Where’s the ROI for AI? CIOs Struggle to Find

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1. **Difficulty in Estimating AI Value**:

   - Nearly half of AI leaders find it challenging to estimate or demonstrate the value of AI technologies.

   - Estimating or demonstrating AI's value is a significant barrier to implementation.


2. **Adoption of AI**:

   - Over 95% of IT leaders report AI implementation in at least one business process.

   - More than a quarter have adopted AI for multiple processes across several business units.


3. **Barriers to AI Implementation**:

   - Key barriers include lack of talent and skills, and lack of confidence in AI technologies.

   - The ongoing cost is a significant barrier to adopting generative AI.


4. **CIOs' Concerns**:

   - Despite widespread adoption, many CIOs are concerned about the actual value of AI.

   - Some companies adopt AI without a specific use case or proper employee training.


5. **Need for Proper Use Cases**:

   - Effective AI implementation requires identifying specific problems to solve with AI.

   - Organizations should learn how to use AI tools effectively to realize their potential benefits.


6. **Recommendations for CIOs**:

   - Consider potential use cases and establish metrics to measure AI's value before large-scale implementation.

   - Run pilot programs to validate AI applications.


7. **Examples of AI Adoption**:

   - CNH Industrial uses AI for equipment health monitoring, code development, and autonomous driving systems.

   - Microsoft Copilot is used for meeting summaries and an AI-driven chatbot for service technicians.


8. **Measuring AI’s Impact**:

   - CNH measures the success of AI tools through metrics like time savings and Net Promoter Scores (NPS).

   - Importance of documenting time savings and improvements in customer satisfaction.


9. **Strategic Approach**:

   - Organizations should educate themselves about AI and its benefits before diving in.

   - Identifying clear use cases and running experiments to validate hypotheses is crucial.


10. **Expert Opinions**:

    - Ryan Kane emphasizes the need for proper training and understanding of AI tools.

    - Stuart King notes the importance of finding specific problems for AI to solve rather than adopting AI for its novelty.


11. **Market Trends**:

    - Generative AI is the most adopted AI technology, followed by machine learning and natural language processing.

    - Tracking ROI is a recurring concern for IT leaders, as highlighted in multiple surveys.


These points provide a comprehensive overview of the challenges and strategic considerations for organizations seeking to implement AI technologies effectively.

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