The realm of artificial intelligence (AI) is rapidly evolving, and business leaders worldwide are starting to acknowledge the profound impact it will have on various industries. PayPal CEO Dan Schulman is among those who believe that executives are underestimating the potential of generative AI to revolutionize their organizations. According to Schulman, a surge of 30% to 40% productivity gains is likely to be witnessed across front office, back office, legal, marketing, and finance functions as generative A.I. gains traction in these sectors.
Fortune and Deloitte have conducted research revealing that 79% of CEOs expect their investments in generative AI to boost efficiency significantly. Moreover, three-quarters of CEOs anticipate that A.I. investments will automate many manual tasks, streamlining workflows and saving valuable time and resources. Notably, PayPal itself has already embraced A.I. applications like Google Codey, AWS CodeWhisperer, and Microsoft Codist in its code development processes, leading to an impressive 30% increase in productivity.
Despite the evident benefits of A.I. implementation, business leaders must approach this transformative technology with caution. One pressing concern is the potential displacement of human workers. Schulman emphasizes the importance of evaluating how A.I. will impact hiring and personnel, urging organizations to act responsibly and avoid mass layoffs of employees due to A.I. integration.
Deloitte U.S. CEO Jason Girzadas confirms that the adoption of AI is accelerating across industries. However, the most significant challenge lies in understanding how A.I. will reshape the nature of work itself. Some CEOs, like Chemours President and CEO Mark Newman, see great potential in using generative A.I. for novel chemical discovery. By employing AII to develop compounds that meet regulatory, safety, and market demands, Chemours is at the forefront of innovation.
To facilitate the integration of AI into their operations, some organizations are appointing specialized roles. For example, Chemours has a Chief Enterprise Transformation Officer responsible for exploring A.I. prospects and leveraging digital tools to enhance production, research and development, and overall productivity.
Educational tech business Skillsoft envisions a future where all knowledge workers employ AI. Skillsoft is already harnessing AI to revolutionize its teaching methods and content, adapting to the changing landscape of workforce requirements. Similarly, DataRobot CEO Debanjan Saha shares a compelling use case wherein A.I. assists smaller organizations with limited legal staff in quickly evaluating vendor proposals, creating a knowledge base of previous bids for informed decision-making.
However, despite the evident benefits, some senior executives remain hesitant to adopt AI technology early on, primarily due to perceived risks. Schulman believes that responsible evaluation and utilization of AI can mitigate such concerns, as early adoption, contrary to popular belief, is not as risky as it may appear.