs. Analyzing vast volumes of customer data to deliver unique experiences at scale gets a whole lot easier with GenAI, thus building customer satisfaction and loyalty.

In summary, businesses that effectively develop and employ GenAI capabilities stand to benefit greatly from this technology. GenAI is a game-changing phenomenon that can drastically transform many industries worldwide. Businesses that are willing to accept and adapt to the “new normal”, have a value-driven strategy, make the necessary investments to develop crucial skills and establish trust will be well-positioned to take charge in this new era. 

DISCLAIMER: The views expressed are solely of the author and Adgully.com does not necessarily subscribe to it.