The Takeoff Year of Generative AI

Explosion of Generative AI

Artificial Intelligence (AI) is no longer a topic relegated to technology employees to become a focus of attention for company leaders. Less than a year after many of these tools made their debut, a third of respondents say their organizations are regularly using AI in at least one business function.

Additionally, nearly a quarter of executives surveyed say they are personally using IT tools. AI gene for their work, and more than a quarter of respondents at companies using AI say AI is already on their board agenda. What's more, 40% of respondents say their organizations will increase their investment in AI overall due to advances in AI generation.

The First to Explore

Organizations that have already incorporated AI capabilities have been the first to explore the potential of gen AI. Those who are getting more value from more traditional AI capabilities, a group we call “AI high exploiters,” are already outpacing others in their adoption of AI tools. These high-performing organizations are using gen AI in more business functions than other organizations, especially in product and service development and in risk and supply chain management.

Significant Changes on the Horizon

Significant business disruption expected from AI generation, respondents predict significant changes in your workforce. They anticipate staff cuts in certain areas and major retraining efforts to address changing talent needs. However, while the use of gen AI could spur the adoption of other AI tools, we see few significant increases in the adoption of these technologies by organizations.

Key points

• Despite the nascent public availability of gen AI, experimentation with the tools is already relatively common.
• Organizations are commonly using gen AI. A third of all respondents say their organizations are already regularly using generative AI in at least one function.
• Expectations for the impact of gen AI are high: three-quarters of all respondents expect gen AI to cause a significant or disruptive change in the nature of competition in their industry within the next three years.
• Organizations that have already incorporated AI capabilities have been the first to explore the potential of gen AI.
• Significant business disruption is expected from the AI generation, with respondents predicting significant changes to their workforces.

You can read the full report here.