Industry experts urge MSMEs to embrace artificial intelligence (AI) to boost effeciency

Institute of Customer Experience (ICX) CEO Joseph Choge delivers opening remarks during the CEOs breakfast in Nairibi on August 20/photo courtesy

Micro, small and medium enterprises (MSMEs) have been encouraged to adopt artificial intelligence (AI) to boost efficiency, strengthen customer experience and remain competitive in fast changing markets.

According to industry experts, AI offers businesses the ability to improve decision-making, streamline processes and provide personalized services to customers. In Kenya, stakeholders have highlighted that adopting AI can help MSMEs manage inventory, enhance digital marketing and increase operational efficiency. Similar calls have been made across Africa, India and other emerging markets where small businesses form the backbone of the economy.

At the Institute of Customer Experience (ICX) CEOs Forum in Nairobi, Chairperson Joseph Choge stressed that businesses cannot remain sustainable or profitable without making customer expectations a core part of their operations. He explained that AI and digital technology make it easier to track and follow up on customer data, which directly improves service delivery.

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Choge further noted a significant gap in how enterprises handle customer experience. While 73 percent of consumers consider customer experience vital, only 49 percent of businesses see it as a competitive strategy. He described this imbalance as both a challenge and a growth opportunity for MSMEs.

Despite the benefits of AI, adoption remains low due to high costs, inadequate infrastructure and limited access to localized AI tools. Many MSMEs also face knowledge gaps, with a lack of skilled staff and low awareness of practical use cases. Reports show that while awareness of AI is growing, most enterprises struggle to move from theory to actual deployment.

Experts advise MSMEs to begin with small, clearly defined use cases such as automating customer engagement or using AI for financial analysis. Businesses are also urged to invest in up skilling their staff and appoint AI champions within their organisations. Affordable and locally tailored AI solutions are seen as critical to ensuring adoption at scale.

By Benedict Aoya

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