- AI named as one of the three biggest factors to boost productivity
- Visibility over costs and ROI falls short, study finds
- Legacy tech and skills gaps are ongoing issues
Over half (50%) UK CEOs have credited AI with being one of the three biggest contributors to their productivity improvements over the past year, ranking ahead of more traditional aids like redesigning and simplifying business processes (40%) and reselling workers (38%).
But despite naming AI as one of the biggest influencers on productivity, business leaders aren't exactly sure how it's helping, and only 14% of UK CEOs have full real-time visibility over their AI costs, a new EY report has claimed.
As such, one in three (32%) say they're unable to properly asses AI's ROI, making it difficult for them to actually know whether its impacts are translating into financial value.
AI is probably boosting productivity, but we don't really know how
"UK CEOs now want clear evidence that their investment is delivering stronger productivity and measurable business value," UK&I Managing Partner Silvia Rindone explained, implying that companies need greater visibility across their AI spend and impacts.
However, it's not just difficulties quantifying ROI that's helping non-adopters back when it comes to AI. Legacy systems (34%) and organizational complexity (29%) are still considered major blockers four years after generative AI was considered to have gone ultra-mainstream with the public launch of ChatGPT.
Skills shortages also continue to plague businesses, with three in four (74%) UK CEOs anticipating these gaps to worsen over the next three years – more so than access to capital, proving they can't even buy their way out of difficulties.
While organizations are seeking solid evidence that their investments are delivering measurable ROI in terms of productivity and revenue growth, EY's report emphasizes the fact that they can't overlook the same blockers that have been reappearing in studies over the years – legacy tech and skills shortages.
"Realising value still depends on rigorous analysis, clear strategic choices and disciplined execution," UK&I AI & Data Leader Matthew Ringelheim summarized.
