Rosemond's MSc Blog

Tag: business

  • The use of generative AI in business.

    Businesses of all sizes—large, medium, and small—must innovate to ensure sustainable growth and remain competitive. To achieve these goals, they are implementing increasingly complex information systems and adopting technologies such as cloud and edge computing to meet ever-increasing performance needs. With the emergence of generative artificial intelligence technologies, businesses are redefining the notion of competitiveness. This blog post aims to examine the integration and use of generative AI within businesses. 

    A brief literature review on the concept of generative artificial intelligence to enhance understanding of the subject.

    President Biden’s Executive Order (EO) 14110, July 2024, on Safe, Secure, and Trustworthy Artificial Intelligence, mentioned in the publication of the ” Artificial Intelligence Risk Management Framework: Generative Artificial Intelligence Profile,” published by Laurie E. Locascio, Director of the National Institute of Standards and Technology (NIST) and Under Secretary of Commerce for Standards and Technology, defines generative AI as “the class of AI models that emulate the structure and characteristics of input data in order to generate synthetic content.” This can include images, videos, audio, text, and other digital content”.  

    Thanks to its characteristics and potential, its use is rapidly spreading in various industries. Cyril de Sousa Cardozo and Fanny Parise, talking about the integration of generative AI in businesses, write in a book entitled “Guide to Generative AI” published in October 2023: “We are at the dawn of a revolution that will radically transform the way we work, inform ourselves, and communicate.” They illustrate this point with a revealing anecdote: while it took Netflix 3,600 days to reach 100 million users, ChatGPT achieved this feat in just 60 days. 

    Opportunities

    Predictive analytics: Generative AI technology analyzes customer data to anticipate future needs. This proactive analysis capability helps deliver better-tailored products or services, strengthening customer relationships through an excellent, in-depth understanding of customer expectations. The study by Park et al. (2023), “Generative agent simulation of 1000 people” clearly demonstrates the potential of AI to simulate and predict human behavior with very high accuracy.

    For example, by analyzing various customer data, generative artificial intelligence can predict what products or services customers are likely to buy in the future, as well as the time of year they will be ready to make those purchases. It is also able to determine the likelihood of customer disengagement with the company.

    In addition, the use of generative artificial intelligence saves work teams time, improving business performance while reducing operating costs. This is because repetitive tasks are automated.

    Take Expedia’s “HI Jiffy” chatbot as an example, which allows you to manage interactions with customers from Expedia or other platforms from a unified inbox. This system is designed to optimize time management and reduce response times by simplifying message management. Moreover, it has the ability to interact with many customers simultaneously.

    challenges:

    Multiple challenges still need to be overcome to better leverage these new technologies in businesses, particularly ethical issues.

    Copyright issues: Generative AI generates new ideas, new services, and new products from previously created data. Issues related to data confidentiality and the quality of the data used to power AI.

    The utilization of generative artificial intelligence is poised to revolutionize the global business environment. It will enhance the competitiveness of companies, allowing them to deliver higher-quality services more efficiently. This transition should be managed with careful consideration and responsibility to safeguard our values, rights, norms, behaviors, and employment.

    REF

    .- Cyril de Sousa Cardozo & Fanny Parise, 2023 – Guide de l’IA générative : Transformez votre quotidien professionnel à l’ère de ChatGPT, Bing, Bard, Bloom, Claude -1ère Edition octobre 2023 – 240 pages – ISBN 978-2-8073-6170-6.

    .- Jean-Marc Lehu, 2003 – Stratégie de Fidélisation – 2eme Edition, aout 2003- 454 pages

    .- Gina M. Raimondo, Laurie E. Locascio, 2024 – Artificial Intelligence Risk Management Framework : Generative Artificial Intelligence Profile. NIST Trustworthy and Responsible AI NIST AI 600-1-        https://doi.org/10.6028/NIST.AI.600-1

    .-  Park J.,  Zou C,, ShawA , .. & Bernstein M., November 15, 2024: Artificial Intelligence (cs.AI); Human-Computer Interaction (cs.HC); Machine Learning (cs.LG)    https://doi.org/10.48550/arXiv.2411.10109

    .- Bick, A., Blandin, A., Deming, D.J., 2025; The Rapid Adoption of Generative AI, Federal Reserve Bank of St. Louis Working Paper 2024-027. : https://doi.org/10.20955/wp.2024.027

    .- Fabrice Martin, 2023 – L’IA générative : un outil pour améliorer l’expérience client et la fidélisation : https://www.afrc.org/2024/12/02/12-2023

  • Information system usage in Business

    Let’s keep it simple: First, what is an information system?

    In his book “Information Systems and Management,” Robert Reix [1] defines an information system (IS) as a structured set of resources, including hardware, software, personnel, data, and procedures. These components work together to acquire, process, store, and communicate information, thereby aiding decision-making and control within an organization

    In the current economic context, information systems are fundamentally linked to the use of technological tools for various purposes. This article will predominantly examine two specific reasons for their usage.

    Organizational Effectiveness is one of the main reasons for the use of Information Systems in companies. For example, consider a company that specializes in the sale of automotive parts without an inventory management system that can determine the quantity, availability, and location of items based on manufacturer, model, year of manufacture, serial number, etc. This company could encounter significant difficulties, compromising its operational efficiency.

    Automating inventory management through alert or messaging features helps keep in touch with staff, transmit instructions faster, and better coordinate the activities of different teams across the company. This reduction in information asymmetry helps to optimize resource efficiency.

    The integration of information systems within companies can significantly increase their productivity. Regardless of the size, large, medium or small, and whether it is production-oriented or sales-oriented, a company must optimize its performance. This optimization is generally achieved by a more efficient organization of work with the introduction of technological tools like staff management, time management, etc.

    For instance, the integration of an information system such as a CRM (Customer Relationship Management) with features such as customer request tracking, lead management, customer experience personalization, etc. in a business enables informed decisions based on customer interaction data. This process is essential for enhancing customer satisfaction and retention, thereby facilitating the company’s growth and development.

    A good understanding of customers and suppliers is essential for the development of a business, especially when it comes to launching new products or services. In fact, in an article published on the website http://www.anark.com “The link between supplier collaboration and customer satisfaction”, Patrick Dunfey wrote: “The more a company understands its customers and suppliers, the better it can adapt its business model to improve customer satisfaction and foster stronger supplier collaboration. This knowledge allows for tailored strategies and proactive solutions”.

    The establishment of an Information System (IS) should be prioritized during the inception phase of a company. It facilitates the collection, storage, processing, and dissemination of critical information required for making informed decisions. It plays a key role in various business activities, and its development is mainly aimed at automating tasks and improving the company’s efficiency and competitiveness. Today, the emergence of artificial intelligence tends to further increase the dependence of companies on information systems. According to (Devaraj and Kohli, 2003), the adoption of information technology is a strategic tool that allows men to improve their performance at work.

    Information systems are used by companies to meet various needs. They generally help improve business performance by optimizing operations, facilitating communications, and enhancing relationships with the public, clients, and suppliers to improve customer satisfaction. Through websites that can serve both as showcases and points of sale, they make physical stores accessible to the public regardless of geographical boundaries. In conclusion of a study conducted in 2011 on the use of information systems in business and management, published by ICI Global, Mihane Berisha-Namani recommends paying greater attention to information system technologies, as they are essential for better management and the success of enterprises on system usage in business

    [1] Robert Reix (1934-2006) was professor emeritus at the University of Montpellier, France. He has strongly influenced the management of information systems, particularly by being one of the founding members of the “AIM (Association Information et Management)” and the journal “Systèmes d’information et management”

    [2] Patrick D. | Vice President of Marketing and Sales Enablement

    References

    ..- Reix, B., Kalika, R., & Rowe – 2023 – Système d’Information et de Management – 8e Edition- Viubert.

    .- Mihane Berisha-Namani, 2011. “Information Systems Usage in Business and Management, “International Journal of Innovation in the Digital Economy (IJIDE), IGI Global, vol. 2(2), pages 12-23.

    .- Devaraj, S., Kohli, R., (2003), “Performance Impacts of Information Technology: Is Actual Usage the Missing Link?”, Management Science, Vol. 49, n°3, p. 273-289.

    .- Witold Abramowicz, 2007, Business Information Systems, 1st edition – 10th International Conference, Poznan, Poland.

    .-Patrick Dunfey – The Link Between Supplier Collaboration & Customer Satisfaction: https://www.anark.com/resources/blog/supplier-collaboration-customer-satisfaction