by ObiTechie's Team | May 19, 2023 | News & Trends
The European Union has taken a bold step to enforce strong regulations on artificial intelligence. The regulations include drafting new guidelines meant to prohibit complex use cases. Besides, they also prohibit mass facial recognition programs in public areas and predictive policing algorithms that attempt to expose future offenders using personal information.
The EU’s courageous move emphasizes the balance between ethics and technological progress the world is witnessing. In the long run, the consideration will likely have profound implications for using AI in security and law enforcement.
Understanding the Proposed Ban
The European Union is taking a necessary step towards regulating artificial intelligence and associated technologies. It’s crucial to prevent the misuse of AI that could potentially compromise civil liberties and privacy rights. The proposal will prohibit the use of AI for indiscriminate biometric surveillance, like facial recognition in public areas, predictive policing, and the use of AI to anticipate and prevent possible crimes. This is a bold move to safeguard the rights of individuals and ensure that AI is used ethically and responsibly.
Reason for the ban
The proposal is mainly motivated by concerns over the potential misuse of artificial intelligence. The EU’s decision mirrors the increasing worldwide apprehension regarding the ethical consequences of AI, particularly how it could affect human rights and privacy.
For example, mass biometric surveillance, where AI automatically identifies individuals according to their biological characteristics, infringes on privacy rights. The EU has identified AI technology could be misused for unjustified surveillance, compromising individual privacy rights.
Predictive policing utilizes artificial intelligence algorithms to forecast potential criminal activities. While this approach may prove advantageous for law enforcement, it also opens the door to inequity and prejudice if the algorithms contain any inherent biases.
The Potential Impact on Law Enforcement and Security
If the ban is enforced, it will have a significant impact on the way law enforcement and security agencies operate within the EU. Agencies must reassess their use of AI in their operations and explore alternative methods of crime prevention and surveillance. However, it’s important to note that this ban doesn’t mean AI will be completely prohibited in law enforcement. The proposed ban specifically targets indiscriminate predictive policing and surveillance. Therefore, AI will still be permitted in certain controlled circumstances.
Balancing Technological Progress and Ethical Considerations
We must consider the ethical implications of AI as we strive for technological progress. Misusing this powerful technology can have severe consequences. The proposed ban raises important questions about how we can balance these concerns. Fortunately, the European Union is taking steps towards creating a regulatory framework that promotes responsible AI use. By protecting human rights and promoting trust in AI technologies, we can harness their potential to benefit society in meaningful ways.
Looking Forward: The Future of AI Regulation
The proposal represents a crucial step towards a more comprehensive AI regulation. Although it is just a proposal and would need a lengthy legislative process before it can become law, it defines AI’s path in the future.
There will likely be more discussions and laws regarding the ethical use of AI in the future. It’s essential to strike a balance that promotes ethical advancement and technological innovation.
In conclusion, the European Union’s proposed ban on AI use for predictive policing and biometric surveillance will likely affect future AI use. Its emphasis on the need to balance AI use will help realize the intended benefits of the technology while addressing the possible ethical concerns.
by ObiTechie's Team | May 17, 2023 | News & Trends
The digital landscape is fast evolving, and businesses must constantly look for fresh and innovative ways of keeping close touch with their audiences. Considering this need, Meta has introduced additional AI (Artificial Intelligence) features, a new AI-powered product designed to aid advertisers in building better ads to improve the impact of their advertisement campaigns.
In a post blog on May 11th, 2023, the company announced: Meta continues to take bold steps to advance and deploy state-of-the-art AI and deliver a step change in our ads system performance. We’re rolling out more powerful AI models to improve performance across all ad types and ad surfaces. We aim to achieve this through deeper alignment with advertiser objectives and utilizing the rapid expansion of high-growth areas, like short-form video, to provide enjoyable experiences to people — all while working to safeguard privacy.
Understanding Meta’s Generative AI
This Meta’s generative tool will create and optimize digital advertising content. The AI tool will make digital advertising more personalized and relevant, and compelling to each viewer. Hence, the advertisements will automatically be customized to fit the preferences and interests of every individual user.
Meta’s Generative AI tool is strictly not designed to create variations in fonts, colour schemes, or images. Conversely, it will make fresh, unique content that resonates with each user. The technology used in developing this tool consists of a complex machine-learning algorithm that accurately analyses diverse data to help understand user preferences and behaviour.
The Impact on Digital Advertising
Introducing Meta’s Generative tool is a remarkable milestone in the current digital advertising industry. The ability to automate the ad creation and optimization process makes the tool excellent for businesses. Business owners can now concentrate on other tasks while leaving the repetitive functions of ad creation and optimization to the AI tool.
In addition, this tool could enhance ad effectiveness, generating more impact. Furthermore, each ad the tool will create matches the specific interests of each viewer, increasing relevance and engagement. The tool’s personalized approach will enhance the user experience by displaying only the most compelling and pertinent advertisements.
Embracing AI in Advertising Strategy
With this new Meta’s Generative AI tool, businesses can review and potentially redefine their advertising strategies. Organizations can experiment with diverse styles and ad formats without engaging a professional or extensive manual work. Besides, the tool allows businesses to understand their audiences better, and the AI will learn their preferences and behaviour and continually adapt them based on their engagement.
Nonetheless, this AI tool should only partially replace human efforts in ad creation. As much as this tool can create and optimize ads, businesses will still need human creativity and strategic thinking to ensure that the created ads match the specific brand’s goals and identity. Therefore, companies should only use the tool to enhance their processes rather than to replace the existing advertising strategies.
Looking Towards the Future
Introducing Meta’s Generative AI tool takes digital advertising to an exciting new era. The tool implies a step towards more personalized, data-founded advertising strategies that cater to individual user preferences.
Even so, we must be conscious of the potential challenges of new tools. There are always issues with data privacy, the originality of the content created by the AI tools, and the possibility of losing the human touch as we make the ads. The challenges need valid concerns that every business should consider to avoid risks that may prevent business success.
Generally, Meta’s new generative AI tool has great potential for revolutionizing how companies approach digital advertising. The tool is a crucial breakthrough that exemplifies the power of AI in moulding the future of digital marketing. As we explore more about what the device can accomplish, it is already clear that it will take a vital position in the next era of advertising strategies.
by ObiTechie's Team | Apr 26, 2023 | FinTech
Photo: Forbes and Canva
The FinTech industry is popularly known for its unending innovations. The sector operates within complex systems, including start-ups, financial service providers, and banks. In the recent past, FinTech has relied heavily on machine learning and artificial intelligence for strategic customer insights, improving digital transactions experience, decision-making, and understanding customer purchasing behaviour. This article will explore the role of AI in Fintech, its benefits, and its limitations.
What is Fintech?
As defined by Investopedia, fintech refers to the use of new technology to enhance and automate the delivery and utilization of financial services. The primary purpose of fintech is to assist business owners, organizations, and consumers in better managing their financial operations, lives, and processes. The technology consists of specialized algorithms and software applications that can run on computers and smartphones.
Fintech emerged in the 21st century. When the technology was new, it was only applicable to the backend systems of the foundation of financial institutions like banks. However, from 2018 to 2022, the practice shifted to customer-oriented services, and fintech started including other industries such as retail banking, investment management, education, fundraising, non-profits, and many others.
Currently, fintech is the leading payment and data solution software in the high-end alcohol and beverage industry. Fintech’s primarily aims to empower suppliers, retailers, and distributors by streaming data insights and automating invoice payments. In addition, fintech has been in the market for over 30 years, confirming its dependability and reliable experience.
What is Artificial Intelligence?
Artificial intelligence (AI) is software that operates like human beings, and the software imitates learning patterns and human behaviours using digital programs. In the recent past, companies were reluctant to embrace AI. However, businesses are increasingly turning to AI solutions to enhance the efficiency and productivity of their operations and automate manual tasks.
Artificial intelligence can also be used, for simple to complex tasks in diverse business departments, from data analysis to sales, customer service, and IT tasks automation.
AI in Fintech
There are several benefits businesses can leap from using fintech technology driven by AI. The primary benefits are:
Personalized Financial Services
The primary solution AI provides to fintech companies is the ability to use customer data effectively. With AI, companies can identify customers’ preferences and tailor financial services to meet specific needs. A good example is how Banks can use AI-powered credit systems to analyse a customer’s income and expense history before providing loan assistance.
Efficiency and Cost Reduction
Before the incorporation of AI into fintech, financial services, and products were a realm of branches, and desktops and representatives were present in the workspace. Conversely, artificial intelligence automation in fintech has improved companies’ efficiency and reduced the cost of processing financial transactions for customers.
Risk Management and Fraud Prevention
With AI integrated into fintech, the system can prevent fraud by flagging information about unauthorized payments. The system can detect any transaction anomaly through data analytics stored in the system.
Challenges and Limitations
According to the US Department of the Treasury, whiles fintech firms provide valuable services to businesses, there is a need to be cautious due to data privacy and regulatory arbitrage, which is a big concern.
The technology has weak regulation. In the world of cryptocurrencies, the forms of fundraising are unregulated and have become firm grounds for fraud and scams.
Most of all, access to data is critical for AI to be more effective in its deliveries. Therefore, fintech companies must constantly address any form of limitation of extensive data to train AI algorithms.
In Summary
Artificial intelligence in fintech is here to stay. The technology is used for various purposes in the financial sector, and its solutions are customer support, credit risk assessment, lending decision-making, wealth management, fraud detection, and many more. Currently, fintech companies are using artificial intelligence for improvised precision levels, enhanced efficiencies, and high-speed query resolution.
AI in fintech accelerates innovation leading to fast, personalized, and secure services with high-level customer satisfaction and global reach.
Article Sources
Financial Technology (Fintech): Its Uses and Impact on Our Lives. https://www.investopedia.com/terms/f/fintech.asp
Wealthy Asians dash to ditch their US passports. (2015, February 1). AsianInvestor, 35.
by ObiTechie's Team | Apr 19, 2023 | ERP Software
An ERP software system is among the most significant investments a company can make. It is confirmed to be a powerful solution that impacts all business areas, including manufacturing, human resources, marketing, accounting, and more.
Enterprise resource planning (ERP) has evolved to match most business operations, such as procurement, human resources, accounting, and manufacturing. In addition, the front office is also using modern processes like e-commerce, sales force automation (SFA), and marketing automation for operations.
Businesses rely on ERP solutions to cut costs by eliminating redundant processes and automating repetitive tasks. The system also helps companies access vital data for faster decision-making. As businesses adapt their operations to meet current market demands, software vendors must also adjust their products and services to meet these demands. ERP systems, in this situation, have evolved in the following ways.
It is one of the latest trends in ERP Systems. Businesses are rapidly migrating from on-premise ERP to on-cloud ERP systems. Cloud-based ERPs are helping organizations be more efficient and lower operational costs in human and material resources, resulting in increased revenue.
Integration with Other Applications
Modern ERP systems are essential to a business’s digital transformation, but are just one component of more enormous investments. Companies can improve their primary processes and enhance their order flows by integrating their ERP systems with other applications, such as e-commerce, leading to increased order fulfillment and revenue.
Mobile Access
Undoubtedly, traditional ERP systems have offered some support with mobile access. Nonetheless, the situation has rapidly changed. Mobile apps are now more popular, and developers are enhancing them more and more. ERP systems have evolved, allowing users to access vital data on the go. You can now access server-side and client-side tasks regardless of time and place.
Evolved mobile ERPs have fostered the collaboration of teams in different time zones and locations, resulting in more value and productivity.
AI and Machine Learning
Incorporating artificial intelligence and machine learning into modern ERP systems is helping businesses further enhance their processes and provide greater personalization; while only a few ERP solutions were combined with AI in the past, future trends indicate that most ERP systems will have machine learning and AI embedded. This transformation will enable businesses to enjoy more efficient processes and gain actionable insight.
Blockchain Technology
Integrating Blockchain technology into ERP software is pushing its benefits to a higher level. With Blockchain technology, ERP systems can create smart contracts and automate processes without the need for additional employees or legal departments. Blockchain technology also enables organizations to validate transactions and generate a secure data record shared among multiple nodes. Additionally, the technology can verify and authenticate identities and detect unauthorized attempts or other security challenges in real-time.
Real-time Data Analytics
Unlike past ERP systems, current systems have real-time data analytics features that enable businesses to make quick data-driven decisions. Integrating analytics and big data has created new revenue sources for cloud ERP suppliers and allowed enterprises to prioritize analytics-based solutions, improving their financial performance and enabling more effective execution of plans. Businesses can access real-time information and make decisions at all levels with integrated data visualization, ad-hoc reporting, and analytics capabilities.
Future of ERP Software
In the future, more businesses will likely turn to cloud ERP systems to gain the agility and speed they need to compete in the market. Companies already using cloud ERP systems will look for more ways to utilize the capabilities of the cloud, and organizations will seek ERP software that can support remote work. The demand for mobile ERP functionality will also likely increase to support workflow automation and remote training.
by ObiTechie's Team | Apr 18, 2023 | ERP Software
In the recent past, ERP systems have been evolving, and the advent of AI (artificial intelligence) has revolutionized and strengthened them further. With the help of AI, ERP systems can ease business operations and increase productivity, profitability, and efficiency.
The Basics of AI and ERP Systems
According to Britannica, AI (artificial intelligence) is the ability of a computer-controlled robot to execute tasks similar to those of humans. Although invented years ago, AI is now widely recognized as a valuable asset in the business world for optimizing digital processes. With AI, it is now possible for businesses to identify inaccurate or incomplete data, analyse them, and provide reliable insights within seconds; this has enabled companies to make accurate, informed decisions.
Humans invented Artificial intelligence (AI), and it has become a highly sought-after asset for businesses, particularly in ERP systems.
AI is considered one of the most profound discoveries, even more than most human discoveries. Much research has shown that over 40% of large companies in any sector use artificial intelligence to develop and implement their business strategies. Furthermore, over 83% of the companies that prioritized technology use AI-related solutions for their business operations.
AI is the future of the economy. Unquestionably, it is any business with an upper hand against its competitors. AI is versatile enough to assist you whether you are considering the system for market research, business development, business scope, digital marketing, or any other business strategy. The following are different ways artificial intelligence influences ERP systems.
Enhanced Data Management
By combining ERP systems and AI, businesses can now automate workflows. Besides, they can save time by eliminating unnecessary human interactions when uploading information, improving operational effectiveness.
AI-supported ERP system also creates a master information database that is accessible anytime. The database is a significant element of an organization’s data.
Improved Customer Experience
Conversational AI has helped businesses improve customer experience. The AI ensures real-time support and customized recommendations for each customer. AI options such as voice assistants and chatbots can help customers place orders, resolve orders, track shipments, and improve customer loyalty and satisfaction.
Automation of Repetitive Tasks
In all businesses, some tasks are common and repetitive. Such everyday jobs can be automated and aligned by integrating machine learning instead of employing an additional human. AI systems can help you automate routine tasks. Additionally, they can help you save time and other resources. With AI systems embedded with ERP, businesses will focus more on high-priority areas and not dwell on simple repetitive tasks.
Predictive Maintenance
Integrating AI into your ERP systems will help you use volumes of stored data to anticipate any potential challenges before they occur. In addition, you will address the issues before they cause huge losses and cause breakdowns of your systems, business processes, and operations.
Improved Supply Chain Management
Integrating artificial intelligence in ERPs will help you find new patterns in your supply chain data. The data will help you identify areas that need improvement and find solutions. Such cases could be in product planning, demand forecasting, supply quality, transport management, and others that may affect the profitability of your business.
Challenges of Implementing AI in ERP Systems
Rolling out any technology comes with challenges. Some of the challenges that come with implementing AI in ERP systems include
- Low-quality or insufficient data
- High implementation costs
- Lack of artificial intelligence talent
Future of AI in ERP Systems
AI in ERPs is changing the way businesses operate. The systems empower businesses to optimize operations, improve customer experience, and, more importantly, help them make data-driven decisions.
AI technology has already significantly impacted various industries, and its effect is likely to grow even more. The most recent technologies in business, such as chatbots, research and presentation AI, and others, have greatly benefited businesses.
Investing in AI can help businesses discover valuable insights from their existing data to help make informed decisions. Comprehensively, AI in ERP is a game changer. If you consider improving the efficiency of your business operations and reducing operational costs for more profit, integrating AI in your ERPs is the way.
