Harnessing AI for a better New Zealand Business Community

I don’t know about you, but I feel like a giant tsunami of AI platforms and use cases swamped us all in the past year, and we’re only now starting to come up for air and make sense of our new surroundings.

Few things have changed the business landscape as quickly and dramatically as AI. Every client we work with is trying to get to grips with it – to make sense of how it might make their business more efficient, more effective, and more profitable.

The prize is tantalising.

Cost effective new technology that can help you make better business decisions and potentially grow much faster than you ever thought possible. Who wouldn’t want some of that?

We’ve been talking to lots of our clients about the benefits and drivers of AI adoption, and helping them to identify the right use cases for their business and the industries they operate in.

We’ve also been helping them to understand the perils, pitfalls, and potential risks of adopting new AI technologies that haven’t always been as rigorously procured or deliberately implemented as other more traditional enterprise platforms.

We’ve uncovered some interesting insights through these conversations, and we thought it might be useful to share what we’ve discovered.

What use cases should I be exploring?

We get asked this question a lot. And the answer is “it depends!”

Start by looking at your organisation's processes for tasks that are repetitive, time-consuming, or rely heavily on data. These are often prime candidates for AI to step in and help out.

Next, check out the data you already have. Good, plentiful data is crucial for training effective AI models. If the data quality or quantity isn't up to par, it might be worth investing in improving it before diving too deeply into AI projects.

Running small pilot projects can be a great way to test AI applications in a controlled setting to see what works, and iron out any issues.

By focusing on these steps – finding the right processes, involving the right people, and ensuring you have good data – you can identify AI use cases that truly add value and help the organisation run more efficiently.

That’s a bit of general advice, but here are a few industry-specific ideas:

1. Predictive Maintenance: Keeping the Wheels Turning

For manufacturing and utility companies, equipment downtime can be costly and can potentially have an impact at a community and even country level.

Enter AI-driven predictive maintenance.

By analysing data from sensors and historical records, AI can predict when a machine is likely to fail, allowing for timely maintenance that helps avoid unplanned outages and downtime.

In NZ, energy companies with complex (and often aging) generation assets, or the dairy industry, which involves multiple production stages and specialised machinery to produce different dairy products, are examples of industries that could benefit massively from AI-driven predictive maintenance. 

2. Supply Chain Optimisation: From Farm to Fork

AI is also revolutionising supply chain management by predicting demand, optimising routes, and managing inventory.

The supermarket industry is increasingly using AI to analyse purchase patterns, ensuring that shelves are stocked with what customers want, when they want it.

This reduces waste and ensures a more efficient supply chain, benefiting both the environment and the bottom line.

3. Automated Customer Service: Chatbots to the Rescue

AI-powered chatbots really are making 24/7 customer service a reality for many New Zealand service companies.

Chatbots have been around for years of course, but AI is helping chatbots fulfil their true potential - delivering far more data-driven, personalised and, dare I say it, human responses than ever before.

If you’re operating in a relationship or subscriber-based retail industry (like energy, telco, or insurance), the opportunity to enable genuinely automated first tier customer service at scale has never been more real.

4. Financial Compliance: A Watchful Eye

The financial sector is heavily regulated, and compliance is non-negotiable. AI is proving to be an invaluable tool in this arena.

Banks and financial institutions are utilising AI to monitor transactions for suspicious activity. Machine learning algorithms can detect patterns that might indicate fraud or money laundering, ensuring compliance with regulations and safeguarding customer assets.

5. Environmental Compliance: A Greener Tomorrow

New Zealand prides itself on its natural beauty, and maintaining environmental standards is a priority. AI can aid in environmental compliance by monitoring and analysing data related to emissions, water usage, and waste management. This will not only help preserve New Zealand’s natural resources but can also help with  corporate social responsibility and ESG.

6. Data Privacy: Guarding the Treasure Trove

With the increasing importance of data privacy, AI is helping organisations comply with regulations like the New Zealand’s Privacy Act (2020), and International legislation like the General Data Protection Regulation (GDPR).

AI-driven tools can identify and classify sensitive information, manage consent, and ensure that data is handled in compliance with legal requirements. This is crucial for businesses across all sectors, from healthcare providers safeguarding patient records to e-commerce platforms protecting customer information.

7. Healthcare: Better Care with AI

The healthcare sector stands to benefit immensely from AI.

AI-powered diagnostic tools can analyse medical data to identify patterns and predict diseases, enabling early intervention and better patient outcomes. Around the world, health agencies are exploring AI applications in patient care, from personalised treatment plans to virtual health assistants that provide support and information to patients.

8. Content Creation: AI as the New Storyteller

AI is not just about data and process efficiency; it’s also transforming creative industries.

In the design world, AI is becoming an indispensable tool for both creating and augmenting images, generating photo-realistic visuals that align with brand identities at much lower cost.

And we’ve all experienced how media companies use AI to generate news and entertainment content. Segmentation no longer happens by geo-demographics or profiling, AI algorithms now analyse vast amounts of data to identify trending topics and personal preferences to target an audience of one.

AI isn’t without risk

While AI can offer significant benefits to businesses, there are also some risks and implementation challenges that need to be considered.

Data privacy and security is an obvious concern, and protecting your proprietary data from unintended breaches, and ensuring compliance with data privacy regulations is a crucial consideration as you start to use AI within your business.

A lot of the commentary around AI has been about the potential impact on people’s roles. Most businesses are approaching this with a positive narrative - that AI frees your people from mundane, repetitive tasks and allows them to focus on more productive and value-adding work. But there’s no doubt that the prospect of AI replacing jobs can have an impact on team morale and optimism if the roll-out is not well managed.

There are also issues to consider around data transparency, accuracy, bias and fairness.

Some AI models, especially deep learning systems, operate as "black boxes" where their decision-making processes are not easily understandable. This lack of transparency can make it difficult to trust and validate their decisions.

AI algorithms can unintentionally perpetuate or amplify biases present in the training data and this should be guarded against by thoroughly reviewing and fact checking any AI outputs.

Another watch out is the speed of the innovation curve. Platforms are changing at lightning speed, and brand new platforms are appearing, seemingly out of nowhere, every day.

Even if your company hasn’t yet developed a formal AI policy or usage guidelines, it’s likely that many of your people have already used tools like Chat-GPT or DALL-E in the workplace. It’s so easy to sign up for a trial, or buy a personal subscription to these platforms that many people have just jumped in and self-educated.

We don’t think any of these risks should be showsptoppers, but they do create the need for a formal AI usage policy or a clear set of do’s and don’ts that your people can use as a guide as they curiously discover how this new technology can help them do their jobs.

AI Benefits and Drivers

It’s pretty clear that AI is a present-day reality that is transforming the way businesses and government agencies operate worldwide.

In New Zealand, AI adoption is gaining momentum, from streamlining operations and ensuring compliance to unleashing creativity and enhancing public services.

AI offers endless opportunities. However, it is essential to approach AI adoption thoughtfully, considering ethical implications and ensuring that the technology serves the greater good.

By harnessing AI effectively, Kiwi corporates and government agencies can lead the way in creating a smarter, more efficient, and more creative future.

So, let’s welcome the AI revolution with open arms and explore the exciting possibilities it brings to Aotearoa.

Get in touch with Jamie Smith if you'd like to explore AI opportunities in your business.