Rethinking our Relationship with AI in the Face of Economic Recession

Six months ago, conversations about ‘business disruption’ typically centred around major tech innovations. None of us could have predicted the massive disruption that the coronavirus (COVID-19) would cause. Now, nearly halfway through 2020, the conversation has shifted to ‘the new normal,’ and how to not only survive this pandemic but also thrive during and after.

This has been a period of global economic hardship unlike anything we’ve seen in almost a century. Over 61,000 limited companies in the UK folded between the start of March and mid-April 2020 alone, with a parallel drop in the numbers of new firms registering with Companies House. An Office of National Statistics (ONS) survey reported severe business impacts, with the virus shutting down trading for a quarter of businesses and causing ‘significant distress’ for UK companies. The repercussions of this are rippling downwards to the workforce, with about 856,500 people in the UK registering for universal credit and jobseeker’s allowance benefits in April, which drove up the overall claimant count by 69% in a single month. 

There was a time where it was thought that this level of change and redundancy would be driven by automation, artificial intelligence (AI), machine learning, and robotics. This was primarily due to baseless scaremongering created by science fiction and popular media. But in the age of social distancing, digital transformation and rapid adoption, and economic hardship, could AI be the answer to surviving and thriving for all companies worldwide? Is it time to rethink our relationship with AI?

Overcoming Resistance

First and foremost, it needs to be said that no, AI is not here to replace the human labour force. AI is a really broad term to describe a range of software that can replicate human capabilities, but is designed to achieve a specific task, whereas humans can perform a wide range of tasks. A major difference - and benefit - here is that because AI is so specialised, it can often perform the tasks it was designed for quicker and more efficiently that a human worker could.

That said, collaboration between man and machine is necessary to get the job done. AI can generate tons of data and provide valuable insights, but there need to be people on the other end making sense of it all and applying it to the business. In the areas where AI can take over the work of human workers, it’s typically in a function that is ‘dirty, dull, or dangerous.’ A lot of the time, AI can save human workers the minutiae of their daily routines by quickly accomplishing tasks that take time for human workers to accomplish, allowing them to focus their energy on other business-building activities instead. 

AI may not replace us in our jobs, but it will likely reshape tasks and therefore how jobs are performed. It is important to understand this. Once businesses can overcome their fears and mistrust of AI, they can begin to view it as the asset – and catalyst for change – that it truly is.

The AI Asset

With resources becoming limited, it’s more important than ever for businesses to tighten up their practices and make sure that they are performing to the best of their abilities. AI can help accomplish that.

AI has potential for use across every function of the business. The sales department can use it to uncover new leads, warm up the sales pipeline, or follow up with customers or contacts. Customer service can use it to tackle a higher volume of enquiries and improve customer satisfaction, while the HR department can use it to build the best possible team and improve corporate culture. There is a wide range of tools available to suit various job functions, and even tools tailored to specific industries such as banking or retail.

The unfortunate truth is that many businesses have had to make some serious cuts to staff or funding in order to stay afloat these past few months. Some are having to get by with smaller teams or slashed budgets. Incorporating AI software can help pick up some of that slack, while also helping to improve efficiency and reshape best practices. This is incredibly valuable for helping businesses keep their heads above water through difficult times.

But what about when the pandemic ends? It’s without question that the economic impacts of COVID-19 will be felt for months if not years to come. It’s also likely that life may never return to the way it was before. As it is predicted remote work will remain as the new normal, businesses will need to strengthen their relationship with technology in order to stay connected. Even the most resistant organisations have had to quickly adapt to new technology, and that is unlikely to change or regress once this is all over. There’s no reason why AI shouldn’t be one of these technologies. 

In a time period that is categorised by uncertainty, AI can unearth valuable business insights as the situation develops. As customers change their habits, AI can provide valuable insights into the new normal. AI is constantly gathering available data, providing an up-to-the-minute glance at what customers want and need. This allows businesses to act - or react - quickly to changes in the market and maximise their resources. Internally, AI can do the same by monitoring systems and practices and alerting decision-makers to areas that require attention or improvement.

Before the pandemic, many feared AI or viewed it as a threat. By taking the time to learn about it and understand what this technology is capable of, it becomes evident that AI is more of a friend than a foe. It has been the way forward for businesses looking to adapt and get ahead for a while now, but the time has finally come for businesses to open their minds to AI in order to survive and thrive.

If you would like to learn more about AI, its uses, and its benefits, join me and my colleague Petros Mina of Fountech Solutions for our free “AI: What is It & How Can You Harness It for Competitive Advantage?” webinar on 3 June 2020. 

Learn more and register here.