CEO’s Guide to Maximizing Value Potential from AI in 2024! I. The time to act on AI is now 1. The maturity of AI brought us to an exciting moment, where Generative AI is complementing Predictive AI, and going well beyond the hype in delivering superior value for organizations 2. AI mature companies (~10%) are also the first to scale GenAI, further widening the gap vs. peers AI technology is also evolving rapidly, from mature value sources ready to scale at the present time to exciting innovations on the horizon 3. Companies are embarking on AI transformation journeys; setting ambitious targets both in top line and bottom line II. Strategic Plays 1. Deploy Utilizes off-the-shelf tools to boost workforce productivity by 10-15%, improve employee satisfaction, and generate excitement for broader AI change in the organization 2. Reshape Allows for re-imagination of functions through workflow re-engineering, to drive 30-50% improvements in efficiency, effectiveness across affected functions 3. Invent Leverages AI to expand revenue streams and "invent before getting disrupted" by introducing new offers, services, and experiences to the market III. Executing Successfully 1. To successfully deploy AI at scale and convert it into business impact, organizations need strong foundational capabilities (e.g., talent, technological infrastructure, etc.) and a 10-20-70 approach in terms of level of emphasis anchoring on algorithms (10%), tech & data (20%), and people & processes (70%) 2. Long-term competitive advantage will come from data, talent, and culture; the time to act is now, otherwise, organizations risk being left behind Check out the Executive Perspective by Boston Consulting Group (BCG) here: https://lnkd.in/dnU6cCfH #innovation #ai #genai #strategy #tech #talent
Your post on maximizing value potential from AI in 2024 is truly insightful, Frank Kumli. The emphasis on deploying, reshaping, and inventing through AI transformation journeys resonates deeply with the need for organizations to evolve strategically. Your strategic plays highlight the crucial balance required in leveraging AI for long-term success, emphasizing the importance of talent, data, and culture in driving innovation and competitive advantage. Thank you for sharing this valuable perspective.
To successfully implement generative AI🤖 , it is essential to adopt a mindset that promotes sharing knowledge across silos and transcending ego-driven thinking. Leadership must have the courage to invest in AI with a long-term perspective, recognizing it not just as a quick win or tactical investment, but as a transformative force that will revolutionize the entire business from top to bottom.
Love this something every CEO needs to know
AI is set to revolutionise organisations in 2024 by enhancing efficiency, personalising customer experiences, and enabling data-driven decision-making. Leaders must focus on integrating AI into their operations strategically, ensuring it complements human capabilities and aligns with business goals.
The emphasis on 10-20-70 is great. It's a crucial reminder that while algorithms and tech are foundational, the real impact comes from investing in talent and processes. Building a culture that embraces AI is pivotal for long-term success.
Thanks for sharing
Thanks for sharing
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