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Writer's pictureAnna Steinfest

Unlocking AI for Small Businesses: A Practical Framework to Save Time and Resources



In the ever-evolving world of artificial intelligence, it’s easy for small business owners to feel a bit lost. I recently read a thought-provoking newsletter from Christopher Penn that tackles an important question: how do we decide if AI is right for a task? This is a question many of us in the small business community have wrestled with as we consider adopting AI tools to streamline our operations, market smarter, and save time.

Penn’s approach called the DROID Framework, lays out a clear way to evaluate which tasks are suitable for generative AI and which might not be. This approach is especially valuable for small business owners trying to make the most of their limited resources while exploring the capabilities of AI.


AI Tasks: The Basics of Deterministic vs. Probabilistic

Before diving into the DROID Framework, it helps to understand a basic distinction Penn makes: there are two main types of problems AI might address—deterministic and probabilistic.

  • Deterministic Problems: These are tasks with straightforward, “fixed” answers. If there’s a clear-cut solution, such as adding numbers or checking if an address is in a specific ZIP code, AI might not be the most efficient or accurate tool. AI’s guessing nature means it isn’t always suited to these types of tasks.

  • Probabilistic Problems: These are tasks where there isn’t one right answer but rather several possibilities. Tasks like forecasting sales, predicting customer preferences, or writing engaging marketing content are more probabilistic, meaning AI can be particularly helpful here. Generative AI, like ChatGPT or similar tools, shines in situations where outcomes are uncertain, but predictions based on past patterns can be helpful.


Introducing the DROID Framework for AI Task Delegation

The DROID Framework offers a structured approach for deciding if a task should be handled by AI or traditional methods. Here’s a breakdown of each step:

  1. Discern: Assess if the overall task is suitable for AI. For instance, if you’re deciding between using AI to write blog posts or to create financial reports, DROID helps you see that AI might work well for content creation (probabilistic) but may not be ideal for the accuracy needed in finance (deterministic).

  2. Refine: Break down the task into smaller steps. Let’s say you want to categorize customer feedback. This step would involve separating tasks like gathering the feedback (which might need a different tool), analyzing sentiment (where AI can be great), and storing the results.

  3. Orient: Decide if each sub-task is deterministic or probabilistic. Are you categorizing exact keywords, or are you summarizing sentiments? Deterministic tasks might be best left to code or human processing, while probabilistic tasks are well-suited for AI.

  4. Identify: Choose the right tools for each sub-task. By identifying what’s required for each part, you can avoid misapplying AI to tasks better handled by traditional methods.

  5. Deliver: Execute each part of the task with the best-suited tool, ensuring AI is applied effectively where it can add value.


Real-World Example: AI for Small Business Marketing

Let’s apply the DROID Framework to a small business marketing scenario. Suppose you want to analyze social media feedback on a recent product launch to understand customer satisfaction. Here’s how DROID might work:

  • Discern: Is AI a fit for analyzing social media feedback? Yes, because it’s probabilistic.

  • Refine: Break down the task—collect data, analyze sentiments, and categorize feedback.

  • Orient: Classifying feedback sentiment is probabilistic, ideal for AI. Storing data may be deterministic and better handled by a database tool.

  • Identify: Use a tool like ChatGPT to summarize sentiment and a database to store information.

  • Deliver: Apply AI for sentiment analysis and traditional storage tools to save and organize data.

This example shows that by following DROID, small businesses can apply AI strategically and avoid wasting time on tasks that AI may not handle well.


Why the DROID Framework Matters

For small businesses, adopting AI can feel like an overwhelming commitment, especially when resources are limited. The DROID Framework empowers small business owners to approach AI adoption with confidence and clarity. By analyzing tasks through this lens, small businesses can ensure they’re leveraging AI where it truly adds value and steering clear of tasks where AI might underperform.

Penn’s insights are a reminder that AI isn’t one-size-fits-all. The real value of AI lies in understanding when and how to use it, making the DROID Framework an invaluable guide for navigating the world of generative AI. Whether you’re just starting with AI or looking to enhance your current usage, the DROID Framework provides a roadmap to make AI a practical, effective addition to your business strategy.

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