Companies Struggle to Deploy Generative AI, Survey Finds
According to a new report by Deloitte, most companies are not ready to deploy generative artificial intelligence (Gen AI) in production, despite significant advancements in the technology. The survey of 2,773 senior leaders from 14 countries found that over two-thirds of respondents said that fewer than one-third of Gen AI experiments will be fully scaled in the next three to six months.
Regulatory Uncertainty Hinders Deployment
Regulatory uncertainty and risk management are the top institutional barriers to deploying Gen AI, with 38% of respondents citing regulatory issues as a major obstacle, up from 28% a year ago. The report notes that "there is a speed limit" to AI deployment, with organizations moving at a slower pace than the technology itself.
Fewer Than One-Third of Experiments Will Be Scaled
The survey found that over two-thirds of respondents said that 30% or fewer of their current experiments will be fully scaled in the next three to six months. This is a similar finding to the previous report, which also showed that 70% of respondents said their organization had moved 30% or fewer of their Gen AI experiments into production.
Barriers to Deployment
The report identifies several barriers to deploying Gen AI, including:
- Regulatory uncertainty and risk management
- Worries about complying with regulations
- Lack of internal expertise and resources
- Limited data availability and quality
- Lack of clear business cases and ROI
ROI Varies by Function
The report notes that some corporate functions, such as IT, operations, and marketing, have seen the best ROI from Gen AI implementations. Cybersecurity has seen the greatest upside in ROI, with 44% of Gen AI initiatives delivering an ROI somewhat or significantly above expectations.
C-Suite Executives’ Optimism
C-suite executives tend to be more optimistic about their organization’s Gen AI investments, with 54% of CEOs reporting that their organization has achieved ROI above expectations, compared to 34% of non-CEO executives.
Conclusion
Despite the challenges, the report concludes that organizations are taking a realistic approach to deploying Gen AI, with a sustained commitment to achieving value from the technology. However, it may take several years for some organizations to reach full-scale deployment and achieve the ROI they are seeking.
Frequently Asked Questions
Q: What is the main barrier to deploying Gen AI?
A: Regulatory uncertainty and risk management are the top institutional barriers to deploying Gen AI.
Q: How many companies are ready to deploy Gen AI in production?
A: According to the survey, over two-thirds of companies are not ready to deploy Gen AI in production.
Q: Which corporate functions have seen the best ROI from Gen AI implementations?
A: IT, operations, and marketing have seen the best ROI from Gen AI implementations, with cybersecurity seeing the greatest upside in ROI.
Q: How long will it take for some organizations to reach full-scale deployment and achieve the ROI they are seeking?
A: It may take several years for some organizations to reach full-scale deployment and achieve the ROI they are seeking.
