Harvard Business Review Analytic Services study reveals how companies can overcome hurdles to fully capitalize on AI investments.
Business investment in artificial intelligence (AI) is growing at unprecedented levels, backed by executives' belief in the value of this emerging technology. But many companies currently aren't realizing AI's potential due to a range of technical and cultural gaps. However, a new report by Harvard Business Review Analytic Services, sponsored by Enova Decisions, shows businesses can overcome these hurdles and fully capitalize on their investment by applying AI to an overlooked area: real-time operational decisions.
The report, "The Analytics-Driven Organization: Making Real-Time Business Decisions with AI," examines the results of a survey of 312 senior executives in midsize companies. Executive responses reveal there is a gap between AI investments and the value companies are deriving from those investments. Over two-thirds of executives said AI will be a competitive differentiator for companies in their markets within the next year, yet only 15 percent of organizations currently have AI-powered analytics in place.
Based on the survey results, the report identifies three main factors that inhibit companies from realizing the value of their AI investments: technology roadblocks, cultural challenges, and a bias for strategic and tactical use cases over operational initiatives. In many cases, leaders simply aren't considering how operational decisions can benefit from AI.
"Operational decisions, not strategic decisions, represent a largely-untapped, high-potential opportunity for AI in businesses," said Joe DeCosmo, Chief Analytics Officer for Enova International. "Many businesses are realizing that the rules engines they rely on to automate decisions cannot support machine learning. However, with the right technical support applied to specific operational tasks like fraud detection and credit risk assessment, companies can consistently improve the customer experience, reduce operational costs and drive business growth."
Applications for operational decisioning span across many sectors, from banking to healthcare. The report offers a three-step suggested process businesses can follow to fully realize the value from their AI investments.
Business leaders can access the full report on the Enova Decisions website
About Enova Decisions
Enova Decisions uses real-time predictive analytics, AI, big data and its on-demand business rules management system to help companies build decision flows that make data-driven operational decisions instantly and at scale. Chicago-based Enova Decisions is part of Enova International, a leading publicly-traded technology and data-analytics-driven online lending company. Enova Decisions leverages 15 years of proven technology and analytics expertise to help clients thrive with custom, real-time analytics services and instant data-driven decisions at scale.
Visit www.enovadecisions.com to learn more.