According to experts from the consulting group Moore Czech Republic, artificial intelligence is a key component of the digital transformation of the economy, and it is right that artificial intelligence is supported by the state as part of the National Recovery Plan. On the contrary, the Czech Republic climbed above the European average in the share of companies using the Internet of Things. In the Czech Republic, this share reaches 31%, the EU average is 29%. This follows from Eurostat data.
The Czechia ranks 18th among EU countries in the share of companies using artificial intelligence. The first in this Eurostat comparison is Denmark with a 24% share, on the other hand, the lowest use goes to Romania with only 1%. “The Czech Republic lags significantly behind its European partners in the use of artificial intelligence in business. At the same time, modern technologies are very important for economic growth and absolutely essential for maintaining the competitiveness of companies and creating higher added value,” comments Marcela Hrdá, partner of the Moore Technology CZ group.
A partial solution to labor shortages
Modern technologies such as artificial intelligence and the Internet of Things, which are used more in domestic companies, are key in automation and digitization. It is these components of the fourth industrial revolution that are also important with regard to the state of the domestic labor market, when companies are trying to fill thousands of jobs in the long term. “A whole range of activities in industry can be digitized or automated. Although the pace is slower than in Western Europe, there are a number of companies that are moving in this direction,” says Ivan Konečný, CEO of Misterine, a company dedicated to the development and application of augmented and virtual reality in industry.
Simultaneously with the integration of elements of automation and digitization, it is necessary to prepare a system for retraining. “There will gradually be a decrease in jobs with lower qualifications, and thus lower added value, on the contrary, it will be necessary to ensure the qualification to operate more sophisticated devices. But it is also necessary to modernize the system of lifelong education and move it into the digital era,” adds Ivan Konečný.
Part of the national strategy
According to the Ministry of Industry and Trade, digital transformation is one of the priorities of the National Recovery Plan. Projects falling within its framework must fulfill at least one of the ten so-called digital goals, which include, for example, artificial intelligence.
“The fact that the state has included the development of artificial intelligence in the National Recovery Plan is certainly a step in the right direction. I’m worried about whether companies have sufficiently developed projects in the field of artificial intelligence and can use the support,” explains Miloslav Rut, a partner at Moore Technology CZ.
“Artificial intelligence can be effectively used in the service sector, where it can largely replace traditional customer support center operators and administrative staff. At the same time, there are many startups in the Czech Republic dealing with this issue,” adds Rut, adding that other areas of the economy where artificial intelligence will have a major impact on reducing costs, increasing quality and reducing the share of human labor are industrial enterprises, logistics and storage of goods.
Internet of things in every third Czech company
The Czech Republic has the 9th highest share of businesses using the Internet of Things in the European Union, namely 31%. This share is the highest in Austria, where more than half of the companies use the Internet of Things, and the smallest is again in Romania – it is an 11% share. “The Internet of Things is used in domestic companies mainly in the areas of storage and logistics, and recently IoT technologies have also begun to be used intensively in industry, especially for the collection of technological data. For businesses, this is a useful set of tools that can fundamentally facilitate work and save time and financial costs,” explains Miloslav Rut, adding that the Internet of Things is often used to ensure security. According to Eurostat, it is used for this purpose
72% of companies, 30% of companies then use the Internet of Things to manage energy consumption and 24% for maintenance of machines and vehicles.