79% of executives expect Gen AI to transform organisations within three years

Rotterdam, 17 January 2024

• 48 per cent of Dutch respondents agree that their organisation sufficiently educates employees on the possibilities, benefits, and value of Gen AI.
• 62 per cent of Dutch respondents are concerned that the widespread use of Gen AI will increase economic inequality.
•  A quarter of global executives believe their organisations are well-prepared to address governance and risk issues related to Gen AI adoption.
  

"Today, Gen AI is at an inflection point. Organisations are beginning to recognise the potential of Gen AI, but are yet to see it as a growth catalyst for business. To be able to actually use Gen AI for growth, it is important not to see Gen AI in isolation, but in interaction with other forms of AI, data and technology platforms," says Marc Verdonk, CTO Deloitte Netherlands.

"The way we work, learn and collaborate is expected to change. To make the most of Gen AI and stay ahead of the curve, organisations need to redefine how they do business. Collaboration between organisations is essential to foster trust in the responsible and widespread adoption of Gen AI. In addition, a strong focus on education and reskilling people is crucial," says Stephen Ward, Partner Deloitte Digital.

Three-quarters of global respondents (79 per cent, NL respondents: 86 per cent) expect Gen AI to transform their organisation in less than three years. Yet, at the moment, the majority report a strong focus on more tactical benefits, like improving efficiency and cost reduction (56 per cent), rather than things like growth and improving innovation (29 per cent). Dutch respondents indicate that Gen AI is mainly used in their organisations for content creation (76 per cent), translations (60 per cent) and as a virtual assistant (58 per cent).

44 per cent of respondents globally believe they have "high" or "very high" expertise in Gen AI. Of the Dutch respondents, 52 per cent indicate that there is some expertise on Gen AI within their organisation; 36 percent believe there is "high" or "very high" expertise on Gen AI within their organisation. AI experts who have been working with AI for some time have more confidence in the technology and seem to be best prepared for the changes that Gen AI will bring.

Managing talent, governance, and risk are top challenges with Gen AI adoption

Respondents report feeling generally prepared when it comes to strategy and technology infrastructure. They have lower confidence related to talent, governance, and risk, which are seen as significant barriers to AI adoption.

Only 22 per cent of respondents globally believe their organisations are well-prepared to address talent-related challenges related to Gen AI adoption. 48 per cent of Dutch respondents believe that their own organisation sufficiently educates employees on the possibilities, benefits, and value of Gen AI. Early Gen AI experts are much more likely to focus on educating and reskilling their workforce.

Only a quarter of respondents globally (25 per cent) believe their organisations are "highly" or "very highly" prepared to address governance and risk issues related to Gen AI adoption. Respondents' biggest concerns related to governance are:

1. Lack of confidence in results (36 per cent);
   
2.  Intellectual property concerns (35 per cent);
   
3. Misuse of client or customer data (34 per cent);
   
4.  Ability to comply with regulations (33 per cent);
   
5. Lack of transparency (31 per cent).
   

Societal impact of Gen AI

While respondents are generally excited and enthusiastic about Gen AI's potential business benefits, they are less optimistic about its broader societal impacts. More than half of respondents expect widespread use of Gen AI to centralise power in the global economy (52 per cent, NL respondents: 60 per cent) and increase economic inequality (51 per cent, NL respondents: 62 per cent).

A majority of respondents agree there is a need for more global regulation (78 per cent, NL respondents: 86 per cent) and collaboration (72 per cent, NL respondents: 80 per cent) to manage the responsible widespread adoption of Gen AI.