How would you define a small business, the number of employees, the size of the budget or sales?
However, you define your own small business, it can also take advantage of the revolution in artificial intelligence that is happening now. Yes, small business owner, you can also use AI just like big guys.
Too little effect on AI
Artificial intelligence has long existed. Started in the 1950s, it was originally used to translate between languages, for example, from English to Russian or vice versa. In each subsequent decade, we have seen advances in this technology so that today it can be used in almost any area of business.
Like the development of new technologies in other areas, after some time the cost has decreased as opportunities expand. For example, thanks to the U.S mission to the moon, overtime costs for computer chips have dropped significantly. Moreover, since the luxury segment of the automotive industry has developed new safety technologies, costs have declined, and now the technology has flowed down to moderate and even lower car models.
In addition, the cloud, a computer concept that allows individuals and businesses to access software that they may not have on their computers, has led to a reduction in technology costs.
Moreover, since the power of a computer doubles every 18 months, there is access to more powerful and cheaper technological capabilities. This means that there are more opportunities for implementing AI solutions.
Thanks to these advances, 45 percent of work activities can potentially be automated using modern technology, and machine learning can provide 80 percent of this, according to a business analyst at McKinsey.
Business segments that effectively use the cost of AI
Today, AI or machine learning can be used in many aspects of a business transaction in an economical way. For example, businesses use AI to improve customer relationships. Its use reduces costs when setting up customer care.
It is also used in the field of human resources to automate the elements of the recruitment process and helps managers make decisions.
AI is also used to train the workforce and improve forecasting. For example, one company, Udacity, an educational organization, improved sales by 50 percent when it introduced chat bots to its sales team. Chatbot is a computer program that can communicate through a written conversation. The software helps people close sales based on sets of words, conversations, and information gathered from a customer.
Huge advances in algorithms, data and infrastructure and the cost of acquiring them helped reduce the cost of AI as a whole, making it affordable for small businesses.
