Artificial intelligence for SMEs

Dr. Tanja Jovanovic - Head of Technology and Innovation Management - addresses a clear statement to Bavarian SMEs with her statement in the headline. Expert Dr. Dominik Dellermann - Founder and Managing Director at vencortex confirms: "If SMEs don't address the issue of AI, they will be left behind in many areas in the coming years." Read the full interview to find out the background.

Tanja, why do you think that SMEs should focus on artificial intelligence?

Dr. Tanja Jovanovic: We live in a very disruptive time. Technologies are evolving rapidly and competitive pressures are increasing. The digitization is advancing and as a result, data volumes are eventually increasing. We as individual humans can no longer process this volume of data - and we don't have to, because this is where artificial intelligence can help us as a tool. An example from everyday life is the voice assistant on our smartphone. Also in medicine AI is applied to speed up diagnostics. Likewise, artificial intelligence can enable the development of new business models and innovations more quickly.

Are we already using AI at Bayern Innovativ?

Dr. Tanja Jovanovic: Yes, we have, for example, established the Experten Netzwerk Bayern . This is a platform based on artificial intelligence. Or explained more simply: it is a kind of question-and-answer system. Users can ask questions and the AI in the background learns from the answers which answerer is an expert on the topic and whether knowledge is already available for a topic. We use this digital platform throughout Bavaria's innovation ecosystem. What this means for my personal day-to-day work is that I can use artificial intelligence to research information more quickly and identify experts for certain topics. I no longer have to spend half the day on the phone asking questions. If we use AI cleverly, it really makes work easier!

Why do many companies still have reservations about using artificial intelligence?

Dr. Tanja Jovanovic: There is a lack of a kind of translator who explains the topic clearly to large corporations, SMEs, but also interested "ordinary citizens" using practical examples. There is a lack of technical expertise, especially in small and medium-sized companies. There is also a fear of losing control over processes and decisions in the company. In addition, AI is an investment issue that not every company can afford. And finally, data protection also plays a role - not exactly a favorite topic for most of us. That's why dangerous half-knowledge usually exists.

Dominik, how do you assess the development of AI in companies in the future?

Dr. Dominik Dellermann: I see the development as problematic because we are technologically behind in Germany. In addition, there is unfortunately still a very rudimentary understanding of digitization. I often observe that companies decide overnight to establish an AI department without those responsible being able to realistically assess the effort involved and possessing the necessary know-how.

I like to illustrate my statement with the following example: an automotive company decides to develop a new drive system for e-cars. The company knows exactly what scale it needs to put together the team and when the first results can be expected. When it comes to artificial intelligence, it is usually the case that two employees are named who have done something in this direction at some point. In addition, the first results are expected to be available soon because digital works faster in principle. So there is a lack of routine in practice, which is why frustration in companies is currently high. Accordingly, a lot of educational work is still necessary, also with regard to the already mentioned topic of data protection.

Final question: Artificial intelligence - an opportunity or threat for SMEs?

Dr. Dominik Dellermann: Definitely an opportunity. It is a matter of approaching this technology properly and, if necessary, also getting partners on board if you do not have the necessary know-how yourself. Often, there are even solutions already available that a company could access. But in Germany, we like to do everything ourselves. But you can often achieve much more in partnership. The right approach is to live innovation together. Then AI becomes a huge opportunity. And I would rather put it the other way around: If SMEs don't address the issue, they will be left behind in many areas in the coming years. And that is a real threat to their existence!

The interview was conducted by Dr. Kord Pannkoke, Head of Business Development at Bayern Innovativ GmbH.

Listen to the full interview as a podcast: