There is a lot of talk about AI in the business world. But what does it really mean for small and medium businesses? Are they able to afford the latest AI technology and how can they realistically incorporate it into their every day? Sometimes, SMEs are using AI without even realising it, such as virtual assistants or email spam filters, but there are ways to elevate their use of AI.
Good, clean data is essential for SMEs which want to harness AI as our experts highlight. AI can quickly analyse data to create actionable insights, which is a huge asset for SMEs. Automation is another avenue to explore to give more time for humans to work on more meaningful tasks.
The importance of using AI with regards to cybersecurity is also emphasised. Cybercriminals are using AI for more sophisticated cyberattacks. SMEs need to fight this threat with the same tools – AI.
RocketPhone’s CEO, Muj Choudhury, outlines his thoughts below.
For SMEs looking to harness AI, the key is to start with the basics – clean, reliable data. AI is only as good as the information it processes, so ensuring data quality is essential.
Security must also be a priority. Unlike large enterprises with dedicated IT teams, SMEs often lack the same level of protection, making it critical to consider GDPR implications before sharing data with AI platforms like ChatGPT. Implementing the right safeguards from the outset will prevent costly missteps.
Rather than trying to overhaul everything at once, businesses should take a targeted approach. Identify specific areas where AI can genuinely enhance productivity – whether automating routine tasks, streamlining customer service or improving decision-making.
While concerns about AI replacing jobs persist, the reality is that well-implemented AI empowers employees, freeing them from repetitive tasks so they can focus on high-value work. However, training is essential; teams need to understand how to use AI effectively to maximise its benefits.
With countless AI solutions available, SMEs should resist the temptation to follow trends blindly. What works for one business may not work for another. Instead, assess which departments would benefit most from automation, set clear objectives and choose AI tools that align with your industry’s specific needs.
Jon Bance, COO, Leading Resolutions:
As a UK-based consultancy, we see AI as a transformative tool for SMEs, offering opportunities to compete with larger organisations through its ability to review, process and present data. AI’s ability to quickly integrate and analyse structured and unstructured data provides SMEs with actionable insights, particularly around customer behaviour and experiences, without the need for extensive infrastructure investments.
Traditionally, SMEs faced challenges in consolidating data from multiple sources due to the complexity and cost of maintaining large-scale data centres. This process often required all data to be meticulously structured, a time-consuming and resource-intensive task. However, modern AI solutions have revolutionised this process by bypassing these traditional requirements.
AI tools now enable businesses to analyse disparate data points in real-time, whether from CRM systems, social media, website analytics or sales records. This streamlined integration provides a unified view of customers and operations, with an overall boost to the end-customer experience. AI-driven tools can allow SMEs to anticipate customer needs, personalise interactions and predict purchasing behaviours.
Moreover, AI democratises data analysis, reducing the need for in-house data science expertise. SMEs can now deploy AI tools that automate complex analyses, such as sentiment analysis, predictive modelling and trend detection, without requiring specialist skills. This enables smaller businesses to focus on strategic decision-making rather than technical complexities.
For SMEs, the best way to harness AI is to start small and focus on clear, measurable objectives. Identify pain points in your operations or customer engagement and explore AI solutions tailored to those needs. Cloud-based AI platforms, often available on a subscription basis, offer cost-effective entry points with scalable options as your business grows.
By utilising AI methods and tooling to join up multiple data points and derive deep insights, SMEs can create more agile and customer-focused operations. The result is greater efficiency and the ability to adapt to market changes and deliver exceptional customer experiences, crucial factors for success in today’s competitive landscape.
The future of AI for SMEs is not just about keeping pace, it’s about gaining a competitive edge. Seeking expert guidance is the first step towards harnessing the right AI tools that align with business objectives, as not all solutions are equally suitable for smaller organisations. Training is important in building confidence and unlocking the maximum potential of onboarded AI technology. Finally, data governance is critical to ensure the secure, ethical use of AI, and prevent data leaks that can have massive impacts on business reputation. All of these should be considerations before taking the AI plunge, and all are supported by an experienced technology consultant that can guide your business at every stage.
Andre Reitenbach, CEO and Co-founder, Gcore:
From customer service-enhancing chatbots to AI agents with autonomous reasoning and problem-solving capabilities, the potential use cases of AI are rapidly expanding across all sectors. Small- and medium-sized enterprises (SMEs) have as much to gain from developing AI as the biggest players in the tech industry, but the resources needed in terms of computational power and investment can be a barrier.
The good news for SMEs is that they do not need to build AI models from the ground up in order to fully leverage this technology. AI Inference offers models that have already been trained on a large dataset, from which they can respond to new inputs based on their existing knowledge. Inference will play a pivotal role in the development of AI applications moving forward by bridging the gap between large tech companies and SMEs in their ability to train AI for their business.
One of the most important use cases for SMEs will be to enhance their cybersecurity posture. Cybercriminals are constantly embracing new technologies, including AI, to amplify the scale and potency of their attacks. SMEs must plan for the coming wave of AI-powered cybercrime by using AI to enhance their defences. AI offers a second pair of eyes to support security teams with advanced threat detection and automated monitoring. It can also be used to accelerate response times in the event of an attack, which can far exceed the capabilities of human operators in speed and responsiveness.
To successfully harness AI, SMEs must plan ahead to keep on top of changing data regulations. Across the globe, different countries and regions are putting in place regulations that will compel businesses to protect privacy and ensure responsible data use in AI systems. Failure to maintain control and oversight of how data is used for AI training will put businesses in the firing line of legal action.
To stay compliant, businesses must control where their data is processed within specific geographical boundaries. Traditional cloud infrastructure does not offer this level of control. Smart routing technology, which enables users to direct workloads to their preferred region, will soon become a necessity for SMEs to be compliant with local data regulations and industry standards. Edge computing will assist by allowing businesses to process their data closer to its workload. These tools will take any guesswork out of the equation and clear the path for SMEs to make the most of AI opportunities while maintaining ethical and compliant use of data.
Sandy Kahrod, Product Manager: Modern Work, Six Degrees:
Today’s AI-powered tools offer numerous benefits for SMEs to leverage – from chatbots that improve customer engagement and deliver a better employee experience, to intelligent automation that streamlines operational processes, improves productivity and generates efficiency savings. SMEs know that AI has the potential to put them on a level playing field with larger corporations, but many SMEs are stuck in neutral when it comes to moving ahead with their AI adoption plans.
While AI projects don’t necessarily require million-dollar budgets to be successful, organisations need to be mindful of the potential upfront costs and disruption that can be associated with AI implementations. Not every SME has the budget for a custom-build AI solution, so identifying cost-effective pre-built AI tools that offer clear ROI potential is a key consideration.
Other key areas to focus on include putting the right cybersecurity and compliance measures in place, cleaning and preparing data so it can be leveraged by AI tools, and training and upskilling personnel across the business. Although AI can often be seen as something that creates security issues, a lot of the time it in fact brings pre-existing gaps in cybersecurity to light, furthering the need for thorough security protocols prior to its implementation.
Prior to implementation, SMEs must also prepare and reassure employees. Providing regular communication and training will address concerns that ‘AI is taking our jobs’ and ensure that the workforce is positive and confident about the benefits of AI implementation.
AI is definitely not a fast fix, but its vast processing power can be applied successfully to many processes and problems across all sizes of organisations. With the right preparation and planning, SMEs can develop tailored solutions, increase efficiency and grow, taking advantage of AI’s true business-wide benefits.
