Disruptive Innovation – Algorithms are a key tech toy for business
Organisations and tech companies such as Facebook, Google and Netflix are just some of the many companies leveraging this mystery money (and no, I’m not talking about cryptocurrencies nor NFT’s).
The secret currency we are talking about is DATA.
Today, data has become the new oil. It is arguably the world’s most valuable resource. While technologies such as smartphones and the internet have made data abundant and ubiquitous, those who succeed will be the ones who know how to leverage the information to which they have access.
Algorithms, one of the core attributes, comes in to help organisations make sense of vast amounts of data and apply it to scale their operations and profits. The best part? You don’t have to be a technology company to leverage algorithms because it lies within reach of any executive or entrepreneur.
Algorithms: The Key to Extraordinary Success and Profits
Organisations that leverage data and master algorithms are winning the game of business by a landslide because algorithms have allowed organisations to scale in ways that weren’t possible even five or ten years ago.
Algorithms can optimise processes or create revenue streams widespread across many industries. Here are just some of the many uses of algorithms:
1. Automotive anti-lock braking
2. Amazon’s recommendation engine Alexa
3. Dynamic pricing for airlines predicts
4. Success of upcoming Hollywood blockbusters
5. Credit card fraud detection
6. 2 per cent of posts that Facebook shows a typical user,
7. Uber matching drivers with passengers
Algorithms are everywhere in modern life.
Thus, they are a critical component of every business headed for the future. Almost all the business insights and decisions of tomorrow will be data-driven.
Undoubtedly, investing in algorithms pays off for any organisation wanting to scale its products and services rapidly. Since algorithms are much more objective, scalable, and flexible than human beings, it is critical for organisations committed to driving exponential growth.
To ensure your organisation doesn’t get left behind, it’s crucial to understand how different algorithms can help you leverage the data your organisation collects according to the nature of your business.
How the Evolution of Algorithms is Changing the Game for Business Success
When computers advanced to a level of performance where they could compute more complex algorithms, two exciting fields emerged at the frontier of this new world: Machine Learning and Deep Learning. Both have become the doorway into a brand-new era of Artificial Intelligence (AI).
The new game of survival is simple. Organisations who adapt and evolve will come out on top. Those who don’t will quickly find themselves lagging behind the competition.
So, Machine Learning?
Machine Learning is the ability to accurately perform new, unseen tasks built on known properties learned from training or historical data and based on prediction. In simpler terms, machine learning is when algorithms parse data, learn from it, and apply their education to make informed decisions.
You can think of it as a computer that can teach itself to continually improve on performing an automated task based on analysing the results of past attempts.
Since computers can process large amounts of information at high speed, they can thus learn very fast.
Deep Learning
Deep Learning, on the other hand, is a new and exciting subset of Machine Learning based on neural net technology. A complex set of algorithms allows a machine to discover new patterns without exposing any historical or training data.
Algorithms Are The Future Of Business
One reason for Google’s success is that it is more ruthlessly data-driven than most other companies, right down to its hiring practices. With the rapid development of technology and sensors resulting in an explosion of data that can be mined, algorithms will become a critical future component of every successful business.
When algorithms are well designed and applied, they seem less like innovation and more of the expected norm. Customers get used to machine learning applications that make their tasks faster and easier to influence decisions with whom one does business.
What begins as a strategic differentiator quickly becomes the industry standard. If you want to stay competitive and continue to offer the best possible experiences, an algorithm will likely be involved. For more information and advice on Algorithms, read more from our director Umar Karim on LinkedIn or Facebook, or contact us at Accensis for more from our auditing experts.