Real Madrid Football Club stands out among the world's premier sports franchises, boasting a colossal fan base of 500 million supporters worldwide. However, with only a fraction of these fans situated in Spain, the club sought a method to connect with its global audience and nurture their fervent club allegiance, regardless of their geographical location. To tackle this challenge head-on, Real Madrid enlisted the expertise of a Microsoft Services team to conceptualize, develop, and roll out a comprehensive global digital sports platform. Leveraging an array of Microsoft cloud services, this platform taps into the expansive reach of Microsoft's cloud infrastructure to consistently deliver an unparalleled fan experience on a global scale. Real Madrid can now engage with fans on a personalized level, execute targeted promotional initiatives, and harness data insights to monitor and analyze fan behaviors, among a host of other functionalities. Today, the club reports a remarkable 30 percent growth in digital revenue, underscoring its optimistic outlook on the digital future of the organization.
Undoubtedly, Real Madrid Football Club reigns supreme as the pinnacle of the sports world, buoyed by its legion of fervent fans across the globe. Established in 1902, the club boasts an illustrious track record, clinching over 100 championships, including an impressive 12 European Cups, two FIFA Club World Cups, and three Intercontinental Cups. FIFA's recognition of Real Madrid as the premier football club of the 20th century further underscores its unparalleled legacy. Across the globe, fans exhibit an unwavering devotion to the team, closely monitoring its performance and players with unbridled passion. However, until recently, the club's ability to engage with its extensive fan base was largely confined to attendees at the Santiago Bernabéu Stadium, visitors to its website, or participants in its social media channels. Recognizing the potential of a digital transformation to revolutionize fan engagement, Real Madrid embarked on a quest to identify a technology leader capable of guiding the club through this pivotal digital journey, ultimately forging a strategic partnership with Microsoft. Pioneering a Digital Transformation Journey ligned with Microsoft Services' tested strategy, the inaugural action involved gathering the key stakeholders from the club to discuss their requirements and, importantly, to define their vision for enhancing fan engagement. "Our goal was to establish connections with Real Madrid supporters globally," states José Ángel Sánchez, the CEO of Real Madrid, highlighting that nearly 97 percent of the club's fans are based outside Spain. "It's imperative for us to comprehend and glean insights from them since they are the true owners of the club." This initial phase commenced with a meeting at the Microsoft Executive Briefing Center located in Redmond, Washington. Here, Microsoft Services orchestrated a brainstorming session that deliberately omitted technology-focused discussions. The aim was to freely explore the potential impacts of the club's digital transformation and the objectives it sought to fulfill. "The majority of our discussion revolved around the business benefits of enhancing our fan engagement levels and exploring various avenues to achieve this," mentions Sánchez. "Despite Microsoft Services being composed of technology aficionados, they prioritized articulating and aligning our business objectives. This was not just to grasp these goals but to ensure a unified understanding and agreement on these aims among all stakeholders." With the business objectives of Real Madrid clearly in focus, the subsequent step for the Microsoft Services team was to delineate a strategic project outline. This blueprint would steer the creation of a Real Madrid digital sports platform with international scope – a critical feature given the global dispersion of its fan base. Notably, the biggest market, Indonesia, represents just 11 percent of the fan base and is located a significant distance from Spain. Given the diverse and widespread nature of Real Madrid's supporters, the club recognized that there wasn't a "one-size-fits-all" fan profile. Therefore, capturing and analyzing fan behavior data would be crucial for the project's success. Integrating Technology for Enhanced EngagementIn collaboration with Real Madrid, Microsoft Services developed an extensive platform-as-a-service (PaaS) architecture, leveraging a broad spectrum of Microsoft cloud solutions. This suite included technologies from Microsoft Azure, as well as Microsoft Dynamics 365, Office 365, and Power BI. The development utilized the .NET Framework alongside Visual Studio 2013 and Azure DevOps (previously known as Visual Studio Team Services), indicating the project's extensive scope. Around 50 members from the Microsoft Services team formed the core project team, with an additional 150 Microsoft experts contributing in areas such as data science and app development. Enrique Uriel, CIO of Real Madrid, emphasizes the club's primary focus on football and the importance of having Microsoft manage the technological framework. "Microsoft's Azure platform is crucial for us. It enables us to deliver the services our fans expect by providing the global scalability required on demand," he remarks. The implementation of a PaaS solution utilizing Microsoft Azure and other Microsoft cloud technologies afforded Real Madrid the necessary worldwide reach. Moreover, it alleviated the club's IT department from the complexities of maintaining the advanced infrastructure demanded by its digital sports platform. Consequently, the club was able to expand its digital services team rather than increase its IT personnel. Rafael de Los Santos, the leader of the club’s digital initiatives, notes the rapid growth of their digital team, which expanded from five to over thirty members, including data scientists, within just a year. "Thanks to Microsoft's cloud-based service delivery platform, we can shift our focus from managing infrastructure to improving fan engagement and achieving better business results," he states. Bridging the Gap with Global FansThe digital sports platform created for Real Madrid by Microsoft Services is now fully functional, providing enriched content and leveraging advanced analytics for deep insights into fan behaviors. This platform comprises four key elements: Fan Engagement Engine: At the heart of Real Madrid's marketing efforts, this component records every fan interaction, from mobile check-ins at the stadium to updates on the club's website and online merchandise purchases. It harnesses features from Microsoft Office 365, Dynamics 365, and Power BI, alongside Microsoft Social Engagement for tracking mentions and data from major social networks. The bulk of data is stored in Azure Table Storage, with Azure Cosmos DB supporting swift, high-performance data queries for analysis. Video Expansion Service: Leveraging Azure Media Services along with Azure App Service and Azure Media Player, this service allows the delivery of both recent and archival video content, including historical matches. Azure Search provides fans the ability to look up specific matches using various filters. For live games, it offers the option to select different camera angles to replay significant moments and player actions. Interactive Fan App: A hit across iOS, Android, and Windows platforms, Real Madrid's mobile app connects fans worldwide to club content. It offers virtual stadium access around game times, detailed information on current and former players, and comprehensive club stats. Azure Active Directory B2C handles secure user authentication and profile management. Fans can sign in through social media platforms like Facebook or use traditional login methods, ensuring a consistent user experience across devices while addressing security and scalability concerns. Data-Driven Digital Evolution: According to Begoña Sanz, Real Madrid’s commercial general manager, the club's digital shift is propelled by data. These foundational elements have markedly accelerated the club's digital transformation. "Our goal is to gather as much data on our fans as possible to tailor our interactions across all touchpoints," he remarks. "Previously, our data came from around five sources. Now, leveraging our Microsoft cloud platform, we draw from over 70 sources. This approach has expanded our fan profile database by approximately 400% in two years, now reaching into the millions." Expanding Digital Earnings by 30 PercentSánchez expresses immense satisfaction with the outcomes achieved through the partnership with Microsoft Services, emphasizing how the digital transformation initiative has enhanced the club's connection with its supporters. He attributes the project's success to the expertise, project management, effective communication, and swift responses from Microsoft Services, alongside their commitment to leveraging Microsoft's extensive resources for the Real Madrid initiative. The digital sports platform has not only fostered deeper connections with fans but also unlocked new revenue channels for the club, Sánchez observes. "Leveraging the Microsoft Cloud, we've developed an understanding of our fans' identities, locations, and desires," he states. "This knowledge allows us to devise a personalized communication strategy for each fan, regardless of their location. The capabilities of our digital sports platform are influencing every aspect of our operations, including our digital revenue, which is seeing a yearly growth of 30 percent compared to our past digital endeavors. The return on this investment has been tremendous, positioning us for a promising future."
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Airbus Soars with Innovation: Azure Powers Pilot Training, Maintenance, and Secure Solutions3/23/2024 Airbus, a pioneer in aerospace, continuously strives for innovation. They cater to complex needs of their defense and aerospace clients with cutting-edge solutions. Their latest advancements leverage Azure AI to revolutionize pilot training and anticipate aircraft maintenance issues. Additionally, Airbus utilizes containers to deliver air-gapped solutions, a necessity for their most stringently regulated customers.
Why Microsoft Azure? According to Airbus, only Microsoft offered the ideal combination: proven, cutting-edge AI technologies trained on massive datasets, readily available in a fully disconnected environment. This capability, absent with other ERP vendors, significantly accelerates their time to market – a key differentiator for them. Airbus: A Legacy of Innovation Airbus boasts a proud 50-year history of European aerospace innovation. They are a leading producer of aircraft (commercial and military), helicopters, launch vehicles, and satellites. Additionally, they deliver navigation, secure communication, and data services to clients worldwide. Microsoft Azure: The Perfect Partner for Diverse Needs When faced with two distinct use cases, Airbus identified Microsoft Azure technologies, particularly Azure Cognitive Services, as the optimal solution. This partnership allows Airbus to continue pushing technical boundaries, paving the way for a safer, more connected, and prosperous world. The Takeaway: Innovation Beyond Traditional ERP While ERP vendors play a crucial role in business operations, Airbus' story showcases the transformative power of specialized AI solutions. By embracing cutting-edge technologies like Azure Cognitive Services, companies can achieve breakthroughs beyond the scope of traditional ERP offerings. Airbus Takes Flight with Secure AI Solutions: Why Traditional ERP Systems Fall ShortAirbus Navigates Complex Security Challenges for Cutting-Edge Innovation While popular ERP systems offer essential functionalities, they often struggle to meet the stringent security demands of highly regulated industries. This is precisely the challenge faced by Airbus, a leader in aerospace, as they strive to deliver advanced AI solutions for their defense and government clients. Data Sovereignty and Regulations: A Barrier to Innovation Many Airbus customers, particularly those in the military and government sectors, adhere to strict regulations that restrict the use of public clouds. Data nationalization rules further complicate matters, mandating non-public cloud solutions for certain countries. Additionally, collaborations with organizations like NATO come with their own set of regulations. "The sheer number of regulations we have to navigate, especially in Europe where individual countries often have their own rules, creates a significant hurdle when trying to implement modern services within this environment," explains Marcel Rummens, Product Owner of Internal AI Platform at Airbus. Microsoft Azure: The Key to Secure Innovation Airbus partnered with Microsoft to create a secure, restricted cloud environment that complies with data sovereignty regulations. This platform leverages Azure AI solutions, offering the company a distinct advantage. "Only Microsoft provided the proven, cutting-edge AI technologies and large-scale training datasets we needed," says Rummens. "Furthermore, Microsoft offers these technologies in a disconnected mode, separate from the public cloud. This combination significantly accelerates our time to market and has been a key differentiator for us." The Takeaway: Beyond Traditional ERP This case study by Airbus highlights the limitations of popular ERP systems in addressing specialized security needs. By embracing innovative solutions like secure cloud platforms and advanced AI technologies, companies can push the boundaries of innovation and achieve success even within highly regulated environments. Airbus Soars with AI Chatbots: Revolutionizing Pilot Training (While Keeping Sensitive Data Secure)Traditional pilot training with its hefty manuals and intensive courses can be a time-consuming hurdle. As aircraft technology advances, the training burden grows – Airbus A330 pilots, for example, must master over 6,000 pages of material! Airbus Takes Off with AI To bridge the gap between initial training and refresher courses, Airbus developed a pilot training chatbot. Accessible from mobile devices, this chatbot allows pilots to ask questions and receive instant spoken answers, acting as a virtual "on-call instructor" available 24/7. Benefits Beyond Millennials Peter Walker, Project Lead for the Airbus A330 Pilot Training Chatbot, highlights the chatbot's appeal: "It's perfect for digital natives, but everyone appreciates not lugging around heavy manuals." Secure Innovation for Military Applications Airbus also created chatbots for military aircraft. However, these required secure, disconnected deployment due to data sensitivity. The solution? Speech containers within Airbus's private, restricted cloud environment using Microsoft Azure Cognitive Services. Microsoft Azure: A Seamless Integration Stephen Gerard King, Data Analytics and Applications Analyst at Airbus, explains, "The Microsoft Speech SDK made integrating speech functionality quick and easy. The Microsoft team's responsiveness was invaluable." The Takeaway: Beyond Traditional Training This Airbus case study showcases how AI chatbots can revolutionize pilot training, improving efficiency and accessibility. Additionally, it emphasizes the importance of secure solutions like restricted cloud environments for sensitive data. While popular ERP systems may not address these specialized needs, innovative AI solutions pave the way for a future of secure and efficient training across various industries. Airbus Takes Flight with Predictive Maintenance: How AI Safeguards Military Aircraft (While Keeping Data Secure)The Challenge: Maintaining Peak Performance for Military Aircraft Military aircraft operate in demanding environments, enduring harsh conditions and constant stress. Rapid temperature changes, high-altitude radiation, and everyday wear and tear can all impact aircraft readiness. Predicting and preventing potential problems is crucial. AI Steps Up: Early Warning with Anomaly Detection Airbus leverages Microsoft Azure Cognitive Services' Anomaly Detector to address this challenge. This AI technology gathers and analyzes aircraft telemetry data, identifying anomalies that could signal potential issues. Faster Deployment with Pre-Trained Models "For simpler cases," explains Marcel Rummens, Product Owner of Internal AI Platform at Airbus, "Anomaly Detector's out-of-the-box solution works beautifully. This saves us development time, especially for smaller use cases – up to three months faster deployment!" For complex situations, custom algorithms might be needed. Disconnected Solutions for Secure Military Applications Airbus prioritizes data security. Therefore, they deploy Anomaly Detector in secure containers within their restricted cloud environment. This ensures sensitive data remains protected. Looking Ahead: Breaking Language Barriers The Airbus team is exploring Microsoft Cognitive Services' translation APIs. This will facilitate communication and collaboration between diverse teams using Airbus systems, especially on high-security projects where web-based translators aren't an option. The Benefits of Trustworthy Technology "The Microsoft solutions just work," says Rummens, praising the reliability and disconnected deployment options. "New services are constantly added, and existing ones are regularly updated." Stephen Gerard King, Data Analytics and Applications Analyst at Airbus, agrees: "These user-friendly cloud APIs offer a fast and secure way to deploy proof-of-concept solutions in our disconnected environment." The Takeaway: Secure, Scalable AI for the Future Airbus' collaboration with Microsoft showcases the transformative power of AI in safeguarding military aircraft. Furthermore, it highlights the importance of secure, disconnected solutions for highly regulated industries. By embracing innovative AI tools, Airbus paves the way for a future of predictive maintenance, ensuring the operational readiness of their aircraft while maintaining essential data security. The NBA’s Data-Driven Revolution: Fan Engagement and On-Court Strategy with Microsoft Azure3/23/2024 When the final buzzer sounds at an NBA game, signaling the end of play on the court. Because in reality, a new era is just beginning, as clubs are formulating data-driven strategies to prepare for the next match. Microsoft Azure brings these rivals together for fans and teams like never before, allowing them to take a look behind the curtain. In December 2020, Azure introduced NBA CourtOptix, which uses machine learning and artificial intelligence in the cloud to analyze player action, offer fans a lowdown of every shot and pass, and provide certain of the cunning that underpins the greatest plays in league history..drawImage-Swisscom
But the impact goes beyond fan engagement. The NBA is now collaborating with its teams to integrate data through Azure into existing player tracking resources. This empowers coaches with a more comprehensive picture of on-court performance, enabling them to devise more effective game strategies. Unveiling the Hidden Heroes of Defense Traditionally, analyzing defensive performance in the NBA has been a challenge. Unlike sports with defined plays and limited participants, basketball's fluid nature makes it difficult to track individual contributions. NBA CourtOptix tackles this challenge head-on. A sophisticated camera system captures player movements throughout the game, generating a staggering 10 million data points per game. This data is then analyzed in the cloud using Microsoft Azure's powerful AI and ML capabilities. The resulting insights are transforming the game for both fans and players alike. Microsoft Dynamics solutions in Saudi Arabia can offer similar data-driven advantages to businesses across various industries. Unveiling the Hidden Heroes: How AI and Azure Empower NBA Defense (and How Your Business Can Benefit) The ability to evaluate a player's defensive contribution has long been a challenge in basketball. "There's no good way," says Sydney Sarachek, Director of Stats Technology Product Development at the NBA. "We've made it a priority to change that." Unlocking Defensive Insights with AI The NBA has partnered with Microsoft Azure to leverage the power of AI and machine learning (ML). By analyzing player tracking data, they've developed innovative algorithms that quantify defensive performance. These algorithms consider various factors like denying passing lanes and positioning relative to the offensive player. The result? A score reflecting the defensive pressure each player applies throughout the game. Microsoft Azure: The Engine Behind the Insights "We use a variety of AI and machine-learning techniques on Azure to identify defensive matchup responsibilities," explains Sarachek. This empowers teams with a new level of understanding, allowing them to devise more effective defensive strategies. Microsoft Dynamics solutions in Saudi Arabia offer similar data-driven advantages, helping businesses across industries gain deeper insights and optimize processes. Cloud Powering Personalized Data Delivery Initially launched in 2020, NBA CourtOptix focused on fan experience with post-game analysis. Now, with Microsoft Azure, the platform goes beyond. Advanced statistics are shared with journalists, teams, and employees, enriching the game for everyone. Real-Time Data for Real-Time Adjustments Every game night, teams receive a detailed data breakdown that transforms strategies. This seamless data flow is facilitated by Microsoft Azure developers. Here's how it works:
The Takeaway: Data-Driven Success The NBA's story is a testament to the power of AI and cloud technology. Microsoft Dynamics solutions in Saudi Arabia can equip businesses with similar tools to unlock hidden insights, optimize performance, and achieve success. Effortless Data Sharing through Azure "Sarachek highlights how Azure Data Share simplifies the data distribution process. By simply sending an invite via the Azure console, new teams or partners can access the latest data directly in their Azure environment, eliminating the need for complex data integration processes." Revolutionizing Data Management in Sports "When developing new metrics, the NBA faces the challenge of integrating extensive historical data to provide comprehensive insights. Utilizing Azure, the NBA now harnesses the power of over 1,000 virtual machines to process billions of data points in minutes, a task that previously took weeks, significantly enhancing efficiency and cost-effectiveness." A Strategic Move to Cloud-First Scalability "The NBA's transition to a cloud-first strategy, partnering with Azure, enables the league to dynamically scale computing resources. This capability is especially critical during live games, allowing for immediate adjustments without the need for constant, high-level investment in computational resources." Pioneering Real-Time Data for Enhanced Fan Experience "Looking ahead, the NBA anticipates transforming the basketball experience with real-time data analytics. By providing instant access to data for teams, fans, and broadcast partners, the league aims to enrich in-game analysis and fan engagement, leveraging the comprehensive infrastructure built on Azure." Corporate executives are inquiring: What capabilities does generative AI offer my company? How do we stay ahead of the rapidly changing business landscape propelled by AI innovation? In every industry globally, dedicated strategic teams are tasked with demystifying this challenge. Marketers are exploring how generative AI can leverage an ever-increasing pool of valuable first-party data, shifting from reactive to real-time and ultimately to predictive analytics. This positions generative AI as a cornerstone for executing a forward-thinking marketing strategy within top ERP systems.
Marketers seek to understand how generative AI within these systems can:
Boost Customer Loyalty and Sales with Generative AIGenerative AI is a game-changer for consumer goods and retail brands, offering powerful tools to retain customers and maximize their lifetime value. It analyzes consumer behavior and intent with increasing accuracy, enabling you to create personalized experiences and unlock the true potential of your data. Here are some exciting use cases to consider for your AI strategy:
Optimize Your E-commerce Strategy with AI Data-Driven Decisions, Simplified: Generative AI makes e-commerce optimization easier than ever. Tools like Clarity Chat (a free analytics platform) allow you to ask questions about your website performance in plain language. Need to know your week-over-week website performance or bounce rate? Clarity Chat provides clear and accessible summaries and analytics, empowering you to make informed decisions on where to invest for maximum impact. Reach Customers Through Innovative Channels: The search landscape is evolving. As Kya Sainsbury-Carter, CVP of Microsoft Advertising, stated in a Wall Street Journal interview, "the future of search is integrated, encompassing search, answers, chat, and creation." AI-powered Microsoft Bing reflects this shift with new ad formats. Brands, publishers, and app creators can now leverage Bing to choose ad formats that deliver optimal results and customer experiences. This includes serving native ads seamlessly across chat platforms from Microsoft and other companies. Empowering Non-Technical Staff with DataEmpower non-technical team members to leverage real-time and forecasted data enhancements. In the fast-paced modern market, waiting extended periods for analyses can hinder timely campaign adjustments. Generative AI transforms how marketers query campaign data through intuitive, natural language interactions. This accessibility is exemplified by the Copilot feature in Dynamics 365 Customer Insights, which enables staff without technical expertise to explore data in simple terms, pinpointing high-performing segments and channels to boost sales. Innovating Content Creation at ScaleTackle the daunting challenge of content creation head-on by automating the generation of diverse content types. The blank canvas, often a major creative block, becomes less daunting with tools designed to assist in creating a myriad of content forms—ranging from texts and visuals to digital platform-specific materials. Generative AI serves as a creative and efficiency-enhancing partner, with Dynamics 365 Marketing's Copilot providing inspiration and facilitating personalized content creation. Additionally, Dalle-2 in Azure OpenAI Service introduces an innovative approach to generating varied campaign visuals through simple textual prompts. Enhancing Engagement with Product ContentOvercome the challenge of inconsistent product descriptions and reviews across different online platforms. Generative AI consolidates digital content related to products from the web, harmonizing product detail pages with optimal variations. This approach, as demonstrated by Carmax using Azure OpenAI Service, not only streamlines content creation but also drives personalized customer interactions, improves search engine performance, and boosts revenue outcomes. Optimizing Shipping Label ConfigurationLeverage generative AI to revolutionize the configuration of shipping labels, discovering the most efficient layouts without traditional limitations. Ready to Embrace Generative AI? Here's How Ofoq Consulting Can HelpGenerative AI offers exciting possibilities for consumer goods and retail brands, but getting started can seem daunting. Ofoq Consulting is here to guide you on your AI journey! Defining Your AI Path:
Contact Ofoq Consulting today! Visit our website at https://www.ofoqconsulting.com/ or call us at +966560242617. Our team is eager to discuss your specific needs and help you unlock the power of generative AI for your business. Generative AI: From Obscurity to Business Driver The concept of generative AI was virtually unknown just a year ago. However, the launch of OpenAI's ChatGPT changed the game. With over 100 million users within a staggering 64 days, ChatGPT sparked a major shift in conversations. Business teams and their IT counterparts went from "what is it?" to exploring how to leverage this technology. The impact wasn't limited to internal discussions at Microsoft. Customer-facing teams also saw a surge in interest, with generative AI becoming a prominent topic in conversations and major projects. This initial excitement has evolved. Microsoft, through its customer interactions, has identified valuable lessons to help businesses maximize the return on investment (ROI) from generative AI. The article delves into four key areas to consider when exploring this technology within your organization. 1. Define Your Problem, Not Just Play with the Tech Don't get caught up in the novelty of generative AI. Resist the urge to simply experiment without a clear purpose. Instead, focus on the specific business problems you're trying to solve. Clearly define what "success" looks like for these problems. This will help you "paint the vision" and guide your use of generative AI. Identify and Prioritize Use Cases Start by brainstorming potential applications, or use cases, where generative AI could be beneficial. Evaluating these use cases more closely might reveal alternative solutions for some. You might also find that certain use cases share similarities, allowing you to group them for a more efficient approach. Prioritization is Key: Impact vs. Effort A crucial step is prioritizing which use cases to tackle first. Consider the potential business impact of each use case against the effort required to implement it. This helps you focus on areas that deliver the most value for your investment. Microsoft uses a simple yet effective method: an "Impact vs. Effort" matrix. Each potential use case is placed on the matrix based on its estimated effort (low or high) and its anticipated business impact (low or high). This visual approach helps prioritize projects effectively. Prioritization is Key: Impact vs. Effort A crucial step is prioritizing which use cases to tackle first. Consider the potential business impact of each use case against the effort required to implement it. This helps you focus on areas that deliver the most value for your investment. Microsoft uses a simple yet effective method: an "Impact vs. Effort" matrix. Each potential use case is placed on the matrix based on its estimated effort (low or high) and its anticipated business impact (low or high). This visual approach helps prioritize projects effectively. Assessing Impact and Effort When evaluating impact, consider factors beyond just immediate benefits. Think about how generative AI could lead to faster completion times, improved decision-making, and cost savings for your business. However, also consider the timeframe for realizing these benefits. Effort, on the other hand, refers to the time and money required to implement the use case. Be mindful of the different systems and personnel involved. This will help you realistically assess the resources needed to achieve the desired outcome. Defining Success with Measurable Goals Once you've identified your target use case(s), it's vital to define clear success metrics. What does "good" look like in this context? Establish quantifiable measures based on time, effort, or cost savings to determine the effectiveness of your generative AI implementation. The more specific and measurable your goals, the better you can track progress and gauge success. 2. Start Internally: Test and Refine Before Launch While it might seem counterintuitive for a customer-focused organization, starting with internal testing can be highly beneficial. Generative AI is a new technology, and piloting it within your company offers several advantages. Firstly, it allows you to test the technology and refine your approach in a controlled environment. Your own internal teams act as a "friendly audience" for experimentation. This helps identify potential challenges and refine your use of generative AI before deploying it to external customers. Secondly, internal testing lays the groundwork for a comprehensive generative AI roadmap. This roadmap can be structured using a "Crawl-Walk-Run" approach, with three distinct phases: Phase 1: Crawl - Building the Foundation The crawl phase focuses on internal use cases with "human-in-the-loop" reviews of generated content. This is a safe and controlled way to gain experience. Here are some potential use cases for retail and consumer goods companies:
Stage 2: Progression Scenarios involving direct engagement with staff and clientele At this stage, there could be oversight over numerous scenarios by humans, each aimed at furnishing employees or clients with insights for more sound decision-making. Examples in the retail and consumer goods domain might encompass:
Enhanced automation This concluding stage emphasizes novel product introductions or automation intended for direct interaction with your clients. In the context of retail or consumer goods, examples might involve:
3. Lead with Business-Oriented Solutions Focusing on use cases with an emphasis on their potential impact and required effort ensures that your efforts are concentrated on solving problems that offer tangible value to your organization. Visualizing your objectives and what you aim to accomplish is critical in this process. Continuous feedback from business units is crucial. As with any initiative where technology is a major component, the most effective projects are those where there is a strong partnership between the technological and business sides, both aligned towards addressing a specific organizational issue. For technology-driven projects, including those involving generative AI, it’s vital to consider the synergy between people, processes, and technology. Thus, it's essential to pay attention to each aspect. For instance, in your efforts related to specific use cases, it's important to: MICROSOFT RESPONSIBLE AI Discover our insights Identify the business processes linked to your use case. Comprehend what triggers these processes and understand the interactions with various systems and stakeholders. Clarify the roles of individuals involved in the process and recognize who will be affected by the successful implementation and utilization of your use case in the operational setting. Determine how involved individuals will engage with the process—clarify the timing and methods for notifying them about necessary interactions or approvals. This aspect gains importance when considering the principles of responsible AI, specifically accountability. Examine your use case through the lens of responsible AI. Utilizing tools such as the Microsoft Responsible Impact Assessment can streamline this aspect. Give thorough consideration to change management. Knowing the individuals impacted is key to facilitating this process. The novelty of generative AI and the extensive coverage it receives in the media mean there are sensitivities to navigate. Applying and respecting Microsoft’s responsible AI principles, including fairness, reliability and safety, privacy and security, inclusiveness, transparency, and accountability, is beneficial in addressing these challenges. 4. Prepare Your Team for Rapid Adaptation The enthusiasm for generative AI's potential is well-founded—with McKinsey estimating that it could contribute $2.6 trillion to $4.4 trillion annually to the global economy. These figures are particularly noteworthy, especially when considering that the GDP of the United Kingdom stood at $3.1 trillion in 2021. Therefore, leveraging this technology for innovation is crucial. This requires fostering skill development within your organization to quickly implement use cases. Cultivating your team's skills and capabilities is essential in this process. There may be a temptation to adopt a 'fast follower' strategy, where you quickly emulate a competitor's generative AI-powered solution that benefits their customers, possibly improving upon it. This strategy is viable, but it demands that in-house skills and expertise be developed over time to effectively compete. Focusing on the use cases you have identified and are innovating upon is among the most effective methods to develop the necessary in-house expertise. ChatGPT's achievement of reaching 100 million users within just 64 days, establishing it as the quickest-growing consumer app in history, underscores the potential for generative AI to be the fastest-expanding technology segment ever witnessed. As the realm of possibilities and advantages continues to rapidly evolve, attentively considering these aspects will enable your organization to learn and effectively leverage the capabilities of generative AI. This strategic approach not only enhances your business's value but also positions you as a top ERP system provider or one of the leading ERP suppliers, adept at navigating the swiftly changing technological landscape. |
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