Artificial intelligence is moving from an emerging technology to a practical business tool. For many companies, the question is no longer whether AI exists, but whether they can use it effectively enough to remain competitive.
Small and medium-sized businesses are already using AI for tasks such as content creation, customer communication, administration and data analysis. Research from Goldman Sachs found that 76% of surveyed small businesses were using AI in 2026, while 84% of those using it identified increased efficiency and productivity as a primary benefit.
For businesses operating under pressure from rising costs and limited resources, these improvements can make a difference.
Doing More with Less
One of AI’s biggest advantages is its ability to reduce repetitive work. Tasks such as drafting documents, organising information, responding to common customer questions and preparing reports can be assisted by AI tools.
This can give employees more time to focus on activities that require judgement, creativity and direct customer interaction.
For an SMME with a small team, improving productivity can be particularly important. The objective is not necessarily to replace employees, but to help a limited workforce accomplish more.
Keeping Up with Competitors
Businesses compete on price, service, speed and customer experience. If one company can respond to customers faster or complete administrative work more efficiently, competitors may eventually need to find similar improvements.
This is one reason AI adoption is increasingly becoming a competitive issue rather than simply a technology decision.
Research from JPMorgan Chase Institute also shows that AI adoption among small businesses is accelerating, although adoption remains uneven across industries and businesses.
AI Must Solve a Real Problem
Adopting AI does not mean buying every new tool that becomes available.
Businesses should first identify problems that are costing time or money. This could include slow customer responses, repetitive administration, inefficient marketing processes or difficulty analysing business information.
The right AI solution should address a specific problem and produce a measurable improvement.
Skills and Strategy Matter
AI adoption also requires employees who understand how to use these tools responsibly. Businesses need to consider training, data protection, accuracy and human oversight.
PwC’s 2026 research found that many African organisations are experimenting with AI, but fewer are successfully scaling it across the organisation.
For businesses, survival may therefore depend less on simply adopting AI and more on learning how to use it effectively.
AI is not a guarantee of success. However, businesses that learn where it can improve productivity, customer service and decision-making may be better positioned to compete as the business environment continues to change.
