With a worldwide digital economy comes the need to be able to make data driven decision quickly in order to remain competitive.  The need for improved speed in decision making is driving the need for data sciences and the development of artificial intelligence.  Artificial intelligence is the ability to utilize complex algorithms and machine learning in order to transform vast volumes of data into knowledge (GlobalNewswire, 2022).  With the availability of technology organizations no longer have the ability to manually work through the data due to the volume but rather organizations need to utilize the data science technology tools to gain new insights into their marketplace that will support data driven decisions.

The transition to data driven decision making requires the use of technology but there are many steps that organizations need to consider prior to jumping on the artificial intelligence band wagon.  NERCOMP (2022, March 14-16) suggests that organizations first need to understand what data they have available to them.  By understanding the data available organizations will be able to define the questions they will be able answer through the use of the data.

The competitive nature of a worldwide economy influences the need for the use of technology such as artificial intelligence to assist with decision making.  Organizations can no longer believe that they are only competing against the store across the street.  An example of this need is Amazon.  Today I can order groceries through Amazon and have them delivered anywhere from within two hours to a couple of days.  This has driven the need for local grocers such as Kroger and Publix to offer delivery services.  Amazon, Kroger, and Publix all need to be able to make data driven decision such as what if my customers churn if I don’t offer delivery, what is my breakeven point, and what level of discounts should I provide in order to drive sales.

Another influence on acceptance of artificial intelligence is cultural.  According to NMC Horizon Report (2017) artificial intelligence allows computer technology to simulate human perceptions, learning, and decision-making ability.    Organizations and employees are more comfortable today leveraging technology to automate more activities.  Activities that are repetitive or considered toil are often automated so that associates have the ability to perform higher value activities.  In addition, there are many in the population that have not experienced a world with minimal technology so the comfort level with utilizing technology such as artificial intelligence has grown. 

References

GlobalNewswire. (2022, March 11). Global Artificial Intelligence (ai) in drug discovery market report 2021:  Rising industrial partnerships and collaborations driving gowth – forecast to 2029. https://www.globalnewswire.com/new-release/2022/03/11/2401584/0/global-artificial-intelligence-ai-in-drug-discovery-market-report-2021-rising-industrial-partnerships-and-collaboration-driving-growth-forecast-to-2029.html

NERCOMP. (2022, March 14-16). Do you have a data driven dashboard: Leveraging the power of data driven decision making. Do You Have a Data Dashboard? Leveraging the Power of Data-Driven Decision-making | EDUCAUSE

NMC Horizon Report Higher Education Edition. (2017). Artificial intelligence time to adoption: Four to five years. 2017horizonreporthe.pdf (educause.edu)