Impact of generative AI on digital transformation

Introduction

The digital transformation has revolutionized the way in which we live and work, and artificial intelligence (most recently and most dramatically in the form of large language models, LLMs) will play a key role in this transformation. One of the most significant impacts of AI has been the rise of AI generated text, which are used in a wide range of applications, from news and marketing to fiction writing and even poetry. This article will examine the impact of AI generated text on the Digital Transformation.

Digital Transformation

AI-generated text is already playing a significant role in digital transformation, and its impact is expected to grow in the future. A few trends that are likely to shape the future of AI-generated text are Personalization, Content Creation, Translation, chatbots and virtual assistants. One of the most significant benefits of chatbots and virtual assistants is that they can be available 24/7, providing a faster response time and increasing customer satisfaction. Additionally, these tools can help reduce the workload of human customer support staff, freeing them up to focus on more complicated issues that require a human touch. As the technology powering chatbots and virtual assistants continues to improve, they are likely to become even more versatile and efficient. They will be able to handle more difficult tasks and provide more sophisticated responses, including the ability to understand and respond to natural language inputs, making the experience more seamless and engaging for customers. Overall, the use of AI-generated text in chatbots and virtual assistants is an exciting area of development, with the potential to transform the way businesses interact with customers and optimize their operations.

But how can a chatbot affect our professional lives, for example? Imagine you must plan a business trip. Back then, there was an assistant in persona who took care of everything. You just sent this person some data for booking the trip. Today, we fill out multiple and tedious online forms when we want to book a trip. For the accommodation or for the flight. In addition, we must think of all the things that need to be considered in the destination. Wouldn't it be easier and more efficient to tell or write a few keywords about our trip to our AI assistant and it will take care of the entire travel planning and booking? It would think of all the barriers. Are there any holidays, what is the time difference, or do I need a visa for the trip (which it can apply for in the same step)? You just tell the AI what you want, and it takes care of everything else, so all you must do is show up for the start of the trip.

But text-generating AI has a variety of possible usage fields. For example, this chart shows other top reasons AI can help when dealing with customers.

The chart shows that one of the main reasons for using AI in marketing is customer prediction. Through AI algorithms that can process huge amounts of data and identify patterns and trends that are not immediately apparent to humans. This can lead to more accurate predictions about customer behavior and preferences. An example of this is the design of the interface of machines in conjunction with text-generating AI. Instead of industrial machines giving a cold and unpleasant impression, they can be designed interactively and enable joint work between humans and machines. For example, when a problem arises, the machine operator can communicate with the machine to then solve the problem. The AI can make suggestions for solutions or work processes. In addition, the AI learns from the suggestions and from the reactions of the users. This allows them to get better each time by analyzing and comparing situations. Instructions can also be given once the AI knows how to solve a problem. For example, if a problem has been solved three times by human action, the machine will suggest the way by itself the fourth time. Chatbots can further bring humans and machines together. Just as it is often said that we humans must adapt to new things, machines will also adapt to us humans.

But to use AI purposefully in the company, some preparations should be made:

• Identify the most valuable unique data sources in your organization and find out which are the most important processes that can benefit from automation. - Question: Where can text-generating AI be most usefully deployed?
• Determine internal resources to drive AI transformation - Question: Who will be involved in the process and how, and what opportunities will be provided to take advantage of it?
• Set business goals that are precisely aligned with the use of text-generating AI. - Question: Should we automate low-risk customer communication with an advanced chatbot?

Change Management and cultural development

AI has the potential to impact change management and cultural development in several ways. It can automate repetitive tasks, freeing up employees to spend more time on strategic initiatives. This can help organizations streamline processes, make them more efficient, and make faster decisions.

Likewise, AI can be used to assist in employee development by creating personalized learning experiences. These emerge from data about employee's skills, interests, and career goals to provide recommendations for training and development opportunities. AI can be used to support collaboration and communication within organizations. They can analyze data about employee interactions and identify opportunities for collaboration to foster a collaborative and supportive workplace culture. In the past as well as today, there are both analog and digital training catalogs from which employees can select various offerings. However, whether the selected programs are also target-oriented for the employee's development is rarely analyzed. A text-generating AI could create individual learning paths and repeatedly discuss and coordinate these with the employee and the supervisor. To figure out how the learning path should be designed, the AI can draw on various pieces of information. First, the employee can indicate what goals he or she is striving for and what interests he or she has. The AI can then work out which skills are necessary for the corresponding goals. Results from feedback and learning discussions with the manager can be used to identify how definite certain skills are. In this way, the employee can work with the AI to develop an optimal learning path.

Generating Text vs. Image

Meanwhile, it is possible for AI to generate both images and text. But the efficiency of AI-generated text compared to AI-generated images is due to some reasons.

• Text data is much more readily available than image data.
• AI algorithms can produce text in real-time, while generating images often requires more time to process the data and generate the final product.
• Text is more flexible than images, as it can be easily edited and updated. Once an AI algorithm generates text, it can be easily modified or updated to reflect changes in the data or to improve the quality of the output.

Summary

The core of the digital transformation is the convergence of man and machine. Well-coordinated human-machine interaction can reduce friction losses because it becomes more pleasant and communicative. Humans and machines thus work together to solve problems. To achieve this, the further development of text comprehension in particular plays a key role. It’s not just humans who have to get used to change and get used to working with machines or artificial intelligence. Machines, too, are becoming more and more adapted to working with humans. By both adapting to the other, this convergence happens faster. At the end of this entire journey is the singularity of man and machine in which both merge into a common substance. The further development of text-generating AI will remain exciting. Especially regarding the race of the big tech companies in this field.

We are K?rber – an international technology group with about 12,000 employees, more than 100 locations worldwide and a common goal: We turn entrepreneurial thinking into customer success and shape the technological change. In the Business Areas Digital, Pharma, Supply Chain,?Technologies, and Tissue, we offer products, solutions and services that inspire. We act fast to customer needs, we execute ideas seamlessly, and with our innovations we create added value for our customers. In doing so, we are increasingly building on ecosystems that solve the challenges of today and tomorrow. The K?rber Group posted sales of €2.0 billion in fiscal year 2021.