Saturday, October 12, 2024

Using Artificial Intelligence for Productivity Improvement and Cost Reduction - Industrial Engineering - Case Studies, Use Cases, Research Papers


INDIA PRODUCTIVITY THEME FOR 2024 - Artificial Intelligence (AI) - Productivity Engine for Economic Growth

https://nraoiekc.blogspot.com/2024/02/india-productivity-week-theme-for-2024.html


Free Download - Modern Industrial Engineering: 

Combination of  PRODUCT INDUSTRIAL ENGINEERING (Value),  - Customer Value Engineering, Cost Value Engineering, Design for Cost Efficient Manufacture and Assembly (DFMA).

FACILITIES INDUSTRIAL ENGINEERING (Lean),  

PROCESS INDUSTRIAL ENGINEERING (Minimizing Effort - Machine - Man). Industrial engineers manage cost reduction and productivity improvement and contribute directly to profit increase.

Free Download:

https://www.linkedin.com/pulse/introduction-modern-industrial-engineering-blog-based-kvss/


IIIE 2024 Annual Conference is on the theme of Artificial Intelligence.

Use of AI is exemplary in Industry 4.0 Lighthouse Plants identified by McKinsey - WEF.

Case Studies - Industry 4.0 Light Houses - WEF - McKinsey Award Companies

https://nraoiekc.blogspot.com/2024/01/list-of-industry-40-light-houses-wef.html



Machines of mind: The case for an AI-powered productivity boom

Martin Neil Baily, Erik Brynjolfsson, and Anton Korinek

May 10, 2023

https://www.brookings.edu/articles/machines-of-mind-the-case-for-an-ai-powered-productivity-boom/




AI boosts productivity 14%: NBER case study

Published May 1, 2023

Jim Tyson

https://www.cfodive.com/news/ai-boosts-productivity-nber-case-study-generative-workforce/649110/



Case Study of Improving Productivity in Warehouse Work

Use of AI in the Logistics Sector

https://www.hitachi.com/rev/archive/2016/r2016_06/106/index.html


AI Improves Employee Productivity by 66%

Jakob Nielsen

July 16, 2023


Here are the results:


Study 1: Support agents who used AI could handle 13.8% more customer inquiries per hour.

Study 2: Business professionals who used AI could write 59% more business documents per hour.

Study 3: Programmers who used AI could code 126% more projects per week.

https://www.nngroup.com/articles/ai-tools-productivity-gains/


Boost Your Productivity with Generative AI

by Bernard Marr

June 27, 2023

Harvard Business Review

https://hbr.org/2023/06/boost-your-productivity-with-generative-ai


The economic potential of generative AI: The next productivity frontier

June 14, 2023 | Report


Generative AI applications such as ChatGPT, GitHub Copilot, Stable Diffusion, and others have captured the imagination of people around the world.


Boosting productivity is only the sideshow for AI: Transforming good work into great will be its real benefit

Jan 9, 2024

https://www.weforum.org/agenda/2024/01/ai-productivity-knowledge/


Artificial intelligence and firm-level product

Dirk Czarnitzki , Gastón P. Fernández , Christian Rammer 

Journal of Economic Behavior & Organization

Volume 211, July 2023, Pages 188-205

To the best of our knowledge, this is one of the few papers that address this issue in detail by studying the relationship between AI and firm productivity, using data from a representative, large-scale survey that contains rich information on firms’ AI adoption. We analyze cross-section as well as panel data from the German part of the European Commission's Community Innovation Survey (CIS). Differently to the standard CIS, the German innovation survey for the reference year 2018 included specific questions on the adoption of AI which covered all types of AI methods that can be used in a firm as well as all kinds of business areas where AI may be applied (see Rammer et al., 2022 for more details). This data provides an ideal base for investigating the productivity impacts of the entire diversity of AI applications in firms.


The main findings of this paper are in line with the notion that AI is a productivity-enhancing technology. We find positive and significant associations between the use of AI and firm productivity. This finding holds for different measures of AI usage, i.e., an indicator variable of AI adoption, and the intensity with which firms use AI methods in their business processes. The general positive relationship between AI and firm productivity also holds both for sales-based and value-added-based productivity measures. In addition, our instrumental variables results suggest a potential direct relationship between the use of AI and productivity that is significantly higher in magnitude than our reduced-form results.


Generative AI Can Boost Productivity Without Replacing Workers

The first large-scale study of a ChatGPT-like assistant in the workplace finds that it can benefit less experienced employees — and make customers happier.


December 11, 2023


| by Katia Savchuk


Researchers studied nearly 5,200 customer support agents at a Fortune 500 software firm who gained access to a generative AI-based assistant in a phased rollout between November 2020 and February 2021. During support chats, the generative AI tool shared real-time recommendations with operators, suggesting how to respond to customers and supplying links to internal documents about technical issues.


Compared to a group of workers operating without the tool, those who had help from the chatbot were 14% more productive, on average, based on the number of issues they resolved per hour. The AI-supported agents ended conversations faster, handled more chats per hour, and were slightly more successful in resolving problems. Notably, the effect was largest for the least skilled and least experienced workers, who saw productivity gains of up to 35%.

https://www.gsb.stanford.edu/insights/generative-ai-can-boost-productivity-without-replacing-workers


AI-Driven Productivity Gains: Artificial Intelligence and Firm Productivity

by Xueyuan Gao,  and  Hua Feng 

School of Economics and Management, Beijing Jiaotong University, Beijing 100044, China

Sustainability 2023, 15(11), 8934; https://doi.org/10.3390/su15118934

https://www.mdpi.com/2071-1050/15/11/8934


Ud. 12.10.2024

Pub. 12.2.2024





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