AI adoption is growing, as is the excitement about the business benefits it can bring. Research from Deloitte found that 91% of organisations expect generative AI to deliver significant productivity gains across their operations.
But business leaders also face the challenge of integrating AI effectively, ensuring data security, easing concerns about the impact of the technology and future-proofing investments. Northern Data Group’s chief operating officer, Rosanne Kincaid-Smith, discusses how AI and hybrid cloud platforms can improve decision-making and operations, and bring long-term value.
How fast is the business world changing and should people be concerned?
Things are changing very quickly. Everything is becoming focused on AI. You won’t speak to anybody who says you don’t need to have an AI strategy, but you won’t find very many people who can tell you exactly what that is or what that means. People are taking a broad-brush approach.
Ironically, this technology has been around for a very long time. You’ve had Siri on your phone for the better part of a decade. The idea that this all happened because OpenAI burst out onto the scene is a bit of a fallacy. But there is a shift in the rate of change. We’re not really sure what it will and won’t do, and what kind of fundamental impact it’s going to have. But there is beauty in not knowing because it allows you to shape things.
If it’s implemented properly, AI gives people tools to do their jobs much better. It helps them stop doing things that waste time and allows for better productivity and more creativity.
If it’s implemented properly, AI gives people tools to do their jobs much better
What do you personally make of it?
AI is creating an entirely different and new environment for everyone to thrive in and to contribute towards. Businesses are really going to benefit from that, but they need to start investing in their people.
I had a very interesting conversation with the executive of a large technology consultancy a couple of weeks ago, and he said: ‘I see AI as the great leveller.’ I have a slightly different view on that, but it goes hand-in-hand with my point about augmenting human abilities. We will be able to close the gaps in capability and we’ll be able to really step up productivity.
What steps do leaders need to take to effectively adopt AI infrastructure into their business?
Only certain companies will actually need AI infrastructure. More companies will purchase AI-based tools, which will have been created by others on their AI infrastructure.
There are two parts to this. If you’re a business that is going to need AI infrastructure, the key thing is to choose your partners wisely. This technology is power hungry and it requires dedicated space. Your ESG strategy here is key, make sure that your partner is housing the AI infrastructure in the right way and operating it as effectively as possible.
The reality is people are currently very price-orientated, so for technology partners there’s an accountability to ensure that we’re doing things the right way. That’s one part.
The second part is, if you’re picking a tool, choose the high priority parts of your business that will really deliver productivity, make you more successful or help people in your organisation to be more productive. Be purposeful.
What is the opportunity that AI can unlock within a business when it comes to data?
The real winners in the creation of AI will be data owners because the right dataset is crucial for good results.
All businesses are going to have data, and will be able to optimise, classify and use that data to unlock new insights. Healthcare is a very good example of this. If you’re finding novel methods to treat disease, you can process that data at record speeds. Quadrillions of algorithms can run simultaneously, so you will be able to find new insights from that data. But it’s the collection and the reuse of that data which will ultimately differentiate your business.
A lot of people are worried about AI stealing data. That is a reality. Everything from deepfakes to people misrepresenting who they are in the form of identity theft. But there are also adversarial networks that fight against that.
Why should decision-makers consider a hybrid cloud or AI approach to their strategy?
Hybrid gives you options. There’s not really a right or a wrong answer. It’s just about your business outcomes and requirements.
As an infrastructure provider, Northern Data Group can advise on the best approach for your business. We can work with you on your proof of concept, all run in our secure environment.
How do you evaluate if a hybrid transformation strategy has worked?
That’s the key question. Investors say: ‘Where are the returns?’ However, there is going to be an element of trial and error, and there’s going to be a little bit of poetry over science. This harks back to my point on purpose – make sure you decide on outcomes before you implement a strategy. If you haven’t decided what you want to do, you won’t be able to determine the value. Seeing long-term value comes down to a defined purpose and effective implementation, rather than ‘We must have AI at the heart of our strategy’ or ‘We must have on-premises hardware.’
Why do you need it? What value do you want it to bring? Because that determines the long term. If you teach people how to use the tools and upskill them, you broaden your environment. And that will create long-term value.
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