Rhetoric about robots taking jobs is nothing new: From Oxford University to Elon Musk, the fear of AI as an existential threat abounds. But here's the more complicated truth: It depends on which sector you work in. Some will be far more impacted than others – and that includes manufacturing. That's why small business leaders in manufacturing should care about these questions: "How will AI impact the industry?" A forecast by Gartner (available for clients) predicts that AI will eliminate more jobs than it creates through 2019 (mostly in manufacturing).

One of the primary activities that companies pursue with analytics and data is to plan and optimize operations; this has been a long-term focus of the "operations research" approach to analytics. It has always been done on a relatively small scale, however, using individual models with only a few variables. Cognitive tools--and machine learning in particular--can take this activity to the next level in breadth and depth. AI may not be known for its role in manufacturing and operations, but there is an opportunity to use these tools to dramatically improve the efficiency and effectiveness of these important industries. Take, for example, the steel manufacturing startup Big River Steel, which is attempting a major transformation in this most industrial of industries.