Three Ways Artificial Intelligence is Transforming ERP in 2020
The editors at Solutions Review have spotlighted some of the most significant ways that technology like artificial intelligence is transforming ERP solutions and the way companies use them.
Artificial Intelligence (AI) is quickly taking the world by storm, impacting the world of enterprise technology in several ways. The scope of AI tools is growing beyond simple domestic smartphone use in the twenty-first century. In fact, Artificial Intelligence is transforming Enterprise Resource Planning (ERP) software systems in unimaginable ways.
3 Ways Artificial Intelligence is Transforming ERP
Due to its powerful capabilities, AI technologies are already optimizing system-operating models and transforming business processes for enterprises and organizations globally. Today’s systems of record have begun to be replaced by new systems of intelligence.
Together with the data mining capability of advanced self-learning enabled AI systems, automation of ERP software systems could bring great value addition to a business. AI-enabled ERP software can influence the core of an organization’s day-to-day business function and processes by cutting down on operating expenses, streamlining routine tasks, and removing human errors.
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AI technology also has the ability to learn to augment and then improve capabilities and the effectiveness of the entire business. With advancements made in ERP technology over the last couple of decades, businesses have uncovered a massive sum of structured data. Still, they have continued to struggle in transforming that data into anything meaningful that could result in direct action.
Customer Service / CRM
AI-enabled ERP systems can facilitate the use of chatbots to respond to customer questions and comments. This gives an extra focus on customer service, as they can see what their customers are asking about in real-time while a virtual agent answers all the pertinent questions. Rather than having a customer service rep handling a queue of disgruntled customers, consumers can ask questions about their order, and the AI will provide the information upon request.
This allows employees to focus more on improving customer relationships and focusing on more complex customer inquiries that require a human touch. Furthermore, AI can gather real-time data from various organization departments and analyze customer history, drawing actionable insights for better decision-making.
Sales and Marketing
One of the most important considerations in regards to having an AI-enabled ERP system is identifying new opportunities for sales and marketing. AI allows a business to identify purchasing behavior and hone in on who is buying what. They may find that there is a viable target market that has been left in branding and marketing schemes. By identifying this group and catering marketing efforts toward them, they may achieve greater market share and vastly improve the business’s revenue.
A common issue many businesses run into is managing inventory. Effective inventory management involves maintaining sufficient cash reserves and stock to manage business processes successfully. When incorporating AI technology, you’re reducing the risk of over or under-production. This means fewer inventory storage issues and no costly small-scale productions to make up a difference. Ultimately, AI in ERP means lower costs and higher revenue.
While some of us may be a bit apprehensive about adopting AI technology in our workspaces, whether that’s from a fear of change or a fear of human extinction (imagine if Siri, Watson, and Alexa learned to communicate with each other!), there’s really nothing to worry about. This new AI technology presents innumerable amount of benefits for organizations already utilizing an ERP solution. By cutting out error-prone routine tasks and optimizing operational processes, companies will more fully realize their potential. The future is here; embrace it.