Too many companies’ GenAI & Agentic AI projects are driven by a fear of missing out (FOMO) and being left behind by their competitors who are adopting and deploying it in their markets. As I wrote in my January blog ( insert link ) fire-aim-ready is not a winning strategy for AI.
AI could potentially add $13 trillion to global economic activity by 2030, representing a 16% increase in cumulative GDP, according to Prysmian.
The scope and speed of new AI developments including GenAI and Agentic AI is far outpacing the AI governance tools necessary to deploy it safely and securely while still maximizing the business value returns from its successful deployment.
The unprecedented acceleration of disruption to legacy systems and processes from AI, GenAI, and Agentic AI has forced C-Suite leaders across all industries to make a series of trade-off decisions. What percentage of the company’s scarce resources and budgets should go to stabilizing and securing its systems of record vs. building and deploying its new systems of engagement and systems of intelligence?
The speed and complexity of change from disruptive technologies puts an even greater pressure on the need to change the decision-making clarity and cadence of your company. The risks of taking too long to make a decision in many cases outweigh the risk of making the wrong decision, especially if you can learn from it and quickly make a new and better decision.
In my monthly blog from last February, I highlighted the gold rush mentality of companies spending on GenAI because of a fear of missing out (FOMO) on this new wave of disruptive digital technology. Three years later, the results have shown that over 85% of those investments have yielded little or no return:
In a recent McKinsey Global Survey of 2,190 companies, two thirds of those companies in pursuit of transforming their businesses into digital enterprises said that they were “just treading water, taking no decisive action, and consequently achieving little or no success.”
IDC’s Worldwide C-Suite Survey 2023-2024 showed that over half of C-Suite executives say that GenAI is a top investment priority for their company. An EY study published in July found 95% of senior executives saying their organizations were currently investing in AI.
In a recent McKinsey Global Survey of 2,190 companies, two thirds of those companies in pursuit of transforming their businesses into digital enterprises said that they were “just treading water, taking no decisive action, and consequently achieving little or no success.”
According to Harvard Business Review, researchers estimate that 70–90% of innovation projects fail. This includes new product innovations and business innovations that aim to change an existing market.
