Knowledge is power. And the data that you collect in the course of your business activities, whether that’s information about the efficiency of your production line or statistics on your customer demographics, puts you in a position to make better strategic decisions.
To get the most out of your data, Artificial Intelligence (AI) can process the information you have gathered, quickly and efficiently, making data-driven decisions without the need for human input. So, what’s the likely business impact of AI, and should you be employing it to add value in your company? Here we’ll take an in-depth look at the benefits of artificial intelligence and business data, and how these are likely to drive developments in the future.
What is artificial intelligence?
While the first computer systems simply followed instructions, Artificial Intelligence (AI) can learn, predict and enhance outputs. Today’s artificial intelligence tools are capable of learning from data modelling and deciding on the best course of action from a wide range of possible paths. Artificial intelligence has huge potential to allow tasks to be automated and more efficient.
Companies that recognise this are able to get more out of their data to add value to business and make their analysis more meaningful. This can be invaluable when trialling a new product, overcoming operational challenges or selling to your target audience.
What is the relationship between data and AI?
Data is the fuel that artificial intelligence requires in order to learn and make decisions. The more data it is fed, the more background information is provided to offer the evidence and context needed to build a strategy.
Today, there is so much data in the world, generated through the increased use of digital platforms, that it’s predicted that there will be 175 trillion gigabytes of information being created by 2025. It’s no wonder that the phrase ‘Big Data’ was coined to describe the vast scale of data being produced every day in the modern world.
Artificial intelligence is what is now being used to process and understand this data. Writing algorithms that can organise the data in an automated way allows businesses to draw valuable insights from a large quantity of information.
How AI is used in data
One of AI’s greatest strengths is its ability to learn and process large quantities of data. In fact, AI can spot patterns that humans would be unable to identify without assistance, and can also assess their significance, understanding which trends are worth paying attention to. This combination has made data and AI inseparable.
AI can also analyse data from multiple sources and identify trends and patterns across numerous platforms. This provides a broader insight into consumer behaviour, rather than monitoring platforms individually and making comparisons. Thanks to its immense value to business, AI analysis is now shaping business analytics, which in turn allows organisations to adapt more quickly to new trends.
Case study: using AI and predictive analytics to anticipate student withdrawal at King’s College London
Higher education institutions want to improve student retention, and to better support students who may be struggling. But how do you identify such students before they drop out? There are significant benefits in being able to establish an early warning system to identify students who require additional support and thereby reduce student withdrawal.
Telefónica Tech worked with King’s College London to develop a machine learning model that could provide an accurate and effective predictive solution.
The future of AI and data
Artificial intelligence technology is constantly developing, and we are only at the very beginning of an exciting journey. But it is clear that the relationship between AI and data is a powerful one.
At Telefónica Tech, our data scientists keep abreast of the latest advancements in AI to understand how it can be applied to business insights and analytics.
How to start using AI and data
The quality of your AI is only ever as good as the data, so the best place to start is with your data source. Our AI Proof of Concept Service can help you to explore the potential in your data assets, how to use AI in data, and how the results can increase your ROI.
For expert advice on how to handle AI data in a way that is most effective for your business, contact us.