Why 80% of AI projects fail and what business owners can do about it

Everybody seems to be talking about artificial intelligence (AI) at least some of the time.

Nevertheless, the statistics suggest that upward of 80% of AI projects implemented by businesses fail - this is twice the general failure rate of IT projects, reports Nortal, a multinational strategic change and technology company.

Stephen Grootes gets some local insight from Keegan Da Costa, AI utilisation specialist at fractional AI agency Too Many Robots.

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Da Costa highlights the tendency for companies to buy into the hype - they rush into AI projects because of pressure, usually from the competition.

They can see the potential, he says, but aren't yet ready for it.

"Everyone's rushing in just to implement something to be able tosay that they've done it, instead of taking their time and making sure that they are ready for it."

Deciding on the right AI project is a crucial step, Da Costa says.

Here he cites what the biggest area of frustration is for a company's clients, along with picking an area that is holding up the workflow of your staff.

"If you know your business has long lines for instance, or your customers aren't buying something quickly enough, that is directly where where you need to start implementing AI. The same goes for your staff - if you know they've got bottlenecks in certain processes, that's a clear indication of what project to choose."

It's not about the flashy, fun things to implement in a business, he emphasizes - 'its about the functional stuff'.

For more input on best utilising AI for your company, listen to the interview audio at the top of the article