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KIROI - Artificial Intelligence Return on Invest: The AI strategy for decision-makers and managers

KIROI - Artificial Intelligence Return on Invest: The AI strategy for decision-makers and managers

Start » NLP (Natural Language Processing) (Glossary)
29 July 2025

NLP (Natural Language Processing) (Glossary)

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NLP (Natural Language Processing) belongs to the field of Artificial Intelligence and also plays an important role in Digital Transformation and in e-commerce and digital retail.

NLP is a technology that allows computers to understand, process, and respond to human language. This means computers „understand“ what we say or write and can respond meaningfully. Behind this are many algorithms that recognise language, spelling, grammar, and also contexts.

A vivid example of this is a chatbot in an online shop: If a customer asks via chat, „When will my order be delivered?“, the chatbot understands the question, filters out the important information, and provides a clear answer – and this 24/7, without human intervention. The automatic translation of websites or emails is also a practical example of NLP (Natural Language Processing).

By using NLP, work processes become more efficient: companies save time, can respond quickly to customer wishes and analyse large amounts of data – all with high reliability. We encounter NLP applications more and more frequently in everyday life, for example with voice assistants like Alexa or Siri.

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