Reducing Business Expenses with Artificial Intelligence

Conversations around artificial intelligence always highlight the ability of AI to automate complex processes that would otherwise depend on human resources. By unlocking this possibility, AI continues to enable businesses to operate more efficiently. Through the next decade, AI will represent a key priority area for CIOs across the corporate world.

Businesses have a chance to scan huge chunks of data easily, serve customers better, reduce fraud in their supply chains among other massive benefits. Here are 5 ways how businesses can reduce their expenses using artificial intelligence.

Using Artificial Intelligence to Reduce Human Errors

Human errors are inevitable where an employee is tasked with carrying out a task repeatedly. Mistakes can be costly when dealing with company data, company inventory, healthcare, and virtually any other sector you can think of. As such, any opportunity to automate a task promises consistency in quality and eliminates errors.

Take data security as an example. Organizations can take their employees through security training to be able to identify suspicious mail, phishing links, and other malware sent through the internet. However, you can never be sure that they will always be alert to such threats. Relying on AI to block suspicious mail before delivery is a better proposition. It massively improves security while eliminating the need to spend hours and dollars in training for employees.

Successful implementation of automated data security is a big win in any sector but perhaps the financial services sector is the most crucial one. In a survey of 500 IT professionals in the sector, 94% said they do not trust fellow employees or company consultants to safeguard key customer data. The level of complexity is just too much for the average employee to fully be aware of the risks. As such, AI solutions are the best against rapidly evolving security threats.

Better Audit Processes

In looking to minimize the possibility of fraud in the accounting function of the organization, AI can be deployed to audit invoices before they are paid. There is always the risk that the invoice amount does not match the contract amount, or some other details are not accurately captured. AI can run through massive amounts of information to help pinpoint such errors whether innocent or deliberate.

In organizations with a huge travel and entertainment budget, AI can help identify fraudulent claims for reimbursement. AI algorithms can distinguish what is likely to be a personal expense from what is ordinarily a business or work-related expense. Travel and entertainment is a big but controllable expense class after salaries and wages. Deterring such actions would represent significant savings for a company.

Automation/ Free up Employees for Higher Level Tasks

Human talent is the most valuable resource any organization has. It is also one of the most expensive to pay for. As such, companies must strive to gain the most value from these employees by having them engage in high-level tasks such as getting new business leads.

Automation of back-office administrative tasks is one of the low-hanging fruit in the AI realm. A good example would be using AI-powered bots to read through customer emails and updating their files with things such as change of addresses. Bots can also handle requests such as replacing lost ATM cards and other low-level tasks.

Today, there are AI book-keeping services and software that have helped companies save millions of man-hours. Accountants at companies can focus on more strategic tasks. Each man-hour salvaged in a company could represent as much as $38.5 in dollar savings.

Create Better Workflows through Artificial Intelligence

Improving the workflow through AI involves looking at all business processes and identifying areas of possible improvement. Beyond automating menial tasks, AI helps to save time in such administrative tasks.

However, AI can be used to identify areas of improvement in the production process as well. For instance, scanning through production data using AI powered software can highlight bottlenecks in the production process. Perhaps a certain machine could be slowing down and is almost in due for repairs or replacement.

AI can be applied at the decision-making level. By scanning through data, it is possible to find duplication of roles. There are certain processes that could be collapsed or eliminated altogether in a bid to improve efficiency. Improving workflow happens as a result of gaining more visibility into an organization’s processes and gaining actionable insights from data.

Automating Customer Service

Companies today are using AI technology to provide better customer service. In fact, it is possible to serve certain customer needs without relying on human assistants throughout the interaction. Chatbots and visual bots are some of the tools used to implement self-service platforms for customers. Conversational AI helps these bots process human speech or typed language in real-time and give appropriate responses. This helps hasten and personalize customer service while lowering costs by reducing human reliance.

AI, however, cannot fully replace humans in customer-service centers. Instead, humans will interact with customers who need to have higher-level or deeper conversations as opposed to routine problems. The upside is that the human customer-service providers will have more time for greater interactions with clients who need such level of service.

According to research by IBM, 75% of a customer-service agent’s time goes to manual research such as pulling up customer information. What if companies could pre-emptively respond to problems before customers call-in for help?.

With AI, it is possible to monitor how customers are interacting with your website or mobile app and tell where a problem exists. An appropriate response would be creating an FAQ or a virtual agent on the affected platform to provide guidance.

Transcendent Software

Almost every organization that processes numerous transactions can benefit from insights into their data. If you would like to leverage artificial intelligence in your organization’s workflow, check out Transcendent Software’s services. We are an experienced IT solutions firm with over 20 years’ experience.

We can help your firm find actionable insights through prescriptive analytics from data in your organization. Such insight can help your firm reduce costs, grow customer satisfaction, and improve employee satisfaction by engaging them in meaningful high-level tasks.