THE ADVANTAGES OF INTEGRATING

ARTIFICIAL INTELLIGENCE IN BUSINESS PROCESSES

Florin OGIGAU-NEAMTIU
Romanian Ministry of National Defense

Abstract: In the current age of information, digitalization is offering

advantages to the organizations proportional to their willingness and determination
to integrate technology. Innovative high tech has determined the developments of
extremely dynamical and demanding operational environments but is also providing
the tools to cope with them. In order to achieve success modern organizations
need to implement highly flexible processes, which can be easily adapted to the
permanent changing input variables or to the customizable output requirements.
The development of artificial intelligence technology and its integration into the
organizational business processes is promising to bring advantages, which could
never be reached by utilizing classical human based processes.

Key words: business process, artificial intelligence, effectiveness, machine

learning, decision-making, process redesign.

1. INTRODUCTION high degree of interconnectivity

and integration is designed between
Every organization relies them. While the first one has been
on three main pillars: people, the basis of designing organization
technology and processes and by management for a long time, in the
integrating these resources, the last years it has been observed that
organization aims to accomplish its such a strategy is hampering the
mission and goals. The management performance of the overall system
strategy towards operating with (M.L. George, 2004). The modern
these resources can take two main highly dynamical environment
approaches: the classical one where where current organizations need to
those resources could be viewed and operate require from them to adopt a
designed to operate independently more complex resource management
with very limited and strict regulated framework in order to increase their
interactions, or a second one, where ability to adapt and thrive (Dell,
a more holistic approach with a 2005).

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ARTIFICIAL INTELLIGENCE IN BUSINESS PROCESSES

While the people and even cross the boundaries of the

technology components are easier current organization (Gartner,
to visualize or comprehend and even 2020) and involve external entities.
have in all organizations dedicated The development of technology
well established corresponding determined an increased adoption of
management structures, the third a service oriented framework within
one - processes - has not generated a modern organizations and such
similar standardized approach. This external processes become more and
domain is currently beneficiating of more frequent.
different strategies and various levels
of attention based on organization 2. BUSINESS PROCESSES
internal complexity, the specific
operational environment and the Because of the huge diversity
domain importance established of organizations, there are numerous
by managers. The organization types of business processes, designed
processes depend extremely on the and particularized for the different
mission, internal entities, external areas of the organization: sales,
partners, legislative framework,
customer service, technical, finance,
technology and most important
production, business continuity,
people. This extremely complex set
procurement, management, etc. All
of factors determine the emergence
of a set of business processes which of them can be divided in three main
is unique to every organization and categories, which are encountered in
are left to the decision managers every organization:
to govern. In addition, due to this • operational processes:
complexity and need for flexibility, processes that are designed to
the creation of a general accepted transform inputs into outputs and
standardized framework for ensuring to create value for the organization.
the development of efficient business Depending on the situation, the
processes was not possible. outputs could be goods, services or
A business processes within both of them. Such processes are the
an organization is the combination vital ones for the organization as they
of a set of activities with a structure implement the main goals and reflect
describing their logical order and the overall reason of its existence;
dependences and having as main • supporting processes:
objective to produce a desired result processes that do not contribute
(Ruth Sara Aguilar-Savén, 2004). directly to the transformation of inputs
Business processes are conducted to outputs but ensure the running
horizontally or vertically within of the main processes by providing
an organization and may or may resources, task synchronization and
not be visible to the customers. life cycle management. Supporting
Sometimes business processes processes are also very important for

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the organization and should be carefully Traditional business processes

considered because the quality of their management emphasizes the
performance directly impact the running operational efficiency realized by
of the operational ones; standardization and automation in
• management processes: order to scale, reduce error rate,
processes used to establish the
improve compliance and minimize
goals, plans and strategies of the
organization. Such processes could costs. This metrics are typical for
be also seen as designed to coordinate classical organization environments
and control the other process. The and do not reflect the dynamics
strategic management process is one of a digitalized changing modern
of the most important management environment.
processes designed to create the Digital businesses are
overall process framework for the thriving growth opportunities for
organization. organizations willing to take the
In the effort of addressing the risks of this novel approach. The
efficiency vector of the business modern world requires an approach
processes the domain of business
to process management, which is
process management was developed.
Business processes management is based on variety, flexibility and
a discipline designed to discover, on the fact that every customer
model, measure, analyze, improve, has different requirements and
optimize and automate (Figure 1) the particularities. Generic processes
business processes (Wikipedia, 2020). cannot ensure varying needs being

Fig. no. 1 Business Process Management

Source: www.sweetprocess.com, last retrieved February 2021

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ARTIFICIAL INTELLIGENCE IN BUSINESS PROCESSES

satisfied efficiently and effectively. and the requirements for increased

The modern metrics from business flexibility and adaptability has put
process management are a a great pressure on them; however
combination between standardization technology offers also a plethora of
and customization but the success opportunities and tools which could
of a modern organization requires help them achieve success.
an operational framework, which Artificial intelligence is the
allows deviation from standards theory and development of computer
when necessary. Organizations need systems able to perform tasks normally
proper processes in order for human requiring human intelligence,
resource at every hierarchical level to such as visual perception, speech
get the right information at the right recognition, decision-making, and
time in order to be able to rapidly
translation between languages.
make, within an agreed framework,
the required change and adapt to the (Oxford Reference, 2020)
new challenge or opportunity. Machine learning is an
application of artificial intelligence.
3. ARTIFICIAL INTELLIGENCE It allows systems the ability to
manipulate data and learn from it
The development of technology without being explicitly programmed
has brought challenges but also to do it. Machine learning uses
opportunities to organizations. algorithms that can be classified in
Indeed, the climate where to operate three main categories (Figure 2):

Fig. no. 2 Types of machine learning

Source: www.brainstormingbox.com, last retrieved February 2021

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3.1. Supervised learning 3.3. Reinforced learning

In supervised learning, In reinforcement learning,
algorithms are trained by using software agents are placed in an
labeled training data alongside environment and seek to maximize
known solutions. The labeled the cumulative reward for their
training data provides models for actions. The significant difference
algorithms to build their training of this algorithms compared to the
database. By employing labeled previous two is that no training data
is needed; the training of the system
pairs of input and output data,
is performed by employing them in
an algorithm will be trained on
cycles of observation and action/
how to map a provided input data
reward mechanisms. This type of
pattern to an output. After training, machine learning can be applied in
an algorithm can be used, with areas such as game playing and for
an accepted error rate, to classify control problems.
input data in a certain category or to
predict future courses of action. 4. ARTIFICIAL
INTELLIGENCE IN BUSINESS
3.2. Unsupervised learning PROCESSES
Algorithms in unsupervised
learning are not given any solutions. Digital transformation is
Instead, with only unlabeled data getting deeply integrated into the
as input, they must attempt to find business processes with artificial
hidden structures and patterns. intelligence leading the effort.
This approach is mainly used for Making artificial intelligence a part
clustering, such as grouping events of business process management
based on common characteristics is gaining a lot of traction for
uncountable benefits that come with
and association, where preferences
it. It helps organizations to automate
and tendencies are identified.
their complex processes system by
The benefit is that the system
developing a dynamic and modern
identifies data patterns without technological environment. Here are
the contribution of the human. some directions in which artificial
The results, for example, could be intelligence can be integrated
personalized supermarket discounts within the business processes with
sent to your phone, an error source associated benefits. It needs to be
identification, a potential new mentioned that not everything can
cyber-attack strategy or a tailored be automatized and replaced by
homepage for a service. technology.

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4.1. Repetitive tasks automation manner, both employee motivation

Automation of the repeated and customer satisfaction are
tasks is one of the most common improved.
applications of artificial intelligence.
Robotic process automation and 4.3. Enhancing decision-making
intelligent process automation are capabilities
technologies based on machine The decision making process
learning and artificial intelligence involves the processing of a
algorithms that are used to replace quantity of data based on a previous
the repetitive work done by humans. understanding of environment in
By employing these technologies, order to establish a future course of
large volumes of repetitive work action. The usage of mathematical
are transferred from humans to models in the process is highly
automated systems increasing beneficial. However, those are
the productivity, accuracy, just simplified versions of the real
responsiveness, while minimizing complex environments and their
error rate. limitations increase the risk of not
taking the right decision at the
right time. By employing fuzzy
4.2. Increasing human resource
systems and neural networks,
motivation
real complex scenarios could be
By integrating automated
much better modelled. Artificial
systems in business processes,
intelligence systems integrating
the human resource is relieved these technologies can then be
from performing the repetitive trained on realistic scenarios with
tasks and reassigned to other all the intricacies and ramifications
activities involving emotional to develop a better understanding of
intelligence, reasoning, judgment, the environment of the decision.
or communication with the Artificial Intelligence can
customer. Employees appreciate the mimic the real systems and can
opportunity to work on tasks that be trained from scenarios or
are less repetitive which stimulates past experience. Uncertainty
their thinking and offer more value and imprecise knowledge can
to their organization. Their active be represented with fuzzy logic
contribution is really making a (Pedrycz Witold, 2008) and artificial
difference and this induces a strong neural networks (Hammerstrom,
sentiment of work satisfaction 1993).
increases their commitment for Augmented decision-making
enhanced productivity. In this processes based on artificial

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intelligence decision models can current organizations and their

assist the managers in decision ability to maximize the value of
support for tasks such as: organize collected data. Artificial intelligence
received data, integrate and algorithms can be integrated into
visualize data, prioritize and filter business processes in order to
event specific relevant data, design compute large quantities of data
an optimal response, assess and collected from various channels,
quantify risks (Phillips-Wren G., which is otherwise unfeasible to be
2006). performed by employing traditional
tools and processes. In this way, it is
4.4. Redesigning processes possible to identify patterns that are
As companies grow more and too complex to be discovered by the
more they develop highly complex human mind. For example, analysis-
processes, which involve many segmenting prospects based on their
internal and external entities. Due buying behavior for marketing
to the high level of sophistication, purposes, detecting trends,
improving the business processes identifying a cyber-persistent threat
is hampered, as it is highly difficult hiding below classical detection
to understand the interdependencies level or even identifying emerging
between them. Business process opportunities in a conflict. Artificial
improvement efforts could intelligence technology can in this
beneficiate upon the usage of an way provide predictive analysis
artificial intelligence platform in of possible courses of action and
order to automatically map the determine faster and more effective
processes and establish the relations decisions.
between them. The data could be
later analyzed by using different 4.6. Decreasing costs
visualization modes based on desired The possibility to process
criteria. Artificial intelligence can be large quantities of data and identify
used to identify critical failure points relations with the information
and even recommend optimization environment can support the
actions for those processes. organizations in decreasing costs
in a multitude of ways: decreasing
4.5. Performing predictive error rate, reassign human for
analysis more productive tasks, eliminating
The high quantity and variety waste from decision cycle, identify
of data coming in short time is risks in supply chain, optimizing
putting a huge pressure on the resource utilization, etc. According

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ARTIFICIAL INTELLIGENCE IN BUSINESS PROCESSES

to a research from Accenture, the customer needs. Chatbot is one

“a successful RPA implementation example of a technique, backed up
can yield a 40 to 80 percent reduction by artificial intelligence technology,
in processing costs, and up to an which is designed to establish a
80 percent reduction in processing direct communication with the
time.” (Acenture, 2017). Even though customer. Such techniques improve
initially there are some investments the customer experience by helping
in adopting and integrating the new to create a transparent platform of
technology within the organization communication between entities.
in less than a year most enterprises
already reported a positive return 4.8. Improving organization
on investment (UiPath, 2020). The adaptability
technology is highly flexible and Modern organizations have
even the initial costs can be lowered to operate within an extremely
by adopting a scaling up program dynamic environment and their
based on performance. success depends greatly upon their
ability to take advantages upon
4.7. Improving customer opportunities. This requires for
experience the organization to have processes
When first introduced which enable rapid data collection
into organizations artificial and processing, quick and efficient
intelligence was considered only command and control system and
a cost decreasing tool. However, highly flexible reaction tools. Their
improving the customer experience organizations structure is being able
has emerged as another highly to permanently adapt on short notice
appreciated characteristic. Artificial to the new environment.
intelligence-based business The internal business processes
processes provide accurate insights are defined by complex interlaced
into customer’s behavior, offer relationships which, in order to
virtual customer assistance and support the dynamical organization
triage, predict maintenance and needs, require themselves to have
upcoming repair needs, connect a dynamical nature and be able to
right service staff to customers, modify the way they operate or their
prevent fraud, expedite customer outputs. Because of complexity
complaints and enquiries. Such and impact, such efforts are usually
systems can build customer profiles extremely difficult and require long
and can identify market trends or and complex processes, which are
propose products most suitable to not operationally effective.

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