Many companies still need help with strategies that were due to be implemented in 2019, before COVID-19 wiped out several businesses and brought the world economy to an abrupt halt.
After a full year of financial performance, many acknowledge the urgent need to modernize to survive the artificial intelligence wave.
Companies closely monitor how large retailers respond to new trends using AI and machine learning to simplify the workload and increase productivity. The reception of technology has been vastly different depending on where you find yourself in the world.
Some businesses have admitted that they are still stuck with pre-COVID strategies, while shoppers have returned to their old behaviors last seen in 2019. Many retailers notice this.
Modernizing a company in difficult economic times
The Australian Post suffered a historic blow to its letter business last week. It dipped $384.1 million into the red. It even publicly stated that further losses are expected if nothing is done to modernize the company.
It’s challenging for a large organization to be an initiative and a trailblazer, constantly pushing the boundaries. At Walmart, the company strategically focuses on modernizing itself with AI and innovations. In the last month or so, it launched a GenAI-powered feature called My Assistant in the US. It’s now even offering last-mile delivery with a drone in Dallas.
Locate2u CEO Steve Orenstein believes there should be rewards for employees inside a business thinking about doing things differently. “Taking those risks means things won’t work and go to plan.” He says it’s all about taking risks and being fine when it doesn’t work out. “You’ve seen it with Kodak, where they didn’t innovate. Everyone was using cameras, and they were printing film. Suddenly, the digital camera came along, and they hadn’t spent enough time researching and thinking about the future.”
Shift in business brewing
Over the next decade, Orenstein believes there will be a “significant shift” in business, especially around AI being used in companies.
“AI is changing how businesses can operate. There’s a lot of businesses today that don’t even understand what AI can do and the impacts that it can have on their business.”
Companies that are doing extensive research playing around with the technology, and exploring its benefits and red flags are the ones that Orenstein thinks will grow in the next ten years. But these strategies can only be successful if a new management (probably younger, too) has the backing of the entire board. “You need that support from the board down. It’s having the right structure inside your board that understands where the business is heading and what the future looks like.”