BUSINESS DESIGN AND GENERATIVE AI SCENARIOS: IMPORTANCE FOR BUSINESS UNIT MANAGERS TO IMPLEMENT GENERATIVE AI

Digital Division, Next1 Create Inc.
2025.01.02

introduction

In recent years, Generative AI (Generative AI) has garnered a lot of attention in the business world. Generative AI is a powerful tool for automating and streamlining a wide range of tasks, including code generation, writing, and data analysis. However, in order to effectively implement Generative AI, business design is critical. This article emphasizes the importance of business design when business unit managers implement generative AI and explains its effectiveness through specific examples.

 

BASICS OF GENERATIVE AI AND BUSINESS APPLICATIONS

GENERATIVE AI IS AI THAT USES MACHINE LEARNING TECHNIQUES TO HAVE THE ABILITY TO GENERATE NEW CONTENT BASED ON INPUT DATA. IT IS USED IN MANY TASKS SUCH AS CODE GENERATION, TEXT CREATION, AND DATA SUMMARIZATION. FOR EXAMPLE, IN SOFTWARE ENGINEERING, A GENERATIVE AI CAN SIGNIFICANTLY IMPROVE DEVELOPER PRODUCTIVITY BY AUTOMATICALLY GENERATING CODE AND CREATING TEST CASES. IT IS ALSO WIDELY USED IN INFORMATION RETRIEVAL, DOCUMENT CREATION, DESIGN GENERATION, AND SOFTWARE DEVELOPMENT [2][5].

 

Importance of Business Design

WHEN IMPLEMENTING GENERATIVE AI, IT IS ESSENTIAL NOT ONLY TO INTRODUCE THE TECHNOLOGY, BUT ALSO TO THOROUGHLY DESIGN THE BUSINESS. BUSINESS DESIGN IS THE PROCESS OF ANALYZING AND OPTIMIZING A COMPANY'S BUSINESS PROCESSES. THE FOLLOWING POINTS ARE IMPORTANT

Team management and human resource management

TEAM MANAGEMENT AND PEOPLE MANAGEMENT ARE CRITICAL TO THE IMPLEMENTATION OF GENERATIVE AI. GENERATIVE AI HAS THE ABILITY TO AUTOMATE CERTAIN TASKS, BUT IT CANNOT FULLY REPLACE HUMAN CREATIVITY, CRITICAL THINKING, AND PROBLEM-SOLVING SKILLS. THEREFORE, TEAM COMPOSITION AND HUMAN RESOURCE MANAGEMENT ARE NECESSARY TO EFFECTIVELY COMBINE THE SKILLS OF GENERATIVE AI AND HUMANS. FOR EXAMPLE, THE NISSHIN FLOUR MILLING GROUP HEADQUARTERS HAS INTRODUCED AN INTERNAL INQUIRY RESPONSE SYSTEM USING GENERATIVE AI TO IMPROVE EFFICIENCY[2].

Business Development and Ethics

IMPLEMENTING GENERATIVE AI IS NOT JUST A TECHNICAL PROJECT, BUT ONE THAT AFFECTS THE ENTIRE BUSINESS. WHILE THE USE OF GENERATIVE AI CREATES NEW BUSINESS OPPORTUNITIES, IT ALSO BRINGS WITH IT ETHICAL ISSUES AND RISKS. THEREFORE, BUSINESS DEVELOPMENT AND ETHICS MUST BE THOROUGHLY ADDRESSED; ESTABLISHING AI GOVERNANCE AND ENSURING DATA SAFETY AND SECURITY ARE CRITICAL IN THE IMPLEMENTATION OF AI [3][4].

Specific case study: Improving the efficiency of product planning at 7-Eleven, Inc.

7-ELEVEN HAS SUCCESSFULLY USED GENERATIVE AI TO SIGNIFICANTLY SHORTEN THE PRODUCT PLANNING PROCESS. BELOW ARE SOME SPECIFIC EXAMPLES.

Automation of the product planning process

7-ELEVEN HAS AUTOMATED THE PROCESS OF PRODUCT PLANNING FROM THE INITIAL TO THE FINAL STAGES USING GENERATIVE AI. GENERATIVE AI ANALYZES MARKET RESEARCH DATA AND CUSTOMER FEEDBACK TO AUTOMATICALLY GENERATE NEW PRODUCT IDEAS. THIS PROCESS HAS SIGNIFICANTLY SHORTENED THE PRODUCT PLANNING PERIOD, WHICH PREVIOUSLY TOOK SEVERAL MONTHS, AND INCREASED THE SPEED OF RESPONSE TO THE MARKET[5].

Efficient data analysis and feedback

GENERATIVE AI QUICKLY ANALYZES CUSTOMER FEEDBACK AND MARKET DATA TO EXTRACT KEY INSIGHTS. BASED ON THESE INSIGHTS, THE PRODUCT PLANNING TEAM CAN DEVELOP MORE EFFECTIVE PRODUCTS. GENERATIVE AI ALSO IMPROVES THE OVERALL QUALITY OF PRODUCTS BY PROVIDING SUGGESTIONS ON PRODUCT DESIGN AND PACKAGING.

Role of Business Design

IN THE 7-ELEVEN CASE STUDY, OPERATIONAL DESIGN PLAYS AN IMPORTANT ROLE IN MAXIMIZING THE EFFECTIVENESS OF GENERATIVE AI. THE FOLLOWING POINTS ARE OF PARTICULAR IMPORTANCE

Process Clarification

BEFORE IMPLEMENTING GENERATIVE AI, IT IS NECESSARY TO CLEARLY DEFINE THE PRODUCT PLANNING PROCESS. BY SPECIFICALLY DESIGNING HOW TO UTILIZE GENERATIVE AI AT EACH STEP, THE EFFECTIVENESS OF GENERATIVE AI CAN BE MAXIMIZED.

Data Preparation

GENERATIVE AI GENERATES OPTIMAL RESULTS BASED ON HIGH-QUALITY DATA. THEREFORE, IT IS IMPORTANT TO MAINTAIN MARKET DATA, CUSTOMER FEEDBACK, AND OTHER DATA SO THAT GENERATIVE AI CAN USE THEM EFFECTIVELY.

Team Training

TEAM MEMBERS WHO UTILIZE GENERATIVE AI NEED TO ACQUIRE BASIC KNOWLEDGE OF GENERATIVE AI AND THE SKILLS TO EFFECTIVELY USE GENERATIVE AI. BY PROVIDING APPROPRIATE TRAINING PROGRAMS, TEAM MEMBERS WILL BE ABLE TO EFFECTIVELY UTILIZE GENERATIVE AI.

KM BIOLOGICS INFORMATION RETRIEVAL SYSTEM

KM BIOLOGICS HAS BUILT AN INFORMATION RETRIEVAL SYSTEM THAT UTILIZES A GENERATIVE AI. GENERATIVE AI HAS SIGNIFICANTLY REDUCED INFORMATION RETRIEVAL TIME BY QUICKLY SEARCHING INTERNAL DATABASES AND PROVIDING RELEVANT INFORMATION[2].

Customer Support Information Search

SIMILARLY, THE COCA-COLA COMPANY HAS BUILT AN INFORMATION RETRIEVAL SYSTEM USING GENERATIVE AI ON ITS INTERNAL INTRANET TO IMPROVE THE EFFICIENCY OF ITS CUSTOMER SUPPORT OPERATIONS[1].

Hitachi's Center of Excellence (CoE) Organization

Hitachi has established the Center of Excellence (CoE) organization "Center for Generative AI", which brings together data scientists, AI researchers, and specialists in various business areas who have expertise in generative AI. This organization serves as a foundation for promoting business innovation using Generative AI throughout the company, and a Chief AI eXperience Officer (CAXO) has been assigned to each sector to promote the use of Generative AI[4].

APPLICATION OF GENERATIVE AI TO LARGE-SCALE SYSTEM DEVELOPMENT

HITACHI'S IT DOMAIN HAS DEVELOPED A NEW DEVELOPMENT FRAMEWORK FOR APPLYING GENERATIVE AI TO LARGE-SCALE SYSTEM DEVELOPMENT. GENERATIVE AI IMPROVES DEVELOPER PRODUCTIVITY BY AUTOMATICALLY GENERATING SOURCE CODE, TEST CASES, REQUIREMENT DEFINITION, AND BASIC DESIGN. GENERATIVE AI HAS ALSO BEEN IMPLEMENTED IN MAINTENANCE TO IMPROVE THE EFFICIENCY OF ANOMALY DETECTION, IDENTIFICATION, HANDLING, AND REPORTING REPORTS[4].

Conclusion.

IMPLEMENTING GENERATIVE AI IS NOT JUST A TECHNICAL PROJECT; IT AFFECTS THE ENTIRE BUSINESS. FOR BUSINESS UNIT MANAGERS TO EFFECTIVELY IMPLEMENT GENERATIVE AI, IT IS ESSENTIAL THAT THEY DESIGN THEIR OPERATIONS THOROUGHLY. AS EVIDENCED BY CASES SUCH AS 7-ELEVEN, KM BIOLOGICS, AND HITACHI, GENERATIVE AI CAN IMPROVE OPERATIONAL EFFICIENCY, INCREASE PRODUCTIVITY, AND CREATE NEW BUSINESS OPPORTUNITIES. IT IS IMPORTANT FOR COMPANIES CONSIDERING THE INTRODUCTION OF GENERATIVE AI TO UNDERSTAND THE IMPORTANCE OF BUSINESS DESIGN AND DEVELOP STRATEGIES TO MAXIMIZE ITS EFFECTIVENESS THROUGH SPECIFIC SCENARIOS. IN ADDITION, CLARIFYING OBJECTIVES AND GOALS, ESTABLISHING AI GOVERNANCE, AND CONSIDERING USE CASES ARE IMPORTANT STEPS IN IMPLEMENTING AI[3][4].

 


Citations:.
[1] https://mirai-works.co.jp/business-pro/business-column/generative-ai-case-study
[2] https://officebot.jp/columns/use-cases/generation-ai-case-study/
[3] https://successjp.salesforce.com/ai-solution/articles
[4] https://metaversesouken.com/ai/generative_ai/design-3/
[5] https://metaversesouken.com/ai/generative_ai/case-study/

Digital Division, Next1 Create Inc.
NEXT1CREATE'S DIGITAL DIVISION FOCUSES ON VIDEO PLANNING AND PRODUCTION AS WELL AS SOFTWARE DESIGN AND DEVELOPMENT WITH THE MOTTO OF "MOVING HEARTS AND MINDS" CREATIVITY. WE ARE ALSO WELL VERSED IN GENERATIVE AI AND BLOCKCHAIN TECHNOLOGY, AND HAVE EXPERIENCE IN A VARIETY OF USE CASES. PLEASE FEEL FREE TO CONTACT US FOR MORE INFORMATION.

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