AI Push Drives Firms Toward Leaner Operations, Startup CEO Says

Artificial intelligence is rapidly transforming how companies operate, allowing businesses to become leaner, faster, and more cost-efficient, according to Paolo Angelo Florenda, chief executive officer of Velocity AI.

Speaking during an interview on the sidelines of Kapihan sa Red Dynasty in Manila, Florenda said AI is no longer limited to experimentation and is now deeply integrated into modern business systems.

“If you can be efficient in your workflow, if you can shortcut some processes in your workflow, it has a big impact on the business,” Florenda said.

He explained that companies are increasingly adopting AI tools to streamline operations, reduce costs, and improve productivity across multiple sectors. According to Florenda, AI applications are now widely used in marketing, customer service, and internal business processes, with adoption accelerating in both startups and large enterprises.

Florenda noted that generative AI has significantly changed content production, allowing tasks that once required entire teams to be completed within minutes through automation tools.

“We develop tools — not to replace, but to enhance what people normally do,” he said.

The Velocity AI executive added that businesses are beginning to evaluate AI not just through technical capability, but through measurable gains in efficiency and profitability.

“If AI can help a business grow, that’s already a good metric,” Florenda explained.

However, he pointed out that AI adoption remains uneven across industries. While some companies are already automating entire workflows, others still use AI mainly for basic tasks such as drafting emails or generating content.

Florenda described this gap as an emerging competitive divide, where early adopters gain advantages in operational speed and cost efficiency while slower-moving firms risk falling behind.

Despite growing concerns about job displacement, Florenda acknowledged that the business benefits of AI are becoming increasingly difficult to ignore.

“On a business perspective, it’s good. On a morality perspective, it’s not good,” he said.

He also emphasized that the biggest challenge in maximizing AI is not the technology itself, but how organizations implement and manage it. According to Florenda, employee training and a deeper understanding of AI systems are essential for businesses hoping to fully benefit from the technology.

“The loophole is the person who manages that AI tool,” he said.

Florenda further noted that the rapid pace of AI experimentation has allowed companies to scale adoption quickly even in areas where regulations remain unclear.

Looking ahead, he believes AI integration across businesses will continue to expand rapidly as new technologies emerge.

“It will exponentially grow. As we speak, there are new technologies being developed using AI,” Florenda said.

Industry analysts say the accelerating adoption of AI is reshaping competitive strategies worldwide, with companies increasingly relying on automation and intelligent systems to improve efficiency, reduce operating expenses, and adapt to evolving market demands.