July 27, 2017

Disruptive Technology Chatbots Part 1

Chatbots distruptive technology

Disruptive technology chatbots:

Disruptive technology, digital or physical, has been at the cornerstone of increasing productivity. Does this mean that by simply using new technology the productivity of the business will automatically increase? The answer is no, there are more steps that need to be consider to fully unleash potential of the new technology. The same holds true if you want to integrate a chatbot to your current business model or in some of your business processes.

Steam engine vs Electrical engine:

A brilliantly described example from The Second Machine Age refers to the replacement of the steam engine by electric engine in factories. Even though electric engines were more efficient in transforming input into torque, there was not an immediate increase in productivity.  Why is that? To understand the reason behind this lag in productivity increment, one needs to consider the specifics of each type of these engines.

Steam engines were traditionally big and bulky, power being transmitted via a central axle to other devices. If the axle was too long, the torsion involved would break it.  Such proprieties of the steam engine played an important role in the layout of the factory buildings and machinery. Engineers made use of the all three dimensions to make things work. Putting equipment on floors above and below the central steam engine, to minimize the distance involved. This also made it impossible for the principle of natural flow of materials to be implemented.

Years later the steam engine was replaced by the electrical engine. However what the engineers did, was simply to replace the big bulky steam engine with a big electrical one. Such changes did not help increase productivity dramatically. It took thirty years, enough time to replace the old generation of managers and engineers, for the true increase in productivity to happen. The new concept was of using one single and smaller electrical engine, for each piece of equipment. The properly applied technology, allowed for a new layout of the factories. It was based on the powerful principle of the natural workflow of materials. All these factors as well as other complimentary innovations helped productivity increase three or even four times.

Disruptive technology chatbots conclusions:

Developing a Chatbot Questions

Developing a Chatbot Conclusions

The takeaway from this short story is simple: a simple copy-paste implementation of a certain process with a chatbot, will not give you the most competitive advantage. You cannot simply copy-paste a process to a chatbot, and expect to get maximum gain. For best results you need to rethink and re-engineer the whole process.  A common mistake businesses that implement chatbots do, is resting on the assumption that since they are implementing a new technology, they are well aware of all the benefits it brings. Those people could have not been more wrong.

As described earlier you need to carefully consider what exactly a chatbot can do for your business? What are the best ways you can implement it? Am I fully using the potential of my chatbot for my business? Do not be afraid to allocate time and resources, and reach out to get proper consultancy on implementing a Chatbot.

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