What Is This About?
This post is all about a recent study by TCS- a prominent global provider of IT services, consulting, and business solutions, According to Tata Consultancy Services, 86% of top business leaders have already implemented AI strategies to either increase or generate new sources of revenue. The majority of companies (69%) are more concerned with utilizing AI to promote innovation and boost revenue than they are with optimizing productivity and cutting costs. You can access the full report here.
Why Is It Important?
Most executives are optimistic about the potential effects of artificial intelligence on their companies; in fact, 57% express enthusiasm or optimism about these effects. Nearly half of the businesses surveyed (45%) anticipate that, within the next three years, generative AI capabilities will be essential for the work of at least half of their staff, with a further 41% predicting that this number will rise even higher. Most people (65%) think that AI would improve human skills and allow us to devote more time to more valuable tasks that demand imagination and planning.
The TCS Thought Leadership Institute surveyed nearly 1,300 CEOs and other senior executives with P&L responsibilities, across 12 industries and 24 countries. About half the companies had $1 billion to $5 billion in annual revenue and the other half had over $5 billion in revenue.
Key Notes
- Corporate functions with the most completed AI projects: Finance/comptroller (completion rate of 29%); HR (completion rate of 28%); Marketing (completion rate of 28%)
- Executives believe the impact of AI will be greater than or equal to that of the internet (54%) and smartphones (59%)
- 65% of senior executives say their competitive advantage will still come from humans — with their creativity, intuition, and strategic thinking unleashed by AI’s augment and assist capabilities
- 40% of executives say that in the future they have a lot of changes to make to their business before they can take full advantage of AI
- Over half (55%) said they were actively making changes right now to their business or operating models, or their products and services, due to the potential benefits and risks of AI
- 81% of executives highlight the need for global AI standards and regulations
- 93% of executives surveyed in the United Kingdom & Ireland said they have AI projects to grow revenue. Executives in other regions are equally enthusiastic with 89% in North America, 88% in APAC, 83% in Continental Europe, and 80% in Latin America
- Nearly two-thirds of BFSI (64%) and manufacturing (63%) industry executives surveyed say they are excited or optimistic about the impact of AI on businesses
Conclusion
The new survey conducted by Tata Consultancy Services (TCS) revealed interesting results as discusse above in a nutshell. However, the report and press release shared also found that many companies are not yet ready to take advantage of the full benefits of AI. Executives say implementation challenges are related to current IT infrastructure, customer expectations, and IT service providers. Let’s see what we have in store!
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