{"id":19129,"date":"2017-10-13T08:30:57","date_gmt":"2017-10-13T15:30:57","guid":{"rendered":"https:\/\/insidebigdata.com\/?p=19129"},"modified":"2017-10-14T09:30:14","modified_gmt":"2017-10-14T16:30:14","slug":"state-artificial-intelligence-enterprise","status":"publish","type":"post","link":"https:\/\/insidebigdata.com\/2017\/10\/13\/state-artificial-intelligence-enterprise\/","title":{"rendered":"State of Artificial Intelligence for the Enterprise"},"content":{"rendered":"<p><img decoding=\"async\" loading=\"lazy\" class=\"alignright size-full wp-image-17740\" src=\"https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/04\/Teradata_logo.jpg\" alt=\"\" width=\"218\" height=\"63\" srcset=\"https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/04\/Teradata_logo.jpg 218w, https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/04\/Teradata_logo-150x43.jpg 150w\" sizes=\"(max-width: 218px) 100vw, 218px\" \/>A whopping 80 percent of enterprises are investing today in AI, but one in three business leaders believe their company will need to invest more over the next 36 months to keep pace with competitors. At the same time, enterprises are anticipating significant barriers to adoption and are looking to strategize against those issues by creating a new C-suite position, the Chief AI Officer (CAIO) to streamline and coordinate AI adoption. These results come from survey of 260 large organizations that operate globally, conducted by leading technology industry market research firm Vanson Bourne on\u00a0 behalf of <a href=\"http:\/\/www.teradata.com\/\" target=\"_blank\" rel=\"noopener\">Teradata<\/a> (NYSE: TDC), a leading data and analytics company. The new report is available detailing the survey results &#8211; <a href=\"https:\/\/insidebigdata.com\/white-paper\/19135state-of-artificial-intelligence-for-enterprises\/\" target=\"_blank\" rel=\"noopener\"><em>State of Artificial Intelligence for the Enterprise<\/em><\/a>.<\/p>\n<blockquote><p>There is an important trend emerging evident in this report \u2014 enterprises today see AI as a strategic priority that will help them outpace the\u00a0 competition in their respective industries,\u201d says Atif Kureishy, vice president at ThinkBig, a Teradata company. \u201cBut to leverage the full potential of\u00a0 this technology and gain maximum ROI, these businesses will need to revamp their core strategies so AI has an embedded role from the data center to the boardroom.\u201d<\/p><\/blockquote>\n<p><strong>Companies are Doubling Down on AI Investments<\/strong><\/p>\n<p>The survey results found that companies are bullish and expect their AI investments to be worth the upfront cost.<\/p>\n<p><img decoding=\"async\" loading=\"lazy\" class=\"aligncenter size-full wp-image-19130\" src=\"https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig1.png\" alt=\"\" width=\"600\" height=\"570\" srcset=\"https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig1.png 600w, https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig1-300x285.png 300w, https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig1-150x143.png 150w\" sizes=\"(max-width: 600px) 100vw, 600px\" \/><\/p>\n<p>&nbsp;<\/p>\n<p>The industries where respondents expect to see the most impact from AI are IT, technology and telecoms (59 percent), business and professional services (43 percent), and customer services and financial services were tied for third (32 percent). The top three challenges where businesses expect AI to drive revenue are product innovation\/research and development (50 percent), customer service (46 percent), and supply chain and operations\u00a0 (42 percent). This mirrored some of the top areas of AI investment, which include customer experience (62 percent), product innovation (59 percent)\u00a0 and operational excellence (55 percent).<\/p>\n<p>While adoption rates are high and companies expect AI to prove its worth, there is a lot of opportunity for future implementation:<\/p>\n<ul>\n<li>80 percent of respondents report that some form of AI is already in production in their organization, although 42 percent say that there is lots of room for further implementation across the business.<\/li>\n<li>30 percent still believe that their organization isn\u2019t investing enough and will need to invest more in AI technologies over the next 36 months to keep up with competitors in their industry.<\/li>\n<li>On average, the companies surveyed are currently investing $6.47 million in AI technology \u2014 that number rises to $8.25 million average spend for companies in APAC.<\/li>\n<\/ul>\n<p><strong>Challenges Lie Ahead for AI Realization<\/strong><\/p>\n<p><img decoding=\"async\" loading=\"lazy\" class=\"aligncenter size-full wp-image-19131\" src=\"https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig2.png\" alt=\"\" width=\"600\" height=\"552\" srcset=\"https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig2.png 600w, https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig2-300x276.png 300w, https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig2-150x138.png 150w\" sizes=\"(max-width: 600px) 100vw, 600px\" \/><\/p>\n<p>Almost all respondents are anticipating barriers to adoption and ROI \u2014 as is the case with nearly every emerging technology. Business are ready to continue to invest in AI, likely because of the gains executives and IT decision makers anticipate in cost and time savings, but lack of IT infrastructure<br \/>\nand lack of access to talent are cited as the leading barriers. Surprisingly, business leaders are not as concerned about the impact AI and automation\u00a0 will have on employee morale \u2014 only 20 percent see this as a barrier \u2014 and even less, 19 percent, are worried about making a business case for AI.<\/p>\n<ul>\n<li>91 percent expect to see barriers to AI realization, with lack of IT infrastructure (40 percent) and lack of access to talent (34 percent) leading the challenges, followed by lack of budget for implementation (30 percent), complications around policies, regulations and rights (28 percent) and\u00a0 impact on customer expectations (23 percent). By contrast only 19 percent view a weak business case for AI technologies as a concern and only 20 percent are concerned about the impact of AI and automation on employee morale.<\/li>\n<li>Businesses anticipate about a half-and-half split between revenue increases (53 percent) and cost\/efficiency savings (47 percent) from their AI investments.<\/li>\n<li>Only 28 percent of respondents say that their organization has enough trained people internally to buy, build and deploy AI.<\/li>\n<\/ul>\n<p><strong>How Businesses are Strategizing to Extract ROI from AI<\/strong><\/p>\n<p>While executives currently rely on existing technology leaders like CIOs and CTOs to steer AI adoption and strategy, they believe the future of AI will be so relevant for creating a strategy across business practices that they will need a CAIO (Chief AI Officer) to coordinate and mandate implementation throughout the enterprise:<\/p>\n<ul>\n<li>The CIO (47 percent) and CTO (43 percent) are leading the effort today, with 62 percent of respondents say they are planning to hire a dedicated role \u2014 a CAIO \u2014 to lead the effort in the future.<\/li>\n<li>Companies expect a $1.99 ROI in the next five years for every dollar invested today and $2.87 in ROI over the next 10 years.<\/li>\n<li>The industries that most anticipate positive impacts are: IT, technology and telecoms (59 percent); business and professional services (43\u00a0 percent); consumer services (32 percent); financial services (32 percent); and manufacturing and production (31 percent).<\/li>\n<\/ul>\n<p><strong>What it Means<\/strong><\/p>\n<p>Tech companies have been promising AI as a robust solution and business strategy for the past few years, and this survey shows businesses are realizing the benefits of AI adoption today.<\/p>\n<p>Enterprises expect AI to be a technology with longevity, planning to double their investment in five years and triple it within 10 years. But to maximize this ROI, companies realize they must re-imagine how AI will disrupt all aspects of their businesses and create a suitably agile strategy to gain ROI.<\/p>\n<p><img decoding=\"async\" loading=\"lazy\" class=\"aligncenter size-full wp-image-19132\" src=\"https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig3.png\" alt=\"\" width=\"600\" height=\"411\" srcset=\"https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig3.png 600w, https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig3-300x206.png 300w, https:\/\/insidebigdata.com\/wp-content\/uploads\/2017\/10\/Teradata_AI_report_fig3-150x103.png 150w\" sizes=\"(max-width: 600px) 100vw, 600px\" \/><\/p>\n<p>Download the report <a href=\"https:\/\/insidebigdata.com\/white-paper\/19135state-of-artificial-intelligence-for-enterprises\/\" target=\"_blank\" rel=\"noopener\">HERE<\/a>.<\/p>\n<p>&nbsp;<\/p>\n<p><em>Sign up for the free insideBIGDATA\u00a0<a href=\"http:\/\/insidebigdata.com\/newsletter\/\" target=\"_blank\" rel=\"noopener noreferrer\">newsletter<\/a>.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A survey conducted in July 2017 by Vanson Bourne, the Teradata \u201cState of Artificial Intelligence for Enterprises\u201d report captures the here and now for AI \u2014 how  executive decision-makers are investing in AI today, the expected return on investment (ROI), what barriers lie ahead and how businesses craft a solid game plan to realize AI\u2019s full potential.<\/p>\n","protected":false},"author":10513,"featured_media":19133,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[526,115,87,180,56,84,101,1,58],"tags":[324,96],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v20.6 - 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