A practical on-ramp to innovation
As enterprises embark on generative AI initiatives, they require rich data sources that reflect their unique realities. ERP systems, such as SAP, hold this critical input. Recent research from the IBM Institute for Business Value reveals that organizations applying gen AI solutions to SAP data are experiencing greater profitability and are well-positioned to take full advantage of gen AI innovations.
What's driving this synergy between ERP systems and gen AI? Three reasons stand out:
- Sheer volume and variety of data: ERP systems provide the foundation for gen AI models to learn and generate highly relevant outputs.
- Inherent structure and organization of ERP data: This enables gen AI models to process information more efficiently and extract valuable insights with greater accuracy.
- Intrinsic trust in ERP data: Since businesses rely on ERP systems for core operations, they strive to sustain accurate, well-maintained, and secure data, which boosts confidence in gen AI models trained on this data.
To capitalize on this potential, organizations must think hard about the critical prerequisites to SAP-specific gen AI success. At a minimum, they must get their cloud infrastructure, talent, and governance right. By doing so, they can accelerate their gen AI adoption, drive innovation, and reap the benefits of SAP-specific gen AI initiatives.
Critically, given the breadth of potential gen AI use cases, organizations must prioritize those activities that can be improved with gen AI solutions today and into the future. By urgently instituting enterprise-wide gen AI governance to keep gen AI priorities aligned to desired outcomes and by embracing strategies in support of the prerequisites outlined above, organizations can unlock the full potential of gen AI in ERP systems to drive innovation, growth, and profitability.
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