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20 Game-Changing AI Tools Every Small Business Leader Needs Now

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Small businesses aren’t really so small; in fact, they make up around 90 percent of industry and generate close to 50 percent of global GDP.

This means that while superscale giants like Amazon and Google may make headlines developing and selling AI tools, it’s often the global network of innovators, entrepreneurs and dreamers running small businesses that will create real value with these tools.

If that’s you, then AI can help out with much of the heavy lifting involved in marketing, administration, compliance, customer service and more.

So, here’s a rundown of some of the best AI tools I’ve come across. These tools make it easy for any business owner, sole trader, or self-employed tradesperson to join the AI revolution.

Five Of The Best

Adobe Express

Express is like a cut-down version of the full Adobe suite of productivity tools, powered by genAI and Adobe’s proprietary Firefly AI engine. It is primarily aimed at helping with the creation of marketing materials and assets, including videos. A key selling point of Adobe’s genAI offerings is that they are entirely trained on data that Adobe actually owns, heading off any problems that might appear further down the line with changes to regulations around AI and copyrighted works.

Descript

Probably the simplest way to start creating and editing video content for business marketing, with the ability to create, cut and rearrange videos simply by editing the transcript. Generative AI is used to power automatic transcriptions, as well as powerful functions like overdubbing with cloned AI voiceovers, virtual green-screen backgrounds and removal of filler words and clumsy-sounding “uhms” and “errs” from recorded speech. A fantastic tool that can hugely reduce the cost and need for technical expertise when creating business videos.

Freshdesk Freddy AI Copilot

AI helpdesk agent that can answer customer questions, escalate them when human intervention is needed, and autonomously take action, such as issuing refunds. Customer service is quickly becoming one of the hot use cases for generative AI, with its ability to provide instant 24/7 help and become more efficient as it learns about your customers’ common pain points. Freddy analyses the sentiment of customer communications to draft knowledge-based articles and FAQs. With a new SME-friendly service level and price point, Freshdesk

Salesforce Agentforce Assistant

Customer data holds all sorts of clues to business success—imagine if you could just talk to it and ask it questions. Well, that’s the idea behind Salesforce’s genAI CRM assistant, formerly known as Einstein Copilot but now part of the Agentforce agentic AI suite. It can dive into your customer data to answer in-depth questions and identify new business opportunities. With a ton of domain-specific knowledge acquired by Salesforce over many years of operation, Agentforce Assistant can also craft sales emails, intelligently update and track customer records and generate follow-up tasks.

Microsoft 365 Copilot

What makes this great is that it essentially adds AI assistance to the popular Office tools that have long been the backbone of small business productivity. Outlook, Word, Excel, PowerPoint, Teams and more all benefit from the integration of Copilot, meaning that everything from drafting emails and web copy to creating presentations and analyzing data can be automated and managed with natural language prompts. In Excel, for example, Copilot can recommend formulas, create visualizations and spot trends in your business and customer data. In PowerPoint, it designs slide decks, and Teams conversations, collaborative working and meetings can be summarized, automatically generating action points and workflow schedules. More advanced AI users can even use it to build autonomous agents capable of complex workflows with minimal human intervention using Copilot Studio.

More Great Small Business Generative AI Tools

If none of those tick all the boxes you need, take a look at some of these options:

Buffer

Buffer is designed to help small businesses build their social audience, with a generous free tier that provides access to its AI assistant features.

Canva Magic Studio

Creates everything from branded social media graphics to animated marketing videos from simple prompts.

Grammarly

The great thing about this genAI grammar and writing tool is that it integrates with just about everything from Word to your web browser, meaning advice and content suggestions are available across all your tools.

Jasper

Copywriting tool optimized for creating business marketing copy and blogs.

LiveChat

Set up and run automated chatbots to talk to your website visitors and convert them into subscribers or customers.

Mailchimp

Email marketing is still a great way to get your business noticed and start generating repeat customers, and Mailchimp’s generative AI functionality lets you automate the process as well as quickly generate branded, optimized content for your campaigns.

Monday

Monday is a project management and collaborative working platform, and now you can chat with it in real time to get live insights into your projects and workflows, as well as automated decision-making, such as matching team members to the tasks they are best positioned to complete.

Otter

Otter is an automated meeting assistant that takes notes, creates summaries and delivers action plans by analyzing the chatter during team or client online meetings.

Sage

The popular self-service accounting package now lets business owners automate invoicing and payments. It can even answer questions about bookkeeping and provide insights into cash flow using natural language.

Shopify Sidekick

Millions of businesses use the Shopify platform to simplify their e-commerce operations, and the new built-in Sidekick AI assistant helps out with routine tasks like drafting product descriptions as well as in-depth analytics for business insights.

Tableau Pulse

Thanks to AI, even smaller organizations can benefit from data analytics and the insights it can surface. Pulse is a simplified, AI-powered version of the popular data analytics platform, tailored for smaller businesses and designed to be accessible to anyone, not just data science experts.

Sprout Social

Who needs a dedicated social media manager? Sprout Social helps businesses surface trends with automated social listening and insights and then quickly drafts polished, effective posts.

Tidio

Create and deploy automated sales and customer service agents.

Wix AI Website Builder

The first step to getting a business off the ground is often a great website, and DIY platform Wix now features an AI assistant bot that will build it for you from simple prompts.

Xero

Another AI-powered accounting package that has just launched a new low-price plan tailored for small business owners and sole traders who want to get started with AI.

The AI revolution isn’t just for large companies with big budgets. Small business owners who embrace these tools today will find themselves better positioned to compete, scale, and thrive in an increasingly digital marketplace. Whether you’re a sole trader looking to automate your first customer service bot or an entrepreneur ready to transform your entire workflow, the future of small business success lies in making AI a valuable team member.



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Does AI actually boost productivity? The evidence is murky

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There’s been much talk recently – especially among politicians – about productivity. And for good reason: Australia’s labour productivity growth sits at a 60-year low.

To address this, Prime Minister Anthony Albanese has convened a productivity round table next month. This will coincide with the release of an interim report from the Productivity Commission, which is looking at five pillars of reform. One of these is the role of data and digital technologies, including artificial intelligence (AI).

This will be music to the ears of the tech and business sectors, which have been enthusiastically promoting the productivity benefits of AI. In fact, the Business Council of Australia also said last month that AI is the single greatest opportunity in a generation to lift productivity.

But what do we really know about how AI impacts productivity?

What is productivity?

Put simply, productivity is how much output (goods and services) we can produce from a given amount of inputs (such as labour and raw materials). It matters because higher productivity typically translates to a higher standard of living. Productivity growth has accounted for 80% of Australia’s income growth over the past three decades.

Productivity can be thought of as individual, organisational or national.

Your individual productivity is how efficiently you manage your time and resources to complete tasks. How many emails can you respond to in an hour? How many products can you check for defects in a day?

Organisational productivity is how well an organisation achieves its goals. For example, in a research organisation, how many top-quality research papers are produced?

National productivity is the economic efficiency of a nation, often measured as gross domestic product per hour worked. It is effectively an aggregate of the other forms. But it’s notoriously difficult to track how changes in individual or organisational productivity translate into national GDP per hour worked.

AI and individual productivity

The nascent research examining the relationship between AI and individual productivity shows mixed results.

A 2025 real-world study of AI and productivity involved 776 experienced product professionals at US multinational company Procter & Gamble. The study showed that individuals randomly assigned to use AI performed as well as a team of two without. A similar study in 2023 with 750 consultants from Boston Consulting Group found tasks were 18% faster with generative AI.

A 2023 paper reported on an early generative AI system in a Fortune 500 software company used by 5,200 customer support agents. The system showed a 14% increase in the number of issues resolved per hour. For less experienced agents, productivity increased by 35%.

But AI doesn’t always increase individual productivity.

A survey of 2,500 professionals found generative AI actually increased workload for 77% of workers. Some 47% said they didn’t know how to unlock productivity benefits. The study points to barriers such as the need to verify and/or correct AI outputs, the need for AI upskilling, and unreasonable expectations about what AI can do.

A recent CSIRO study examined the daily use of Microsoft 365 Copilot by 300 employees of a government organisation. While the majority self-reported productivity benefits, a sizeable minority (30%) did not. Even those workers who reported productivity improvements expected greater productivity benefits than were delivered.

Prime Minister Anthony Albanese has convened a productivity round table in August.
Lukas Coch/AAP

AI and organisational productivity

It’s difficult, if not impossible, to attribute changes in an organisation’s productivity to the introduction of AI. Businesses are sensitive to many social and organisational factors, any one of which could be the reason for a change in productivity.

Nevertheless, the Organisation for Economic Co-operation and Development (OECD) has estimated the productivity benefits of traditional AI – that is, machine learning applied for an industry-specific task – to be zero to 11% at the organisational level.

A 2024 summary paper cites independent studies showing increases in organisational productivity from AI in Germany, Italy and Taiwan.

In contrast, a 2022 analysis of 300,000 US firms didn’t find a significant correlation between AI adoption and productivity, but did for other technologies such as robotics and cloud computing. Likely explanations are that AI hasn’t yet had an effect on many firms, or simply that it’s too hard to disentangle the impact of AI given it’s never applied in isolation.

AI productivity increases can also sometimes be masked by additional human labour needed to train or operate AI systems. Take Amazon’s Just Walk Out technology for shops.

Publicly launched in 2018, it was intended to reduce labour as customer purchases would be fully automated. But it reportedly relied on hiring around 1,000 workers in India for quality control. Amazon has labelled these reports “erroneous”.

More generally, think about the unknown number (but likely millions) of people paid to label data for AI models.

A shopfront on a city street.

Amazon’s Just Walk Out technology intended to reduce labour as customer purchases would be fully automated.
John G. Mabanglo/EPA

AI and national productivity

The picture at a national level is even murkier.

Clearly, AI hasn’t yet impacted national productivity. It can be argued that technology developments take time to affect national productivity, as companies need to figure out how to use the technology and put the necessary infrastructure and skills in place.

However, this is not guaranteed. For example, while there is consensus that the internet led to productivity improvements, the effects of mobile phones and social media are more contested, and their impacts are more apparent in some industries (such as entertainment) than others.

Productivity isn’t just doing things faster

The common narrative around AI and productivity is that AI automates mundane tasks, making us faster at doing things and giving us more time for creative pursuits. This, however, is a naive view of how work happens.

Just because you can deal with your inbox more quickly doesn’t mean you’ll spend your afternoon on the beach. The more emails you fire off, the more you’ll receive back, and the never-ending cycle continues.

Faster isn’t always better. Sometimes, we need to slow down to be more productive. That’s when great ideas happen.

Imagine a world in which AI isn’t simply about speeding up tasks but proactively slows us down, to give us space to be more innovative, and more productive. That’s the real untapped opportunity with AI.



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‘I can’t drink the water’

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Michelle Fleury & Nathalie Jimenez

North America business correspondent & Business reporter

Watch: Beverley Morris flushes her toilet using a bucket because of low water pressure

When Beverly Morris retired in 2016, she thought she had found her dream home – a peaceful stretch of rural Georgia, surrounded by trees and quiet.

Today, it’s anything but.

Just 400 yards (366m) from her front porch in Mansfield, Georgia, sits a large, windowless building filled with servers, cables, and blinking lights.

It’s a data centre – one of many popping up across small-town America, and around the globe, to power everything from online banking to artificial intelligence tools like ChatGPT.

“I can’t live in my home with half of my home functioning and no water,” Ms Morris says. “I can’t drink the water.”

She believes the construction of the centre, which is owned by Meta (the parent company of Facebook), disrupted her private well, causing an excessive build-up of sediment. Ms Morris now hauls water in buckets to flush her toilet.

She says she had to fix the plumbing in her kitchen to restore water pressure. But the water that comes of the tap still has residue in it.

“I’m afraid to drink the water, but I still cook with it, and brush my teeth with it,” says Morris. “Am I worried about it? Yes.”

Meta, however, says the two aren’t connected.

In a statement to the BBC, Meta said that “being a good neighbour is a priority”.

The company commissioned an independent groundwater study to investigate Morris’s concerns. According to the report, its data centre operation did “not adversely affect groundwater conditions in the area”.

While Meta disputes that it has caused the problems with Ms Morris’ water, there’s no doubt, in her estimation, that the company has worn out its welcome as her neighbour.

“This was my perfect spot,” she says. “But it isn’t anymore.”

A data centre in Georgia being built in a forest clearing with the flat land going off into the distance

Huge data centres are being built across the state of Georgia

We tend to think of the cloud as something invisible – floating above us in the digital ether. But the reality is very physical.

The cloud lives in over 10,000 data centres around the world, most of them located in the US, followed by the UK and Germany.

With AI now driving a surge in online activity, that number is growing fast. And with them, more complaints from nearby residents.

The US boom is being challenged by a rise in local activism – with $64bn (£47bn) in projects delayed or blocked nationwide, according to a report from pressure group Data Center Watch.

And the concerns aren’t just about construction. It’s also about water usage. Keeping those servers cool requires a lot of water.

“These are very hot processors,” Mark Mills of the National Center for Energy Analytics testified before Congress back in April. “It takes a lot of water to cool them down.”

Many centres use evaporative cooling systems, where water absorbs heat and evaporates – similar to how sweat wicks away heat from our bodies. On hot days, a single facility can use millions of gallons.

One study estimates that AI-driven data centres could consume 1.7 trillion gallons of water globally by 2027.

Few places illustrate this tension more clearly than Georgia – one of the fastest-growing data centre markets in the US.

Its humid climate provides a natural and more cost-effective source of water for cooling data centres, making it attractive to developers. But that abundance may come at a cost.

Gordon Rogers is the executive director of Flint Riverkeeper, a non-profit advocacy group that monitors the health of Georgia’s Flint River. He takes us to a creek downhill from a new construction site for a data centre being built by US firm Quality Technology Services (QTS).

George Dietz, a local volunteer, scoops up a sample of the water into a clear plastic bag. It’s cloudy and brown.

“It shouldn’t be that colour,” he says. To him, this suggests sediment runoff – and possibly flocculants. These are chemicals used in construction to bind soil and prevent erosion, but if they escape into the water system, they can create sludge.

QTS says its data centres meet high environmental standards and bring millions in local tax revenue.

While construction is often carried out by third-party contractors, local residents are the ones left to deal with the consequences.

“They shouldn’t be doing it,” Mr Rogers says. “A larger wealthier property owner does not have more property rights than a smaller, less wealthy property owner.”

Tech giants say they are aware of the issues and are taking action.

“Our goal is that by 2030, we’ll be putting more water back into the watersheds and communities where we’re operating data centres, than we’re taking out,” says Will Hewes, global water stewardship lead at Amazon Web Services (AWS), which runs more data centres than any other company globally.

He says AWS is investing in projects like leak repairs, rainwater harvesting, and using treated wastewater for cooling. In Virginia, the company is working with farmers to reduce nutrient pollution in Chesapeake Bay, the largest estuary in the US.

In South Africa and India – where AWS doesn’t use water for cooling – the company is still investing in water access and quality initiatives.

In the Americas, Mr Hewes says, water is only used on about 10% of the hottest days each year.

Still, the numbers add up. A single AI query – for example, a request to ChatGPT – can use about as much water as a small bottle you’d buy from the corner shop. Multiply that by billions of queries a day, and the scale becomes clear.

Gordon Rogers showing a water sample to the BBC's Michelle Fleury

Gordon Rogers takes regular water samples to monitor the health of Georgia’s Flint River

Prof Rajiv Garg teaches cloud computing at Emory University in Atlanta. He says these data centres aren’t going away – if anything, they’re becoming the backbone of modern life.

“There’s no turning back,” Prof Garg says.

But there is a path forward. The key, he argues, is long-term thinking: smarter cooling systems, rainwater harvesting, and more efficient infrastructure.

In the short term, data centres will create “a huge strain”, he admits. But the industry is starting to shift toward sustainability.

And yet, that’s little consolation to homeowners like Beverly Morris – stuck between yesterday’s dream and tomorrow’s infrastructure.

Data centres have become more than just an industry trend – they’re now part of national policy. President Donald Trump recently vowed to build the largest AI infrastructure project in history, calling it “a future powered by American data”.

Back in Georgia, the sun beats down through thick humidity – a reminder of why the state is so attractive to data centre developers.

For locals, the future of tech is already here. And it’s loud, thirsty, and sometimes hard to live next to.

As AI grows, the challenge is clear: how to power tomorrow’s digital world without draining the most basic resource of all – water.

Correction: This article originally said that Beverly Morris lives in Fayette County, Georgia, and has been amended to explain that she lives in Mansfield, Georgia.

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How to save money on planes and accommodation

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Dearbail Jordan

Business reporter, BBC News

Getty Images Family on beachGetty Images

Prices for all-inclusive family package holidays in some of the most popular desinations have soared over the past year.

But there are ways of saving money if you want to escape abroad. Here are six tips to help keep costs down.

1. Book early for July and August

The price you pay for your accommodation depends on when you book.

July and August are the peak months for summer holidays, not just for Brits but for people in other parts of Europe.

“If you’ve ever been to Paris in August there’s hardly anyone there, everybody goes to the beach or heads for the mountains,” says Sean Tipton, spokesperson for The Travel Association (ABTA), which represents tour operators and travel agents.

“That’s when the hotels put their prices up,” he says. Therefore, it is usually cheaper to book a holiday aboard for June or September.

If you do have to go during the peak months, Mr Tipton says: “It is generally a good idea to book it as early as you can.

“It can be a bit of a lottery because you can’t 100% predict what the demand will be but as a rule of thumb in the majority of cases if you know you’re travelling in July, August or over Christmas or Easter, book early.”

2. Fly mid-week and early in the morning

Getty Images Father and son at airportGetty Images

The best time to travel is the middle of the week, according to Mr Tipton.

“The weekend is the most expensive time to go because people prefer to fly over the weekend so if you fly mid-week it is generally cheaper,” he says.

“Just simple little things like that get the price down.”

The same goes for the time of the day you travel.

“It is common sense really,” he says. “I don’t particularly like getting up at 3am for a 6am flight and I’m not alone in that so those flights will be consequently cheaper.”

3. Book a hotel room late

If you have some flexibility around when you can travel, there are some last minute bargains to be had.

Package holiday operators may have booked a lot of hotel space in advance which they may not have been able to sell at the holiday date approaches.

“They’ll discount it just to make sure they get something for it,” says Mr Tipton.

“Travel agents get sent notifications of last minute good deals so they’re a good place to go if you’ve left it late and you want a good, cheap deal.”

Another option is house-swapping. Instead of paying for a hotel or villa, people can register with an online platform which acts as a fixer between homeowners in different countries who want to stay in other’s houses.

Justine Palefsky, co-founder and chief executive of Kindred, says that people who register with her site pay only a service and a cleaning fee.

For example, someone booking a seven night stay at a three bedroom house in Majorca would pay a $140 (£103) service fee to Kindred as well as $140 for cleaning before and after a stay in the house.

Ms Hawkes advises that travellers go through a reputable site if they are choosing a house-swap.

“People need to be wary of social media ads at this time of year, advertising cheap holidays because scammers do tend to use those portals to show you images of a wonderful location.

“Then when you book it and do you bank transfer, you find it doesn’t exsist,” she says.

She recommends doing a reverse image search on websites such as Google to check the images haven’t been lifted from somewhere else to promote a home that doesn’t exist.

4. Pay in the local currency

Avoid changing money at the airport, says Alastair Douglas, chief executive at TotallyMoney, a price comparison site.

“Airports are normally the most expensive places to change cash,” he says.

Instead, change your money well in advance.

Mr Douglas says that if people are worried about exhange rate shifting between booking a holiday and the date of departure they can “hedge their bets” by changing half in advance and half nearer the time.

However, he says that people don’t really travel with lots of cash anymore. Most spending is done on cards.

This is a good thing, Mr Douglas says, because it will often allow you to select the local currency which is “probably the thing that will save you the most amount of money”.

5. Weigh your bags

Even before you reach your destination, costs can pile up. Make sure you print out your boarding pass ahead of time.

“Some airlines can charge a lot of money just to print out at the airport,” says Nicky Kelvin, editor at The Points Guy website. “Not all of them but just be safe.”

If you’re bringing a small suitcase on board the plane, bear in mind both the weight and the size of the luggage if you have to measure it in a metal sizer at the airport.

If it doesn’t fit, you may be charged a fee to check it into the plane’s hold.

Ms Hawkes recommends documenting the luggage dimensions an airline provides on its website just in case you have followed them but get to the airport and discover your bag does not fit.

“In that case, if the airline makes you put it in the hold and you’ve adhered to their website conditions, document everything and make a complaint after,” she says.

6. Buy toiletries in advance

Food, drink and toiletries are often more expensive at the airport.

One of the reasons, according to Mr Kelvin, is because of the 100ml onboard liquid rule. While restrictions have recently been relaxed at airports in Edinburgh and Birmingham, it applies everywhere else in the UK.

One way to cut costs is to order your suncream or other toiletries online and pick them up in-store at the airport once you’ve been through security.

Some retailers allow you to do this, Mr Kelvin tells the BBC’s Morning Live programme.

“So it’s a double whammy – you’re going to save because you’re going to get the cheaper online pricing and you’re going to avoid the security issue because you’re going to pick up your big liquids after.”

Another cost-saving tip is to take a water bottle with you. Most airports have free water refill stations.

He also recommends taking along your own snacks in lunch boxes, especially handy if you’re travelling with children.



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