Artificial intelligence in business
Find out how AI is transforming businesses, and explore its advantages, applications, and key challenges.
Artificial intelligence (AI) is transforming how businesses operate. From voice recognition to predictive analytics, robotics and more, AI is helping organisations work more efficiently, deliver better services, and explore new opportunities.
While AI has been around for decades, recent advances in technology and greater access to data have made it more powerful, affordable, and accessible. Businesses of all sizes are now adopting AI to drive innovation and gain a competitive edge.
This guide covers the fundamentals of artificial intelligence, including generative AI. It provides real-world examples of how AI is being used in business. It also highlights key benefits and specific risks and challenges that businesses need to consider when adopting this technology.
Finally, for those ready to take the next step, there's advice on how to implement AI effectively and where to access 91Ïã½¶»ÆÉ«ÊÓÆµ for AI adoption in Northern Ireland.
What is artificial intelligence (AI)?
Introduction to artificial intelligence, its types, key technologies, and common applications of AI and ML in business.
Artificial intelligence (AI) refers to machines or software that can perform tasks typically requiring human intelligence. These tasks include learning, reasoning, problem-solving, and understanding language. AI can make decisions, improve processes, and automate tasks to enhance business efficiency.
Types of artificial intelligence
There are two main types of AI:
- Weak AI (applied AI) - Designed to perform specific tasks, this is the most common type of AI used in tools like chatbots, virtual assistants, and voice recognition software.
- Strong AI (generalised AI) - Aims to perform any task that a human can, with the ability to think and reason flexibly. True strong AI does not yet exist, but research is ongoing.
What is machine learning?
Machine learning is a key part of AI that enables systems to learn from data and improve over time. Rather than being programmed with specific instructions, it uses patterns to make decisions and predictions. Businesses can use machine learning to:
- recognise patterns in data (eg customer behaviour)
- translate large volumes of text in real time
- automate tasks like email sorting or data entry
- predict outcomes, such as sales forecasts or market trends
- personalise experiences, like recommending products to customers
Machine learning is also the foundation for generative AI, which uses learned patterns to create new content, such as text, images, and videos. For example, businesses can use generative AI to automatically generate marketing content or create personalised product designs based on customer preferences.
Key AI technologies
In addition to machine learning and generative AI, there are other key technologies driving AI innovation:
Natural language processing (NLP)
NLP helps machines understand, interpret, and generate human language. It's used in chatbots, virtual assistants, and automated translation tools.
Computer vision
This technology allows AI systems to ‘see’ and interpret visual information, enabling tasks like facial recognition, object detection, and image analysis.
Robotic Process Automation (RPA)
RPA uses AI to automate rule-based tasks across various business processes, such as data entry and report generation.
Deep learning
A subset of machine learning, deep learning uses neural networks to analyse large datasets, often for complex tasks like image and speech recognition.
How businesses use AI and machine learning?
Over the years, AI research has enabled many technological advances, including:
- virtual agents and chatbots
- suggestive web searches
- targeted advertising
- pattern recognition
- predictive analytics
- voice and speech recognition
- face recognition
- machine translation
- autonomous driving
- automatic scheduling
Many of these are now commonplace and provide solutions to business challenges and complex, real-world problems. Across various industries, specific applications exist in:
- healthcare - AI is helping with diagnostics, personalised medicine, and patient management systems
- finance - AI is used for fraud detection, risk management, algorithmic trading, and personalised financial advice
- manufacturing - AI-powered robots and predictive maintenance tools optimise production processes and reduce downtime
- retail - AI assists with inventory management, demand forecasting, and personalised shopping experiences
For more AI use cases, see examples of AI use in business and read about the business benefits of AI.
Examples of artificial intelligence use in business
Discover common uses and applications of artificial intelligence in logistics, marketing, customer service and more.
Artificial intelligence (AI) is everywhere. From online shopping to virtual assistants, AI plays a major role in everyday life. It’s also transforming businesses, offering tools that boost efficiency, personalise experiences, and drive growth. Here are some common AI applications in business:
AI in business management
AI helps automate tasks and improve decision-making in business management. Some examples include:
- spam filters and
- email sorting
- voice to text features
- virtual assistants
- automated customer 91Ïã½¶»ÆÉ«ÊÓÆµ
- tasks automation
- sales forecasting
- security surveillance
- smart devices that learn user behaviour
- automated insights for industries like finance and healthcare
AI in e-commerce
AI improves customer experiences and streamlines operations. Key uses include:
- smart searches and results
- personalised shopping experiences
- product recommendations
- purchase predictions
- fraud detection for safer transactions
- dynamic pricing for better revenue
AI in marketing
AI drives targeted marketing strategies by allowing you to effectively track user behaviour and automate many routine tasks. Examples include:
- personalised content and recommendations
- customised news feeds
- image recognition for better ad performance
- real-time ad targeting
- customer segmentation
- social media insights for brand monitoring
- automated web design and content generation
AI in customer service
AI provides faster, smarter customer 91Ïã½¶»ÆÉ«ÊÓÆµ while reducing workloads. Key uses include:
- predictive customer service
- chatbots for instant responses
- sentiment analysis for customer interactions
- multilingual 91Ïã½¶»ÆÉ«ÊÓÆµ for global audiences
- language analysis for customer feedback
AI in logistics and supply chain
AI improves efficiency by automating and optimising logistics. Key applications include:
- motoring infrastructure
- route optimisation for faster deliveries
- demand forecasting to manage stock effectively
- warehouse automation for sorting, picking, and packing
- inventory management to track stock levels and reduce waste
AI in manufacturing
AI is transforming manufacturing by improving efficiency and reducing downtime. Examples include:
- predictive maintenance for equipment failures
- AI-powered quality control
- robotic process automation to increase output and efficiency
- anomaly detection to identify potential disruption and prevent outage
AI in human resources
AI streamlines HR processes and enhances employee management. Common uses include:
- automated resume screening
- automated onboarding for new hires
- employee engagement analysis
Future potential of AI in business
These are just a few ways AI is used in businesses today. Emerging technologies like generative AI are expanding possibilities, from content creation to advanced data analysis. With continued advancements in Industry 4.0, businesses can expect even greater opportunities for digital innovation.
Explore more business benefits of AI and, if you're ready to take the next step, get advice on how to implement AI effectively.
Generative AI for business
Explore the potential of generative AI to drive efficiencies, improve operations, and transform your business.
Generative AI, or Gen AI, is a type of artificial intelligence that creates original content such as text, images, music, and code. It uses machine learning to analyse data and generate new outputs based on patterns it has learned. This powerful technology helps businesses automate tasks, personalise customer experiences, and boost growth by increasing efficiency and creativity.
Key applications of generative AI in business
Generative AI has many practical uses that can benefit businesses across industries.
Content creation
Generative AI automates content production, enabling businesses to create marketing copy, social media posts, product descriptions, and creative writing quickly and at scale. It can also generate high-quality images, music, and videos, simplifying content production.
Product and service personalisation
Generative AI analyses customer behaviour and preferences to deliver tailored product recommendations, personalised messages, and customised user interfaces. This enhances customer satisfaction and engagement.
Innovation and product design
Generative AI accelerates product design by enabling businesses to create and test prototypes faster. It can generate multiple design options or adapt designs to market trends, improving the chances of product success.
Enhanced interactive experiences
Generative AI enhances interactive experiences in gaming and virtual environments by allowing users to create custom levels, characters, and storylines, personalising the experience.
Data analysis and decision making
Generative AI uncovers trends and patterns in large datasets, improving decision-making. It also enhances accuracy in tasks like sentiment analysis, anomaly detection, and object recognition.
Predictive analytics
Generative AI provides forecasting for sales, finance, and inventory management, helping businesses plan better and prepare for future market conditions.
Operational efficiencies
Generative AI optimises everyday business processes, such as resume screening, interview scheduling, or customer 91Ïã½¶»ÆÉ«ÊÓÆµ. It also streamlines project workflows by automating scheduling and resource allocation, saving time and improving productivity.
Benefits of generative AI for business
Generative AI offers a range of advantages for businesses, including:
- cost savings - automates repetitive tasks, saving time and resources
- faster innovation - speeds up time to market and boosts revenue
- higher productivity - streamlines creative and operational processes
- stronger customer engagement - builds loyalty and drives growth
- improved decision-making - provides better insights through data analysis
Generative AI also gives businesses a competitive edge by enabling them to innovate, personalise, and scale operations. Early adopters can position themselves as leaders in their industries by harnessing this transformative technology. Read more about the wider business benefits of artificial intelligence.
Risks and challenges of generative AI in business
While generative AI has many benefits, businesses need to manage its risks responsibly. Here are some of the main concerns:
Reliability
AI-generated content may use data from unreliable or unverified sources, resulting in inaccurate or unauthorised outputs. This can create reputational and legal risks, especially if the content infringes intellectual property rights.
Ethical issues
Generative AI can reflect biases in the data it learns from, potentially producing discriminatory or unfair content. Regular monitoring is essential to ensure ethical use.
Quality control
AI outputs depend on the quality of the data it is trained on. Poor or irrelevant data can lead to content that fails to meet your business standards or align with your brand values.
Impact on jobs
AI automation may raise concerns about job displacement. To address this, businesses can use generative AI to enhance employee productivity and focus on tasks that require critical thinking and creativity.
Privacy and data security
Generative AI often relies on large datasets, including personal information. Businesses must safeguard data and comply with data protection regulations. Tools and frameworks, such as those from the , can help manage privacy risks.
Responsible use of generative AI
Generative AI has transformative potential, but careful implementation is needed to ensure safe and ethical use. By putting proper safeguards in place, you can limit the risks of artificial intelligence in business.
Business benefits of artificial intelligence
Find out why businesses adopt AI to reduce costs, increase efficiency, and drive revenue growth across industries.
As businesses look for ways to stay competitive, many are turning to artificial intelligence (AI) to improve operations and drive growth. Whether you're just starting with AI, expanding its use or mastering generative AI, the potential benefits are huge. Here's a look at how AI can help your business succeed.
The impact of AI on business
Implementing the right AI technology can have a transformative effect on your business. AI can help you:
- increase productivity and operational efficiencies
- save time and money by automating and optimising routine processes and tasks
- make faster business decisions based on outputs from cognitive technologies
- reduce 'human error', provided that AI systems are set up properly
- personalise customer experience, predict preferences and tailor interactions
- generate quality leads and grow your customer base
- increase revenue by identifying and maximising sales opportunities
- grow business knowledge through intelligent recommendations and analysis
Benefits of AI and humans working together
Research shows that AI works best when combined with human input. While AI excels at automating repetitive tasks, the greatest improvements come when AI and humans collaborate. Instead of replacing workers, AI can augment human abilities, allowing teams to focus on higher-level strategic decisions. This synergy between AI and human expertise drives better performance and innovation.
Why businesses adopt AI
The primary reason many businesses adopt AI is to gain a competitive edge. However, other drivers include:
Customer demand
Customers expect fast, tailored service. AI helps businesses meet these expectations by automating responses, personalising experiences, and predicting customer needs. This improves efficiency and enhances customer satisfaction.
Specific business or operational problems
AI can solve complex problems, such as automating tasks, improving supply chains, and analysing large amounts of data. It’s often used to address issues that are difficult to solve with traditional methods.
Test projects
Some businesses adopt AI to test its potential. These pilot projects allow companies to experiment with AI, understand its capabilities, and explore how it can improve operations and drive innovation.
Executive decision
In many cases, AI adoption is driven by company leadership looking for new ways to improve the business. Executives see AI as a way to innovate and achieve growth, leading to decisions that prioritise AI projects.
AI opportunities for business growth
Whatever the reason for adopting it, AI has the potential to transform how your business operates. All it takes to start is an open-minded approach and a willingness to try new things.
That said, AI is fast-evolving, and challenges can arise. To learn more about how AI is currently being applied across industries, check out examples of AI use in business, and to ensure smooth implementation, explore practical steps for AI implementation.
Risks and limitations of artificial intelligence in business
Understand AI risks, data privacy concerns, implementation challenges, and ethical issues for businesses today.
As artificial intelligence (AI) continues to grow, businesses are using it more to boost productivity, profits, and overall performance. However, while AI has many benefits, it also has limitations and risks that must be considered before adopting it.
Key challenges in implementing AI
Adopting AI in business isn't always straightforward, and there are several hurdles to overcome. Below are some of the key challenges businesses face:
Data quality and availability
One of the biggest challenges in AI adoption is poor-quality data. Often, data is fragmented, inconsistent, or outdated, making it hard for businesses to use AI effectively. To make AI work, businesses need a robust data management practices and a clear strategy for collecting and organising data before starting any AI projects.
Skills shortage
AI requires specialised skills that are in high demand. Many businesses struggle to find qualified data scientists, machine learning engineers, and other experts needed to develop and maintain AI systems. This skills gap can slow down AI adoption and drive up costs if businesses have to rely on outside consultants.
High costs
AI technology is expensive, especially for businesses without in-house expertise. Beyond the initial investment, there are ongoing costs for training, system maintenance, and software updates. These ongoing expenses can be a barrier for small and medium-sized businesses.
Integration with existing infrastructure
Outdated or incompatible infrastructure can impede the implementation of AI technologies. The system should be able to handle the processing demand of AI applications. This may involve upgrading hardware and software to create a suitable environment for integration.
System maintenance
AI systems are complex and require regular updates to stay effective. If something goes wrong, restoring an AI system can be time-consuming and costly. While these risks exist with all software, AI’s complexity can make the impact of system failures more severe.
Integration and usability
AI must integrate well with existing systems to be useful. If AI solutions are incompatible or employees don’t fully understand how to use them, adoption can be challenging. Businesses should ensure that AI tools work smoothly with other software and existing infrastructure, and that staff are properly trained.
Privacy and transparency concerns
AI systems often handle sensitive customer data, raising concerns about privacy and data security. Additionally, AI's decision-making processes can be hard to explain, which can complicate compliance with privacy regulations and make businesses less transparent.
The shift to Industry 4.0, along with the rise of generative AI, makes it more important than ever for businesses to stay ahead of these challenges and ensure that their AI systems are well-managed and secure.
Ethical implications of artificial intelligence
As AI develops rapidly, it raises several important ethical questions for businesses:
Job displacement
Automation powered by AI can replace human jobs, particularly in industries where tasks can be done more efficiently by machines. Businesses must find ways to retrain or redeploy workers who may be affected by AI.
Algorithmic bias
AI systems can reflect the biases found in the data they are trained on. If the data is biased, AI systems may produce unfair results. Businesses must regularly review their AI models to ensure they are fair, transparent, and free from bias.
Security risks
AI systems, especially those in areas like autonomous vehicles and weapons, can create security risks. If AI systems are hacked or malfunction, they could cause serious harm. Businesses must invest in strong security measures to protect their AI systems.
Unintended consequences
As AI systems learn and evolve, they can behave in unexpected ways. These ‘unintended consequences’ can be difficult to predict and might lead to problems that were not foreseen when the system was created. Businesses must monitor AI systems closely to prevent this.
Navigating the challenges of AI adoption
Despite its risks, AI has significant potential to improve business performance. Businesses should address these risks head-on to make AI adoption smoother. With the right strategies in place, AI can be a powerful tool for growth. See practical steps for AI implementation.
Practical steps for implementing AI in business
Discover how to implement AI in your business, with steps for planning, execution, and scaling of AI systems.
Implementing artificial intelligence (AI) can transform your business, but it requires careful planning. Follow these steps to integrate AI effectively.
Start small
Begin with small AI projects, like automating customer inquiries or simplifying data entry. Use these pilot projects to learn and refine your approach before scaling AI across the business.
Identify business needs and objectives
AI potentially has countless applications in business, but it's important to approach it strategically. Review your operations to identify pain points and areas where AI can best address challenges or inefficiencies. Set clear goals that align with your priorities, such as improving customer service or automating tasks.
Assess AI readiness
Evaluate your infrastructure, technology and workforce capabilities. You may need to upgrade systems, improve data management, or train staff to 91Ïã½¶»ÆÉ«ÊÓÆµ AI adoption. Ensure your data is accurate and easily accessible, as high-quality data is crucial for AI success. Be aware of common challenges, such as with skill shortages, integration and privacy concerns.
Choose the right AI solutions
Select affordable and scalable AI tools that meet your needs. Consider automation software, customer 91Ïã½¶»ÆÉ«ÊÓÆµ tools, or other solutions. If necessary, consult AI experts for guidance. Decide if you should build a custom solution for flexibility or buy third-party tools for faster, cost-effective implementation.
Invest in training
Train your staff to use AI tools effectively and understand their impact. Offer courses, workshops, or mentorship and 91Ïã½¶»ÆÉ«ÊÓÆµ ongoing learning to keep your team up to date with evolving AI technologies.
Assess costs and benefits
Evaluate the financial costs of AI adoption, including initial investment and long-term returns. Compare the benefits of increased productivity and cost savings against infrastructure and training costs. Check if you are eligible to get 91Ïã½¶»ÆÉ«ÊÓÆµ for AI adoption in Northern Ireland.
Develop an implementation plan
Create a clear plan with timelines, resources, and responsibilities for AI implementation. Ensure communication across teams for smooth execution and collaboration.
Implement AI systems
Deploy AI tools in the relevant areas of your business. Ensure smooth integration with existing systems and address any technical issues promptly.
Monitor performance and adjust strategy
Track the performance of AI using key performance indicators (KPIs). Monitor for any errors, inefficiencies, or unintended consequences, and adjust the systems as necessary based on feedback, emerging trends, and evolving business needs.
Stay informed on regulations
Keep up to date with AI regulations to ensure your practices remain compliant with legal and ethical standards.
Scale AI across the business
Once you successfully implement AI in one area, scale it to other parts of the business. Ensure your infrastructure, data and staff are ready to 91Ïã½¶»ÆÉ«ÊÓÆµ this expansion.
Business 91Ïã½¶»ÆÉ«ÊÓÆµ for AI adoption in Northern Ireland
Get help with implementing AI projects in Northern Ireland through funding, training, and expert guidance for businesses.
Businesses in Northern Ireland can access a range of resources to 91Ïã½¶»ÆÉ«ÊÓÆµ their artificial intelligence (AI) projects, including funding, expert guidance, and training. Here are some key options.
Artificial Intelligence Collaboration Centre (AICC)
A £16.3 million initiative by Ulster University and Queen's University Belfast, the AICC offers fully funded consultancy, AI expertise, and training to accelerate AI adoption. Read more about .
Digital Transformation Flexible Fund (DTFF)
This fund 91Ïã½¶»ÆÉ«ÊÓÆµs small and micro businesses in Northern Ireland to invest in advanced digital technologies, including AI. Grants range from £5,000 to £20,000, covering up to 70% of project costs. The next funding rounds opens in March 2025. Pre-briefing sessions start in February – find out more and register now.
Hartree Centre, Northern Ireland Hub
Part of the Hartree National Centre for Digital Innovation, this hub provides businesses with fully funded access to AI tools, computing resources, and technical 91Ïã½¶»ÆÉ«ÊÓÆµ to improve productivity. It helps businesses adopt AI to drive innovation and competitiveness. Get in touch with the .
Invest Northern Ireland
Invest NI offers a range of funding, guidance, and 91Ïã½¶»ÆÉ«ÊÓÆµ services to businesses in Northern Ireland looking to innovate. This includes helping companies across industries develop digitalisations strategies and adopt AI tools to boost productivity and competitiveness. Read about .
Go Succeed NI
Go Succeed NI runs regular events covering a range of relevant topics to help businesses in Northern Ireland navigate digital transformation, including AI adoption. These events are designed to provide insights, practical advice, and expert guidance on emerging technologies and industry trends. They offer valuable learning opportunities for businesses looking to stay competitive and innovative in a fast-changing environment. Check the latest schedule of Go Succeed NI business events.
Innovate UK BridgeAI
BridgeAI connects businesses to AI experts and resources at all stages of their AI journey. It offers tailored 91Ïã½¶»ÆÉ«ÊÓÆµ, including scientific expertise, AI resources, and upskilling opportunities to ensure successful AI adoption. Explore .
Digital Catapult
Digital Catapult helps businesses adopt AI responsibly by providing access to computing power, hardware, expertise, and mentoring. It also offers a with four assessments to benchmark your digital transformation, data readiness, and AI deployment.
Additional 91Ïã½¶»ÆÉ«ÊÓÆµ
There are various other sources of 91Ïã½¶»ÆÉ«ÊÓÆµ available depending on your business needs. For example, local councils in Northern Ireland may run targeted programmes and events focusing on digital skills and innovation. Support may also be available from Local Enterprise Agencies, as well as industry-specific bodies such as Tourism Northern Ireland, Screen Northern Ireland or Manufacturing NI.
Check our Business Support Finder and regularly for the latest opportunities.
If you're seeking 91Ïã½¶»ÆÉ«ÊÓÆµ for broader research and development activity, explore a list of UK wide options and R&D grants available in Northern Ireland.