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Can AI Help Your Company Innovate? It Depends

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Companies need new ways to innovate quickly, cheaply, and productively. Many, quite reasonably, wonder how deploying AI might help. To investigate, we researched how companies are using AI for innovation and found that tools are just tools — success depends on how organizations use these new tools now at their disposal.

Companies that use it for recombination see better results than those that use it for incremental improvements and radical innovation efforts.

To investigate what kinds of innovation AI worked with, the authors performed two studies: first, a survey of 331 firms for practices on process improvement and new technology development, and second, an archival analysis of patent data on new technology development for a broader sample of more than 2,000 publicly traded firms.

 

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