How AI Impacts Business Model Innovation

By Amy N Barkman - Last Updated on January 6, 2020
Role of AI in Business Model Innovation

Why customers prefer low interaction and high personalization.

Offer your customers the perfect express experience they’re looking for with artificial intelligence innovation.

Been to McDonald’s lately? Did you experience even a single human interaction while there? Or did you punch your order into a computer and then pay for it using your smartwatch? Perhaps you even used your smartphone to order ahead so that your food would be waiting for you upon your arrival. McDonald’s, like most of the business world, has jumped on the artificial intelligence bandwagon, and they aren’t alone. Robotics and artificial intelligence are quickly taking the business world by storm. What is artificial intelligence, you ask? It can easily be summed up by your experiences at places like McDonald’s and other restaurants and businesses implementing artificial intelligence in business management by putting robots and computers in place of employees. People want a quick, personalized business experience, and AI is how you can give it to them.

Artificial Intelligence in Business Management

The fast food industry is not the only industry benefiting from all that artificial intelligence in business management has to offer. Businesses using artificial intelligence include the medical field, where the absolute latest and greatest innovations are being used to track down cures for cancer, Alzheimer’s, Duchenne Muscular Dystrophy, and just about every ailment under the sun. Companies are using AI in business and industry to control temperatures, lighting, music and entertainment, and more. Probably the most common type of artificial intelligence being utilized is machine intelligence that allows customers an easier, more comfortable shopping experience. Gone are the days of long lines and cashiers who hate their jobs. Instead, you can check out quickly, on your own, using machines and computers. What once took minutes can now be done in seconds.  

Role of AI in Business Model Innovation

A common concern is that robotics can’t be trusted, but this is a fallacy. In fact, robotics is much more dependable than people. In an artificial intelligence article by Tech Funnel’s own Gerald Jackson, you’ll find that banks are now using business model artificial intelligence for data analytics, customer service, robotics, and on-site banking. If banks — the institutions responsible for the money of thousands of people — can trust AI for their own business model innovation, who are we are to doubt the role of AI in business model innovation.

The most important reasons to consider a shift to AI in your business model are:

  • Accuracy
  • Efficiency
  • Customer contentment
  • Personalization
  • Value

It’s difficult to think that a human being would ever be able to compute math figures in even a fraction of the time it takes AI. Customers want what they want when they want it. They don’t want to have to wait, and in reality, most don’t want to have to interact with someone else. As technology evolves, humans recede, avoiding uncomfortable encounters at all costs. Robotics not only offers them that opportunity, but AI personalizes it to meet their specific needs. What better way to truly speak to the customer than to not have your employees speak to them at all? Instead, just give them what they want as quickly as possible and without any unnecessary conversation.

While the initial investment in AI may be costly, you will save money over time for one simple reason: employees come and go. Training is a repetitive process as old employees retire or move on to something else. With AI, there’s no need for ongoing training. A simple programming will get the job done. Over time, the installation of AI in your business model is sure to pay for itself. Plus, robots never require any sort of benefits. They simply do the job and do it well.

Artificial intelligence in business management is the answer to an extremely successful and innovative future. When you can save people time and offer them a comfortable, personalized experience, they’re going to come back. It’s that simple. And AI is the perfect way to offer them that exact quick, in-and-out, personalized experience they want.

Amy N Barkman

Amy N Barkman | Amy works in higher education and has a bachelor’s degree in English Literature. She loves to read and write, and spends the rest of her free time exploring, fishing, camping, and just being outdoors with her husband and young son. Amy enjoys using her creative talents for writing and graphic design whenever possible.

Amy N Barkman

Amy N Barkman | Amy works in higher education and has a bachelor’s degree in English Literature. She loves to read and write, and spends the rest of her free time ...

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