AI Readiness: Majority of Global Businesses Unprepared to Deploy AI, Cisco Study Reveals

A recent study conducted by Cisco’s AI Readiness Index has highlighted that the majority of global businesses are ill-prepared to deploy and effectively leverage AI technology. Shockingly, only 14 percent of surveyed companies were found to be fully ready to implement and utilize AI in their operations.

The report by Cisco also noted that there are significant gaps across critical business areas, which pose serious risks to organizations. Companies are struggling to keep up with the rapid pace of AI innovations, and nearly two-thirds of respondents believe they have a maximum of one year to implement an AI strategy before their businesses face negative consequences.

Liz Centoni, the Executive Vice President and General Manager at Cisco, emphasized the urgency for organizations to shift from strategic planning to execution mode in order to capitalize on the transformative potential of AI. She stressed the importance of secure and observant AI models and toolchains to ensure performance, protect sensitive data, and deliver trustworthy and responsible AI outcomes.

While organizations are taking actions to prepare for the future of AI, the study also revealed significant challenges. Data privacy and security emerged as major concerns, with 81 percent of respondents admitting to having siloed or fragmented data within their organizations. This indicates that data readiness is the weakest area for businesses, with 17 percent of companies lagging behind in this critical aspect.

Moreover, the study found that network infrastructure is not adequately equipped to handle the complexities of AI workloads. Although 95 percent of businesses acknowledge that AI will add to infrastructure workloads, only 17 percent of organizations have networks capable of handling this increased complexity. Additionally, 23 percent of companies lack scalability within their existing IT infrastructure to meet the challenges posed by AI.

The report also highlights misaligned expectations throughout the company hierarchy regarding AI adoption. While 82 percent of leadership teams are receptive to AI, middle management and employees show limited enthusiasm for AI integration, with 22 percent of middle management and nearly one-third of employees displaying resistance.

Furthermore, there is a slow adoption of comprehensive AI policies, with 76 percent of organizations failing to have a comprehensive policy in place. This lack of policy implementation could erode confidence and trust, particularly in relation to privacy data and data sovereignty.

In conclusion, the study by Cisco underscores the urgent need for organizations to bridge the gaps in AI readiness. It emphasizes the importance of data readiness, network infrastructure improvements, aligned expectations, and comprehensive policy adoption to successfully leverage AI technologies. Failure to do so may hinder companies from realizing the full potential of AI for transformative growth and competitive advantage in the digital era.

Frequently Asked Questions (FAQ)

1. What percentage of global businesses are fully prepared to deploy AI?
Only 14 percent of global businesses are fully prepared to deploy and leverage AI, according to Cisco’s AI Readiness Index.

2. How long do organizations have to implement an AI strategy?
The majority of respondents believe they have a maximum of one year to implement an AI strategy before their organizations face severe negative impacts.

3. What are the major challenges faced by organizations in AI readiness?
The study highlights gaps in critical business areas, including data readiness, network infrastructure capabilities, and misaligned expectations across company hierarchy.

4. How receptive are organizations to AI adoption?
While 82 percent of leadership teams show moderate to high receptivity to AI, middle management and employees display limited enthusiasm and resistance.

5. How many organizations have comprehensive AI policies in place?
A significant 76 percent of organizations lack a comprehensive AI policy, potentially eroding confidence and trust in AI technology.

Sources:
Cisco AI Readiness Index Study – [URL]
AI Readiness Index Findings – [URL]
The Rise of AI in UC&C – [URL]