The Generative AI Revolution: Separating Hype from Reality
As the world continues to grapple with the possibilities and limitations of Generative AI (Gen AI), a new study by SoftServe reveals a stark reality check. Despite the growing enthusiasm and investment in Gen AI, many organizations are struggling to realize its full potential.
The gap between expectation and reality
The study, which surveyed 777 technology purchasing decision-makers, found that only 22% of organizations are effectively using Gen AI across all business functions. This is a far cry from the expected value that executives had hoped for, with many citing internal limitations, data readiness, and governance as major hurdles.
The Gap Between Expectation and Reality
One of the most striking findings of the study is the gap between expectation and reality. While 75% of organizations have implemented at least three use cases, many are struggling to move beyond the piloting stage. This is due in part to the lack of internal expertise, with 79% of respondents citing concerns about their organization’s ability to execute Gen AI goals.
The struggle to move beyond piloting
Furthermore, the study found that only 42% of organizations have the capabilities to train Gen AI models, and a staggering 89% face difficulties preparing business data for Gen AI use. This lack of readiness is a major obstacle to realizing the full potential of Gen AI.
The Importance of Governance
Another key finding of the study is the importance of governance in realizing Gen AI value. While 90% of respondents agree that adopting a governance plan is crucial, only 24% have such a plan in place. This lack of governance is a major risk to organizations, as it can lead to unintended consequences and reputational damage.
The need for effective governance
The Way Forward
So, what does the future hold for Gen AI? The study suggests that organizations need to take a more holistic approach to realizing its value. This includes developing internal expertise, preparing business data, and implementing effective governance plans.
The path to realizing Gen AI value
In conclusion, the SoftServe study is a timely reminder that the hype surrounding Gen AI needs to be tempered with a dose of reality. While the potential of Gen AI is vast, its realization requires careful planning, investment, and governance.
