Building AI Products, Part 1: How To Find AI Use Cases Worth Building in the First Place
Learn how to evaluate AI use cases, calculate business value, choose between AI and traditional software, and decide when human oversight is essential.
In February 2024, Klarna's AI assistant managed two-thirds of customer chats, handling the work of 700 agents and reducing resolution time from 11 minutes to 2. However, after 15 months, Klarna started hiring human agents again due to a focus on cost leading to lower quality, as customers still preferred human assistance for complex cases.
The company embraced a hybrid approach, combining AI with human agents. This situation highlights the challenge of determining which AI use cases are worth building and how to effectively integrate AI with human capabilities. The article outlines a strategic process to identify AI value and build AI products accordingly.
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