Successful Innovation and Change: AI Solutions for Business Problems

This report provides a comprehensive analysis of how artificial intelligence (AI) is transforming businesses globally. It examines specific business problems and the innovative solutions implemented by companies such as Tech Mahindra, Walmart, Amazon, and General Electric (GE). The report delves into the application of AI in various areas, including HR practices, supply chain management, and manufacturing processes. It critically analyzes these solutions using the Tidd & Bessant 4P's Model of Innovation Space and evaluates the competencies and capabilities of each solution based on Coyne's three conditions. Furthermore, the report explores the future of AI in HR practices and discusses the AI capabilities expected in the next decade, offering insights into how these technologies are driving innovation and business success. The report highlights the use of machine learning, IoT, and business intelligence in these case studies to improve efficiency, predict outcomes, and gain a competitive edge.

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Successful Innovation & Change

Table of Contents
Coursework Cover Sheet........................................................................................................1
Introduction .....................................................................................................................................5
1........................................................................................................................................................5
Business problem solved with AI....................................................................................................5
Existing solutions in global marketplace.........................................................................................6
Analyzing solutions through Tidd & Bessant 4P’s Model of Innovation Space.............................7
Walmart utilizing HANA machine learning................................................................................7
Amazon using IoT for supply chain management.......................................................................8
General Electric using BI, AI for prediction within manufacturing............................................9
2. ....................................................................................................................................................10
Competencies and capabilities of 3 solutions as per Coynes 3 conditions....................................10
Identifying the key attributes.....................................................................................................10
Mapping the attributes...............................................................................................................11
Assessing potential attributes.....................................................................................................12
Value created for end users............................................................................................................12
Competency wheel for the three solutions.....................................................................................13
3......................................................................................................................................................14
Innovation and business success....................................................................................................14
Future in AI in HR practices..........................................................................................................15
AI capabilities in future.................................................................................................................15
Conclusion ....................................................................................................................................16
References......................................................................................................................................17

Introduction
Within the business development in the global marketplace, AI and robotics are important in
improving disruptive innovation, and companies are developing their business strategies to
improve and implement such innovative technologies for developing competitive edge
(Cockburn et al., 2018). In order to accelerate and facilitate the various digital transformations
within the businesses firms are integrating various forms of AI and robotics to keep ahead of
competitors. The report focuses on identifying problems faced by businesses in contemporary
world and the use of AI in solving them. Three challenges, with solutions are to be critically
analysed using innovation frameworks, along with understanding AI predictive analysis in the
next 10 years ahead.
1.
Business problem solved with AI
Issue: HR efficiency is a major issues prevailing in Tech mahindra
 Tech Mahindra, a digital technology firm has recently started utilisng AI in its business
transformation process, that was hampering the HR practices of the company
(Techmahindra, 2020). The main HR tasks which were configured through K2 was in the
recruitment selection process, salary slip generation, grievance redress of employees,
and maintaining attendance of employees over the cloud replacing conventional mode of
marking attendance. The HR Humanoid which integrates robotics and AI, is named K2,
and is applied within Tech Mahindra’s Noida SEZ Campus in India (Techmahindra,
2020).
 Scrutinizing of candidate resumes is also a very time consuming process because there
is are lot of applications that are received for every vacancy position that leads to lot of
unsuitable applicants. For this there is a need to focus on development of some
mechanism that can help in saving of time for scrutinize the application that do not
posses the required level of qualifications.

 There was also another problem within Tech Mahindra where K2 became useful. The
main issue of maintaining daily timesheet for marking attendance reduced the
efficiency of HR department. K2 came to help in here. With K2 and facial recognition of
each employee, marking the attendance have become easy for HR practices
(Techmahindra, 2020).
Existing solutions in global marketplace
Within the global marketplace Some of the solutions using AI has helped businesses
combat tough times and gain competitive advantages.
 Some examples of such solutions include utilisation of machine learning by Walmart
to shape HANA, applying Business intelligence and AI in heavy industry like General
Electric and utilizing IoT in supply chain enhancement of Amazon (Rabah, 2018).
 For solving of process of scrutinizing of candidates there is use of digital forms for the
purpose of uploading of candidate resumes. Artificial intelligence integrated into
functions of human resources will help in better functioning of organizations as there
can be proper analysis, prediction and diagnosis of the problems.
Analyzing solutions through Tidd & Bessant 4P’s Model of Innovation
Space
Walmart utilizing HANA machine learning
Step 1: Paradigm
HANA utilized machine learning or monitoring the overall assembly line system, and improving
assembly line efficiency to improve inventory control issues. From the results of the monitoring,
any change required were duly improved through service inspections (Mujawar and Kulkarni,
2015).
Step 2: Product

The main changes within the product system within Walmart were integrated machine learning
for improving the assembly line (Krishnamachari, 2017).
Step 3: Process
HANA has been performing their operations differently from other software, by replicating all
the assembly line data in the RAM rather than on external disks (Mujawar and Kulkarni, 2015).
Step 4: Position
This technological innovation has positioned walmart as one of the biggest retailers within USA,
helping attract millions of customers (Mujawar and Kulkarni, 2015).
In Walmart HANA machine is linked to human resource management is benefited in form of
able to make data driven decision that can help in better informing. In all large organizations
there can be exploring of technology for different business segments so that solution's can be
developed according to available budget for a organization. HANA is helping to develop
comparable platforms so that there can be accessing of data in available time period along with
use of these applications & analytic for faster decision making in Human resource.
Amazon using IoT for supply chain management
Step 1: Paradigm
Utilizing IoT based on machine learning helps in bringing greater accuracy in the predictions.
IoT along with AI, helps in taking real time augmented decision making through insights,
helping in developing predictive analysis, and bringing strategic objectives (Li and Li, 2017).
Step 2: Product
The main purpose behind applying IoT within supply chain management is enhancing the
operations system processes Amazon. Amazon Prime is one such service utilizing IoT with AI to
improve their innovative SCM.
Step 3: Process
With Wi-Fi enabled services, and connected robots via the KIVA Systems, Amazon can identify
their products with scanning the QR codes and through using built in cameras. Prioritization of

products to be delivered under Amazon Prime is done through AI mechanism and the robots
(Ben-Daya et al., 2019).
Step 4: Position
Positioning is made to ensure the fastest mode of delivery with flexible options, along with
immense care in delivering products to customers.
With the use of proper technology of human resource practices there can be encouraging of
supply chain partners for development of better inter firm relationships for creation of
knowledge sharing routines. It will help in development of streamlines and better coordinates
supply chain in organizations.
General Electric using BI, AI for prediction within manufacturing
Step 1: Paradigm
This had been the issue in various parts manufactured by the business, which incurred huge
losses and recalls. This can be checked using Predix operation management system, wherein IoT
and AI, digitizes physical machinery equipments like trains, trucks, oil rigs, cargo ships, and
accessed via a network (Ge.com, 2020).
Step 2: Product
The main task of Predix is to improve the prediction capacity of the machinery parts and analyze
their failure before any disaster occurs.
Step 3: Process
Predix helps in taking large information, and records information over time, in order to develop
forecasts; and this also helps in developing prediction for machinery across third parties.
Step 4: Position
This helps the end users to develop insight into the expiration of the machinery and providing
maintenance before disasters or product failures (Ge.com, 2020).

From above discussed points it can be said that IoT technology can be be very helpful in
enhancing the effectiveness of present functions that can lead to development of technology that
can assist HR department in performing certain specific functions.
2.
Competencies and capabilities of 3 solutions as per Coynes 3 conditions
Identifying the key attributes
The Coyne principles can be defined that for a company to have competitive advantage against
its competitors they need to some sort of resource or skill that is not possessed by its competitors.
There are only two methods according to Coyne which can provide a company with competitive
advantage one is if the company is able to provide products at cheaper price than that of the
competitor or in case a company is able to provide a number of benefits more than its
competitors.
Coynes three principles are based on three major capabilities that are
1) Resource capabilities: This factor is linked to the overall resources that are possess by a
organization and are helping a organization in its functioning and operational
management.
2) Core competencies: This factors is associated with internal analysis of organization that
is baisc core competence through which they are adopting their strategies created by their
resources.
3) Competitive advantage: It is a factor that is helping in achievement of a differentiation
advantage. Competitive advantage is basically based in three factors such as rate of core
competencies obsolescence in comparison with environmental changes. Availability of
substitutes for core competence and imitability of core competence.

Walmart Amazon
Problems In the case of Walmart, the
main problems arising was
problems in inventory
management and operational
issues.
Amazon facing issues related
to timely delolvery of
products.
Application The company conducts
millions of transactions, across
11000 global locations serving
millions of customers
(Mujawar and Kulkarni, 2015).
Before utilizing AI and
Machine learning, the
company had reduced its
speed, and operational issues,
not able to manage all the
transactions, an reducing their
efficiency in product stoking
and inventory
(Krishnamachari, 2017).
The most important attributes
of this IoT enables supply
chain delivery mechanism i.e.
Amazon Prime delivery is their
speed of delivering the items
to customers (Li and Li, 2017).
Millions of items are delivered
via Prime with fastness and
without additional model.
There are variety of shipping
options, with superfast
delivery, normal and fast
delivery times. In some areas,
the Prime delivery can also be
performed within a day; which
shows the effectiveness and
efficiency of delivery scales of
the business.
Results This has helped the business
provide the high quality
service to their customers. In
comparison to machine
learning SAP HANA of
The platform through
innovative solution, based on
prediction trends and analysis
helps in running, scaling and
providing industrial solutions

Walmart, the AI that Amazon
applies is based on IoT,
wherein through internet
connection, various
instruments are connected to
gain operational efficiency and
wastage reduction.
for machinery used within the
company (Ge.com, 2020).The
platform also integrates edge
technologies, machine
learning, AI, asset
connectivity, big data
processing. The Predix helps
in predicting the repairs
needed and upkeeping the
machinery parts of the product
portfolio of GE.
Mapping the attributes
There can be mapping of attributes for both technologies of HANA and supply chain process is
helping in getting more benefits with time.
Walmart Amazon
Main attributes The attribute of HANA is the
interconnections, speed and
efficiency it helps make in
decisions. If the merchants in
Phoenix ask for the cost of
bananas, the software
automatically screens the
answer even for locations in
India and China, which helps
in improving the execution,
which is all connected through
The supply chain process of
Amazon is its major
competitive advantage, being
the world’s largest e-retailer
and logistics is an important
part of the business in Amazon
(Ben-Daya et al., 2019). The
vast size of the inventory and
stock within Amazon
warehouse is a big task for
manual intensive labour, and

AI. All the transaction records
are connected through HANA
(Mujawar and Kulkarni, 2015).
hence technological integration
is a must for shipping millions
of orders across the globe
through an efficient and fast
supply chain logistics support.
Resources and capabilities There are also machine
learning options along with
analytic utilized through
prediction, data fabrication,
scalable technology, asset
centric digital twins, predix
platform security, connectivity
(Ge.com, 2020).
of Amazon, integrating
Internet and wifi connection
with robots, is essential to scan
ever product through QR
codes and using cameras built
in within. The Predix platform
has own attributes, in
comparison, including various
capabilities like analysis,
visualization, application
oriented tasks through built in
consoles.
Assessing potential attributes
The example of Walmart and machine learning with AI, helps in understanding how technology
and artificial intelligence can act as a sustainable form of business model, helping in utilizing
information for wide scale development of the operations (Ben-Daya et al., 2019). Disruptive
technology generates innovation. Innovation helps in reducing problems of end users, an
provides faster, services of the products.
Both in case of Walmart and in Amazon, inventory, stocking, supply chain logistic, warehouse
management has been widely affected by the utilization of AI and IoT, in order to provide fast
delivery and accessibility of products to customers. Due to high stock options, the machine
learning enables Walmart to direct the information through knowledge sharing that the goods are
being sold faster, through HANA (Mujawar and Kulkarni, 2015).

Value created for end users
All the three cases of machine learning, IoT, business intelligence along with prediction ability
helps in generating value for end users. Walmart’s HANA helps customers find dedicated variety
of goods with proper replenishment after stocks get over and are able to transact seamlessly.
Similarly, Amazon’s delivery speed also enhances customer experiences of shopping, and
prediction ability of GE enables their machineries to have limited flaws and call for maintenance
before product expires.
Competency wheel for the three solutions
Figure: competency wheel of Machine learning-AI
Source: self
Figure: core capabilities in IoT-AI
Source: self
Figure: core capabilities in Prediction of business intelligence- AI
Source: self
In the above Venn diagram it can be seen that each of the three solutions that are available are to
some extent compatible to the structure and functions of the company. The competencies that are
provided for the purpose of machine learning involve high speed computer inter connectivity,
network connectivity, storage etc. AI and IoT can be integrated in the system which can increase
the aspects of connectivity control, device management and actionable data. The major aspects

that are predicted by the means of AI involve prediction of trend, intellectual capacity,
technological integration and visualization of data.
3.
Innovation and business success
Utilizing innovation in business is crucial for the long term success and achieves sustainability
within the business. Innovation is mostly merged within technology, providing some original
efforts which helps in increasing efficiency, reducing time wastage, and helping in achieving
business objectives (Müller and Bostrom, 2016).
Utilizing the next generation innovation like artificial intelligence, big data mining,
business analytics, and machine learning enables in connecting the world with the business,
enables in easier decision making and generating predictive capacity, which increases business
potential. AI in the next generation frontier, which is being invested by various global
businesses in telecom, automobile, healthcare, education, hospitality, retail, entertainment,
digital, financial services industry; and the main motto is to project smart R&D, forecasting;
produce high productivity and maintenance; promote sales and marketing and provide high user
experience (Jha et al., 2017). Machine learning is one of the most important areas, wherein
investment is most followed by computer vision, natural language, smart robotics, autonomous
vehicles, and virtual agents.
Machine learning is one such method. Once this method is being implemented the value
generated by it has to be captured (Makridakis, 2017). The rate of success of this strategy in the
success in HR practices can provide further directions.
Future in AI in HR practices
Following the case of Tech Mahindra’s approach of utilizing K2 for HR practices, AI and ML
have significant usage within the HR policy making within the next 10 years in businesses.
Assisted intelligence helps in performing time consuming tasks, like assisting in attendance of

the workers (Makridakis, 2017). these functions are simplify that earlier had to be performed
manually by human resource managers (Dirican, 2015).
AI capabilities in future
Digital life is changing very fast with disruption of human activities and augmenting of
human capacities, there have been development of code driven systems that are spreading across
more than half of worlds inhabitants connectivity and ambient information with unimaginable
opportunities for organizations (Halal et al., 2017). along with development of artificial
intelligence there are innovators, business & policy leaders, developers, researcher and activists.
Experts are predicting a network of artificial intelligence for amplification of human
effectiveness. There are wide range of possibilities that are exceeding of capabilities and human
intelligence leading to complex decision making, learning & reasoning, pattern recognition and
sophisticated analysis. Artificial intelligence is a major driver of emerging technologies such as
robotics and big data. It is going to assist in technological innovation in coming future of time.

Conclusion
It can be concluded that innovation is at the center of every businesses to prosper and
succeed, and various businesses have made use of innovation through AI assisted Machine
learning, IoT, and prediction ability to solve internal problems and improve the customer
experiences. Use of AI is new, and is being adopted by various businesses and in future AI and
robotics will enable in developing the face of businesses further.

References
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