India and China are much more likely to state that they are ahead of their industry competitors when it comes to AI use
A new report has revealed a clear link between an organisation’s revenue growth and its artificial intelligence (AI) maturity.
The research report, Amplifying Human Potential: Towards Purposeful Artificial Intelligence by Infosys, found that organisations who reported faster growth in revenue over the past three years were also more likely to be further ahead when it comes to AI maturity. Publication of the report coincides with the World Economic Forum in Davos in Switzerland, where Infosys will unveil the scale of the AI opportunity along with the barriers to adoption, and the rewards versus the risks.
The consulting, technology, and next-generation services firm polled 1,600 senior business decision-makers at large organisations across the world. It found that 76 per cent of the respondents cited AI as fundamental to the success of their organisation’s strategy, and 64 per cent believe that their organisation’s future growth is dependent on large-scale AI adoption.
Big data automation (65 per cent) and predictive/prescriptive analytics (54 per cent) are the primary AI applications today. On average, the companies surveyed have invested $6.7 million in AI in the last year, and have been actively using AI for an average of two years. The IT department is the leading adopter (69 per cent), followed by operations (34 per cent), business development (33 per cent), marketing (29 per cent) and commercial, sales and customer services (28 per cent).
When it comes to geographic take-up, companies in India and China are much more likely to state that they are ahead of their industry competitors when it comes to AI use, followed by Germany, the US, UK, France.
“As we are seeing AI mature and gain momentum, our research shows that the next four years will witness further spikes in interest, and general bullishness about the significant value and benefits that can be obtained through AI adoption,” said Sandeep Dadlani, President & Head of Americas, Infosys.
“As an industry therefore, we must take necessary steps to ensure AI is developed morally and ethically across every part of society and that employees are actively engaged and provided with the necessary training to be central to this journey.”
While there are ethical and job related concerns – 62 per cent believe that stringent ethical standards are needed to ensure the success of AI – most respondents seem optimistic about redeploying displaced employees with higher value work. The majority, 85 per cent, plan to train employees about the benefits and use of AI, and 80 per cent of companies replacing roles with AI technologies will retrain or redeploy displaced employees.
In 80 per cent of cases where companies are replacing roles with AI, organisations are redeploying or retraining staff to retain them in the business.
The leading industries that plan to retain and retrain their workers are: fast-moving consumer goods (94 per cent); aerospace and automotive (87 per cent); energy, oil and gas (80 per cent); and pharmaceutical and life sciences (78 per cent). Furthermore, 53 per cent are specifically investing in skills development. AI will cause greater investment in workforces, specifically China (95 per cent), France (90 per cent), Germany (89 per cent), the UK (82 per cent), and the US (76 per cent).
Overall, the study demonstrates the role AI can play in business growth, create opportunities for people to do more than what their current job and education enables, and drive long term macro environment benefits. Decision makers believe AI will bring out the best in their organisation’s people (65 per cent), and feel it can deliver positive societal (70 per cent) and economic (76 per cent) change.
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