Artificial intelligence in business

Artificial intelligence (AI) refers to machines or software that can perform tasks typically requiring human intelligence. These tasks include learning, reasoning, problem-solving, and understanding language. AI can make decisions, improve processes, and automate tasks to enhance business efficiency.

Types of artificial intelligence

There are two main types of AI:

• Weak AI (applied AI) - Designed to perform specific tasks, this is the most common type of AI used in tools like chatbots, virtual assistants, and voice recognition software. 
• Strong AI (generalised AI) - Aims to perform any task that a human can, with the ability to think and reason flexibly. True strong AI does not yet exist, but research is ongoing. 

What is machine learning?

Machine learning is a key part of AI that enables systems to learn from data and improve over time. Rather than being programmed with specific instructions, it uses patterns to make decisions and predictions. Businesses can use machine learning to:

• recognise patterns in data (eg customer behaviour)
• translate large volumes of text in real time
• automate tasks like email sorting or data entry
• predict outcomes, such as sales forecasts or market trends
• personalise experiences, like recommending products to customers

Machine learning is also the foundation for generative AI, which uses learned patterns to create new content, such as text, images, and videos. For example, businesses can use generative AI to automatically generate marketing content or create personalised product designs based on customer preferences.

Key AI technologies

In addition to machine learning and generative AI, there are other key technologies driving AI innovation:

Natural language processing (NLP)

NLP helps machines understand, interpret, and generate human language. It's used in chatbots, virtual assistants, and automated translation tools.

Computer vision

This technology allows AI systems to ‘see’ and interpret visual information, enabling tasks like facial recognition, object detection, and image analysis.

Robotic Process Automation (RPA)

RPA uses AI to automate rule-based tasks across various business processes, such as data entry and report generation.

Deep learning

A subset of machine learning, deep learning uses neural networks to analyse large datasets, often for complex tasks like image and speech recognition.

How businesses use AI and machine learning?

Over the years, AI research has enabled many technological advances, including:

• virtual agents and chatbots
• suggestive web searches
• targeted advertising
• pattern recognition
• predictive analytics
• voice and speech recognition
• face recognition
• machine translation
• autonomous driving
• automatic scheduling

Many of these are now commonplace and provide solutions to business challenges and complex, real-world problems. Across various industries, specific applications exist in:

• healthcare - AI is helping with diagnostics, personalised medicine, and patient management systems
• finance - AI is used for fraud detection, risk management, algorithmic trading, and personalised financial advice
• manufacturing - AI-powered robots and predictive maintenance tools optimise production processes and reduce downtime
• retail - AI assists with inventory management, demand forecasting, and personalised shopping experiences

For more AI use cases, see examples of AI use in business and read about the business benefits of AI.