The AI Wave:
Disrupting Global
Organizations
Dr. Ashay Saxena, Product Owner
CRM Platforms
IBM Global Chief Data Office / IBM Confidential / © 2019 IBM Corporation
2
Agenda
➢ Why study Global Organizations?
➢ The era of Artificial Intelligence (AI)
➢ How is AI disrupting global businesses?
➢ IBM Perspective: Integrating AI into Organizational Design
IBM Global Chief Data Office / IBM Confidential / © 2019 IBM Corporation
3
Agenda
➢ Why study Global Organizations?
➢ The era of Artificial Intelligence (AI)
➢ How is AI disrupting global businesses?
➢ IBM Perspective: Integrating AI into Organizational Design
IBM Global Chief Data Office / IBM Confidential / © 2019 IBM Corporation
4
Fundamentals
Global business, or international business, is the production and sale of goods and
services between countries
➢ Encompasses the nuances, politics, and dynamics of doing business in a global
economy
Three major categories:
• Produce goods domestically and sell domestically and internationally
• Produce goods in a different country but sell domestically
• Produce goods in a different country and sell domestically and internationally
Source:
https://online.hbs.edu/blog/post/why-study-global-business
IBM Global
Chief
Data Office / IBM Confidential / © 2019 IBM Corporation
5
Video Link: https://www.youtube.com/watch?v=0ILEA0jIOo8
IBM Global Chief Data Office / IBM Confidential / © 2019 IBM Corporation
6
IBM Global Chief Data Office / IBM Confidential / © 2019 IBM Corporation
7
Agenda
➢ Why study Global Organizations?
➢ The era of Artificial Intelligence (AI)
➢ How is AI disrupting global businesses?
➢ IBM Perspective: Integrating AI into Organizational Design
IBM Global Chief Data Office / IBM Confidential / © 2019 IBM Corporation
8
Video Link: https://www.youtube.com/watch?v=JR3gV1KBOg4
What is AI?
AI refers to the ability
of computer systems
to attempt to mimic
the problem-solving
and decision-making
capabilities of the
human mind.
Computer vision
Data science
Natural language
processing (NLP)
Robotics
Artificial Intelligence (AI)
AI can be defined as a technique that enables machines to mimic
cognitive functions associated with human minds – cognitive functions
include all aspects of learning, reasoning, perceiving, and problem solving.
Human intelligence exhibited by machines
Machine Learning (ML)
Systems that learn from historical data
ML-based systems are trained on historical data to uncover patterns.
Users provide inputs to the ML system, which then applies these inputs
to the discovered patterns and generates corresponding outputs.
Deep Learning (DL)
ML technique that mimics
human brain function
DL is a subset of ML, using multiple layers of neural networks, which are
interconnected nodes, which work together to process information. DL
is well suited to complex applications, like image and speech
recognition.
Foundation Model
Generative AI systems
AI model built using a specific kind of neural network architecture,
called a transformer, which is designed to generate sequences
of related data elements (for example, like a sentence).
1950’s
1980’s
2010’s
2020’s
Imagine sitting in front of the computer and
asking it to do anything that will help make you
more productive in your job.
This is technology that's available today!
Open a purchase order
List new job requisitions
Tell me my sales outlook
Procure materials for new product
AI adoption—more than
doubled since 2017
20%
(2017)
(Source: McKinsey – The State of AI in 2022 – and a half decade in review)
2.5X
50%
(2022)
+AI → AI+
Building blocks
of an AI Strategy
ChatGPT
inspired interest...
Large language model
But there is a
bigger concept…
Foundation
model
Which will
change business
Generative AI
Transformer
Anything
that creates
new content
Great
at text
Unlabeled
data
Incredible opportunities
around enterprise data
Sensor
data
Chemistry
& materials
IT
data
Business
data
Geospatial
Foundation
models
Speech
Programming
languages
(code)
Images
Natural
language
Dialog
The modern-day
AI ladder
AI does the work
Replace your workflows
Automate your workflows
Add AI to your applications
+AI
Collect, organize, grow data
AI+
Agenda
➢ Why study Global Organizations?
➢ The era of Artificial Intelligence (AI)
➢ How is AI disrupting global businesses?
➢ IBM Perspective: Integrating AI into Organizational Design
IBM Global Chief Data Office / IBM Confidential / © 2019 IBM Corporation
20
Placing AI at the core of the business
will transform how we work
Digital Labor
IT Automation
Security
Sustainability
Application
Modernization
Empower individuals to
make better decisions
and deliver faster
outcomes with AI
and automation
Achieve new levels of
efficiency and resiliency
by intelligently
automating your most
essential systems.
Bring intelligence
to security to
dramatically expand
visibility & accelerate
response times.
Capture new
efficiencies
by embedding
sustainability into
daily operations.
Build and modernize
applications that are
composable, APIbased, & event-driven.
Bradesco
giving personal attention
to each of its 65 million
customers with Watson
Bradesco, one of Brazil’s
largest banks, with over 5,200
branches started looking for a
way to increase the speed of
service and improve the level
of personalization for each
client. Working with IBM and
Watson they trained Watson
in Portuguese and in banking.
Watson is now trained on
62 products and answers
283,000 questions a month
with a 95% accuracy rate.
Heineken
Connected thousands of
business-critical applications
To stay competitive in the
aggressive beverage industry,
Heineken developed a set of
integration capabilities to connect
its worldwide network of brewers,
customers, and business
partners, enabling all its
operating companies
to communicate efficiently,
regardless of whether their data
resides in the cloud or on
premises. Integration is the glue
that allows all the processes and
applications in their value chain
to communicate, propelling them
down the path to become the
world’s “best connected brewer.”
Video Link: https://www.youtube.com/watch?v=yts9ydFfFg8
As leaders adopt
AI, they need
to consider
three things:
1
How to create
competitive edge
2
How to scale AI
across the business
3
How to advance
trustworthy AI
Agenda
➢ Why study Global Organizations?
➢ The era of Artificial Intelligence (AI)
➢ How is AI disrupting global businesses?
➢ IBM Perspective: Integrating AI into Organizational Design
IBM Global Chief Data Office / IBM Confidential / © 2019 IBM Corporation
26
Possible Organization Structure
Approaches
1
Functional Focus
2
Enterprise Focus
Org
Org
Existing Business
Function
Existing Business
Function
AI
Existing Business
Function
Existing Business
Function
AI
AI
Video Link: https://www.youtube.com/watch?v=WZMJHh4yz6g
IBM approach to selling AI Products & Solutions:
One global market
Global Integration
High
Standardization
Strategy
Transnational
Strategy
Export
Strategy
Multidomestic
Strategy
Low
Low
High
Local Responsiveness
Let’s get
started!