- Almost all companies will maintain or increase AI usage over the next 1-2 years, Snowflake claims
- Only one in four has a clear framework for using AI to realize business goals
- “Governance, data and clear accountability” is where they fall short
New research from Snowflake has claimed that almost half (45%) of UK organizations have already reported small to modest productivity gains from AI tools, with around a quarter (23%) achieving these gains at scale.
However, there is a stark difference at the top and bottom, and those who don’t get on board risk being left behind as the entire landscape evolves.
But with only 1% planning to cut AI spending in the next year to two, money isn’t the issue. Nor is technology—Snowflake says most of the barriers come from within.
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Are companies to blame for poor AI ROI?
Snowflake’s report explains how poor data quality and organizational silos are blocking strong AI adoption on the tech-stack front, while skills shortages and a lack of clear leadership and strategy are holding companies back on the people front.
Currently, only one in four (24%) use clear frameworks to enable AI to achieve their business goals, while ethics and security shape how two-thirds of organizations implement AI.
However, these trends are not comprehensive and certain industries face more challenges than others. Financial services have to deal with tight regulation, and retail is lagging because of data issues.
“Faith alone is not enough,” wrote Principal Data Strategist Jennifer Belissent. “Productivity gains require clear ownership, a strong data foundation and alignment between AI initiatives and measurable business goals.”
Snowflake’s data makes it clear that the technology isn’t so much the problem – execution is where the real challenges lie. The company is calling for a better data base, clear leadership from management and ongoing upskilling of employees.
“Unlocking this potential depends on getting the basics right – governance, data and clear accountability,” Belissent concluded.
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