Game Changer AI

Artificial intelligence (AI) is one of the absolute megatrends of our time, even though the topic is actually anything but new. First mentioned as early as 1955, its methods have basically not evolved significantly.

What has certainly evolved, however, are the possibilities for applying these methods. Increased computing power, comprehensive data collections and the AI platforms now available mean that what seemed like science fiction a few years ago is now within reach.

AI applications such as area-wide facial recognition or autonomous driving are currently on their way to becoming reality, at least in the medium term.

This opens up numerous new opportunities for companies. For example, they can significantly improve the customer experience by using AI to address their customers in an even more individual and context-related way.

And this is precisely what matters more and more, because the customer experience is becoming the central differentiating factor in competition. Only those who specifically meet their customers' personal expectations and in their concrete situations will still be successful in the jungle of information.

In addition, AI offers a significant lever for cost reduction through automation. To remain competitive, companies will have to exploit this automation potential to the maximum in the future.

Last but not least, it enables the optimization of innovation management and thus the basis of any long-term success. Companies can use AI to make the "unthinkable" imaginable and realizable through professional predictive methods and simulations.

These opportunities must be seized now. The motto is not to wait, but to start. Those who exercise false restraint when it comes to AI will inevitably be left behind by other companies in global competition and will have to fight for their long-term competitiveness.

Just as analog camera manufacturers were unable to protect themselves from digitization, automotive manufacturers will not be able to stop inevitable developments such as autonomous driving, and just as few companies will be able to prevent their competitors from using the potential of AI to their advantage, thus quickly catching up with any backlogs or even disruptively overtaking the market.

That's why companies that don't put AI on their agenda now will only be left behind later.

But what is the best way for them to go about it? In order to develop their individual use cases and derive application scenarios, they should use methods such as design thinking and solution tools such as the Interaction Room.

By means of so-called Minimal Viable Products - i.e. first, minimally functional versions of a solution - they can then gather experience and create the basis for later applications.

In this way, the funds are used specifically for the scenarios with the greatest value contribution. Companies should not invest their research and development budget in the individual development of their own solutions, but in solutions based on existing AI platforms such as SAP Leonardo.

Then they can benefit from the investments SAP has made in its solutions for intelligent companies, lower the barrier to entry, and achieve initial effects more quickly. In all their considerations and actions, however, the motto "customer first" must apply. Companies must learn to think from the customer's point of view and gear all developments and investments to them.

Artificial intelligence is currently heralding a global trend reversal. Companies that deal with AI now and thus at the beginning of this trend reversal and set the technological course will have the decisive experience values more and thus a competitive edge in the market in a few years.