The SMB Guide to Using Data & AI to Increase Profit Margins

Most small to medium-sized businesses operate with tight margins.
One missed insight, one incorrect decision, or one inefficient process can lead to thousands of dollars in costs.

Data and AI are now essential tools for profit.

Where Margins Are Lost in SMEs

Common margin killers include:

• Over-ordering inventory

• Inefficient scheduling

• Poor visibility of costs

• Unclear customer profitability

• Underperforming marketing campaigns

• Manual processes that drain resources

• Lack of accurate forecasting

These challenges continue because they are difficult to identify manually.

Data + AI Provide Margin Intelligence

With the right approach, SMBs can:

•  Forecast demand and minimize waste

• Right-size inventory to prevent stockouts

• Identify profitable versus unprofitable customers

• Improve pricing accuracy

• Detect cash flow issues early

• Automate routine tasks to lower labor costs

• Focus on efforts with the highest ROI

AI doesn’t replace people; it provides better information.

A Simple Framework for SMB Margin Improvement

AuricoreAI applies a structured four-step method:

1. Discover
   Determine where profit is gained or lost through a business value assessment.

2. Diagnose
   Analyse data, processes, and operational patterns to identify hidden gaps.

3. Design
   Create dashboards, develop predictive models, and enhance processes.

4. Deliver
   Implement targeted AI automation and ongoing optimization.

The Result?

Higher profitability, greater resilience, and a business that operates with the intelligence of a much larger enterprise, at a cost accessible to SMEs.