Artificial intelligence (AI) continues to capture the attention of businesses across the Asia-Pacific region. However, the road to harnessing the full potential of AI is not without its challenges. A recent report by Forrester highlights several key issues facing organizations in the region as they strive to adopt AI effectively.
Hurdles to AI Adoption:
- Lack of IT Practices: Only 30% of organizations in Asia-Pacific possess the necessary IT practices required to fully realize the benefits of AI. These practices are essential for achieving greater operational resilience, delivering a richer customer experience, and driving business model innovation.
- Risk-Averse Culture: Many organizations in the region face challenges due to a risk-averse corporate culture. The cautious approach can hinder the adoption and integration of AI technologies into the business.
- Data Management Gaps: Inadequate data management capabilities are a significant obstacle to effective AI adoption. Data is a critical component of AI systems, and organizations with data management gaps may struggle to harness AI's full potential.
While some organizations in Asia-Pacific are better prepared to leverage AI, Forrester emphasizes that the transition will be a gradual, multi-year process rather than an overnight success story.
Forrester's report also highlights the importance of customer trust. It predicts that a quarter of multinational corporations in the region will prioritize customer trust, recognizing its fundamental role in business success. However, the challenge lies in translating this focus on trust into measurable actions and metrics.
Despite these challenges, the adoption of generative AI is expected to enhance customer experience. AI tools will enable faster and more effective responses to customer queries, leading to improved customer satisfaction.
Forrester predicts that advertising agencies in the region will invest in custom AI applications to scale personalized marketing campaigns, enhancing business AI initiatives and boosting productivity.
In anticipation of potential generative AI policies from regulators, Forrester advises organizations to identify applications that could increase their risk exposure and invest in third-party risk management tools.
Asia-Pacific is poised for a year of exploration and potential growth in AI adoption, with generative AI at the center of this transformation. While challenges exist, businesses in the region are inspired by the promise and potential of AI and are working to integrate it into their transformation efforts to drive positive business outcomes.