Businesses are increasingly demanding AI solutions that deliver accuracy, security and flexibility, especially as they integrate with existing ERP systems and seek tailored, scalable options that drive significant business transformation.
THE Mastering ERP Summit will take place in London on December 12, bringing together ERP and AI professionals with industry experts to collaborate on best practices for innovative core ERP applications using AI. Abigail Allman, head of GTM and partnerships at Resulting IT, and CEO and founder of the Women in ERP (WERP) podcast, is one of several industry experts hosting several talks at the summit. This article by Allman is an overview of his next sessions for Mastering ERP 2024, discussing how to enable AI in your ERP framework and how the GenAI playing field has grown over the past year.
I’ll dive into two interconnected areas of AI implementation during Mastering ERP, with the first session focusing on the ‘Build, Buy or Partner’ strategic decision framework, where I’ll leverage my expertise as a manager partnerships at Resulting IT to guide organizations through choosing the most effective AI integration path. We will examine how to balance these options to align with business objectives, manage resources and overcome integration barriers, ensuring a sustainable approach to AI amid rapid technological evolution.
The second session, a panel discussion on responsible and ethical AI, will draw on learnings from my role as host of the WERP podcast. Here, we will explore the ethical imperatives of transparency, fairness, and accountability, and discuss strategies to mitigate human bias. AI’s potential to help us direct and orchestrate rather than simply automate will be key to its ethical implementation and strategic advantage.
AI developments over the past year
Last year, AI moved from experimental projects to core business functions. Extended language models (LLM) and specialized language models (SLM) are reshaping areas such as customer service and data analytics. Through the WERP podcast, I’ve seen leaders increasingly demand scalable, personalized AI solutions that drive decision-making and efficiency in complex ERP systems. While attending SXSW earlier this year, I heard speakers talk about the world of work entering an era of creative generalists, smaller, agile teams who will use AI to make a big impact – in focusing on skills rather than traditional job titles.
Choosing the Right AI Strategy: Build, Buy, or Partner
The decision to build, buy, or partner for AI is shaped by an organization’s data expertise, AI maturity, and strategic goals. Companies with strong data resources and capabilities may choose to create custom solutions to gain a competitive advantage. Standard AI works well for those who need reliable and fast solutions, especially if they lack deep AI skills. The partnership is ideal for organizations that want to remain agile while leveraging external expertise, bypassing internal development delays. A lot SAP Customers beginning their transition to S/4HANA are ensuring their systems are optimized for AI from the start, taking a constant refresh approach, which is essential as we approach an era where 100 years of progress occurs every five.
Customer Preferences for AI Solutions
From customer discussions, it is evident that large enterprises are prioritizing the accuracy, security, and flexibility of AI solutions. LLMs are popular for general applications such as customer engagement, while SLMs are favored in industries requiring detailed, context-specific functionality, such as pricing or inventory management. Customers are looking for AI tools that easily integrate with ERP systems such as SAP or IFSeasily meeting cross-platform challenges. This approach aligns with the need for organizations to focus on projects rather than rigid roles, ensuring that AI meets diverse and evolving needs.
The customers I meet regularly express a need for AI solutions that integrate seamlessly with existing systems, especially as many begin their migration to SAP S/4HANA. Rather than isolated AI tools, customers want solutions that improve supply chain analysis, code identification, pricing optimization and change management initiatives. This approach reflects the shift toward a “jobs are dead, long live work” mentality, in which AI supports meaningful business transformation rather than simply automating tasks. The focus on project-based AI implementation aligns with the concept of “multi-bot ideation,” in which AI serves as a powerful ally in solving complex problems.
Insights from global AI discussions
My travels this year have revealed a global recognition of the transformative potential of AI, although approaches vary. Concerns about data privacy and compliance coexist with the search for scalable and impactful solutions. There is strong interest in sustainable and ethical AI practices, underscoring broader awareness of the societal impact of AI. However, I often encounter AI for AI’s sake – initiatives that lack strategic direction. Poor leadership and a technology-driven mindset are bigger threats than AI itself. Amid the enthusiasm, there is also anxiety around job security, as people sense a shift towards agent-led organizations focused on skills and projects rather than traditional roles . This mix of anticipation and caution demonstrates the dual role of AI, both a tool for efficiency and a disruptor of the status quo.
As mentioned above, I attended SXSW 2024, which highlighted AI as a transformative tool that improves our humanity. Peter Deng (VP, Open AI) described AI as a “thinking partner” that helps us move from simply providing answers to asking deeper, more complex questions. He sees AI as a way to advance knowledge, even stating that he would include it in his legal team if necessary. As OpenAI strives to make AI more inclusive globally, it has suggested transparency with a proposed “certified human” label to maintain integrity.
These ideas echo Ian Beacraft’s (CEO of Signal and Cipher) vision of the future workforce, where agile teams focus on skills rather than rigid roles, where entrepreneurs can become billion-dollar companies with enormous impact thanks to the AI tools available at their fingertips. He called it “Ultimate Flex.” This future of AI is about enabling people to use tools thoughtfully, advancing work and creativity while remaining grounded in ethical practices.
Don’t miss the opportunity to learn more from experts in the field like Abigail: register your interest and learn more at the Mastering ERP event. here, taking place at Park Plaza London Riverbank on December 12, 2024. The conference will be a complementary event at the ERP Today Awards 2024 celebration eveningoffering a learning and discussion-based summit in one place providing the critical insights and key connections ERP Insiders need to plan and execute their AI in enterprise resource planning projects for the next year and beyond.