Gen AI Adoption Not Moving At Speed Of Technology, Agentic AI No Silver Bullet, Reveals Deloitte Survey
While generative artificial intelligence technology continues to advance at incredible speed, organisational change has been hard work, and a majority of executives believe their experiments with the technology will not be fully scaled in the coming months.
According to a recent Deloitte report, more than two-thirds of respondents said that 30% or fewer of their experiments will be fully scaled in the next three to six months. Despite longer than expected time to value, nearly three-quarters of respondents also reported that their most advanced gen AI initiative is meeting or exceeding ROI expectations. Cybersecurity and IT functions are leading the way in terms of ROI and successful scaling.
While agentic AI is seen as a key enabler of sustainable value, regulatory uncertainty and risk management remain key barriers, the report— based on a survey of 2,773 director- to C-suite-level respondents across 14 countries—noted.
Adoption Is Not Moving At Speed Of TechnologyÂ
Among corporate leaders at all levels, the initial enthusiasm for gen AI has progressively given way to a positive but realistic mentality. No matter how quickly technology develops or how hard the companies making gen AI technology push, organisational change in an enterprise can only occur so quickly.
However, 78% of respondents anticipate raising their overall AI spending in the upcoming fiscal year. This is a good thing because it will enable organisations get past the hype and take their time determining where gen AI's capabilities can be most helpful.
Regulatory And Risk Concerns Are Key Barriers
The necessity for focused action has increased as companies and legislators negotiate the challenging task of regulating a technology whose capabilities are still developing. The biggest obstacle preventing organisations from creating and using gen AI tools and apps is regulatory compliance concerns, which rose 10% from Wave 1 survey (28%) to Wave 4 survey (38%).
The necessity for persistence and a calculated approach to laying the right governance foundation is shown by the fact that 69% of respondents believe it will take more than a year to completely implement a governance strategy.
Scaling Still A Work In Progress
From technological catch-up to competitive differentiation with gen AI, a strategy change is emerging, and the most advanced (scaled) gen AI efforts have provided typically good ROI for organisations. Nearly a quarter (20%) of organisations claim a ROI of 31% or higher, and nearly all report a measurable ROI.
With 28% stating that their most advanced endeavour is in the IT function, gen AI utilisation in the sector seems to be the most advanced. More than any other function, cybersecurity implementations have stood out, with 44% of respondents stating that ROI has exceeded their expectations. Despite these achievements, scalability and value generation continue to be major obstacles.
Agentic AI Is No Silver BulletÂ
With 26% of surveyed organisations already investigating autonomous agent development to a great level and 42% to some amount, agentic AI has drawn the attention of leaders. Agents could speed up the creation of long-lasting business value because they are software systems that can accomplish goals with little assistance.
Nevertheless, the main obstacles gen AI is currently facing— regulatory uncertainty, risk management, data deficiencies and workforce issues—remain relevant and may even become more significant given the complexity of agentic systems.
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