A 2019 forecast for data-driven business: from AI to ethics – Tom Davenport

Fellow, MIT Center for Digital Business, Tom Davenport

From Forbes

It should come as no surprise that 2018 continued to mark another year in the progression of data adoption in business.  Companies are pushing forward with efforts to become increasingly data-driven.  Firms are investing in transformation initiatives to establish a “data culture” within their organizations.  Early adopters are focused on data-driven business innovation.

As we look ahead to 2019, we reflect on a year of accomplishments and emerging areas of focus – from AI through Ethics (listed alphabetically)

  • AI/Machine Learning—AI continued to grow in popularity over the past year, becoming well-institutionalized within many large enterprises. We argued in a previous post, however, that too many companies employed AI pilots and prototypes, and not enough firms had implemented production deployments. As with analytics, the use of AI is increasingly being democratized through automated machine learning (AutoML). Several contributors to KD Nuggets’ review of AI and ML trends for 2019 suggested that AutoML would become more popular over the next year. It will make machine learning models easier to create for business analyst types, as well as dramatically increasing the productivity of data scientists—that is, if they can be persuaded to use it. We also predict that deep learning, which has been the fastest-growing and most popular AI technology over the past several years, will continue to advance in power and prevalence for several years. However, we also expect that deep learning will increasingly be augmented by other approaches to AI. NYU professor Gary Marcus has argued, and we agree, that artificial general intelligence—or even generally useful AI—will have to employ various techniques beyond deep learning in order to be successful.

  • Automation—One trend we noticed in 2018 is that there are a variety of automation technologies for organizations wishing to employ “digital labor” to perform structured work tasks. Robotic process automation, workflow, business rules, process mining, and some forms of AI all have the goal of automating human labor, or at least freeing up humans to do higher-level work. We see increasing numbers of companies embracing these technologies and determining how best to design work to maximize the respective capabilities of humans and machines. Given the proliferation of automation options, it’s important to begin identifying, prioritizing, and categorizing automation use cases so that the right technology is used for each application.
  • Blockchain — 2018 represented a year of major advancement for blockchain solutions as firms sought to ensure that data can be trusted, particularly when managing data in a distributed fashion.  The need to ensure data trust received heightened attention in 2018 due to the adoption of the European General Data Protection Requirement (GDPR), resulting in greater focus on developing trusted frameworks for data sharing.  Healthcare has taken a lead in the adoption of blockchain capabilities, forging ahead with initiatives to ensure the protection of patient data and electronic medical records.  Notably, leading healthcare providers such as Massachusetts General Hospital are evaluating initiatives to store patient data using blockchain. 2019 should be an active front for blockchain in healthcare.
  • Cloud Computing—The cloud continued its march toward domination in 2018. Two Deloitte surveys, for example, indicated that 90% or more of global executives are adopting, considering, or already using the cloud. Amazon Web Services, Microsoft Azure, and Google Cloud are all growing rapidly. They are increasingly adding software and data management capabilities to their clouds, including enterprise data warehouses, advanced analytics, various forms of AI, Internet of Things, blockchain, and robotics applications.  Some companies have converted their computing architecture to 100% cloud. The only question still to be resolved is what large organizations will do with all that well-cooled data center space they are vacating.

Read the full post at Forbes.

Tom Davenport is a Fellow at the MIT Center for Digital Business.

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