In 2024, organizations are looking to their CIOs for leadership and guidance on AI and generative AI adoption. The demand is high to realize efficiencies from AI, and it’s become a top five priority for CIOs this year.
One year ago, we surveyed CIOs across our communities about AI and GenAI when ChatGPT was creating the most buzz in the business world. Now, executives are moving past the AI experimentation phase, piloting use cases and trying to demonstrate measurable value from it.
Here is a look at what 450 CIOs shared about AI application and implementation at their businesses.
What is the status of AI Implementation?
Close to half of CIOs (45%) report that they have developed some AI use cases or are piloting AI projects. The next highest percentage of IT leaders (28%) say that they still have more work to do – in areas like data quality – before they can begin AI implementation.
One CIO described their approach as “cautiously innovating.” Another executive commented that “AI will be a game-changer, but the use cases are still being developed and refined.”
Last year in our survey, CIOs said that their usage of AI was “exploratory at this time,” or “limited to certain users.”
How does their organization approach technology adoption?
When it comes to technology adoption, 40% of CIOs rated their organization as Early Majority adopters, or squarely in the middle on the scale ranging from Innovators, Early Adopters and Early Majority to Late Majority and Laggards. Another 32% believes their company is in the Late Majority when it comes to the adoption of new technologies, in general.
Are they taking the same approach to AI adoption?
Seventy-eight percent of CIOs say that their organization is taking the same approach to AI implementation as they do to the adoption of all new technologies – placing most organizations in the middle as Early Majority and Late Majority adopters.
Twenty-two percent of CIOs are taking a different approach to AI, however. One CIO noted that AI is “easier to access than traditional technologies,” and another executive cited the potential impact, saying, “AI seems to have a potentially more disruptive and pervasive impact than other new innovative technologies.”
One CIO shared the pressure to find solutions, writing that “AI is being pushed on us and our staff so hard and fast that waiting wasn't an option.”
What might be slowing their adoption?
Nearly 80% of CIOs report they are concerned about the security risks of AI. Seventy-two percent cite worries about governing its use internally, and 71% say they have data privacy concerns. “Other” concerns they cited in the survey include “cost management,” “legal risks,” “quality or reliability of data sources,” “scaling solutions effectively,” and a “skilled workforce.”
The percentage of IT executives expressing concerns about AI increased significantly since our survey last year. In 2023, 23% of CIOs were concerned about AI security risks, 23% about data privacy, and 21% about governing its use. This could reflect the fact that CIOs have progressed in the journey to implement AI beyond experimentation, raising their concerns about more widespread usage and adoption across the organization.
What’s their outlook on AI?
CIOs are quite positive about the future of AI despite their concerns, with 91% reporting their outlook on AI is “very positive” or “somewhat positive.” Almost no IT leaders in the survey describe their outlook as negative.
Their sentiments about AI and its impact on business remain similar to what they reported last year – with even more CIOs feeling “very positive” about AI in 2024.
How are they implementing AI tools?
Forty-six percent of CIOs report that they are primarily buying tools to implement AI. Another 40% say that they are equally buying and building AI tools. Relatively few CIOs (6%) are exclusively building AI tools themselves.
Current Sentiments About AI
We asked CIOs to tell us about their sentiments on AI and their journey to implement it at their organizations. Here is a sample of their comments:
AI is a game changer, but deployment and realization of value is hard.”
It’s all about benefit against risk, and at the moment, the hype does not sway us from the risk.”
A bit of disillusion after understanding the need to have better data into better tools to achieve results.”
Currently feeling rushed and pressured by the business to implement AI without ensuring data quality, policy, risk management. Nervous that ‘shadow IT’ will occur.”
AI is rapidly evolving, presenting exciting opportunities, but there is also a lot of hype around it. A lot of the solutions are not mature enough to deliver a sufficient amount of business value.”
Enthused and yet a bit cautious – the biggest issue is figuring out how to take confident steps forward and not lose out on opportunities, but also to avoid major mis-steps (e.g. breaches).”
Are you a CIO currently navigating AI adoption at your organization? Explore an opportunity to discuss it with your peers by joining an Evanta CIO community near you. If you are already a member, sign in to MyEvanta to find your CIO community’s next gathering.
Based on 450 responses to Evanta’s Community Pulse Survey, June 2024.
by CIOs, for CIOs
Join the conversation with peers in your local CIO community.
