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Home / Business

Datacom says its new tool will deliver an AI confidence boost

Chris Keall
By Chris Keall
Technology Editor/Senior Business Writer·NZ Herald·
15 Oct, 2024 04:00 PM4 mins to read

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Datacom director of AI Lou Compagnone.

Datacom director of AI Lou Compagnone.

Datacom’s recently released “State of AI Index: AI Attitudes” research found two-thirds of Kiwi companies are now using AI (artificial intelligence) in some capacity, up from 48% about this time last year.

But its survey of 200 business leaders at firms with 100 or more staff also found lack of expertise was a barrier to making greater use of AI, or adopting it full-stop. Only 39% of those using AI had dedicated, skilled people to manage it.

In response, “We’re launching a new enterprise AI knowledge system. The point of it is to help people accelerate AI adoption in their organisation, specifically in New Zealand and Australia,” Datacom director of AI Lou Compagnone said.

Datacom’s Enterprise AI Assistant was developed in-house after research revealed many organisations were interested in introducing AI, but were held back by security and other concerns.

“They don’t have the confidence to start experimenting,” Compagnone said.

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The aim is for Enterprise AI Assistant to serve as the single knowledge base for an organisation, enabling it to deploy an ecosystem of AI agents to help with tasks in various functions across its business.

Eating their own dog food

A pilot has been running with a large Government customer, plus two firms in the private sector.

Datacom has also applied its product to its own systems, including the creation of a payroll knowledge assistant to use with its Datapay product.

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“That’s proving to be really successful,” Compagnone said.

“It’s helped our payroll professionals to answer really complex payroll queries and it’s accurate to the point it can pass the payroll exam to 93% accuracy.”

What about the other 7%?

“Well, this is the thing. As with any large language model, it doesn’t necessarily complete a task at all times, but it will get you close enough,” Compagnone said.

“It’s augmenting their [payroll staff’s] capabilities rather than replacing it. So, for example, a really complex payroll inquiry about some sort of maternity cover might have previously taken hours of trying to navigate the legislation to give the right response. And then you have to write an email.”

Now, the legislation check and a starter email can be delivered by the AI Assistant almost simultaneously. “You still need to check it and ensure that it’s right, but it will reference all of the legislation.” Summarising complex regulations, with sources cited for easy cross-checking by a human, is a key use for the Enterprise AI Assistant across various areas, she says.

Datacom is also piloting its Enterprise AI Assistant inhouse for service management, automating timesheets, and document summaries, and investigating use-cases in its finance department.

What we do in the shadows

Another barrier to AI updates has been ambiguity about where data resides, and whether it can be used to train AIs, and the levels of attendant privacy risk.

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“Almost every customer that I’ve talked to is very suspicious about that,” Compagnone said.

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“It’s sometimes blocking some from even trialling anything themselves, and it’s definitely stopping them from making these tools available to their teams... which, in turn, often leads to ‘shadow IT’ for organisations where people are just trying to use it themselves.”

Enterprise AI Assistant can help ring-fence queries to data that resides inside your organisation. “It creates a safe environment to make AI available to their staff, ensuring everything is safe and private.”

Datacom is also working toward sovereign data capability for those who need to ensure everything stays within our borders and directly within New Zealand legislative oversight. This feature is expected to be added shortly.

Flexibility was another watchword.

“Other... AI assistants are very fixed. You have to use a specific large language model and a specific platform,” Compagnone said.

“Ours is more like a pick-and-mix, where you can use any large language model you want to. It’s LLM-agnostic.

“And it can sit on your preferred platform, which might be AWS, Azure or Datacom.” (Datacom, easily the largest homegrown IT services outfit with its more than 6000 staff, operates four of its own data centres in New Zealand, and two across the Tasman in partnership with AirTrunk.)

“You can also choose whether it’s managed in-house by us at Datacom on a subscription service model,” she said.

READ MORE: My Net Worth: Datacom AI director Lou Compagnone

Chris Keall is an Auckland-based member of the Herald’s business team. He joined the Herald in 2018 and is the technology editor and a senior business writer.

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