{"id":11538,"date":"2024-07-10T07:30:36","date_gmt":"2024-07-10T07:30:36","guid":{"rendered":"https:\/\/outsourcing-today.ro\/?p=11538"},"modified":"2024-07-10T07:35:01","modified_gmt":"2024-07-10T07:35:01","slug":"global-market-research-china-leads-world-in-genai-usage-while-us-leads-in-full-implementation","status":"publish","type":"post","link":"https:\/\/outsourcing-today.ro\/?p=11538","title":{"rendered":"SAS’s Global Market Research: China leads world in GenAI usage while US leads in full implementation"},"content":{"rendered":"\n
Leaders note lack of understanding, business strategy, sufficient data and regulation preparedness as concerns; data privacy, security and governance are primary challenges<\/span><\/h6>\n\n\n\n

Generative AI is here to stay. Organizations around the world are enthusiastically using and investing in the technology. But what regions and countries are leading in the use of GenAI? China is in the lead according to a recent global study SAS commissioned with Coleman Parkes Research Ltd. China business decision makers report that 83% of their organizations are using the technology. That\u2019s more than in the United Kingdom (70%), the United States (65%) and Australia (63%). But organizations in the United States are ahead in terms of maturity and having fully implemented GenAI technologies at 24% compared to China\u2019s 19%, and the United Kingdom\u2019s 11%.<\/p>\n\n\n\n

What does this mean in terms of the global economic impact of AI and GenAI? In a 2023 report, McKinsey estimated GenAI could add the equivalent of $2.6 trillion to $4.4 trillion annually across a variety of use cases. That\u2019s comparable to the entire GDP of the United Kingdom in 2021. This impact would increase the overall influence of artificial intelligence by 15% to 40%.<\/p>\n\n\n\n

Considering these economic implications, SAS and Coleman Parkes targeted 1,600 decision makers across key global markets. Respondents work in a range of industries including banking, insurance, the public sector, life sciences, health care, telecommunications, manufacturing, retail, energy and utilities, and professional services. The smallest organizations surveyed employed a workforce of 500 – 999 people, and the largest employed more than 10,000.<\/p>\n\n\n\n

Learn more in the full research report<\/a> and an interactive data dashboard<\/a>.<\/strong><\/p>\n\n\n\n

\u201cWhile China may lead in GenAI adoption rates, higher adoption doesn’t necessarily equate to effective implementation or better returns,\u201d said Stephen Saw, Managing Director at Coleman Parkes. \u201cIn fact, the US nudges ahead in the race with 24% of organizations having fully implemented GenAI compared to 19% in China.\u201d<\/p>\n\n\n\n

Global regions charge ahead with GenAI<\/strong><\/h3>\n\n\n\n

Highlights from the global survey results include indicators that signal different regions are on board and starting to adopt GenAI in meaningful ways but at different rates.<\/p>\n\n\n\n

\u201cWith any new technology, organizations must navigate a discovery phase, separating hype from reality, to understand the complexity of real-world implementations in the enterprise. We have reached this moment with generative AI,\u201d said Bryan Harris, Executive Vice President and CTO at SAS. \u201cAs we exit the hype cycle, it is now about purposefully implementing and delivering repeatable and trusted business results from GenAI.\u201d<\/p>\n\n\n\n

Where do regions rank in fully using and implementing generative AI into their organization\u2019s processes?<\/strong><\/em><\/p>\n\n\n\n

  • North America: 20%<\/li>
  • APAC: 10%<\/li>
  • LATAM: 8%<\/li>
  • Northern Europe: 7%<\/li>
  • South West and Eastern Europe: 7%<\/li><\/ul>\n\n\n\n

    Which regions have implemented GenAI use policies?<\/strong><\/em><\/p>\n\n\n\n

    • APAC: 71%<\/li>
    • North America: 63%<\/li>
    • South West and Eastern Europe: 60%<\/li>
    • Northern Europe: 58%<\/li>
    • LATAM: 52%<\/li><\/ul>\n\n\n\n

      To what extent do those planning to invest in GenAI in the next financial year have a dedicated budget?<\/strong><\/em><\/p>\n\n\n\n

      • APAC: 94%<\/li>
      • Northern Europe: 91%<\/li>
      • South West and Eastern Europe: 91%<\/li>
      • North America: 89%<\/li>
      • LATAM: 84%<\/li><\/ul>\n\n\n\n

        Note: North America comprise the United States and Canada; LATAM includes Brazil and Mexico; Northern Europe includes United Kingdom\/Ireland, Sweden, Norway, Finland, Denmark; South West and Eastern Europe is France, Germany, Italy, Benelux, Spain and Poland; and APAC encompasses Australia, China, Japan and the United Arab Emirates\/Saudi Arabia.<\/em><\/p>\n\n\n\n

        Industries and functional divisions embrace GenAI at varying rates<\/strong><\/h3>\n\n\n\n

        Sabine VanderLinden, CEO and Venture Partner, Alchemy Crew, sees much potential for industries investing in GenAI. \u201cThe future of business is being reshaped by generative AI,\u201d she said. \u201cIndeed, the integration of GenAI into business processes \u2013 from dynamic profiling in marketing to precision claims insurance \u2013 offers unparalleled opportunities for efficiency, personalization, and strategic foresight. Embracing this technology is essential for staying ahead in a highly uncertain and unpredictable competitive market.\u201d<\/p>\n\n\n\n

        When split into industry segments, the data shows banking and insurance leading other industries in terms of incorporating GenAI into daily business operations across a variety of metrics. Highlights from those findings are below. <\/p>\n\n\n\n

        How do specific industries rank in terms of fully implementing GenAI and fully implementing it into regular business processes?<\/strong><\/em><\/p>\n\n\n\n

        • Banking: 17%<\/li>
        • Telco: 15%<\/li>
        • Insurance: 11%<\/li>
        • Life sciences: 11%<\/li>
        • Professional services: 11%<\/li>
        • Retail: 10%<\/li>
        • Public sector: 9%<\/li>
        • Health care: 9%<\/li>
        • Manufacturing: 7%<\/li>
        • Energy and utilities: 6%<\/li><\/ul>\n\n\n\n

          Which industries indicate they already use GenAI daily to some extent?<\/strong><\/em><\/p>\n\n\n\n

          • Telco: 29%<\/li>
          • Retail: 27%<\/li>
          • Banking: 23%<\/li>
          • Professional services: 23%<\/li>
          • Insurance: 22%<\/li>
          • Life sciences: 19%<\/li>
          • Health care: 17%<\/li>
          • Energy and utilities: 17%<\/li>
          • Manufacturing: 16%<\/li>
          • Public sector: 13%<\/li><\/ul>\n\n\n\n

            Which departments inside organizations are using or planning to use GenAI?  <\/strong><\/em><\/p>\n\n\n\n

            • Sales: 86%<\/li>
            • Marketing: 85%<\/li>
            • IT: 81%<\/li>
            • Finance: 75%<\/li>
            • Production: 75%<\/li><\/ul>\n\n\n\n

              Early adopters are finding plenty of obstacles in using and implementing GenAI<\/strong><\/h3>\n\n\n\n

              No. 1 on the list of challenges organizations face in putting GenAI to routine use is the lack of a clear GenAI strategy.<\/p>\n\n\n\n

              Only 9% of leaders responding to the survey indicate they are extremely familiar with their organization\u2019s adoption of GenAI. Of respondents whose organizations that have fully implemented GenAI, only 25% say they are extremely familiar with their organization\u2019s GenAI adoption strategy. Even those decision makers responsible for technology investment decisions aren\u2019t familiar with AI \u2013 including those at organizations that are ahead of the adoption curve.<\/p>\n\n\n\n

              Nine out of 10 senior technology decision makers overall admit they don\u2019t fully understand GenAI and its potential to affect business processes. At 45%, CIOs lead the way with executives who understand their organization\u2019s AI adoption strategy. But only 36% of Chief Technology Officers (CTOs) say they\u2019re fully in the know.<\/p>\n\n\n\n

              Yet despite this understanding gap, most organizations (75%) say they have set aside budgets to invest in GenAI in the next financial year.<\/p>\n\n\n\n

              Other challenges organizations face include:<\/p>\n\n\n\n

              • Data: <\/strong><\/em>As organizations adopt GenAI, they realize they have insufficient data to fine tune large language models (LLMs). They also realize – once they\u2019re deep into deployment – they lack the appropriate tools to successfully implement AI. Organizations\u2019 IT leaders are mostly concerned about data privacy (76%) and data security (75%).<\/li>
              • Regulation: <\/strong><\/em>Only a tenth of organizations say they are fully prepared to comply with coming AI regulations. One third of organizations that have fully implemented believe they can comply with regulations. Only 7% are providing a high level of training on GenAI governance. And only 5% have a reliable system in place to measure bias and privacy risks in LLMs.<\/li><\/ul>\n\n\n\n

                Although there are obstacles, some early adopters have experienced meaningful benefits already: 89% report improved employee experience and satisfaction; 82% say they\u2019re saving operational costs; and 82% state customer retention is higher.<\/p>\n","protected":false},"excerpt":{"rendered":"

                Leaders note lack of understanding, business strategy, sufficient data and regulation preparedness as concerns; data privacy, security and governance are primary challenges Generative AI is here to stay. Organizations around the world are enthusiastically using and investing in the technology. […]<\/p>\n","protected":false},"author":2,"featured_media":11540,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[7,19,18,6,3,5,317],"tags":[358],"_links":{"self":[{"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/posts\/11538"}],"collection":[{"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=11538"}],"version-history":[{"count":2,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/posts\/11538\/revisions"}],"predecessor-version":[{"id":11542,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/posts\/11538\/revisions\/11542"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=\/wp\/v2\/media\/11540"}],"wp:attachment":[{"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=11538"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=11538"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/outsourcing-today.ro\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=11538"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}