Title: Only 26% ofIndian Companies Fully Prepared for AI, Cisco Index Reveals
According to Cisco’s inaugural AI Readiness Index, only 26% of organizations in India are fully prepared to deploy and leverage Artificial Intelligence (AI)-powered technologies. The Index, based on a survey of over 8,000 global companies, highlights the critical gaps in businesses’ preparedness to utilize and deploy AI, posing serious risks for the near future.
The report indicates that while AI adoption has been progressing slowly for decades, the recent advancements in Generative AI, coupled with its wider availability, have brought greater attention to the challenges, changes, and new possibilities presented by this technology. Although 93% of respondents believe that AI will significantly impact their business operations, concerns around data privacy and security have also been raised.
The Index findings reveal that companies face significant challenges when it comes to leveraging AI alongside their data. In fact, 73% of respondents admit that this is primarily due to data existing in silos across their organizations.
However, there is positive news as well. The report indicates that companies in India are taking proactive measures to prepare for an AI-centric future. 95% of organizations already have a robust AI strategy in place or are in the process of developing one. Moreover, 86% of these organizations are categorized as Pacesetters or Chasers, indicating that they are fully or partially prepared for AI deployments. This highlights the significant level of focus by C-Suite executives and IT leadership, possibly driven by the urgency to deploy AI technologies in their organizations, with IT infrastructure and cybersecurity being the top priority areas for AI deployments.
Liz Centoni, Executive Vice President and General Manager, Applications and Chief Strategy Officer at Cisco, emphasized the need for companies to assess their infrastructure to ensure it can support the demands of AI workloads. She also emphasized the importance of observing how AI is being used to ensure ROI, security, and responsibility.
Key Findings from the Index:
– Urgency: 75% of respondents in India believe they have a maximum of one year to implement an AI strategy before their organization incurs significant negative business impact.
– Strategy: 95% of organizations already have an AI strategy in place or are developing one.
– Infrastructure: Only 39% of organizations in India consider their infrastructure highly scalable. Over two thirds of companies will require additional data center graphics processing units (GPUs) to support current and future AI workloads.
– Data: 73% of respondents claim some degree of siloed or fragmented data in their organization, posing challenges to leverage the full potential of AI applications.
– Talent: Boards and Leadership Teams are highly receptive to AI changes, but middle management and employees require more engagement. Concerns about the availability of enough talent to upskill were expressed by 16% of respondents.
– Governance: 18% of organizations do not have comprehensive AI policies in place, highlighting the need to address factors that present risks in eroding confidence and trust.
– Culture: Change management plans have not been established by 18% of companies. C-Suite executives must take the lead in developing comprehensive plans and communicating them clearly to middle management and employees.
The Cisco AI Readiness Index is based on a survey conducted by an independent third-party, assessing respondents’ AI readiness across six key pillars: strategy, infrastructure, data, talent, governance, and culture.
While the Index indicates that the preparedness of Indian companies for AI deployments is still low, the proactive measures being taken by organizations to develop robust AI strategies are encouraging signs. These findings emphasize the need for businesses to prioritize investments in infrastructure, data management, talent development, and governance to successfully integrate AI into their operations and leverage its full potential for future success.