Digitization: Why should companies invest in Artificial Intelligence training

Technology is a key helper on the way to the digital future. Artificial intelligence is considered a crucial future technology in the worldwide economy and more and more companies see an opportunity for their own business in artificial intelligence (AI). Whether predictive maintenance, process optimization, system control, or individualized products – everyone is talking about the fact that everything will be AI-supported in the future if not even function autonomously. AI can also improve processes in companies from production to sales or serve as the basis for new products and services.

 

Artificial intelligence also gives enormous competitive advantages. A survey conducted by McKinsey highlighted that a majority of survey respondents say their organizations have adopted AI capabilities, as AI’s impact on both the bottom line and cost-saving. Regarding the employees, however, there is an urgent need for action as they are poorly prepared for the use of artificial intelligence in this suddenly changing environment. Employees must perform skilled jobs that require more education and training compared to their normal routine jobs.

 

Another survey conducted by the market research company Statista on behalf of the TÜV Association among 1,000 people aged sixteen and over, including 568 employed people has revealed that 78 percent of employers agree that companies need to invest more in training their employees when it comes to AI. Many companies must invest significantly more in further training in artificial intelligence to make their workforce fit for the digital world. This involves both in-depth knowledge for the use of the technology, but also user knowledge since many tools already work with AI today. According to the results of the survey, a start has been made, 28 percent of the employees surveyed have taken part in further training on AI content in the past two years. And 34 percent of those in employment planned to do so within a year.

 

With basic AI knowledge, TÜV association expert Fliege observes considerable deficits in the companies. “Many employees only have a vague idea of ​​what AI is and where they encounter it.” AI is already in use in many cases, sometimes even unnoticed. “Algorithms work quietly in numerous systems – for example in IT security, where they recognize and resist cyber-attacks,” says Fliehe. AI is perceived more strongly in factories, for example, where it supports production control. The use of AI promises more efficiency and greater process automation in production. That doesn’t have to have a negative impact on employment, says Fliege: “Interesting new fields of work can arise for employees because they are relieved of routine activities.” The development is still in its infancy, and a lot is in flux. “A whole new door is opening for companies and employees.” According to Fliehe, the use of AI for small and medium-sized enterprises (SMEs) is particularly promising. “They usually have to make do with scarcer resources and are committed to high efficiency.”

 

“Knowledge about artificial intelligence is improving as the technology spreads,” said Stenkamp. At the same time, the attitude of the citizens is also improving. Fifty-one percent of respondents feel something positive when they think of AI, compared to the previous study by the TÜV Association in 2019, this is an increase of five percentage points. On the other hand, only 14 percent feel something negative, two years ago this value was twice as high at 28 percent. Thirty-five percent are neutral (up 14 points).

 

However, one thing is certain: the responsibility of the employees will increase, because they will remain the final decision-making authority. “Users in companies must know that AI decisions are not optimal in every situation,” says Fliehe. It may therefore be necessary to check whether an algorithm has captured all the valuable information. “Human expertise and experience will not become less important through the use of AI, but even more important,” emphasizes Fliehe. Employees would have to be able to guide the algorithm and classify the results. “Employees must become designers and also recognize the limits of AI.” In this way, the employees also contributed to the security of AI systems. “AI applications must not endanger or disadvantage people,” says Fliege. Corresponding legal regulations for the use of AI in security-critical areas are currently being developed in the EU as part of the planned “AI Acts”. The “TÜV AI Lab”, founded last year, supports politicians in developing standardized testing tools for artificial intelligence.

 

To prepare workers for more automated workplaces, professional training must be considered as an individual right. The transition to modern technologies and onwards will be a continuous process. Thus, the training and re-training of employees must not be ignored.

Master Data Strategy: How to achieve greater operational efficiency and improve the customer experience?

Master Data Strategy How to achieve a greater operational efficiency and improve the customer experience

Without a doubt, the corona pandemic has led to a holistic rethinking in many areas of the company. Companies have implemented solutions that make their employees work easier, help them to reduce overall costs, and improve existing business processes and their customer’s experience in parallel. All this can’t be done without good master data. Master data is at the heart of all operational processes. Sourcing, product development, manufacturing, shipping, marketing, and sales all depend on the ability to efficiently collect, manage, and share trusted data on time.

 

Master data management also helps to automate and control error-prone manual processes, enable transparency and insights to make better operational decisions and so organizations can improve the quality of products and services, and accelerate time-to-market.

In order to achieve increased productivity, profitability, and business performance while reducing costs, one must not ignore the quality of the master data, regardless of whether it is customer master data, supplier master data, or article master data. Only superior quality data has a decisive influence on the efficiency of business processes and the quality of corporate decisions. Outdated, incorrect, or missing master data can lead to a loss of sales or weaken the reputation of the customer or supplier.

 

What mistakes can one make in master data management?

 

Management is not involved

Without the support and coordination with the management, the master data management project is doomed to failure. The support of the management right from the start is the only way to dissolve cross-departmental thinking. The senior management officer must ensure that the project team can not only streamline the management of data across departments but also that business processes and procedures can be adjusted across departments if necessary. Such huge changes are rarely received positively, so effective communication in change management is necessary.

 

Master data management is not an IT issue

Master data management is not a technical challenge or problem that only the IT department can solve. This topic must be addressed by the specialist departments. Only the various specialist departments know the content-related requirements for correct and up-to-date data. And they know their own business processes in which the various data are generated or changed. IT can help with the selection and the implementation of MDM solutions, but the specialist departments must take on the technical part here.

 

The long-term vision of the MDM project

As with any project, the MDM project also needs good management within the organization based on a correct goal matrix and a long-term vision for data management. However, this must not tempt you to create the scope of the project in such a way that it is no longer possible to carry it out quickly and efficiently. Agile project management makes it possible for achieving the goals step by step. With an unrealistic project scope, the entire project can quickly fail, and you end up with no result. Most of the time an experienced project manager, possibly external, can help get the project off the ground.

 

Organizational and cultural changes are ignored

No matter how good the project, the goals, and the vision, it will fail if all the different parties in the organization are not brought on board. Those affected and opinion leaders play a key role in the success of the project. The project team often gambles away its own success by doing everything in a quiet little room and in the end, everyone is surprised by the new solution, the result = is rejection. Good change management communication to the affected groups is an essential component of building awareness and support for organizational change and achieving long-term success.

 

The goal of mastering data management is the optimization, improvement, and long-term protection of data quality and data consistency. The main problem is when the master data is stored redundantly in different databases. This leads to time-consuming and costly data comparisons or the introduction of a central MDM system that, as a central data hub, provides the data for all other systems.

#SaaS Software as a Service – Making Strategic choices

Software as a service (SaaS) is the most known branch of cloud computing. It is a delivery model in which applications are hosted and managed in the data center of a service provider, paid for on a subscription basis, and accessed by a browser via an Internet connection. SaaS has become the increasingly popular delivery model for a wide range of business applications. As of 2022, SaaS is worth over $170 billion (Gartner). The SaaS industry has increased in size by around 500% over the past seven years.  Therefore, we’ve decided to list, below, the most common advantages and disadvantages of this model.

#SaaS Software as a Service - How to make real strategic choices

Expression SaaS, used for a decade:

The term “SaaS” for “Software as a Service”, has been commonly used for nearly a decade, while other expressions of cloud computing, such as PaaS – “platform as a service” and IaaS – “Infrastructure as a Service”, are more recent.

Platform as a service (PaaS) refers to the on-demand delivery of software tools and services that enable SaaS applications to be coded and deployed, while an Infrastructure as a service (IaaS) relates to on-demand delivery of operating systems, system maintenance, network capabilities, storage spaces, back-up, and virtualized servers.

An infrastructure hosted in a third-party service provider’s data center is called a “public cloud” infrastructure, while the same technology hosted within a company’s network is referred to as a “private cloud” infrastructure. “Hybrid” cloud environments combine both approaches, with some business processes or workloads remaining in-house, while others (less crucial) are outsourced to public cloud services.

 

Reason to consider SaaS:

For companies, adopting the SaaS model has many potential benefits, including the following.

 

  • Cost reduction: it is economically very tempting to trade the heavy costs of installing, maintaining, and upgrading an on-site IT infrastructure against the cost of operating a SaaS subscription, including in the short to medium term. However, it is important to be aware of the potential hidden costs associated with adopting SaaS.
  • Scalability: As your business grows and you need to add more users, rather than investing in additional software licenses and in-house server capabilities, you can adjust your monthly SaaS subscription as needed.
  • Accessibility: in general, a browser and an internet connection are sufficient to access a SaaS application, which can then be made available on various desktops and mobile devices.
  • Upgrade capability: Your cloud service provider takes care of software and hardware updates, which frees your internal IT department from a considerable workload (in theory, the teams can be redeployed on different tasks, such as integration with existing on-site applications).
  • Resiliency: As the IT infrastructure (and your data) resides in the cloud service provider’s processing center, if your business experiences any kind of disaster, you can become operational again relatively easily from any location equipped with computers connected to the internet.

 

Arguments against SaaS:

Of course, SaaS also has potential disadvantages, which is why the world has not yet completely switched to the madness of cloud software. Some examples:

 

  • Security: the number one concern for companies considering SaaS is often security: if it is a matter of entrusting sensitive business processes and business data to a third-party service provider, it is essential to address issues such as identity and access management, particularly on mobile devices. If your organization uses multiple cloud services, realize that removing access privileges from a former employee can become a nightmare for security.
  • Service interruptions: cloud providers will plan as best they can, service outages are inevitable, whether they are due to a natural disaster, human error, or many intermediate causes. Downtime is always annoying, but a prolonged service interruption can be disastrous when it reaches a critical application. You will need to determine what regulations to apply to your business, ask the right questions to your SaaS provider, and set up a solution to correct any shortcomings.
  • Performance: A browser-based application hosted in a remote processing center and accessed via an Internet connection can cause performance concerns over the software running on a local machine or via the company’s local network. Obviously, some tasks will be better suited than others to the SaaS model (at least if the internet speed isn’t a problem). Meanwhile, application performance management tools can help organizations and service providers to monitor how their applications work.
  • Data mobility: the SaaS market is teeming with startups, some of which will inevitably fail. What happens to your carefully orchestrated data and business processes if your service provider puts a key on the door or if you need to switch SaaS providers for any other reason?
  • Integration: Companies that embrace multiple SaaS applications or want to connect hosted software to existing on-premises applications, are faced with the problem of software integration.

 

Conclusion

The SaaS market is exploding startups are exploring multiple niches in many software categories, established players acquire and integrate the most promising new services, and brokers in cloud services facilitate the transition of enterprises to the cloud. For new businesses it is virtually self-evident to deploy quickly and pay them through a monthly subscription, rather than investing a generous sum in an on-site IT infrastructure and in-house technical support. The biggest problem faced by small businesses is the huge choice that is already available in the SaaS market.

Large companies have another type of problem to manage when adopting SaaS, focused on integration with existing on-premises enterprise applications (many of which may well be locked by expensive contracts). Still, companies that seek to expand into new regions or adopt new “social” business processes may well consider that SaaS is the most cost-effective way to proceed.

What is a CRM system and why is the right choice a crucial success factor?

A CRM system, Customer Relationship Management, is a software solution for managing each customer relationship and the associated interactions of a company with existing and potential customers. A real competitive asset for companies, CRM software, collects and centralizes all customer data. They help companies to get to know their existing customers better, win new leads and ultimately increase sales. The CRM tool not only simplify customer relationship management but also automate time-consuming tasks. A CRM makes easier to manage each customer relationship and the associated interactions of a company with existing and potential customers.

Customer management system CRM

A real competitive asset for companies, CRM software, collects and centralizes all customer data. They help companies to get to know their existing customers better, win new leads and ultimately increase sales. The CRM tool not only simplify customer relationship management but also automate time-consuming tasks. From a growth perspective, CRM helps to find leads, track prospects, and nurture them through the sales pipeline. CRM is also used to maintain customer loyalty by storing vital information to increase sales – for example, by personalizing the experience and providing great customer support.

 

The goal is to focus on the essentials: turnover. With many solutions on the market, managers and decision-makers face the challenge of choosing a suitable CRM system for their company.As a smart customer management system goes far beyond purely administrative activities, and the collection of address or contact data it’s important to choose the most suitable CRM for your business. Here below are few essential points to be considered before choosing an optimal CRM system.`

 

Identify your business goals

Identify your business goals and practices with a clearly stated, comprehensive look at what problem you are trying to solve with a CRM. Put the following goals in order of importance to your business to determine which CRM tool will be the most effective:

  • Achieve better customer services + improve customer retention
  • Increase customers conversion by managing communication with prospective leads
  • Offer higher productivity and efficiency by connecting sales & marketing departments
  • Centralizes database- Increase sales & profitability`

 

CRM compatibility check

When choosing a suitable customer management system, it is crucial to inquire about the respective compatibilities of the required software. It is crucial to ensure that your selected CRM system is compatible with other applications and your existing operating system.Ask the provider which processes, functions, properties and versions of the software they offer, how they run together with other system components and under what conditions. Also ensure that your existing contact data should also be easy to integrate into your new CRM software. Pay attention to problem-free import and export options.

 

CRM implementation

Cloud based CRM software has gained so much popularity over last years that when thinking about CRM implementation, only cloud version comes into mind at first. But question of the implementation of your future CRM system is decisive for further steps.

If we compare both options, a cloud-based (aka on demand) online version offers you the advantage that you do not need a server or technical expertise. You simply log into the system via your web browser and all information is available for you on the provider’s server.

 

With an on-premise variant, you have a local solution at your disposal, where you have the software yourself, which you can access on-site via your server. With this version, you need to purchase a license to use the software. And the fact that your data is located in-house, you manage your data independently with your IT specialists and have the option of further developing the system according to your individual requirements.

 

If your business requires a unique individual CRM system, you may opt for a specially tailored software to match our business needs. Therefore it makes sense to opt for a varsity of functions, from the start, in a dynamic an scalable software that will allow you to remain flexible and independent. Plus the CRM system will be easily expandable with the growth of your business.

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