Boosting Efficiency and ROI in the MSME Sector through AI

The world’s MSME sector contributes nearly 50 percent to the world GDP and employs over two-thirds of the worlds’s workforce. With responsible AI adoption, the MSME sector is experiencing a transformative shift with the adoption of Artificial Intelligence (AI). This technology, once considered futuristic, is now an essential tool for enhancing operational efficiency and driving Return on Investment (ROI) across various industries like agriculture, healthcare, and manufacturing. Re-skilling and training the existing workforce also enables the right combination of resource alignment and AI adoption. By embracing responsible AI practices and seeking expert guidance, MSMEs can unlock tailored automation solutions that not only boost productivity but also cut down on operational costs. Real-world applications of AI, from providing personalized crop advice to early detection of design flaws in manufacturing, highlight the tangible benefits AI offers to businesses of all sizes.

Discussing with experts and AI consultants can help MSMEs unlock tailored automation opportunities that boost productivity and reduce cost overheads. One of the key aspects for MSMEs is to have an AI implementation roadmap which is customized to its growth plans.  Real-world examples are already proving its potential. Agro-tech startups are using AI to provide real-time crop advice to farmers based on soil and weather data. Manufacturing companies have adopted AI-powered Vision-AI, Edge AI IOT implementations as well as digital twins to detect design flaws early, reducing rework and material wastage.

These examples underscore that AI is not exclusive to tech giants but is actively empowering MSMEs to compete, scale, and thrive.  Driving Operational Efficiency and Cost Reduction

Automation through AI not only streamlines manual tasks but also leads to a significant reduction in operating expenses, with reports suggesting an average OPEX decrease of 20-30%. This shift towards data-driven decision-making enhances operational efficiency and enables businesses to make informed choices based on real-time insights. From logistics to manufacturing optimization and yield improvements, AI tools are replacing time-consuming workflows with real-time, data-driven efficiency. Impact on Jobs and the Need for Re-skilling

While AI adoption may impact certain low-skilled roles, it also creates new opportunities in AI implementation, data modeling, and customization. Re-skilling and training the workforce to adapt to these changes is crucial for maintaining the balance between increased productivity and employment stability within the MSME sector.

WGTech works with and helps MSMEs with customizing AI solutions for specific use cases offering a short and long term AI implementation roadmap that ensures budget adherence and ROI.

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Written By:

Kannan Srinivasagam​ Founder & CEO, WG Tech

Technology and product executive with diverse and extensive experience (25+years) in engineering, business development, sales and marketing. Demonstrated track record of growing businesses in the networking, automotive and consumer domains having delivered multiple products from marketing requirements to multi-year product shipments. Diverse skillsets including managerial, visionary leadership and technical account positions managing portfolios and teams in end-to-end product design and development.