Last updated: 02 Sep 2024 08:00 Posted in:
While investment in generative artificial intelligence (generative AI) is growing, organisations are struggling to overcome data management issues and risk-related challenges preventing them from scaling AI effectively.
Research for a new report by the Deloitte AI Institute, called ‘State of Generative AI in the Enterprise’, also found that data and risk management issues are tempering initial enthusiasm for generative AI.
Despite these misgivings among respondents, Deloitte AI expert Adam Cichocki said that the benefits of generative AI deployments still outweigh the drawbacks.
He said: “Our latest research indicates that the top benefits of Gen AI are extending beyond improved efficiency, productivity and cost reduction.”
He added that more than half of respondents cited “increased innovation, improved products and services, enhanced customer relationships and other types of value” being produced as a result of investing in AI.
The report reveals that 67% of the 2,770 of company director respondents across 14 countries are increasing their investment in generative AI. Among those surveyed, data management emerged as a critical issue, with 75% of organisations increasing investments in data lifecycle management to support their AI strategies. However, despite these efforts, 55% of respondents reported avoiding specific AI use cases due to data-related concerns, including data quality, privacy, and security.
To address these challenges, organisations are focusing on enhancing data security (54%), improving data quality practices (48%), and updating governance frameworks (45%). The need to ensure accurate, secure, and properly governed data is seen as essential for scaling AI deployments effectively.
The top challenges highlighted by the Deloitte survey are regulatory compliance (36%), difficulty in managing risks (30%), and the lack of a governance model (29%). To mitigate these risks, 51% of organisations have established governance frameworks for AI, 49% are actively monitoring regulatory requirements, and 43% are conducting internal audits and testing.
“Our latest research indicates that the top benefits of Gen AI are extending beyond improved efficiency, productivity and cost reduction."
Adam Cinchocki, Deloitte AI Expert