Published on November 17, 2023, 5:55 am

The year 2024 is expected to be a turning point for Artificial Intelligence (AI), according to Forrester. During this time, AI will transition from being seen as a gimmick or technical experiment to becoming a strategic initiative for organizations worldwide. Generative AI, in particular, will play a significant role in this transformation.

Generative AI has the potential to revolutionize how organizations operate and interact with customers and employees. Unlike other technologies, generative AI systems can learn, evolve, and improve autonomously. These systems can analyze vast datasets, identify patterns, predict outcomes, and transform data into strategic assets on a large scale. By conversing in the language of big data, generative AI can create new content from existing data.

This shift towards generative AI presents both risks and opportunities for companies. CIOs need to think about short-term goals while also considering the long-term implications of implementing these capabilities. Building foundational capabilities such as data infrastructure, management, and governance is essential for successfully integrating generative AI into business processes.

In Asia Pacific, around 30% of companies are projected to leverage the transformative power of generative AI by 2024. However, only a small number of organizations in the region have invested in the necessary data governance processes and infrastructure tools required for success. To tap into the potential benefits of AI, businesses should focus on getting their data house in order and understanding the associated risks.

To embark on an AI journey successfully, it is important for local enterprises to align their understanding of AI terminology and concepts. Education plays a crucial role in creating common ground among stakeholders within an organization. Crafting modern management policies that support building one’s own AI capabilities is also essential.

The lack of regulatory frameworks surrounding AI can be both advantageous and challenging. On one hand, it allows freedom for innovation without constraints; however, it can also create uncertainty due to the absence of clear rules. It is crucial for regulators to catch up with the rapid advancements in AI technology to ensure responsible and ethical use.

When adopting AI, organizations must consider the value they derive from their investments rather than solely focusing on the associated costs. AI capabilities can lead to operational and productivity improvements, which can generate new revenue streams and innovation opportunities. Therefore, taking a long-term view is necessary when evaluating the cost structure of AI adoption.

Looking ahead to 2024, it is predicted that approximately 50% of organizations seeking to scale generative AI capabilities will face challenges and may require assistance from service providers. These providers can help organizations align their data infrastructure and transform their processes to fully leverage the transformative power of generative AI.

In conclusion, generative AI is poised to become a game-changer for organizations worldwide by enabling them to reimagine their operating models and customer interactions. However, successful implementation requires careful consideration of data governance, infrastructure, and long-term strategies. As we approach 2024, companies should be prepared to embrace generative AI while addressing the associated risks and challenges that come with it.

To learn more about the transition from hype to intention in AI, listen to Fred Giron’s insights in this Podchat player: [link]

This article originally appeared on FutureCIO: [link]

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