Published on January 12, 2024, 6:41 am
Generative AI, the revolutionary technology that holds immense potential, has caught the attention of executives across industries. However, despite planned investments, there are significant challenges that organizations may face due to a lack of in-house expertise and AI-readiness.
According to a survey conducted by the Boston Consulting Group (BCG), a staggering 85% of the more than 1,400 executives surveyed expressed their intention to invest in generative AI this year. But the report highlights that only a few companies are truly prepared for this technology.
The survey findings reveal several stumbling blocks that organizations need to overcome. For instance, nearly two-thirds (62%) of respondents indicated that their firms were waiting for new regulations on AI use to develop. Additionally, 74% mentioned that substantive change management would be required to adapt to generative AI. Almost 60% reported a lack of expertise within their C-suite when it comes to this technology. Furthermore, an average of 46% indicated that their workforce would need additional training.
Interestingly, while most executives prioritize performance, quality, and data protection issues related to generative AI, only 19% are focusing on the costs associated with its usage. BCG’s researchers caution that overlooking cost implications can have serious long-term consequences.
Vladimir Lukic from BCG’s tech and digital advantage practice commented on the situation. He acknowledged the challenges but emphasized how the rush towards adopting generative AI can bring positive changes for businesses. Lukic explained that this technology acts as a catalyst by forcing organizations to address technical and ethical considerations surrounding AI adoption.
Lukic suggested key roles that companies should consider hiring for implementing generative AI effectively – data managers, data engineers, and legal and risk management professionals with specific knowledge in this field. However, he acknowledges the scarcity of legal experts with expertise in generative AI.
Despite these challenges, Lukic believes that C-suites can play a pivotal role in driving progress. He observed that companies making the most significant strides with generative AI are the ones where executives prioritize this technology as a crucial item on their agenda. Lukic stressed that it ultimately comes down to whether AI is a top-of-mind issue for the CEO and leadership.
To fully embrace generative AI, organizations must be proactive in addressing these challenges, investing in expertise, and fostering a culture of innovation. By doing so, they can capitalize on the transformative power of this cutting-edge technology.
In conclusion, while executives across industries are eager to invest in generative AI, many organizations are not adequately prepared for its implementation. Overcoming challenges related to expertise, change management, and regulatory developments is crucial to fully leverage the immense potential of this groundbreaking technology.