The world of companies is marked by high dynamic and complexity as well as a globalization of competition, especially in the digital economy era. Block chain technology and Artificial Intelligence (AI) techniques such as Machine Learning (ML) have been two of the hottest trends in the last couple of years. Therefore the performance of companies depends on their innovation capability and how much they invest in these technologies.
In the highly industrial developed countries, innovations are responsible for half of the economic growth and therefore of great macroeconomic importance. The innovation capability is not only a success factor, but also a business necessity. It provides decisive competition advantages and prevents suppression from the market. Digital business, as it relates to business technology, offers companies and individuals new ways to connect, collaborate, conduct business, and build bridges between people. It impacts the basis of business functionality and determines the way business is managed today. In consequence digitalization forces companies to adopt new solution orientation and imposes the use of some crucial technologies such as Big Data or ML. For companies it is necessary to adapt to the evolution of their markets and to do so a large number of firms use ML in order to enhance their adaptation capability and improve their reactivity in a changing context.
What do we mean by Machine learning and how it can benefit businesses ?
Machine learning in simple words is the science of enabling computers to act without a full human intervention or programming. It is a branch of AI that consists on building a system that can learn from the data provided and make decisions based on analytical models and algorithms.
As firms are struggling with tremendous quantity of data to analyze which humans cannot manage without the help of technologies. ML technique no longer considered as noble technology among companies but more like a basic need in different fields such as banking, medicine, commerce and so on. It’s a technology that revolutionizes every aspect of the business starting from improving day-to-day operation to efficient decision making.
In retail commerce for example ML is used to improve the customer experience through personalization and by giving more efficient product/services recommendation. It also helps marketers learn more about the customers by studying their customer behavior and therefore establish predictions and meaningful insights. In finance, ML is widely used due to a fast growing volume of historical data. It is applied in portfolio management, financial analysis, fraud detection and algorithmic trading. We can already see its application in the banking sector in Chatbots, customer service, loan underwriting etc.
In conclusion, we can say that this technology is revolutionizing the way we do things every day and that it can enormously impact businesses when used in the right way. Although technologies like ML seem to threaten our jobs and require huge investments, it still remains a highly beneficial technology that helps humans operate in high stake decision and solve complex problems.