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AI to take over ERP?


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Over the past couple of years, we have seen tremendous growth in the field of AI. Tech giants like Google and Facebook are making rapid advancements in this field with deep learning techniques, convolutional neural networks, corpus of training data et cetera. For instance, Google’s DeepMind recently defeated humans in the ancient Chinese game of Go. But all games aside, AI will one day replace ERP.

At least Tom Siebel, founder of Siebel systems, thinks so. He has been in the field of information technology for around four decades and he is sure that AI will soon be replacing the enterprise application software. He quotes an example of customer relationship management (CRM), which will be absolutely replaced. “The next generation CRM is all about the device you have in your front left pocket or maybe your hand… masses of data that we can collect and we can provide to use to provide value-added services to people in terms of the next-best product or next-best offer”.

And he believes that is how CRM looks in the future. The next generation of CRM will meet AI. This means there will be more accurate revenue forecast, product forecast, more persistence and value added customer service capability and also providing human assistance through customer service personnel.

But the database doesn’t go away. “So I think it does replace the CRM market but it doesn’t replace the database market. It leverages it”, he adds. He’s saying that we won’t be throwing away all our database programming logic, triggers, procedures and built-in functions. Siebel points out that the programming logic has been there for decades to support the actual business processes that many companies use to run their daily business.

And it is not just Siebel who has this opinion on AI. Dan Magid of Rocket Software has been advocating this digital transformation. President of HarrisData, Lane Nelson too thinks the same. He says the days of employees sitting behind a 5250 green screen typing on a keyboard are numbered. We may not be getting rid of low-level codes or order-to-cash processes. But, the way humans interact with software is going to change.


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