Artificial intelligence has been taking the business world by storm lately, especially with the recent releases of new AI software. Would using AI be a good decision for your business? Let’s look at the pros and cons.
Advantages of Using Artificial Intelligence
Cost Savings
One of the biggest reasons businesses have gotten on the AI train recently is the perceived cost-effectiveness of doing so. Many online businesses have embraced AI services to create website content, develop marketing plans, and conduct research — often without having to hire additional staff.
At the lowest level, some AI software is free, and while there are exceptions, you often get what you pay for. Are these free AI offerings good for your situation? We discuss that along with other disadvantages below.
Reduction in Human Error and Security Risks
AI can reduce human error and security breaches when used properly, though it can also suffer from its own categories of errors. AI might be good for jobs like data entry in fields ranging from manufacturing to pharmaceuticals. In finance, the lower risk of human potential for crime is a plus, though it's not just intentional acts that are costly — accidental inaccuracies can be a big problem too.
Constant Availability
Artificial intelligence systems are available 24/7. You may have noticed that already with increasing prevalence of website chatbots that can answer basic questions and direct customers to the right resources.
Data-Based Decision Making
Without any emotion involved (see more below), decision-making can be purely data-driven. Artificial intelligence is helpful in performing real-time analytics based only on facts and in making predictive analyses for the future.
Pattern Identification
Multiple industries have been using AI for years to help with pattern identification. In medical diagnostics or even astrophysics, this assistance can lead to scientific breakthroughs.
Ability to Perform Boring, Repetitive Tasks
For businesses that have jobs no human wants to do, using an AI system can get around hiring problems and lack of motivation. It’s already used in manufacturing and assembly line work, combined with robotics, which sometimes combines a physical robotic “body” with an artificial “mind.”
The Downside of Business AI
Cost Implementation and Operation
As mentioned earlier, entry-level AI can be free. But for those businesses that need more sophisticated intelligence, the AI systems will likely need to be specialized or even custom-made, which can get prohibitively expensive. And ignoring the initial training process, the operation of complex or high-powered AI can be costly too — out of reach of most companies.
Lack of Creativity and Emotional Input
As businesses have seen with experimental essays and articles written by AI and with AI-created artwork, it is no replacement for the human mind. You might be able to tell a basic story with AI, but having AI create something like a Nobel Prize-winning novel or Oscar-winning film is currently not possible.
Little Improvement With Experience
Subscription AI services, which is what most small businesses are likely to use due to its low cost, often lack the ability to improve with experience. If an artificial intelligence system makes a mistake in generating content for your website, for example, it’s likely going to keep making that error in the future.
Ethical Concerns
There are a host of ethical worries associated with AI. Plagiarism is a top issue, as basic AI software doesn’t always recognize original or copyrighted content and may spit it back verbatim.
For people who aren’t sold on written work produced by artificial intelligence, AI detectors aren’t considered reliable and often mistake human-generated work for AI and vice versa.
Finally, there is the issue of replacing humans with software. Do companies want to take away jobs and livelihoods and replace them with machines? What if they get rid of most of their human staff only to find AI isn’t the panacea they thought it was?
Don’t Trust Your Insurance Protection to Artificial Intelligence
You may be comfortable using AI in a number of capacities, but you should never use it to replace a trusted insurance agent. You’ll never get the relationship, personalization, or intangible extras that you get with the independent agents at Petra Insurance Co.. When it comes to your business insurance needs, we’re here for you in ways a piece of software never will be. Contact us today to talk about your business insurance requirements.