A recent survey on Generative AI conducted by Accenture shows that Fortune 500 CEOs still focus on earlier generations of technology, such as predictive AI or robotic process automation, rather than generative AI, computer models that create text, images, and computer code. The survey asked leaders to rank technologies “in terms of your view of different AI potential as opportunities for your business over the next ten years.” Predictive AI (data analytics) won the contest hands down, with 58% of CEOs choosing it as having the highest potential. Generative AI, on the other hand, had the highest potential by only 12%, roughly equal to the number who chose robotic process automation.
What’s Holding Back the Adoption of Generative AI Among CEOs- Fortune 500 CEOs?
According to Julie Sweet, CEO of Accenture, “There is a broad and widespread interest, and a reasonable, healthy sense of skepticism, not about whether generative AI will be transformative in the long term, but skepticism in the short term about how fast to go. Some of it is because they don’t completely understand it. And for many, it’s also because they are still in the middle of their digital journey.”
The digital journey, according to Julie Sweet, involves building a data core and using cloud and AI technologies to differentiate businesses. Many companies are still building their data core, and for them, experimenting with generative AI may not make sense. As Sweet puts it, “It’s really important as a CEO to step back and say, ‘Where should my team focus?’. If you are in health care, you may say, ‘I can use generative AI to talk with patients, but I still don’t have a single (data) view of the patient.’ Which is more important to medical outcomes?”
Limitations of Generative AI
Sweet also highlights some of the shortcomings of generative AI The technology tends to engage in “hallucinations”—or what we might call B.S. if it was produced by a human. Factual accuracy is less than perfect. “If you are trying to detect fraud or money laundering, 99% accuracy may be fine. If you are in precision medicine, it’s not good enough. Generative AI is a better tool for some use cases, but not all use cases.”
Despite these limitations, the new generative AI tools have accelerated corporate efforts to tackle AI opportunities. This is not a passing fad – the age of AI is here. CEOs should have a clear-eyed view of the potential and limitations of this technology and focus on where it makes sense for their business.
Our Say
Generative AI is a powerful tool that can transform businesses across multiple industries. However, many companies are still building their data core and focusing on earlier generations of technology. But again, AI is not for everyone. According to Fortune 500 CEOs, companies need to consider its limitations and focus on where it makes sense for their business. As Sweet says, “AI is the differentiator,” and those who fail to adapt risk being left behind in the age of AI
Sabreena Basheer is an architect-turned-writer who's passionate about documenting anything that interests her. She's currently exploring the world of AI and Data Science as a Content Manager at Analytics Vidhya.
