Did you know that more than one third of companies around the globe have already implemented artificial intelligence (AI) initiatives in some form? For modern businesses AI is a hugely important asset when it comes to driving growth and innovation from within.
According to Accenture, organisations that strategically implement AI technologies see an increase in labour productivity, develop new products at an accelerated rate while eliminating redundant costs and have the potential to boost profitability by as much as 37%.
In a world shaken to the core by the wide-reaching effects of COVID-19, the businesses that will thrive in the long-term — and in doing so help to drive global economic recovery — will be the ones who embrace innovation and successfully leverage technologies like AI.
Continue reading to discover how AI could be the key to international economic recovery and growth beyond COVID-19.
In a recent study, MarketsandMarkets predict that by 2025 the global AI marketplace will reach $200 billion. By 2030, PWC forecasts claim that AI technologies will have a $15 trillion impact on global GDP. In short, the impact of AI over the next decade will be monumental.
The major driving forces behind the growth of the AI market include: big data, adoption of cloud-based applications and an increase in the demand for intelligent virtual assistants such as chatbots.
The Asia Pacific (APAC) marketplace is expected to be the first region to see the highest growth in AI technologies and applications. Throughout this part of the world the increasing adoption of deep learning, robotic process automation (RPA) and natural language processing (NLP) technologies will be seen most across law, agriculture, retail, marketing, accounting and finance industries.
In the current crisis caused by COVID-19, innovation led by human action will be pivotal in leveraging the potential of AI applications across industries. With this in mind, AI continues to remain a priority for business leaders around the globe seeking to drive organisational growth throughout unprecedented amounts of uncertainty.
While AI tools have the capacity to help humans (and businesses) tackle the pressing issues raised by the pandemic, the technology alone cannot work miracles. Creative professionals with the knowledge and expertise of the technology are the key to harnessing the true potential of AI.
To combat the novel challenges presented by the virus, solving the problem begins by gathering new training data under the current conditions. For humans as well as AI-powered systems, any new information about the current global situation will prove valuable in informing smart decisions going forward.
While effective information sharing is key, digital innovation through AI must be ethical, environmentally sound and sustainable for the businesses of the future. To drive economic recovery, AI technologies must be used to address major issues, not exacerbate them.
We cannot return to a ‘normal’ economy following the impact of COVID-19. That means the fundamental question that business leaders and key decision-makers now face is: what do we do next?
As we have already outlined, AI and other smart digital technologies hold great power and potential. According to the World Economic Forum: “Every ounce of technological innovation and ingenuity harnessed to fight this pandemic brings us one step closer to overcoming it.”
But, how has AI been key to international economic growth throughout the pandemic so far?
The Global Economic Impact of AI
AI has the potential to improve a company’s bottom line, but it can also accelerate inequality and augment existing job roles. While some sectors will undoubtedly see job cuts as a result of AI and automation, businesses who proactively help their employees upskill will be an important part of addressing any instability or job loss brought on by AI.
On a macroeconomic level, AI technology provides greater capacity to predict future outcomes — and as a result greater certainty. Over the course of the last few months, the three key impact areas that AI has had on global economic growth include:
- Agile data science has increased the speed of decision-making for national governments.
- Multi-agent simulations and scenario planning drive greater certainty about the future beyond COVID-19 for leaders.
- A lack of historical data has led to an upsurge of model-based AI improving inadequacies of global systems, processes, governance and behaviours.
International Trade and AI
Even prior to COVID-19, AI has already been recognised as a major force in developing and managing global value chains. In the same way the technology has been deployed to solve problems relating to the virus, AI is used topredict of future trends, like changes to consumer demand, as well as effectively manage risk at every stage throughout a supply chain.
By enabling businesses to better manage complex and disparate production processes, AI drives efficiencies and overall profitability. For example, for warehouse managers AI can help predict product demand while simultaneously improving the accuracy of just-in-time manufacturing and delivery.
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