McKinsey Global Survey on the current state of AI confirms explosive growth of generative AI (gen AI) tools
The latest annual McKinsey Global Survey on the current state of AI confirms the explosive growth of generative AI (gen AI) tools. In less than a year after many of these tools were introduced, one-third of their survey participants say their organizations are using gen AI consistently in at least one business function.
Once HR leaders better understand what the gen AI technology can do, they can access the potential use, cases, and benefits.
Some C-suite Executives are using gen AI tools for work
Nearly one-quarter of surveyed C-suite executives say they are personally using gen AI tools for work, and more than one-quarter of survey participants from companies using AI say gen AI is already on their boards’ agendas.
After leadership establishes the potential of AI and the benefits for HR leadership the next step is usually to establish the benefits for their company and align with the organization’s goals. The final step is to assess and score AI solutions against key successes to determine if adoption should go ahead or not.
McKinsey Global Survey says 40 percent of respondents’ organizations will increase investment in AI
According to the McKinsey Global Survey, 40 percent of respondents say their organizations will increase their investment in AI overall because of advances in gen AI.
The findings show that these are still early days for managing gen AI–related risks, with less than half of respondents saying their organizations are mitigating even the risk they consider most relevant: inaccuracy.
According to the report, the organizations that have explored and adopted AI capabilities have been the first to explore gen AI’s potential, and those seeing the most value from more traditional AI capabilities are more likely to incorporate additional AI tools.
Expected business disruption from gen AI is significant
The expected business disruption from gen AI is significant, and respondents predict meaningful changes to their workforces.
They anticipate workforce cuts in certain areas and large reskilling efforts to address shifting talent needs. Yet while the use of gen AI might spur the adoption of other AI tools, we see few meaningful increases in organizations’ adoption of these technologies. The percentage of organizations adopting any AI tools has held steady since 2022, and adoption remains concentrated within a small number of business functions.
While the use of gen AI tools is spreading rapidly, the share of organizations that have adopted AI overall remains steady, at least for the moment.
Product and service development and service operations continue to be the two business functions i which most often report AI adoption, as was true in previous surveys. Most businesses use AI for EBIT essentially flat with previous surveys—suggesting there is much more room to capture value and for the use of AI to grow in companies and organizations.