Why Some Companies Thrive with AI While Others Fall BehindWhy Some Companies Thrive with AI While Others Fall Behind

In the two years since the arrival of ChatGPT, many businesses have moved beyond experimenting with generative AI to seeking to deliver business value through AI adoption. But a smaller group of companies are already forging ahead with the technology, with higher levels of “AI maturity.” In those organizations that are already unleashing the transformational power of AI, there is a distinctive leadership perspective and level of AI maturity, with leaders taking a hands-on attitude to AI, encouraging teams across the business to collaborate in an autonomous, experimental way.

ServiceNow’s Enterprise AI Maturity Index 2024, based on a global survey of 4,470 executives, found that excitement around AI is high, with 85% of organizations in the U.K. saying that they expect to increase their AI investments in the coming year. A similar amount says they hope AI can drive increased efficiency and productivity and enhanced customer service. The study also found a small group of “pacesetters” already scoring highly for AI maturity, 50 or higher on the index’s 100-point scale.  So, what is it that makes pacesetters different?

Leading From the Front

One of the keys to AI success is to have company leadership actively involved in artificial intelligence projects, helping to drive not only AI transformation strategy but a wider culture of innovation. Among the global companies in ServiceNow’s research, pacesetters are twice as likely to have active leadership involvement and clear cross-departmental visibility of AI, with 67%, compared to 33% at other companies.

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The research found that Pacesetters, with the support of company management, are already moving beyond automating day-to-day tasks towards the true hallmarks of AI maturity - building AI capabilities into workflows across the business. For companies that are still struggling to achieve such success, the research found that organizational silos were the key blocker that prevents organizations from achieving AI maturity, with many having failed so far to make meaningful progress in connecting data across the enterprise.

Closing the Gap

The most important solution leaders can adopt is to take a balanced approach to adopting AI, using a mix of tools built in-house and tools purchased from vendors. One of the key barriers to AI maturity is that, while most AI use cases rely on large language models to process information, building such models requires technical expertise and large amounts of resources. At the same time, relying solely on ‘pre-made’ solutions can lead to concerns over data security and tools that are not the best fit for the task at hand. Forward-thinking leaders are taking an approach that balances the two.

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Globally, pacesetters are much less likely to rely solely on pre-built AI solutions (21%, compared to 39% among other organizations). Pacesetters are also most likely to be using a hybrid approach including both purchased tools and in-house AI models (47% versus 31% among other organizations). A key part of this success is to assess relationships with vendors, bringing on new partners where needed, but also strengthening and expanding existing relationships. AI success comes from strong strategic partnerships: without this, business leaders risk implementing AI incorrectly and being overtaken by competitors.

The Human Factor

Human talent is central to any successful AI deployment. Without the right employees, armed with the right skills, integrating AI into work processes can be a wasted effort. Achieving the right skills mix requires a dual strategy, mixing both external specialist hires and internal training to ensure business users have the skills they need to integrate AI into operations. In the UK, less than a third of organizations currently say they have the right mix of talent and skills, with 43% planning to hire more data scientists and 36% upskilling employees to create data scientists.

To find this balance, it’s also key to drive a culture of innovation across the company so that business users are just as enthusiastic about the promise of AI innovation as specialist technical users. To achieve this, business leaders should encourage employees to feel free to experiment with AI technology. Successful leaders are already building trust by encouraging autonomous decision-making and a culture of exploration when it comes to finding AI solutions to fuel business needs.

Inspiring AI Success

Leadership skills and communication skills, in particular, are crucial to driving any successful AI initiative. Our research found that in most successful companies, the C-Suite is directly involved in ensuring cross-functional communication and a healthy amount of transparency around AI’s impact. The ability to collaborate effectively across departments is also crucial.

Awareness of the risks around AI is also key to making AI projects a success. In our research, Pacesetters were most likely to describe cybersecurity as the biggest challenge or risk around AI, with executives alert to the fact that mishandled AI projects can lead to sensitive data being leaked or stolen, or that AI use cases may violate laws or regulations in different territories. Successful executives will also listen to employees' concerns about how AI might impact the wider business and their jobs and reassure them that AI is there to support human beings, not replace them.

Fast-Forward to the Future

It’s clear that the road to AI success starts with having company leadership fully engaged with AI - and continues with clear communication, a practical approach to upskilling the workforce and a balanced approach to AI procurement. While some organizations are already forging ahead into an AI-powered future, it is not too late for others to catch up and follow the tried-and-tested pathway to success, charted by these pacesetting pioneers.