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Many organizations have launched dozens of AI proof-of-concept projects only to see a huge percentage fail, in part because CIOs don’t know whether the POCs are meeting key metrics, according to research firm IDC. Thirty-five percent of CIOs said none of their custom-built AI apps made it out of POC.
Dun and Bradstreet has been using AI and ML for years, and that includes gen AI, says Michael Manos, the companys CTO. Weve been innovating with AI, ML, and LLMs for years, he says. But 76% of respondents say theres a severe shortage of personnel skilled in AI at their organization, according to the August report.
Under pressure to deploy AI within their organizations, most CIOs fear they don’t have the knowledge they need about the fast-changing technology. More than three in five CIOs surveyed by Salesforce say they’re expected to know more about AI than they do, potentially leading to massive and costly deployment mistakes.
More time saved, more wasted time When gen AI helps employees do their jobs faster, companies assume the free time will be used for higher-value activities. According to the company’s latest global survey of desk workers, employees spend 37% more time on routine administrative tasks instead. The AI can go deeper than a Google search.”
If 2023 was the year of experimentation with gen AI, 2024 was when companies zeroed in on use cases and started putting pilot projects into production. In a survey of 2,300 IT decision makers that IBM released in December, 47% say theyre already seeing ROI from their AI investments, and 33% say theyre breaking even on AI.
GitHub first launched its copilot in 2021 , and Microsoft 365 Copilot became generally available a few months ago. These AI assistants often use the term copilot to indicate how generativeAI capabilities embedded in workflow tools can augment and assist people in performing tasks and prompting for information more efficiently.
Difficulties estimating or demonstrating the value of AItechnologies to the business have been or will be a top barrier to their implementation, according to a recent Gartner survey of more than 700 IT leaders at organizations that have adopted or plan to adopt AI.
“With a focus on automation for customer service and telesales functions, we’re looking at intelligent automation solutions that can help improve customer engagement and self-help capabilities,” says Chris Pendergast, the company’s SVP and CTO.
With that in mind, we asked tech leaders in various roles and industries to list what technologies they think are overhyped and to put a more realistic spin on each one’s potential. GenerativeAI Perhaps not surprisingly, generativeAI tops the list of today’s overhyped tech. Consider some recent survey findings.
Most recently, in June, it spent $650 million to buy Casetext, a 104-employee company that offers an AI assistant for legal professionals powered by OpenAI’s GPT-4, the same large language model (LLM) behind ChatGPT. But that’s not the only big bet the company is making on generativeAI. We see huge value unlock in that.”
And when it comes to business and management IT jobs, 63% were classified as “high transformation” due to AI. And online education company Pluralsight conducted a survey of IT professionals in the US and UK and found that 74% worried AI tools will make many of their daily skills obsolete. I like driving the business forward.”
On the one hand, artificial intelligence has helped both technology departments and the business units to work better, faster, and cheaper. We had to drop some critical projects to all of a sudden deal with AI as it came to the forefront very quickly.” It hit us all and kept us from looking at the things we were working on,” he says.
The rate of companies that have either already deployed generativeAI or are actively exploring it is accelerating to the point where, combined, there are very few holdouts. The use of gen AI in the enterprise was nearly nothing in November 2022, where the only tools commonly available were AI image or early text generators.
Artificial intelligence and machine learning Unsurprisingly, AI and machine learning top the list of initiatives CIOs expect their involvement to increase in the coming year, with 80% of respondents to the State of the CIO survey saying so. Other surveys offer similar findings. 1 priority among its respondents as well.
According to an O’Reilly survey released late last month, 23% of companies are using one of OpenAI’s models. Other respondents said they aren’t using any generativeAI models, are building their own, or are using an open-source alternative. And the AI writing assistant category grew by 177%. He’s not the only one.
Caldas says that innovation today includes the adoption of promising new technologies, such as generativeAI and open frameworks. Caldas has no doubt that technology is a key differentiator. “We We have aligned our technology strategy to be a business strategy,” she says. Projects that really excite our teams.”
“It seems to be an increasing worry — worry over whether the enterprise is secure and its data is protected, because everything else falls to the wayside if that’s not taken care of first,” says John Buccola, CTO of E78 Partners, which provides consulting and managed services in finance technology and other professional areas.
GenerativeAI and, more specifically, ChatGPT captivated the corporate world in 2023, with board directors, CEOs, and other executives fawning (and sometimes fearing) the technology. Their enthusiasm is justified, with multiple studies finding that AI is delivering strong value and returns on investment.
CIO packages often include stock options, relocation expenses, and hiring bonuses, says Victor Janulaitis, CEO of consulting firm Janco. The strategic importance of technology leadership has never been greater, especially as organizations attempt to tackle information security, artificial intelligence, cloud transformations, etc.,”
2023 was a year made notable by a range of unexpected, unpredictable, and fast-moving challenges that, despite seemingly having little to do with technology, had profound impacts on IT strategies. Delayed decision-making Bhadresh Patel, chief digital officer at global consulting firm RGP, sees organization’s showing more caution than usual.
As technology continues to advance at a rapid pace, the demand for qualified individuals has soared,” Chan says. CIO.com’s 2023 State of the CIO survey recently zeroed in on the technology roles that IT leaders find the most difficult to fill, with cybersecurity, data science and analytics, and AI topping the list.
GenerativeAI touches every aspect of the enterprise, and every aspect of society,” says Bret Greenstein, partner and leader of the gen AI go-to-market strategy at PricewaterhouseCoopers. In a recent report, he estimated that gen AI software revenues will grow from $3.7 Then gen AI came out.
Proliferation of agentic AI According to a Capgemini survey of 1,100 executives at large enterprises, 10% of organizations already use AI agents, more than half plan to use them in the next year, and 82% plan to integrate them within the next three years. Most of us in AI are software engineers,” he says.
In fact, many similar advantages and disadvantages will likely apply to any AI platform provider that enterprises choose, and CIOs need to consider these wider questions in their gen AI strategy. Plan ahead for heavy usage The popularity of OpenAI raises questions about gen AI availability. That’s an industry-wide problem.
“This is a very hot topic,” says Eric Vandevelde, AI co-chair and partner at the law firm Gibson, Dunn & Crutcher. We’re getting bombarded with questions and inquiries from clients and potential clients about the risks of AI.” With AI, their users can get extremely smart research assistants. AI is a black box.
Benefits for your customers Customers are beginning to understand how AI impacts their products and could be leveraged to benefit them. AI is impacting industries in profound ways and there are a lot of potential use cases for you to experiment with. If they don’t, then you can consider a couple of options.
GenerativeAI has seen faster and more widespread adoption than any other technology today, with many companies already seeing ROI and scaling up use cases into wide adoption. Vendors are adding gen AI across the board to enterprise software products, and AI developers havent been idle this year either.
OpenAI’s recent announcement of custom ChatGPT versions make it easier for every organization to use generativeAI in more ways, but sometimes it’s better not to. But this wasn’t the first time Bing’s AI news added dubious polls to sensitive news stories.
So it’s no surprise that every respondent said that when it comes to gen AI, they’ll either be using it, testing it, or planning projects with it over the next 18 months. Those organizations not taking risks with generativeAI, they’re not going to be able to grow or innovate as quickly, and will lose in the long term.
A striking 79% of surveyed CIOs now view their role as a collaborative partner in educating and guiding CEOs and boards. In an industry where companies typically relied on third-party consultants to analyze their data, we believed our approach was a slam dunk. It’s easy to blame IT just as it’s easy to blame the consultants.
The 2024 Board of Directors Survey from Gartner , for example, found that 80% of non-executive directors believe their current board practices and structures are inadequate to effectively oversee AI. What are we trying to accomplish, and is AI truly a fit? Now many are admitting they werent quite ready.
The launch of ChatGPT in November 2022 set off a generativeAI gold rush, with companies scrambling to adopt the technology and demonstrate innovation. They have a couple of use cases that they’re pushing heavily on, but they are building up this portfolio of traditional machine learning and ‘predictive’ AI use cases as well.”
CIOs now list innovation as the most important trait they need to bring to their role, according to a 2024 survey by professional services firm Deloitte — ahead of delivering top-line value and serving as change agents, two endeavors that require innovation to facilitate. As former CTO and head of digital at Harley-Davidson Motor Co.,
There are a lot of reasons to take a slow and careful approach to generativeAI. The technology is changing quickly, so investing a lot of money in the wrong platform could end up costing a lot of money. puts the AI failure rate at over 80%. Were definitely not going slow, says Abe Kuruvilla, the companys CTO.
Senate Judiciary Committee’s Subcommittee on Privacy, Technology and the Law. After detailing benefits of OpenAI’s generativeAI products and their privacy and security features, Altman told lawmakers that regulation is key to prevent AI from being misused and abused, but also cautioned against excessive government oversight.
Some companies use generativeAI to write code and some use it to create marketing text or fuel chatbots. SmileDirectClub, the UK-based teledentistry company, uses generativeAI to create teeth. Existing generativeAI platforms like OpenAI’s ChatGPT, Google Bard, or Stable Diffusion aren’t trained on 3D images of teeth.
Just over half of employees responding to a survey released in August by digital workplace vendor Slingshot said they felt adequately trained in AI. I think every businessperson knows that they need to implement AI in some way, but they’re not exactly sure how, and they’re not exactly sure how much their employees know.”
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