Gaurav Tewari, founder and Managing Partner of Omega Venture Partners.
Businesses face a stark choice: adapt swiftly or risk obsolescence. In today’s markets, they must not only adapt to change but also anticipate, influence and ignite it to thrive. As an investor deeply involved in artificial intelligence (AI) innovation, I have observed firsthand how AI is enabling this transformation, redefining what it means to compete in the modern economy.
I believe AI will underpin and expand every digital interaction over the next decade, forcing industry leaders to fundamentally rethink the intersection of technology and strategy. This article explores how AI-driven market adaptation is reshaping business agility, empowering organizations to achieve greater impact, faster and more effectively.
Redefining Business Agility
The exponential growth of data and the predictive power of AI have fundamentally altered the rules of competition. Companies that rely solely on human intelligence risk falling behind. AI enables businesses to operationalize data, make faster, smarter decisions and create a self-reinforcing cycle of continuous improvement.
Traditionally, companies have relied on human intelligence to navigate market fluctuations—often resulting in delayed responses to emerging trends. The sheer scale of today’s data and the complexity of global markets have created conditions where human intelligence is no longer sufficient; to keep up, businesses must leverage the full extent of modern technological capabilities.
Innovative companies are deploying AI to operationalize data, creating continuously improving feedback loops. This proactive approach allows businesses to sense market shifts, learn from them and adapt with agility.
Reinventing Market Adaptation With AI
Amid complex customer needs and rapid change, here are three ways companies can readily leverage AI for competitive advantage:
1. Supercharge strategy with predictive AI.
According to McKinsey research, only 7% of corporate strategy groups used AI in planning at the beginning of 2023. Executives imagine futuristic AI that might replace business leaders in strategy-making but have difficulty finding immediate opportunities to apply AI to foundational aspects of strategy development that can significantly enhance outcomes.
A Gartner survey found that 52% of strategists cite defining clear use cases for new technology as a top challenge. However, the same report detailed that almost 80% of individuals in strategy functions describe AI as critical for success over the next two years. To become adaptable to emerging trends, expand beyond descriptive analytics and pilot AI for predictive purposes such as developing flexible business development strategies.
2. Harness AI for product breakthroughs.
Consider leveraging large language models (LLMs) to analyze vast amounts of unstructured data—such as customer needs, feedback and market trends—and transform it into actionable product development plans. In fact, Harvard Business Review states that AI can “significantly enhance an organization’s capability to conduct robust contingency scenario planning faster and at a much lower cost than conventional processes.”
The ability to rapidly pivot or redesign products and services will be essential for gaining a competitive advantage, especially as markets evolve faster. Companies that harness AI into their product development processes can be better positioned to swiftly respond to evolving customer needs ahead of their competition.
3. Achieve supply chain savings and efficiencies.
Businesses can incorporate AI to build more resilient supply chains while simultaneously improving logistics efficiency. Use it to swiftly analyze large data volumes and simplify complex global supply chains, enabling more responsive decision-making.
AI-driven supply chains are projected to deliver substantial cost savings and efficiency gains by 2033. Early adopters of AI in supply chain management have already linked AI optimization to meaningful increases in revenue, double-digit percentage reductions in inventory and compelling supply chain efficiencies.
Case Studies Of Success
Several companies are already leveraging AI to deliver measurable impact. These real-world examples showcase how AI adoption has driven measurable impact across industries:
Foxconn And Amazon Forecast
Foxconn, a global electronics manufacturer, faced demand forecasting challenges during the Covid-19 pandemic. By implementing Amazon Forecast, an AI-driven solution, Foxconn improved forecast accuracy by 8%. This shift from reactive to proactive planning illustrates how AI can deliver tangible benefits in volatile markets.
JPMorgan Chase Develops OmniAI
JPMorgan Chase developed OmniAI, a proprietary platform that streamlines data preparation and accelerates AI deployment. Previously, data scientists spent 60% of their time on data preparation; OmniAI redirected this effort toward actionable insights. Within a year, OmniAI has supported hundreds of projects, reducing time-to-insight and enhancing decision-making at scale.
American Airlines Leverages Nvidia Quadro
American Airlines revamped its cargo logistics using Nvidia Quadro-powered machine learning, addressing costly cargo no-shows. With 90% accuracy in predicting no-shows and computation speeds 10 times faster than traditional methods, the airline optimized cargo configurations and cut fuel waste—saving millions annually.
Final Thoughts
AI-driven market adaptation is revolutionizing business agility, enabling companies to navigate complexity with unprecedented speed and precision. By integrating AI into strategic planning, product development and supply chain management, businesses can proactively respond to market changes and evolving customer needs. AI adoption is no longer optional; it is the foundation for organizations seeking to lead and shape tomorrow’s markets.
Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?
Read the full article here
