4 Significant Implications Of AI In SME Business Tactics
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4 Significant Implications of AI in SME Business Tactics

 
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Marketing Head
As the global market size of artificial intelligence continues to expand to over $4 billion dollars this year alone, there is absolutely no question that businesses of all sizes must be ready to adapt. Failing to utilize this technology could cause companies to fall far behind their competition.

Many smaller enterprises worry that AI technology is simply not within reach due to its high technical demand and even higher price tag. Others fears revolve around machines soon replacing human workers (by the way, this is simply not true.) However, the benefits of using AI and machine learning are clear for every industry, regardless of size.

In order to stay relevant and gain traction, SMEs (small-to-medium enterprises) must be ready to embrace this innovation.

Here are the top areas in business that can be vastly improved and optimized thanks to AI technology.

Revolutionize HR

Interestingly enough, the department most concerned with people is the one that stands to benefit greatly from smart machines. Thanks to AI’s ability to collect, store, and analyze large sums of information, this technology could mean that HR departments have instant access to the data they need. The HR department is in charge of handling everything from promotions to payroll within the office. Keeping on top of all this important data is a very time-consuming task. However, automating these processes can help HR departments improve their productivity and efficiency.


This is especially helpful when leaders are trying to assess potential fits for available positions in the company. Hiring teams can use AI-driven recruiting tools like Harver to improve talent acquisition by automating the pre-qualification process. This process involves scanning through large amounts of applications to find the most ideal candidates. The criteria are based on a number of factors beyond just skills and experience. AI systems use big data to assess things like situational judgment, personality for culture fit, and problem-solving capabilities relevant to the job.

Harver screenshot

 

96% of recruiters agree that AI technology can help them find better job candidates and improve employee retention rates. A data-focused system can accurately measure each applicant’s skill level and characteristics to provide HR teams with the information they need to make more informed final decisions.

Give Marketing a Whole New Life

Marketers today are feeling an increased pressure to make content more personalized and interactions more immediate – due to the fast nature of online advertising. These days, customers expect brands to respond to inquiries within minutes, making it quite difficult for marketing teams to keep up.

AI chatbots will most likely drive future customer communications, as they can provide assistance instantly and at all times. Studies predict that by 2025, 95% of online customer-to-business communication will be powered by AI. As these chatbots become more intelligent and “human-like”, marketers will be able to automate much more of their sales and customer service interactions.

Chatbot example

 

Of course, the ability to capture relevant customer data through each interaction can create more specific targeting, and it would be a grave mistake for marketers to let go of this opportunity.

Predict Important Trends

Analytical teams spend their days pouring over rich datasets to try to foresee future trends and downturns in the market. But, there is always the risk of human error. The use of AI for predictive analysis is becoming one of the most common utilization for this genre of technology. Currently, nearly 60% of enterprises have put an AI system into practice to guide their growth strategies and campaigns.

predictive analysis

 

This type of analytical breakdown is especially important for SMEs that have strong competitors in their industry. Failing to anticipate new trends could cut into profits and whittle down market share. Using AI to formulate better strategies in the realm of marketing, design, product placement, engagement, and more could give companies the edge they need to stay ahead of the competition.

Modernize Inventory Activities 

Just as predictive analysis can help marketing and sales teams calculate future developments, it can also help inventory managers order and manage supplies more efficiently. In order for manufacturers to keep the supply balanced, they must have accurate sales numbers to guide them. If the data is incorrect or any sudden changes in the market occur, sales could instantly plummet due to lack of supply or overstocks.

Large corporations, including Coca-Cola and Walmart, have incorporated AI machine learning for instant inventory numbers as soon as a product is taken off the shelf. Determining the products that are highest in demand and being prepared to order restocks before supply runs out can help businesses of all sizes stay prepared. For SMEs, inventory waste or miscalculations can be detrimental.

Coca-Cola AI

 

AI systems are designed to automate much of the supply chain process, saving managers hours each day and removing the impediment of human error. It can also provide shipping and transportation companies the data they need to improve routes, based on relevant information like traffic patterns and weather reports.

Over to You 

As with any new technology, many remain skeptical and want to see results before they are willing to give it a try. In the case of AI technology, businesses that choose to wait will soon see their competitors surpass them - thanks to the incredible benefits that machine learning has to offer.

Nearly every aspect of business can be improved with artificial intelligence, from marketing to HR, and beyond. SME’s should be prepared (and excited) to incorporate this technology into their daily practices.

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