Kyle Hill, CTO of leading digital transformation company and Microsoft Services Partner of the Year 2025, ANS, explores how businesses of all sizes can make the most of their AI investment and maintain a competitive edge in an era of innovation

Across the world, businesses are clamouring to adopt the latest AI technologies, and they’re willing invest significantly. According to Gartner, generative AI has produced a significant increase in infrastructure spending from organisations across the last few months, which prompted it to add approximately $63 billion to its January 2024 IT spending forecast. 

Capable of reshaping business operations, facilitating supply-chain efficiency, and revolutionising the customer experience, it’s no wonder major enterprises are keen to channel their budgets towards AI. But the benefits of AI can extend beyond large enterprises and make a considerable difference to small businesses too if adopted responsibly. 

Game-Changing Innovation 

Most SMBs don’t have the same ability for taking spending risks as their larger counterparts, so they need to be confident that any investments they do make are worthwhile. It’s therefore understandable why some might assume it to be an elite tool reserved for the major players.

To understand how SMBs can make the most of their AI investments, it’s important to first look at what the technology can offer. 

Across industries, AI is promising to be a game changer, taking day-to-day operations to a new level of accuracy and efficiency. AI technology can enhance businesses of all sizes by:

Enhancing customer experience

Businesses can use AI tools to process and analyse vast amounts of data – from spending habits and frequent buys to the length of time spent looking at a specific product. They can then use these insights to provide a more tailored experience via personalised recommendations, unique suggestions and substitution offers when a product is out of stock. And, with AI chat functions, businesses can provide more timely responses to any questions or requests, without always needing an abundance of customer service staff on hand. 

    Powering day-to-day procedures

    One of the most common and inclusive uses of AI across organisations is for assisting and automating everyday tasks including data input, coding support and content generation. These tools, such as OpenAI’s ChatGPT and Microsoft Copilot applications, don’t require big investments to adopt. Smaller teams and businesses are already using them to save valuable employee time and resources and boost productivity. This also saves the need for these organisations to outsource these capabilities where they might not have them otherwise. 

      Minimising waste 

      AI is also helping businesses to drive profit, minimising wasted resources, and identifying potential disruptions. By tracking levels of supply and demand, AI can automatically identify challenges such as stock shortages, delivery-route disruptions, or a heightened demand for a particular product. More impressively, however, they are also capable of suggesting solutions to these problems – from the fastest delivery route that avoids traffic, to diverting stock to a new warehouse. Such planning and preparation help businesses to avoid disruptions which costs valuable time, money, and resources. 

        According to Forbes Advisor, 56% of businesses are already using AI for customer service, and 47% for digital personal assistance. If organisations want to keep up with their cutting edge-competitors, AI tools are quickly becoming a must-have for their inventory. 

        For SMBs looking to stay afloat in this competitive landscape of AI innovation, getting the most out of their technological investment is crucial. 

        Laying down the foundations

        Adopting AI isn’t as straightforward as ‘plug and play’ and SMBs shouldn’t underestimate the investment these tools require. Whilst many of the applications may be easy to use, it’s important that business leaders take time to fully understand the technology and its potential uses. Otherwise, they risk missing some major benefits and not getting the most from their investment, particularly as they scale out. 

        Acknowledging the potential risks and challenges of implementing new AI tools can help organisations prepare solutions and ensure that their business is equipped to manage the modern technology. This can help businesses to avoid costly mistakes and hit the ground running with their innovation efforts. 

        SMB leaders looking to implement AI first need to ask the following:

        What can AI do for me? 

        Are day-to-day administration tasks your biggest sticking points? Or are you looking to provide customer service like no-other? Identifying how AI might be of most use for your business can help you to make the most effective investments. It’s also worth considering the tools and applications you already have, and how AI might enhance these. Many companies already use Microsoft Office, for instance, which Microsoft Copilot can seamlessly slot into, making for a much smoother rollout. 

        Can my business manage its data? 

        AI is powered by data, so having sufficient data-management and storage processes in place is necessary. Before investing in AI, businesses might benefit from first looking at managed data platforms and services. This is crucial for providing the scalability, security and flexibility needed to embrace innovation in a responsible and effective way. 

        What about regulation?

        The use and development of AI are becoming increasingly regulated, with legislation such as the EU AI Act providing stringent, risk-based guidance on its adoption. Keeping up with the latest rules and legislative changes is vital. Not only will this help your business to maintain compliance, but it will also help to maintain trust with customers and employees alike, whose data might be stored and processed by AI. Reputational damage caused by a data breach is a tough blow even for big businesses, so organisations would be wise to avoid it where possible. 

        Embracing Innovation

        This new age of AI is exciting; it holds great transformative potential. We’ve already seen the development of accessible, affordable tools, such as Microsoft Copilot, opening a world of new innovative potential to businesses of all sizes. Those that don’t dip their toes in the AI pool risk getting left behind. 

        The question smaller businesses ask themselves can no longer be about whether AI is right for them; instead, it should be about how they can best access its benefits within the parameters of their budget. 

        By thoroughly preparing and taking time to understand the full process of AI adoption, SMBs can make sure that their digital transformation efforts are a success. In today’s world, this is the best way to remain fiercely competitive in a continuously evolving landscape. 

        About ANS

        ANS is a digital transformation provider and Microsoft’s UK Services Partner of the Year 2025. Headquartered in Manchester, it offers public and private cloud, security, business applications, low code, and data services to thousands of customers, from enterprise to SMB and public sector organisations. With a strong commitment to community, diversity, and inclusion, ANS aims to empower local talent and contribute to the growth of the Northwest tech ecosystem. Understanding customers’ needs is at the heart of ANS’s approach, setting them apart from any other company in the industry. 

        The ANS Academy is rated outstanding by Ofsted and offers in-house apprenticeships across a range of technology disciplines. ANS has supported more than 250 apprentices to gain qualifications in the last decade via apprenticeships across technology, commercial, finance, business administration and marketing. 

        ANS owns and operates five IL3‐accredited data centres in Manchester and has an ecosystem of tech partners including Microsoft (Gold Partner), AWS, VMWare, Citrix, HPE, Dell, Commvault and Cisco. It is one of the very few organisations to have received all six of Microsoft’s Solutions Partner Designations. 

        Find out more at ans.co.uk

        • Artificial Intelligence in FinTech
        • Data & AI
        • Digital Strategy

        Ian Povey, CIO – Head of Payments Services & Technology, on the strategic transformation taking place at NatWest benefitting both the bank and its customers

        This month’s cover story reveals how innovation is at the core of change for payments processes at NatWest.

        Welcome to the latest issue of Interface magazine!

        Charles Darwin famously said: “It is not the strongest of the species that survives, nor the most intelligent; it is the one most adaptable to change.” Technology is helping us to evolve. And that evolution is being driven by innovation.

        Read the latest issue here!

        Payments transformation at NatWest

        “It may be a cliché, but a transformation journey really has no end… If you fixate on a constant end state without ‘checking in’ you can, and likely will, fail in your objectives.” A wise outlook from a CIO with three decades of change management experience across banking’s payments panorama.

        Ian Povey, CIO – Head of Payments Services & Technology, discusses the strategic transformation taking place at NatWest and how that journey of change and innovation is benefitting both the bank and its customers as it evolves to become a relationship bank for a digital world. “Our environment is always changing – we must be on the back of the ‘Change Dragon’ and steering/influencing as a leader and always learning from our teams for new ideas.”

        Customer-Centric transformation at FedEx

        We also check in with logistics leader FedEx… Custom Critical CIO Cheryl Bevelle-Orange reveals a “technology-forward yet flexible company” embracing innovation and “paving the way for customers to get more relevant information faster about their packages while delivering with excellence”.

        https://www.youtube.com/watch?v=galaZZlrEn0

        Continuous Improvement in IT at Mazars

        Mazars CIO David Marcelino explains his approach to innovation and leading on a successful IT transformation program at one of the world’s largest audit and advisory firms aiming to improve the digital experience for all its stakeholders. “Change Management, adoption, training and awareness are at the core of every single business technology project we deliver.”

        Tech innovation at speed with the US Air Force

        We also caught up with George Forbes, Director of Digital Operations Directorate at the United States Air Force, who outlines the importance of innovation within the federal government.

        Digital Transformation in healthcare at Avellino

        Nancy Selph, Global Head of IT at Avellino Lab, discusses how technology is creating new opportunities to improve health outcomes and the importance of leadership in the industry.

        Also in this issue, we round up the key tech events and conferences across the globe; we learn how Minted are making it easy for everyone to invest in gold; and we feature the latest on cloud digitalisation from IFS.

        Enjoy the issue!

        Dan Brightmore, Editor

        …but just 15% think the Government encourages innovation, research from GovGrant reveals

        Just 15% of UK SMEs think the Government is creating an economic environment in which they are encouraged to innovate, according to new research by GovGrant, the R&D and IP specialists. This is despite the fact that over three quarters of these businesses consider innovation to be important for recovery from Covid-19, reaffirming the disconnect between businesses and the Government support schemes available. 

        The survey collected the views of over 500 SME decision-makers across seven different sectors. The findings show that whilst 85% of respondents acknowledged the importance of innovation, just 26% felt their current activity was highly innovative. 

        Luke Hamm, CEO, GovGrant, comments:

        “Despite the Government’s R&D Roadmap outlining its commitment to R&D and innovation, our research shows the need for further support when it comes to recognising innovative activity. SMEs urgently need clarity and a common definition of innovation that transcends sectors, geography and generations if we’re going to plug the gap between the support that’s available and how SMEs make use of it. This is particularly true when it comes to IP.”

        This might be the result of confusion around the definition of innovation, with respondents split across three different definitions – 42% of respondents said they viewed innovation as tiny and continual changes that happen daily, with the rest saying that it either happened rarely (but made a considerable impact) or occurred sporadically. This disconnect may well be the reason that many SMEs are failing to claim valuable tax credits for their R&D, with nearly a quarter stating they had never done so. 

        GovGrant’s research also revealed that 43% of UK SMEs do not have anyone in charge of the commercialisation of intellectual property and innovation at Board level. As a result, only a quarter of respondents (24%) thought the main purpose of a patent was to add commercial value, and one fifth said they had no strategy in place to track their IP.  

        Luke Hamm concludes:

        Innovation has never been more important for creating a resilient and productive economy post Covid-19, especially with Brexit and the end of the transition period also fast approaching. We need to be taking intellectual property much more seriously. The Government must do more to improve awareness and accessibility of its support schemes, including the Patent Box, if SMEs are going to invest in their R&D and thrive. We urgently need to review the patent process and make it attractive on the global stage.”

        Tech Nation, the UK network for ambitious tech entrepreneurs, today reveals the 30 companies joining its prestigious Upscale programme for…

        Tech Nation, the UK network for ambitious tech entrepreneurs, today reveals the 30 companies joining its prestigious Upscale programme for the UK’s most exciting and fastest growing scaleup tech companies. 

        Now in its fifth year, the Upscale 5.0 cohort reflects the maturity of the tech landscape in the UK with considerable growth in key company statistics. Most of the companies on the programme have already raised a Series A round, and the average raise has increased from £4.2m in 2017, to £7.2m in 2020. Average revenues have also increased by 64% from £1.1m to £1.8m over three years, while the average number of employees when joining the cohort has grown by 48% from 31 to 46. 

        Some of the biggest success stories of UK tech, such as Monzo, Bulb, Improbable and Bloom & Wild, have been through the programme, and the 30 new companies represent the next generation of digital household names. 

        This cohort reflects just a small part of the UK tech scaleup ecosystem – in total, there are almost 5,000 UK tech scaleups which add £17.2bn to the UK economy and employs almost 200,000 people. UK scaleups outperformed their peers in 2019, with companies raising £10.1bn, more than France (£3.8bn) and Germany (£5.4bn) combined, and are spread right across the UK.  

        The Upscale programme is designed to support the UK’s leading scaleups by tackling the leadership challenge in UK tech. A recent report by Zenger/Folkman found that management and leadership skills are lacking in just over half of all leadership teams, and organisations that invest in developing leaders are 2.4 times more likely to hit their performance targets and almost double their profits. 

        Upscale sessions include addressing how to scale yourself as a leader, and how to scale internationally. The programme aims to create a peer-to-peer network of companies on their scaleup journey, and includes sessions led by tech entrepreneurs from some of the UK’s most successful companies, including Nilan Peiris, the VP of Growth at Transferwise and Will McInnes the CMO at Brandwatch. Companies are selected through a judging process of tech entrepreneurs and established VCs, including Anthony Fletcher, CEO of Graze and Cherry Freeman, CEO, Lovecrafts as well as entrepreneurs who have gone through the programme themselves, such as Aron Gelbard, CEO of London-based Bloom & Wild. 

        30% of companies joining the programme are from outside of London, and are based in: Manchester, Cardiff, Cambridge, Leeds, Brighton, Belfast and Newcastle. Companies hail from all different tech sub-sectors – showing the depth and breadth of technology in the UK today. 17% of companies on the programme this year are in the healthtech sector, 17% are in SaaS and 17% are in E-commerce. Cloud computing, fintech, legaltech, AI, edtech, proptech, tech for good and adtech are also represented on the programme. While E-commerce and SaaS are evidently still pivotal to UK tech, the makeup of the programme also represents the rise of companies applying technology to societal issues, including healthtech, which has seen an increase in scaling companies of over 473% over the last decade in the UK.