Influence of AI and ML on Business Intelligence
Artificial Intelligence (AI) and Machine Learning (ML) are two technologies that have transformed the way businesses worked. These technologies have enabled possibilities that might sound like a sci-fi saga to someone from the 20th century. Now, Business Intelligence (BI) is a term that refers to the usage of company data to make smarter business decisions and execute more effective business research. AI and ML are technologies that enable BI and help businesses in leveraging technology to boost their growth.
According to a report by TechJury, by 2023, large businesses across the globe are expected to adapt business intelligence for smarter decision-making. BI models are not only helpful to get smarter insights, but for businesses, other factors such as reduction of wastage, best operational strategies, cost-saving, etc are some of the benefits that have become possible as well.
In this blog, further, we are discussing how AI and ML are using BI to trigger business growth with better strategies. So, if you found the topic useful, stay with us until the end of this blog.
1. Improved accuracy
For effective business decisions, the accuracy of predictions plays a vital role. AI and ML make that possible by taking related and historical data into the consideration. From finding patterns to making sense of different outcomes, these intelligent predictions frame the future of a business, and with the implementation of AI and ML in business intelligence strategies, the probability of accurate predictions increases.
Some major decisions that BI influences are based on the predictive analytics outcomes of AI. These can be predicting the product demand, average age group of customers, availability of raw materials, etc.
2. Enhanced cybersecurity
Businesses, now when most of them have adapted to the virtual environment, have become exposed to cyber threats as well. These cyberthreats evolve with technologies. Thus, business intelligence with AI and ML can be used to create protection layers for businesses. AI and ML can use historical data to form algorithms that detect, predict, and counter cyber threats. Also, these AI-supported systems can keep a regular check on connected hardware to ensure that no hardware becomes the gateway for cyber attacks due to any malfunction. AI can also generate real-time alerts and block access to the data but its actions depend on how efficient algorithms are used to create AI-supported BI systems.
3. Reducing the data complexity
Business intelligence can generate huge amounts of data but in a very complex format. This data, however, is also large and takes time for professionals to observe and figure out outcomes. AI can use the data as the basis and provide outcomes in much simpler formats with additional information included. AI can also segregate data and divide it into multiple segments depending on the requirements of the business. In simpler words we can say, AI “democratize” the data by making it easy to understand for users that are not from a technical background.
4. Exploration of data
Artificial Intelligence for businesses has plenty of work. Exploration of data can be considered one as well. AI can help businesses in finding hidden data and patterns that were not introduced before. This data can improve already existing decisions or push businesses in adapting to new changes that can push the growth of the business.
5. Competitive advantage
Businesses using AI in BI have a competitive advantage, especially at a time when many businesses have still not onboarded the race. As per a report by Gartner, 75% of businesses use automated insights instead of prebuilt reports to keep up with changing business and data management trends. In a long run even in the future, businesses have no choice but to adopt AI because if they don’t, they might risk losing competitive advantages.
6. Automated data structuring
The major advantage of AI in BI is automated data structuring. AI can clean huge chunks of data and structure it properly. This increases the accuracy and readability of the data, and it also saves professionals from the manual data cleansing process. Automated data processing helps businesses in getting data ready within minutes. Thus, even at the last moment, with different conditions, different data can be generated.
Wrapping up - Do businesses need AI in BI tools?
AI in business intelligence has many advantages that we discussed above already. Now, the fact is that to survive in the competitive market that is not going to stop anytime soon, adopting new trends and technologies is crucial. And, AI is expecting investments from almost 91% of businesses all over the world. All these businesses have different requirements for AI but their ultimate goal is to ensure that their business operations run smoothly and efficiently enough to give them an advantage over their competitors. For businesses that have not yet thought of AI in their BI strategies, the more they delay, the more they lose advantages because due to increased efficiency and ability to fulfill even larger demands, competitor businesses might get a hold of the market.
Well, these were a few pointers that we wanted to use to explain to you how AI and ML are useful for businesses intelligence. Hopefully, you found the blog useful. Keep visiting our website because we keep uploading well-researched blogs to provide you insights into more market trends.