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Every industry is exploring the possibilities and potential benefits of using AI. But before delving into the possibilities of next-generation technology, consider how best to strategically apply it to your own business.
There are ways for business owners to integrate AI into operations to streamline processes and leave more time for strategy. However, business leaders should also understand the potential downsides before diving headlong into it.
Here are three ways entrepreneurs can test the possibilities of AI, and some reasons why they should still proceed with caution.
Related: 7 Ways You Can Use AI to Multiply Your Skills
1. Write social media posts
AI is a widely used resource in content generation. ChatGPT has become one of the most accessible ways to use AI to write blogs, newsletters, and social media posts.
When promoting your brand and/or products or services, it can be difficult to convey the same message in new ways over and over again. Generative AI can motivate you to overcome writer’s block and provide you with a template to unleash your creativity.
While everything generated with AI still requires human review, using AI for research and copywriting allows you to edit and personalize content more quickly so that it accurately reflects your brand.
2. Creating accounting efficiencies
Optimizing accounting processes is another valuable way for entrepreneurs to use AI. Automating accounting tasks can achieve efficiencies and save administrative time and costs.
Various AI accounting tools include transaction categorization recommendations and provide other data to predict cash flow and identify transaction errors. Remember that with any AI deployment, the more historical data is available, the more accurate the support will be and therefore more valuable over time.
3. Improve customer relationship management
Finding out how customers respond to your offers is the most important source of data a business owner can have. When you know which products or services are most in demand, you can increase engagement with well-placed incentives and shelve irrelevant offers (or limit advertising).
AI could also help predict future customer behavior and provide insights into current purchasing trends. This can drive a data-driven strategy and allow more time to experiment with innovative marketing trends.
Related: AI is changing the way companies recruit for open positions – and how candidates exploit the system
The ROI of AI
As with any business investment, it is important to consider whether you will get a favorable return. By implementing AI into their business plans, entrepreneurs can save on hard and soft costs. Here are some ways you can benefit:
- Time. Many administrative or repetitive tasks can be simplified with AI, reducing the time pressure required for continued business growth. Identify areas such as email, meeting scheduling, and content uploading that can be automated and monitored for results. Think about how much time was saved and where it could be better used.
- Money. Instead of guessing how content performs or how products/services sell, AI could give you the data to track trends and customer reactions. Therefore, you can put money into advertising spend and other promotions that are proven to work, and withdraw or restructure areas that aren’t working.
- Better experience. As you begin to better understand your customer base, AI uncovers growth patterns that can lead to more sales and opportunities. Certain tools can also help you personalize content and business offers for more authentic engagement.
Be careful with AI
Finally, AI can be an advantage, but it also brings its own challenges. Be vigilant when introducing new AI tools to ensure they deliver the intended results.
Current common challenges to consider include:
- Inaccurate results. AI is limited to the data it is trained on, meaning it may produce inaccurate or nonsensical results. Instead of relying solely on “intelligence,” fact-check and proofread the data you receive.
- Data security. Because not all AI tools are created equal, you should exercise caution when it comes to privacy and security. Confirm how your information will be shared and how that sharing will ultimately affect you or put you at risk.
- Evolving updates. AI continues to change and become more sophisticated. When deploying AI tools, you need to ensure you have the latest versions. This requires additional time, training, and follow-up, which can negatively impact overall ROI.
Related: New book reveals the top ten dangers of AI technology
Keep the human element
As more AI tools become available, consider the value of maintaining updates to ensure they help your business grow. AI may not be necessary in the early stages of your business, but as you grow, it can play a critical role in streamlining operations.
It’s best to research and monitor usage closely. Identify areas where current processes could benefit most from efficiency. Whether through budget application or generative content implementation, test it and see how it changes.
In any case, remember that AI is intended to complement the human factor, not eliminate it. Reducing human effort on administrative tasks leaves more time to focus on the importance of customer loyalty and building authentic connections.