CEOs Recognized AI as High Theme of the Subsequent Enterprise Transformation After Digital
Sixty-two per cent of CEO’s chosen progress as their high enterprise precedence in 2024, in keeping with a brand new survey by Gartner, Inc. That is the very best degree since 2014, and a rise from final yr’s survey the place 49% of CEOs stated their high enterprise precedence was progress.
“Together with the elevated give attention to progress, the survey confirmed a comparatively weak place for value administration, suggesting that almost all CEOs and senior enterprise executives consider essentially the most difficult financial instances are previous,” stated David Furlonger, Distinguished VP Analyst and Gartner Fellow. “We now have entered a part of rising enterprise chief confidence and enterprise technique re-launches.”
The 2024 Gartner CEO and Senior Enterprise Govt Survey was performed from July by way of December 2023 amongst 416 CEOs and different senior enterprise executives in North America, Europe, Asia/Pacific, Latin America, the Center East and South Africa, throughout completely different industries, income and firm sizes. The survey discovered that CEOs are entertaining a progress mindset of their present surroundings (see Determine 1).
AI Is Fascinating CEOs
When requested about digital transformation, 34% of CEOs recognized AI as the highest theme of the subsequent enterprise transformation after digital, adopted by operations effectivity at 9%.
“‘AI’ is displacing ‘digital’ because the key phrase CEOs point out essentially the most, due in no small half to generative AI (GenAI),” stated Don Scheibenreif, Distinguished VP Analyst at Gartner. “Nearly all of CEOs surveyed consider that the AI breakthroughs of 2023 justified the tech sector hype. They’re counting on CIOs, CTOs or CDOs to unlock the worth of GenAI, displaying that it is a staff effort when approaching these tasks and never only a top-down expertise.”
CEOs Should Method AI, Together with GenAI, With Warning
CEOs should not deterred by any unfavorable prospects round AI, as 87% of CEOs agreed that the advantages of AI to their enterprise outweigh its dangers. One other 90% of CEOs agreed the concept AI is an existential risk to humanity is hype and exaggeration.
Nevertheless, CEOs should not approaching AI with a wholly constructive outlook. Fifty-six per cent of CEOs stated disinformation, misinformation and deep fakes will create working issues. Twenty-nine per cent see constrained electrical energy provide and 53% see basic provide chain points as an issue, largely attributable to GenAI and the demand the expertise creates.
“CEOs ought to tolerate low-cost GenAI tasks,” stated Scheibenreif. “However they need to keep away from the temptation to attempt to management GenAI’s use from the centre. The thrill and vitality shall be nearly unimaginable to deal with.
“CEOs should let the hype cycle do its work for them. The trough of disillusionment in GenAI will arrive quickly sufficient – most likely earlier than the tip of 2024. CEOs ought to clamp down solely on experiments that they consider are harmful for the corporate’s popularity and permit the herd to police itself this time.”