CEOs say AI is helping their businesses be more productive — even if they're not always sure what's going on
CEOs agree that AI must be helping productivity somehow, but they're still searching for ROI metrics.
A new EY report reveals that UK CEOs credit artificial intelligence (AI) as one of the top three factors boosting productivity in their businesses, surpassing traditional methods such as redesigning and simplifying processes or reskilling workers. Despite recognizing AI's impact, many leaders lack sufficient visibility into AI costs, with only 14% having real-time insights.
As a result, nearly one-third of UK CEOs cannot accurately assess the return on investment (ROI) of AI, making it challenging to determine if the technology's benefits translate into financial value. UK CEOs are demanding clear evidence that their AI investments are driving productivity improvements and generating measurable business value.
Silvia Rindone, UK&I Managing Partner at EY, stated that companies require enhanced visibility into AI expenditures and outcomes. However, AI adoption faces additional obstacles, including legacy systems (34%), organizational complexity (29%), and persistent skill shortages. Even four years after the public launch of ChatGPT, generative AI is still viewed as a significant hurdle.
UK CEOs anticipate that skill gaps will worsen over the next three years, surpassing concerns about access to capital. While organizations strive for concrete evidence of AI investments' ROI in terms of productivity and revenue growth, the report underscores that they cannot ignore the long-standing barriers of legacy technology and skill shortages.
EY AI & Data Leader Matthew Ringelheim concluded that realizing value from AI investments depends on rigorous analysis, strategic decision-making, and disciplined execution.
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