Imagine a business where decisions are powered by intelligent systems that predict trends, optimize operations, and automate tasks. This isn’t a distant vision—it’s the reality of artificial intelligence (AI) in business today.
According to a McKinsey report, AI adoption could deliver up to $4.4 trillion in global economic value annually. This growth is driven by enhancements like optimizing retail supply chains, improving logistics through route optimization, and boosting manufacturing efficiency with predictive maintenance.
For business leaders, the challenge is not only understanding AI but leveraging it effectively to unlock efficiency, drive innovation, and stay ahead of the competition. So, how are companies using AI to achieve these goals?
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DOWNLOAD NOWThe Rise of AI in Business
The journey toward AI-driven business began in the 1980s when finance and healthcare organizations first adopted early AI systems for decision-making. For example, in finance, AI was used to develop algorithms for trading and risk management, while in healthcare, it led to more precise surgical procedures and faster data collection.
In a Parlor Room podcast interview, Harvard Business School Professor Jeff Bussgang, who teaches HBS Online’s Launching Tech Ventures course, discusses his days as a Harvard undergraduate computer science major, reflecting on the early days of AI.
“My field of study in the late 1980s was AI, if you can believe that—natural language processing and neural networks,” Bussgang says. “So with this rise of generative AI and ChatGPT, it's been a Cambrian explosion. So much innovation, so much excitement.”
Related: Listen to the full Parlor Room podcast episode with Bussgang on the rise of AI and raising venture capital, or watch the episode on YouTube.
By the 1990s and 2000s, the rise of machine learning facilitated AI integration in customer service and e-commerce, enabling automated customer interactions and personalized shopping experiences, significantly enhancing user satisfaction and operational efficiency.
Today, AI is a critical tool across industries. Gartner reports that 79 percent of corporate strategists believe AI and analytics will be vital to their success in the next two years.
“I have a strong belief that the future of business is going to be AI-powered,” says HBS Professor Karim Lakhani, who co-teaches the online course AI Essentials for Business with HBS Professor Marco Iansiti. “There’s not one organization, one role that will not be touched by AI tools.”
Given this evolution, AI has become indispensable in modern business. Let’s explore three real-world examples of companies powerfully leveraging AI.
3 Real-World Companies That Use AI in Business
1. United Parcel Service
At logistics giant United Parcel Service (UPS), AI is pivotal in optimizing operations by reducing risk.
For instance, UPS recently addressed a top consumer concern through AI technologies: package theft. According to the Chamber of Commerce, 26 percent of consumers say they’ve had a package stolen, with most of those deliveries taken from residential areas.
To combat this, UPS created DeliveryDefense, AI software that uses historic data—such as location, loss frequency, delivery attempts, and return volume—and machine learning algorithms to assign each location a “delivery confidence score,” rated on a scale of one to 1,000.
“If we have a score of 1,000 to an address that means that we’re highly confident that that package is going to get delivered,” says Mark Robinson, president of UPS Capital, to CNBC. “At the other end of the scale, like 100 . . . would be one of those addresses where it would be most likely to happen, some sort of loss at the delivery point.”
This predictive capability allows UPS to proactively mitigate risks by rerouting at-risk packages to secure locations, such as The UPS Store or UPS Access Points, reducing the likelihood of theft.
Even if your company doesn’t deliver goods, it’s worth considering how AI can help you mitigate other kinds of operational risks. Proactively tackling these problems can enhance customer satisfaction and trust, which are critical to competing in today’s market.
2. VideaHealth
In the healthcare industry, several companies are integrating AI into business operations.
In the dental care field, VideaHealth uses an advanced AI platform to enhance the accuracy and efficiency of diagnoses based on X-rays. It’s particularly powerful because it can detect potential issues such as cavities, gum disease, and other oral health concerns often overlooked by the human eye.
In HBS Online’s AI Essentials for Business course, VideaHealth Co-Founder and CEO Florian Hillen discusses how AI has greatly improved patient diagnostics.
“AI, especially in this diagnostic step—but also later in the treatment planning step—can introduce a more objective, data-driven, and consistent approach toward introducing transparency and trust in this marketplace,” Hillen says in AI Essentials for Business.
The technology also standardizes diagnoses across practitioners by streamlining workflows and minimizing the time required for manual analysis. As a result, VideaHealth reduces variability and ensures consistent treatment outcomes.
By targeting specific industry challenges—such as improving diagnostic accuracy and operational efficiency—VideaHealth illustrates how AI can complement human expertise and automate routine tasks. This strategic use of AI enables businesses to unlock significant consumer value.
3. John Deere
John Deere is a pioneer in integrating AI to revolutionize agricultural practices. Through its precision technologies, the company has helped farmers:
- Optimize crop yields
- Reduce waste
- Enhance efficiency
For example, the company’s See & Spray technology—which distinguishes crops from weeds with remarkable accuracy—utilizes computer vision and machine learning to identify weeds in real time. This targeted approach can reduce non-residual herbicide use by more than two-thirds by target-spraying weeds, leading to significant cost savings for farmers.
In addition, John Deere acquired the provider of vision-based weed targeting systems Blue River Technology in 2017. This led to the production of AI-equipped autonomous tractors that analyze field conditions and make real-time adjustments to planting or harvesting.
John Deere’s use of AI demonstrates how technology can radically boost efficiency. By implementing AI to fine-tune every step of the farming process—from identifying weeds to adjusting tractors in real time—John Deere is able to slash waste and cut costs.
Imagine applying the same precision to your operations and eliminating inefficiencies, streamlining workflows, and making smarter, faster decisions. You’re not just implementing a new technology but leveraging it to bolster your organization’s productivity and give you an edge over the competition.
Implement AI in Your Business
AI is fundamentally reshaping how businesses operate, from logistics and healthcare to agriculture. These examples confirm that AI isn’t just for tech companies; it's a powerful driver of efficiency and innovation across industries.
As you reflect on these examples, consider how AI could address your business’s unique challenges. Whether optimizing operations, enhancing customer satisfaction, or driving cost savings, AI can provide a competitive advantage.
To explore how you can harness AI’s potential in your organization, consider enrolling in HBS Online’s AI Essentials for Business course. Throughout it, you’ll be introduced to industry experts at the forefront of AI who will share real-world examples that can help you lead your organization through a digital transformation.
Are you considering implementing AI into your business operations? Explore AI Essentials for Business—one of our online digital transformation courses—and download our interactive online learning success guide to discover the benefits of online programs and how to prepare.
