April 19, 2024


Opinions expressed by Entrepreneur contributors are their own.

2023 was a year of major AI disruption. Particularly in the genre of prompt-based content creation, we saw the sporadic boom of unending tools. The public-facing version of Chat GTP reached millions of users within months of its launch.

However, even with leaping numbers in favor of Gen AI, entrepreneurs are constantly wondering if it’s all hype or if Gen AI truly has the potential to bring long-term business benefits.

Also, the constantly booming use case of prompt-based AI has brought entrepreneurs to the debate about the ethical use of AI. We must not forget that the foundational nature of AI links its resources to a large amount of unidentified data.

While this means anyone without tech knowledge can leverage such foundational models of Gen AI, it also means that the process can yield default or less accurate information, leading to even data hazards.

Related: 6 Positive Impacts of Artificial Intelligence on Digital Marketing

A recent Accenture report says that 76% of C-suite leaders see generative AI as an opportunity for streamlining operations, reducing costs, and business growth. However, nearly 72% of respondents are investing in AI with caution due to concerns about its responsible use.

Let’s first discuss the primary areas that hinder growth-minded businesses from implementing AI systems:

  1. Strategy: There’s palpable confusion about how AI can transform competitive dynamics and add value to business models. Most C-suite leaders are unsure how to map the financial and non-financial value generated by AI models so that they can generate the best value for their businesses. Also, in most cases, there exist huge complexities regarding the contractual and logistical viability of AI partnerships.
  2. Technology: Most leaders are still unsure which parts of their proprietary data and tech stacks should be made redundant or can be capitalized on more in the future. Leaders also witness massive capabilities and skill gaps with regard to AI system operations.
  3. Compliance: AI governance is rapidly evolving with increasing data threats. This puts leaders in uncertainty about how AI regulations will pan out across jurisdictions in the future.
  4. People: There is an increasing concern within human resources about the future of work as most perceive AI as their replacement. Next-gen leaders are still unsure how to rationalize this change management in their business.
  5. Stakeholders: Business leaders face resistance not just from human resources but also from partner networks. Most C-suite leaders struggle with AI adaptability in their partner networks, which lack tech sophistication in streamlining, securing, and reprocessing data fabrics for AI integration.

In this article, we will discuss a few ways for business leaders to develop an actionable AI strategy. Let’s get started.

1. Make amplified human capabilities the key focus

AI modules are designed to evolve for sure. But they do lack emotional intelligence and moral thinking. When integrating AI into business, as a C-suite leader, you must remember that AI is not a means to replace your human resources but to complement and further augment their operational capabilities.

There’s also a need to build confidence in your AI systems with some fundamental models. Your goal should be to create impenetrable and actionable yet adaptive AI strategies that align with global compliances and constraints.

2. Have a designated AI control center

At the moment, as much as the chasm is about reaping the benefits of Gen AI, more and more business leaders are concerned about AI hazards. Built with human-like tech intelligence, Gen AI can spiral out of hand without definite control.

Also, you must align your AI strategies with a long-term business vision to reap maximum benefits. When integrating AI, you cannot centralize your business’s technical capabilities. Instead, you must have a leader with strong digital transformation capabilities and adept knowledge of AI risk and governance to design ROI metrics, establish business-wide best practices, align your strategies with financial goals, reduce risks, and, most importantly, capitalize on value from AI investments.

3. Consider AI as a model to transform from ground zero

We are at this very crucial crux of tech evolution, where tech investments can no longer be about transforming only specific business functions. And with AI, the need is more about reimagining entire business processes.

Until now, you must have wondered, “How can AI make my business process efficient?” Now it’s time to consider, “How can AI help me innovate my business process further?”

You must aim to drive the maximum impact of AI systems right from ground zero but with strict governance.

Related: I Tested AI Tools So You Don’t Have To. Here’s What Worked — and What Didn’t.

4. Take a look at gaps – both talent and technology

Redundant tech architecture and skill gaps of resources are the biggest constraints of the AI growth strategy. To leverage the optimum value of AI, you need to take a closer look at restrictive data structures and outdated tech systems first.

As a leader, you must restructure data fabrics, computational powers, and architectural capabilities to integrate AI into your enterprise systems. You also need to cleanse, secure, and process your proprietary data for seamless AI adoption.

Also, you need to realize one critical aspect of AI expectations: It can’t improve work if your human resources are redundant and restricted to acceptance and adoption. Upskilling your employees to elevate them into AI and data-enabled roles is a crucial need of the era.

Takeaway

The uncertainties around AI integration are real. However, that shouldn’t stop you from reaping its proven potential. AI disruption is the order of the era, and as a business leader, you can evade its drawbacks with a monitored and practical AI strategy.

Think about the post-Covid era, where high-growth businesses faded away because they refused to move with the much-needed tech disruptions. The tech world has surely moved towards more sustainable practices now, but as a fast-moving business, you cannot let go of a disruptive model that’s bound to be the hero of tomorrow.

So, proceed with caution, take stock of your AI investment, but don’t hesitate to innovate with Gen AI.



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