Analytical AI: A Better Way to Identify the Right AI Projects

Large language models, with their ability to generate humanlike text and assist in everyday tasks, have made generative AI tools like ChatGPT the poster children of artificial intelligence. However, amid the allure of this innovative technology, there lies a significant risk: the potential overshadowing of advanced analytics and traditional AI — analytical AI, for short. Analytical AI has consistently demonstrated its value in enhancing business decisions and processes, yet it risks being neglected in favor of GenAI’s new and exciting capabilities. According to research from McKinsey, generative AI use cases could add to the economic benefits projected for analytical AI use cases by 15% to 40%. This prediction underscores the need for a balanced approach when deploying AI projects.

Leaders should recognize that generative AI and analytical AI are complementary rather than interchangeable. GenAI focuses on efficiency and automation, like using AI-powered chatbots to increase call center productivity, whereas analytical AI enhances strategic decision-making, like determining the best time or offer for each customer contacted by the call center.

Which flavor of AI suits your business problem best? A critical step in creating a road map for AI projects involves conducting ideation workshops in which business and technical leaders can brainstorm about opportunities to apply AI to organizational challenges. While conducting hundreds of these workshops, we have seen two main difficulties arise: Business leaders often struggle to effectively spot opportunities to apply analytical AI, and technical teams seldom have the necessary business awareness to guide the discussion and influence the chosen projects. The good news is that, just as a GenAI-powered chatbot can benefit call center operations by helping to resolve customer issues more efficiently, a GenAI companion ideation tool can yield substantial benefits during these workshops.

Conducting Ideation Workshops With GenAI

Let’s explore what such ideation workshops should look like. They are typically organized into two stages. First, there’s a divergent stage, in which multiple groups (typically three or four, with six people in each) that comprise multidisciplinary executives and rank-and-file workers identify a broad range of ideas. These ideas usually revolve around specific pain points in existing business processes, such as inefficiencies, bottlenecks, or repetitive tasks; or opportunities for enhancement, like improving customer experiences, increasing operational efficiency, or enabling data-driven decision-making.