Boston Consulting Group (BCG) Study Reveals Opportunities and Challenges in AI
The Boston Consulting Group (BCG) surveyed 1,000 executives and managers across many industries to examine the status and expectations of Artificial Intelligence (AI) adoption. The (BCG) analysis revealed that “use of AI can reduce producers’ conversion costs by up to 20%, with up to 70% of the cost reduction resulting from higher workforce productivity”. AI was particularly useful in generating more sales when used to produce products tailored to specific customers and with faster delivery times.
The BCG study shows that AI is going to be a key enabler in improving productivity, however implementing this technology has not kept up. “Companies lack the four key enablers of AI: a strategy (including a comprehensive roadmap), a governance model for implementation, relevant employee competencies, and a supporting IT infrastructure”, says the BCG report. Survey results indicate that technology alone will not make AI produce an increase in sales and productivity. Industrial producers must pay attention to all the four key enablers of AI for sucessful implementation and financial results.
For more information on the adoption of disruptive technologies, view the 5th edition of MHI’s Annual Industry Report. This report contains critical insights on the adoption of next-generation supply chain technology including:
– Blockchain for Supply Chains
– Building the Future Supply Chain Workforce
– Last Mile Logistics
– Leadership in the Digital Future
– Cyber Security
– Predictive Analytics