Artificial Intelligence

and IBM’s AI Strategy

Name : Devang Mehta

Roll No. : 2018079
College : GIM
 AI Consulting IBM’s AI
Market Strategy
AI Consulting
• Integration of business environment of companies
with Artificial intelligence should be done in an
efficient manner to ensure the best results.
• An AI Consulting is basically done by firm in which it
helps its clients in designing and developing certain AI
driven products by providing them innovative
algorithms and various machine learning tools.
Importance of AI Consulting
• The demand for AI related products is
high but there is a constraint from the
supply side as of now.
• The reason can be that the technology
isn’t mature or the firms do not know
which company to hire for AI
consulting.
• The above points further outline the
importance of AI consulting industry in
the near future
• Figure 1 shows that 54% of the firms
are in the “need to do” quadrant hence
implying that many firms miss the
chance to implement low complexity AI
use cases.
IBM’s product
What Lies ahead
portfolio
Reasons for slow adoption of AI
In a report provided by BCG and MIT Sloan
management review, companies state the
below 3 factors for slow adoption of AI
• Lack of an AI strategy
• Lack of Awareness about AI capabilities
• Lack of AI talent in their organization
Implications
AI Consulting Landscape
• Traditional Consultants with AI services
 Tech Consulting Companies
 Top Management Consultants
 Big 4 accounting firms
• Emerging Boutique AI consultants
 AI Strategy Consultants
 AI Implementation Consultants
• SME AI Consultants
White Space Analysis
• White space analysis means identifying
opportunities in your market which your
business is capable of meeting.
• In context to the consulting landscape AI
consulting firms can make use of the
large clientele that they possess and look
to it that their clients implement AI in
their firms too which would in turn bring
business to us.
• Considering the weak supply it can be a
major opportunity for any AI firm to
capitalize on and enter a niche market
segment and gain the first mover
advantage.
AI Consulting IBM’s AI IBM’s product
What Lies ahead Implications
Market Strategy portfolio

• Watson Engagement increased to 20000 from 160000 – 25% increase from

2018 across 80 countries
Moving Firms Beyond • IBM’s strategy is to focus on core challenges like poor data quality, lack of skills
Experimentation and then prioritize its range of big data analytical tools like Cloud Private for
Data

• IBM Watson is portable across multiple public cloud server which gives
businesses a consistent way to build, deploy and run AI models on public cloud
Released Watson to go environments
anywhere • The flexibility of Watson anywhere will encourage more organizations to move
beyond the experimenting phase of AI and hence reduce the fear factor

• Watson Openscale was launched with the aim to improve visibility and control of
Be a Leader in the AI systems and address concerns of the Black Box
Governance of Artificial • The governance mentioned here spans over four domains namely ethical design
and bias; transparency; privacy and security; management and compliance
Intelligence

IBM in 2019 and •IBM can now point to strong differentiators in providing open, hybrid
Beyond and multi cloud services, governance and applied AI for industries.
 AI Consulting IBM’s AI IBM’s product What Lies
Implications
Market Strategy portfolio ahead

IBM AI’s Portfolio

• Watson Studio • Watson Anywhere

• Watson Machine Learning • Watson Assistant
• Watson Developer APIs • Watson Discovery
• Watson Applications • Watson Visual Recognition
• Watson OpenScale • Project Debater

• IBM acquired Red Hat in 2018 at • IBM acquired Truven Health

$34billion Analytics in 2016 at $2.6billion
• IBM acquired Armanta in May Acquisitions • IBM acquired Cleversafe in
2018 November 2015
AI Consulting IBM’s AI IBM’s product What Lies
Implications
Market Strategy portfolio ahead

The new age of

AI would lead
Focus on AI can be used
Turbocharging to upgradation
AI industry is sectors like to create
both core and of labor's skill
expected to Healthcare, personalized
applied which would
grow at a Agriculture, and effective
research and improve
CAGR of Education, learning and
private sector efficiency and
56.7% from Smart Cities, will lead to job
contribution to productivity of
2018 to 2025 Infrastructure creation in
AI research the firm and
and Transport various sectors
thus lead to
cost savings
AI Consulting IBM’s AI IBM’s product What Lies
Implications
Market Strategy portfolio ahead

By gaining expertise in AI Deloitte can be a major AI consultant to

various firms in different sectors of the economy. It can use AI to
predict outcomes based on data analysis wherein it can predict
currency and stock price fluctuations as well.

Considering AI and Machine learning is going to revolutionize

many industrial sectors Deloitte can implement AI tools in its
internal processes and hence reap the benefits in terms of cost
savings and increased productivity in the long run.

With such advancements in the field of AI, Deloitte can use it to

automate customer interactions and provide real-time assistance
to its clients hence reducing the wait time which will help in
improving the customer loyalty and hence lead to customer
retention.

One of the biggest advantages which Deloitte can get by using

Cloud Based AI is that it will be able to quickly discover important
and relevant findings during the processing of big chunks of data.
It will hence lead to insights which wouldn’t normally be captured
and can thus lead to a competitive advantage in the marketplace.