Beyond the Hype: The Unrealized Potential of Generative AI

Despite the growing adoption of Generative AI (Gen AI) across industries, a recent study by SoftServe reveals that only 22% of organizations are effectively utilizing the technology across all business functions. This gap between expectation and reality raises questions about the true value of Gen AI and the limitations that hinder its adoption.

Business leaders are still struggling to realize the full potential of Gen AI

The study, which surveyed 777 technology purchasing decision-makers, highlights the enthusiasm for Gen AI, with more than half of the respondents establishing business goals for its use. However, 79% of them are concerned about their organization’s ability to execute these goals due to a lack of internal or external expertise.

Organizations are piling up use cases, but struggling with internal data readiness and governance

The findings also indicate that organizations are facing challenges in preparing business data for Gen AI use, with only 42% having the capabilities to train Gen AI models. Moreover, 89% of respondents face difficulties in preparing business data for Gen AI use. The lack of governance plans, with only 24% having them in place, is another significant hurdle.

Leaders are concerned about realizing business value from Gen AI

The study reveals that only 51% of leaders are extremely confident that their current strategy will allow them to reach maximum Gen AI value from future use cases. Furthermore, 77% are concerned about their company’s potential to realize business value in either the short or long term.

Crucial External Expertise Needed

Despite the abundance of use cases, 80% of decision-makers claim that their employees are currently struggling with use case awareness and general understanding of Gen AI complexity. This highlights the need for external expertise to help organizations unlock the true potential of Gen AI.

Organizations need partners with advanced technical capabilities to see transformative value

According to the study, companies that are reaping substantial value from Gen AI prioritize data, governance, and skill development with the help of technical partners and experts. The study also highlights notable trends in Gen AI results, with the U.S. taking the lead in unlocking Gen AI value, followed by the UK, Singapore, and Germany.

SoftServe’s study reveals the importance of data, governance, and skill development in unlocking Gen AI value

Conclusion

The study serves as a wake-up call for businesses to reassess their Gen AI strategies and priorities. To unlock the full potential of Gen AI, organizations need to focus on data readiness, governance, and skill development. By doing so, they can move beyond the piloting stages and achieve transformative value from Gen AI.