Shadow AI use booms, finds new Deloitte survey

A recent Deloitte survey has revealed a surge in the use of artificial intelligence, with a focus on its "shadow AI" aspect. The study, which polled 25,000 workers across 22 industries in the U.K., found that one in three employees are utilizing generative AI without their employer's knowledge. This practice, known as shadow AI, paints a more complex picture of AI adoption than the software licenses and approved pilot programs some CFOs might lead one might expect.

The survey also highlights that nearly two-thirds of the surveyed workers have used generative AI, but only half have received any training from their employer on its proper use. The tasks that employees are performing using this technology are often simple, such as drafting emails and creating summaries. While these tasks may seem low-risk, the survey suggests that employers are unaware of the tools employees have chosen and the types of information they are feeding into these models.

This hidden use of AI complicates the already challenging investment case for AI technologies. While finance teams can track spending on the AI tools implemented by the organization, they cannot easily measure the time saved through tools that employees use without supervision. This makes it difficult for CFOs to gauge the true impact of AI on their organizations.

Furthermore, the survey indicates that many teams lack visibility into the company information being entered into these AI models and where the output ends up. This lack of visibility creates several issues for CFOs, as it makes it hard to accurately measure the productivity gains associated with AI adoption.

Despite these challenges, the survey suggests that only 35% of AI users believe their leaders have a good understanding of the technology. This lack of executive communication and knowledge demonstration may make it less likely for employees to come forward and discuss their AI usage. Therefore, improving leadership's understanding and communication of AI could be crucial to encouraging more openness about its usage.

The survey also reveals that the impact of AI on productivity is not as significant as one might think. While 30% of respondents reported that generative AI saves them at least some time each week, only 7% said the technology saves them five hours or more per week. Additionally, 31% of users reported no time savings at all when using AI at work.

The response to AI adoption varies significantly across industries. Industries such as information and communications saw more significant time savings, with 21% of respondents reporting at least five hours saved per week. However, this figure dropped to 5% in healthcare and social work. This variation in productivity gains highlights the importance of tailoring AI implementations to specific processes and industries.

Moreover, the survey suggests that training and psychological safety play a crucial role in the successful adoption of AI. With half of the AI users claiming they have received no training, companies might be judging the technology based on workers figuring it out as they go. High performers will likely find use cases and productivity gains, but others might inadvertently add steps to their job without improving the overall result.

In conclusion, the Deloitte survey sheds light on the hidden use of AI in the workplace and its impact on decision-making and productivity. As AI adoption continues to spread, finance teams must find ways to build a more accurate inventory of AI usage to make informed decisions about future investments. Improving leadership's understanding of AI and providing proper training to employees can help unlock the full potential of this technology within organizations.