A recent survey from Big Four firms Deloitte and PwC has revealed that the vast majority of senior business executives are optimistic about the near-term payoffs of generative AI. Deloitte surveyed over 2,800 AI-experienced directors and C-suite executives across 16 countries and six industries. An astonishing 79% of respondents expect significant organizational transformation within the next three years due to Gen AI.
Although the primary expectation from AI is to bring tactical improvements to cost and efficiency, concerns about governance and risk related to this innovative technology are looming. As per the same Deloitte survey, only a quarter of respondents feel their organizations are well-prepared to manage risk and governance issues related to Generative AI. And merely 47% believe their organizations are doing the necessary work to educate employees on AI technology.
In a separate survey by PwC, the belief in the productivity enhancement of Generative AI is also high amongst US CEOs. As per the results, 68% of the US chief executives expected AI to boost their employees’ productivity over the coming year. Furthermore, 44% expect this technology to increase their net profit within the same period.
However, along with these hopeful expectations, certain fears are also prevalent amongst professionals. Many Deloitte survey respondents underlined fears about AI governance related to intellectual property, data integrity, and regulatory compliance, among other things. They also expressed concerns that this emergent technology might worsen economic inequality and erode trust in institutions.
In conclusion, while the prospective benefits from Generative AI technology seem imminent, organizations must also be prepared to deal with associated governance and risk challenges. As Deloitte Global CEO, Joe Ucuzoglu, pointed out in a statement, leaders are under immense pressure to act, while ensuring appropriate governance and risk mitigation guardrails are in place.
For a more in-depth look at the studies, refer to the full article on Bloomberg Law.