AI’s Business Promise: Only 13% Are Delivering
▼ Summary
– Most businesses expect AI to transform roles and responsibilities within their organizations in the next year, but few feel their workforces are equipped with the necessary skills.
– Organizations show high confidence in their ability to test and scale new ideas, yet over half report that innovation efforts are often delayed by foundational technology issues.
– A readiness gap exists as enterprises struggle to achieve transformative value from AI, with many lacking a clear understanding of how to implement it effectively.
– While 54% of businesses report measurable ROI from AI efforts, a larger percentage (62%) indicate these initiatives are still in pilot stages.
– A small group of “pacesetters” (13%) successfully combine strong vision with investment and adaptability, leading to higher AI adoption rates among employees.
A new study reveals a stark contrast between corporate ambitions for artificial intelligence and their actual achievements, with only a small fraction of businesses successfully implementing AI strategies that deliver measurable returns. While enthusiasm for AI’s transformative potential runs high across industries, most organizations find themselves struggling to bridge the gap between vision and execution, leaving significant opportunities untapped.
Research conducted by IT infrastructure provider Kyndryl, which surveyed 3,700 senior executives worldwide, highlights several paradoxes in how companies approach AI. Eighty-seven percent of business leaders anticipate AI will completely reshape roles and responsibilities within their organizations within the next year. Yet just 29% believe their workforce currently possesses the skills and training needed to effectively leverage the technology. This disconnect underscores a fundamental challenge: organizations recognize AI’s potential but lack the practical roadmap to harness it.
The report identifies what it terms a “readiness gap”, a divide between corporate confidence in technological adaptation and their actual track record. An overwhelming 90% of executives expressed confidence in their organization’s ability to rapidly test and scale new ideas. However, more than half acknowledged that innovation efforts frequently stall due to foundational issues within their technology infrastructure. This suggests that while leadership is eager to automate processes and integrate AI tools, many lack a clear understanding of how to align these ambitions with their current operational capabilities.
Martin Schroeter, Kyndryl’s Chairman and CEO, emphasized that “a readiness gap exists as enterprises grapple with the promise of transformative value from AI.” He noted that closing this gap represents both the primary challenge and the most significant opportunity for businesses moving forward.
Further complicating the picture, 54% of surveyed executives reported seeing measurable return on investment from their AI initiatives, a promising figure amid broader industry reports showing limited tangible returns. Still, a larger proportion, 62%, indicated their AI projects remain in pilot stages rather than being fully integrated into business operations.
The study also spotlighted a distinct group of high performers, labeled “pacesetters,” who constitute just 13% of respondents. These organizations have successfully aligned strategic vision with concrete investment and adaptability. Unlike their peers, pacesetters not only set ambitious AI adoption targets but also take deliberate steps to prepare their teams and technological foundations to achieve them. For instance, pacesetters reported that 66% of their employees use AI tools weekly, compared to 63% among “followers” and 56% among “laggards.”
Interestingly, these findings align with recent research from Cisco, which identified a similar proportion of pacesetters, between 13% and 14%, among the business leaders it surveyed. Kyndryl has described this parallel as coincidental, yet it reinforces the notion that a small cohort of companies is pulling ahead in the race to capitalize on AI’s potential. These leaders demonstrate that pairing strong vision with actionable investment is key to avoiding the readiness gap that traps so many others.
(Source: ZDNET)
