The development and adoption of generative AI have been rapidly accelerating, with 65% of organizations now regularly using AI, according to a report from McKinsey. This represents a significant increase from just 10 months ago. The majority of respondents also believe that generative AI will bring about “significant or disruptive” change in their industries. As organizations continue to explore the potential of generative AI, they are beginning to understand what works and what doesn’t in implementing and generating value with this technology.
To further explore the strategies for auditing AI models, organizations have the opportunity to attend The AI Impact Tour on June 5th. This exclusive invite-only event will take place in NYC and will bring together top executive leaders to discuss how to ensure fairness, optimal performance, and ethical compliance in AI models across diverse organizations. It is an incredible opportunity for attendees to engage with industry experts and gain valuable insights into the auditing process.
Increasing Investment in AI
The survey conducted by McKinsey also revealed that half of the respondents have adopted AI in two or more business functions. Furthermore, 67% expect AI investment to increase in the next three years. The professional services sector has seen the biggest increase in AI adoption, with gen AI being used most frequently in marketing and sales, product and service development, and IT. These organizations are also experiencing the greatest cost reduction in human resources.
Interestingly, workers at all levels are becoming more comfortable with AI tools not only at work but also in their personal lives. In fact, 41% of C-level executives report using generative AI regularly at work. The pace of innovation and investment in AI has been remarkable, and leading companies are now capturing business value from these capabilities.
Takers, Shapers, and Makers
McKinsey identifies three archetypes for implementing generative AI: “takers” who use off-the-shelf tools, “shapers” who customize publicly available tools, and “makers” who develop their own models from scratch. The survey found that most organizations are a combination of these archetypes, with roughly 50% of generative AI use coming from off-the-shelf tools.
Moving forward, organizations are expected to shift towards a “buy, build, and partner” approach, combining proprietary, off-the-shelf, and open-source models. This approach will allow organizations to create ecosystems that meet their specific needs and optimize the use of generative AI.
Challenges and Responsible AI
Despite the benefits of generative AI, organizations are aware of the risks associated with its use. In fact, 44% of respondents have already experienced negative consequences from generative AI use, including inaccuracy in outputs, cybersecurity issues, lack of explainability, incorrect use of AI and data privacy, bias, and intellectual property infringement.
However, only 18% of respondents stated that their organizations have an enterprise-wide council or board focused on responsible AI governance. This highlights the need for organizations to establish clear governance principles for applying generative AI and to incorporate risk practices into AI development. Additionally, employees must be educated to prevent the inadvertent leakage of proprietary data.
The survey results indicate a growing awareness of responsible AI and an urgency to take action. Organizations must move beyond awareness and actively implement measures to ensure the responsible use of generative AI.
In conclusion, the adoption of generative AI continues to increase rapidly, with organizations recognizing its potential and implementing it across various functions. The AI Impact Tour provides an opportunity for organizations to delve into the strategies for auditing AI models and ensure fairness, optimal performance, and ethical compliance. As organizations navigate the challenges associated with generative AI, they must also prioritize responsible AI governance and education to mitigate risks and maximize the benefits of this technology.
