To stay competitive in the AI economy, businesses must adopt a new operating model. This model, known as the Algorithmic Business Model (ABM), is centred around data and algorithms. An effective ABM requires a data-centric culture, where data is treated as an asset and algorithms as a competitive advantage.
Companies need to understand that data is not just for IT departments. Everyone in the organisation should be data-literate and able to make data-driven decisions. This shift requires a new kind of leadership, where leaders not only understand data but also know how to use it to drive business strategy.
Furthermore, companies must invest in their data infrastructure. This includes both the hardware and software necessary to collect, store, analyse, and use data. It’s not enough to just have data; businesses must be able to use it effectively.
Finally, businesses need to be agile. They must be able to adapt quickly to changes in the market and in technology. This agility is key to staying competitive in the rapidly evolving AI economy.
In short, the ABM is not just a new way of doing business; it’s a new way of thinking about business. It requires a shift in culture, leadership, infrastructure, and agility. Those who can make this shift will be the ones who succeed in the AI economy.
Go to source article: https://www.zdnet.com/article/new-operating-model-to-compete-in-ai-economy/