State of AI - WP
State of AI - WP
Becoming an AI-fueled
organization
Deloitte’s State of AI in the Enterprise, 4th Edition
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Contents
Methodology 21
Endnotes 23
Becoming an AI-fueled organization
Foreword: Becoming an
AI-fueled organization
R
APIDLY TRANSFORMING, BUT not fully Algorithms can independently balance financial
transformed—this is our overarching portfolios. Support centers often know customers’
conclusion on the market, based on the problems before they call.2 And these are still
fourth edition of our State of AI in the Enterprise early days.
global survey. Very few organizations can claim to
be completely AI-fueled, but a significant and In combination, these developments help enable
growing percentage are starting to display the businesses to increasingly liberate themselves from
behaviors that can get them there. the time constraints of human rhythms. Core
business operations can meet customer needs at a
To us, this is exciting and has reinforced our belief faster pace, while freeing up time and energy for
that now is one of the most opportunity-rich the workforce to use new tools to discover
periods in the history of AI technology. innovative avenues for value creation. Conversely,
Organizations are swiftly building capabilities and for those organizations lagging in AI capability
reaching enterprise scale: In fact, more than a development, it could pose an ever-increasing risk
quarter of our survey respondents have reached to their competitive viability in the not-too-distant
full-scale deployment of five or more types of AI future. The massive global disruptions over the last
applications within their organization.1 This year have only accelerated these trends beyond our
widespread enterprise experimentation has set a most aggressive predictions.3
solid foundation for many, making way for what
we believe could be a bumper crop of meaningful Fortunately, we’ve learned in recent years about
advancements and impact over the next few years. which practices can accelerate transformation, and
This is especially true for those who are already this knowledge can help fast-track outcomes. The
beginning to use AI to solve some of their most findings in this report aim to support organizations
business-critical and challenging problems. in navigating through the growing pains, in
whichever stage they may find themselves on the
Within just the last 18 months, AI capabilities have journey to becoming an AI-fueled organization.
advanced considerably, maturing from what was
often experienced as a bothersome critic—telling The Age of With is no longer on its way—it has
workers what to do or pointing out their mistakes— arrived. We hope you’ll join us as this story
to more frequently serving as a copilot, continues to unfold.
independently executing on insights and trends — Jason Girzadas, managing principal of
surfaced through the power and speed of cloud- Businesses, Global, and Strategic Services,
Deloitte LLP
based data hosting and computation. Today, some
supply chains are managing themselves.
2
Deloitte’s State of AI in the Enterprise, 4th Edition
Executive summary:
Constantly transforming,
never fully transformed
S
INCE 2017, DELOITTE has documented the To learn how organizations across the globe are
increasing adoption of AI across the progressing toward this vision, we surveyed 2,875
enterprise. The third edition, published in executives from 11 top economies who have
2020, declared that we had entered the “age of purview into AI strategies and investments within
pervasive AI.” Pervasive AI adoption, however,
4
their organizations. We asked them about a wide
does not mean that AI is being used to its full variety of behaviors—from their overarching AI
potential. And so, with the fourth edition of our strategy and leadership, to their technology and
global State of AI in the Enterprise report, we data approaches, and how they are helping their
explored the deeper transformations happening workforce to operationalize AI. Then, to
inside organizations that are using AI to drive understand which behaviors lead to the greatest
value. In other words, we wanted to know: outcomes, we analyzed the survey responses based
What are today’s most AI-fueled on how many types of AI applications a company
organizations doing differently to has deployed full-scale and the number of
drive success? outcomes achieved to a high degree (figure 1).
“Becoming an AI-fueled
organization is to understand
that the transformation process
is never complete, but rather a
journey of continuous learning
and improvement.”
— Nitin Mittal, Deloitte AI coleader,
principal, Deloitte Consulting LLP
3
Becoming an AI-fueled organization
FIGURE 1
"Pathseekers" "Transformers"
Low deployed/high High deployed/high
achieving: 26% achieving: 28%
N=753 N=794
7–4
Outcomes
achieved
(high degree)
"Starters" "Underachievers"
3–1
6.8
6.2
5.9
5.5
4.0
3.5
1.9
1.6 1.4
1.0
Average number of AI apps in full deployment Average number of outcomes achieved to a high
degree
Source: The State of AI 4th Edition data analysis.
Deloitte Insights | deloitte.com/insights
4
Deloitte’s State of AI in the Enterprise, 4th Edition
This analysis revealed four key profiles: strong outcomes became evident. They fell into the
following categories: Strategy, Operations,
• Transformers (High outcome and high
Culture and change management, and
deployed—28% of survey respondents):
Ecosystems.
Transforming but not fully transformed, this
group has identified and largely adopted
leading practices associated with the strongest Analysis of survey data and executive interviews
AI outcomes. They average 5.9 out of 10 revealed that success is built upon the foundation
possible full-scale deployments of different of a clear strategy that is communicated and
types of AI applications, and 6.8 out of 17 incentivized from the highest leadership—but that
possible outcomes achieved to a high degree. is not enough. With that clear strategy in place, two
They are the market leaders on their way to inter-related leading practices typically work
becoming AI-fueled organizations. together to support AI adoption and scale across
• Pathseekers (High outcome and low the enterprise: operations and culture plus change
deployed—26% of survey respondents): management. And finally, the support of a robust
Pathseekers have adopted capabilities and set of ecosystem partners was shown to provide the
behaviors that are leading to success, but on technical foundations and outside perspectives
fewer initiatives. They are making moves but needed to deliver and perpetually innovate at scale.
have not scaled to the same degree as
Transformers. They average 1.9 out of 10 Our analysis also revealed not just what those
possible full-scale deployments of different leading practices were, but how much of an effect
types of AI applications, and 6.2 out of 17
they had on organizational achievement:
possible outcomes achieved to a high degree.
• Strategy leading practice: AI-fueled
• Underachievers (Low outcome and high
organizations view AI as a key element of
deployed—17% of survey respondents): A
business differentiation and success, and
significant amount of development and
they set an enterprisewide strategy that
deployment activity characterizes this group;
is championed from the top. Organizations
however, they haven’t adopted enough leading
with an enterprisewide strategy and
practices to help them effectively achieve
leadership who communicate a bold vision are
meaningful outcomes. They average 5.5 out of
1.7 times more likely to achieve outcomes to a
10 possible full-scale deployments of different
high degree.
types of AI applications, and 1.4 out of 17
possible outcomes achieved to a high degree. • Operations leading practice: AI-fueled
organizations establish new operating
• Starters (Low outcome and low
models and processes that drive
deployed—29% of survey respondents):
sustained quality, innovation, and value
Getting a late start in building AI capabilities
creation. Organizations that document and
seems to characterize this group. They are the
enforce MLOps processes are approximately
least likely to demonstrate leading practice
two times as likely to achieve their goals to a
behaviors. They average 1.6 out of 10 possible
high degree. They are also about two times as
full-scale deployments of different types of AI
likely to report being extremely prepared for
applications, and 1.0 out of 17 possible
risks associated with AI and nearly two times
outcomes achieved to a high degree.
as confident that they can deploy AI initiatives
in a trustworthy way.
By analyzing these groups—the Transformers in
particular—the behaviors most associated with
5
Becoming an AI-fueled organization
6
Deloitte’s State of AI in the Enterprise, 4th Edition
CORE LEADING PRACTICE: SET A CLEAR ENTERPRISEWIDE STRATEGY AT THE TOP THAT
ENABLES LEADERS TO HARNESS AI CAPABILITIES TO DRIVE NEW OPPORTUNITIES AND
COMPETITIVE ADVANTAGE.
Key findings:
• Set and communicate a bold vision. Organizations with an enterprisewide strategy and leaders who
communicate a bold vision are 1.7 times as likely to achieve outcomes to a high degree.
• Look for ways AI can help achieve a differentiated strategy. Only 38% of respondents believe their
use of AI differentiates them from competitors.
• Communicate your strategy transparently. Tell your workforce and the market about your strategy
and the implications and trade-offs along the way.
Pitfalls to avoid:
• Don’t ask data scientists or IT to drive your AI strategy. Senior business leaders should drive it based
on the core business strategy in partnership with data scientists.
• Don’t overindex on efficiency goals. Balance efficiency targets with growth- and
innovation-oriented goals.
O
NE OF THE most frequently cited leading Lost in AI use cases: Leaders
practices for AI transformation is the need can forget to put their
for a bold, enterprisewide strategy that is
business strategy first
set and championed by an organization’s highest
leadership. Our research confirmed this: To many leaders, it comes as a surprise to learn
Transformers are more than three times as likely to that the investment needed to develop AI solutions
have an enterprisewide strategy in place, and well cannot realize a return through the deployment of
over twice as likely as Starters to report their single, disconnected use cases, or even a handful.6
leaders communicate a vision for AI. However, This is why it’s so important to have an AI strategy
only 40% of our total survey respondents that is connected and coordinated across the
completely agreed that their company has one in enterprise, in tight alignment with the overarching
place. Meanwhile, even though a significant business strategy. All too often, however, business
majority (66%) of respondents view AI as critical to leaders get the planning process out of order,
success, only 38% believe their use of AI focusing too much on use cases or abdicating
differentiates them from competitors. What should leadership of the AI strategy to IT or data sciences.
organizations do differently to strengthen This can be a slippery slope, diminishing the
their approach? organization’s ability to use AI to create new ways
7
Becoming an AI-fueled organization
FIGURE 2
79%
68% 69% 66%
60%
55% 57%
48% 49%
44% 45%
38% 40% 40%
33% 33%
30%
22% 24%
19%
of competing for customers, launching products, same key performance indicators (KPIs) that have
accelerating time-to-market, securing supply been crafted to incentivize and grow
chains, and beyond. competitive advantage.
a return through the deployment of help the company compete and win. This
imperative drove unparalleled innovation
single, disconnected use cases, or even and was cited as the catalyst for the
a handful. Amazon’s rise to become an AI leader
today.7 Many of the strongest AI strategies
start in this same way: by pushing clear
The strongest AI strategies tend to begin without objectives down to business leadership, so they can
ever mentioning AI. Instead, they should begin identify gaps and opportunities within their
with the organization’s north star: the core divisions and work backward from there to
business strategy. From there, the process requires apply AI as a solution.
tight collaboration with engaged leaders across all
business divisions and the focus of workers at all These local plans should then be brought back to
levels. Ultimately, AI strategy should function as the top, so that mutual goals and initiatives can be
the fuel to the business strategy, aligning to the aligned and unified with the core business strategy.
8
Deloitte’s State of AI in the Enterprise, 4th Edition
This step is often critical: It’s only when AI has “You have to go both for impact and build the
been integrated and proliferated throughout the foundations in parallel, and that is the most
enterprise that it can deliver the combination of challenging part,” advises Najat Khan, PhD, chief
efficiency- and value-creating outcomes needed to data science officer and global head of strategy &
fuel ongoing returns. operations for Janssen Research & Development.
“You have to pick the right questions, and have
what I call a diversified portfolio of questions to
Balance your goals: drive impact, ensuring that you can demonstrate
Overindexing on efficiency can early value to build momentum for achieving
longer-term, sustainable impact.”
lead to missed opportunities
It’s through the combination of both efficiency- and AI-fueled organizations can create durable
value-creation targets that organizations typically competitive advantage when the CEO and C-suite
achieve the most success. “When digitally collectively harness data, advanced analytics, and
transforming a company, you want greater degrees AI to shape strategic possibilities for both the near
of efficiency,” remarks Rajeev Ronanki, SVP and and long term in support of their
chief digital officer at Anthem. “But there is a corporate strategy.
second order of business: What new business
opportunities, what capabilities does AI open up
that allow for servicing adjacent or maybe entirely Communicate the
new areas?” vision: Publicly signaling
transformation can
Our survey results reinforced this, demonstrating
that lower-achieving organizations (Starters and
build market value
Underachievers) tended to focus more on efficiency Chief executives of high-achieving organizations
or “cost out” goals, while high-achieving typically serve as the AI communicator-in-chief.
organizations (Transformers and Pathseekers) According to our survey data, those organizations
were more likely to emphasize growth-oriented that communicate a clear vision are 1.5 times as
goals, such as: improving customer satisfaction, likely to achieve desired outcomes compared to
creating new products and offers, and entering new those who do not. The most effective leaders tend
markets. In other words, high-achieving to use their platform not only to communicate and
organizations are more likely to maintain an eye champion their plans; they also clarify the
toward the art of the possible and a growth implications and trade-offs required along the way.
mindset, which allow them to take advantage of This is often essential for maintaining focus and
opportunities often missed by those who overindex ensuring that decisions made at all levels of the
on efficiency or supporting business as usual. organization remain aligned to the vision.
business, whether it’s been done before of the market and investors.
Communicating the company’s vision
or never been done before.” publicly can amplify success, signaling to
— Michelle Lee, VP of Amazon Machine Learning capital markets and the competitive talent
Solutions Lab
market that an organization is investing in
a bold and exciting future.8 If it’s not
9
Becoming an AI-fueled organization
important enough to merit such a forceful signal technology developments. As the organization’s
toward change, it’s highly likely that the core business strategy and AI capabilities mature
gravitational pull toward the status quo could over time, leaders should continually sharpen their
dampen outcomes for even the strongest strategy. goals, moving beyond staying competitive to
increasingly using AI and ML as competitive
differentiators.
Remain dynamic: Perpetually
iterate your AI strategy For more AI strategy recommendations:
10
Deloitte’s State of AI in the Enterprise, 4th Edition
CORE LEADING PRACTICE DRIVE ONGOING QUALITY, INNOVATION, AND VALUE CREATION
THROUGH NEW OPERATING MODELS, ROLES, AND PROCESSES.
Key findings:
• Reimagine business workflows and roles. Organizations that have undergone significant changes to
workflows or added new roles are more than 1.5 times as likely to achieve outcomes to a high degree.
• No excuses: Document and follow MLOps. Organizations that document and follow MLOps processes
are twice as likely to achieve their goals to a high degree. They are also approximately two times as likely
to report being extremely prepared for risks associated with AI and nearly two times as confident that
they can deploy AI initiatives in a trustworthy way.
Pitfalls to avoid:
• Business leaders should allocate more time to solution design. Effectively redesigning processes and
how AI tools fit into workflows requires thoughtful attention.
• Don’t underestimate the unique maintenance needs of AI solutions. Establish and document robust
MLOps procedures to ensure ongoing quality and ethical delivery.
T
ECHNOLOGY CANNOT DELIVER documenting AI life cycle publication strategies,
transformative results unless organizations and updating workflows, roles, and team structures
reimagine how work gets done. Most leaders across the business.
today understand this intellectually; however,
survey results show a disconnect in putting it into To ensure quality AI solution development,
action: Across a variety of operational activities— enterprise adoption, and the most successful
both on the business side and within IT or data outcomes, organizations should rethink their
science teams—only about one-third of those operations from two key perspectives: across the
surveyed report that they have adopted leading business workflow, and within their IT and data
operational practices for AI. This includes adhering science team processes.
to a well-calibrated MLOps framework,
11
Becoming an AI-fueled organization
FIGURE 3
56%
53%
49% 50%
42% 44%
41% 41%
38% 38%
32% 33% 31% 30%
24% 24% 25%
20%
13% 15%
12
Deloitte’s State of AI in the Enterprise, 4th Edition
Only with an engaged partnership between the and operational managers is important to align the
business and AI and ML development teams, can a necessary processes for AI and ML to take hold.
new way of working emerge. Even when business
leaders understand their role, a lack of AI fluency While developing these processes is generally the
can inhibit their ability to collaborate effectively responsibility of IT and data science leadership, all
with the AI and ML development teams. Some stakeholders and senior leaders should be
organizations have found success in creating new concerned that these processes and standards are
roles to help translate between business in place and observed across the organization.
stakeholders and model development teams. In They are key to ensuring the ongoing quality of
these circumstances, an individual well-versed in models that are fueling critical business processes.
both business and analytics can serve as the bridge Data from our survey bear out just how important:
between overarching business strategic goals and Organizations that strongly agreed that MLOps
AI technical requirements.9 Our survey processes were followed were twice as likely to
demonstrates that efforts in creating new roles like achieve their goals, compared to the rest.
this can pay off. High-achieving surveyed Furthermore, these surveyed organizations were
organizations (Transformers and Pathseekers) also approximately two times more likely to report
were significantly more likely to create new roles feeling extremely prepared for risks associated
and functions to maximize AI advancements. with AI, and nearly twice as confident that they can
deploy AI initiatives in an ethical, trustworthy way.
13
Becoming an AI-fueled organization
Key findings:
• Data fluency pays off. High-achieving organizations (Transformers and Pathseekers) are nearly three
times as likely to trust AI more than their own intuition, compared to low-achieving organizations
(Starters and Underachievers).
• Prioritize change management. Organizations that invest in change management to a high degree are
1.6 times more likely to report that AI initiatives exceed expectations and more than 1.5 times as likely to
achieve their desired goals.
• Fear can be an indicator of positive change if paired with supportive culture and
change management.
Pitfalls to avoid:
• Don’t take a one-size-fits-all approach to change management. Tailor your efforts to key audiences
and ensure a variety of resources are available to support new behaviors.
• Don’t expect change management to fix a poorly designed transformation. Thoughtfully designing
a new solution from the beginning can set the foundation for positive change.
O
VER THE PAST few decades, the pace of Through interviews and survey data analysis, we
business and technology change has found the organizations with the strongest AI
quickened, requiring workers to adapt, outcomes tend to display some common
perpetually learn new skills, and make decisions characteristics, including high levels of
amid growing ambiguity. For many organizations, organizational trust, data fluency, and agility. And
these shifts have challenged a critical facet within to get there, investment in change management
their organization: their culture. has been key to successful AI transformation:
14
Deloitte’s State of AI in the Enterprise, 4th Edition
Organizations that invest in change management machines replacing humans. But high-achievers
are 1.6 times as likely to report that AI initiatives also reported little desire to reduce employee
exceed expectations and more than 1.5 times as headcount as well as high investment in training
likely to achieve outcomes than those that don’t. A and change management. When viewed through
recent study also made clear that by providing this lens, fear may be a positive indicator that an
workers with clear direction and support, change organization’s AI vision is bold. This can bear fruit
management can boost both trust and when paired with other supportive actions and
engagement. 12
cultural characteristics to drive success. A culture
that trusts, even if they fear, demonstrates agility.
Change management can help build that trust.
Ingredients of an AI-
ready culture: Trust, Executive interviews confirmed this interpretation,
calling out a variety of behaviors, such as
data fluency, agility
collaboration, relationship-building, and training,
Trust: Surprisingly, surveyed high-achieving which may collectively point to higher levels of
organizations (Transformers and Pathseekers) trust within the organization. Trust is based on
report more than twice the amount of fear competence and intent:13 If employees believe in
compared to low-achieving organizations the organization’s ability to build capable AI
(Underachievers and Starters). Typically, when we systems and its intent to use technology for their
consider AI-related fear, the focus is on job loss or benefit—not detriment—then trust can grow.
FIGURE 4
54%
40% 40%
35% 37%
31%
27% 28% 26%
23%
19%
15%
12% 10%
8%
15
Becoming an AI-fueled organization
“It’s really about working together, building emphasizes this point: “We have a widespread
collaborative, trusted partnerships,” advises Eileen culture of experimental validation. We don’t accept
Vidrine, chief data officer at the US Department of an answer of, ‘The model said so.’ No. Model
the Air Force. In organizations where that may be outcomes are continuously scrutinized through live
lacking, it’s imperative to support trust- and testing and validation.” In other words, data-
relationship-building to break down silos. focused organizations tend to require a more
profound understanding of data. Workers should
Data fluency: “In order for there to be AI success, be incentivized to explain and justify model
people will have to change their relationship with decisions; this serves to drive more creative
data,” says Andrew Beers, chief technology officer insights as well as faster detection of model errors
at Tableau. Part of this, of course, involves building if and when they arise.
advanced technical data capabilities; however,
that’s often a smaller piece of the puzzle than Upskilling is important in this effort. “Talent is
leaders realize. More foundational tends to be really one of the big challenges that we see,”
raising the base level of data literacy across all observes Ong Chen Hui, Biztech Group cluster
levels of the organization. This means encouraging director at Infocomm and Media Development
everyone to build the critical thinking skills needed Authority of Singapore. She continues, “it’s not
to ask the right questions, and then find the right strictly the AI scientists. We also see that, in
data to solve problems in their everyday work. adjacent competencies needed to support AI, there
is a talent shortage there also.”
also for every single role in an organization, organizations did not report a
strong preference for hiring
no matter how ‘technical.’ That’s how we externally over reskilling their
raise the level of AI proficiency for all of our current workforce.
16
Deloitte’s State of AI in the Enterprise, 4th Edition
17
Becoming an AI-fueled organization
Key findings:
• Build broad and diverse partnerships. Eighty-three percent of the highest-achieving organizations
surveyed (Transformers and Pathseekers) create a diverse ecosystem of partnerships to execute their
AI strategy.
• Use partners to improve your perspective on the market. Organizations with diverse ecosystems are
significantly more likely to have a transformative vision for AI, enterprisewide AI strategies, and use AI as
a strategic differentiator.
Pitfalls to avoid:
• Beware of vendor lock. Too few external partnerships can make it difficult to part ways with vendors if
needed in the future.
• Don’t sacrifice your competitive position. Build differentiating capabilities in-house to protect your
competitive advantage.
N
O COMPANY HAS all the needed talent, When an ecosystem strategy is robust and well-
algorithms, data sets, or breadth of orchestrated, it offers an organization the flexibility,
perspective in-house to innovate stability of resources, and informed perspectives
perpetually with AI. That’s largely why most of needed to navigate and compete in an everchanging
today’s AI-fueled organizations establish robust market. Survey data reinforced this point: Eighty-
technology ecosystems: Through a diverse set of three percent of high-achieving organizations
means, they build, partner, license, and access the (Transformers and Pathseekers) use at least two or
elements needed to execute their strategy over the more types of ecosystem partners—a significantly
long term. higher percentage than low-achieving organizations
(Starters and Underachievers). Organizations with
“Ecosystems are dynamic and more diverse ecosystem relationships also reported
18
Deloitte’s State of AI in the Enterprise, 4th Edition
FIGURE 5
trying to optimize interoperability and avoiding
Leading ecosystem practice what I would call ‘vendor lock’ as much as possible,”
Percentage of respondents with multiple advises the US Department of the Air Force’s Vidrine.
ecosystem relationships
A healthier ecosystem approach typically identifies
Transformers Pathseekers Underachievers a base platform and looks for a variety of
Starters Total
opportunities to integrate different vendors,
including those that may be emerging or niche.
83% 83% When this approach is executed well, it not only
70% 74%
protects from overdependence, but can also result
59% in a higher level of differentiation, flexibility, and
access to expanded perspectives on the market.
Survey data reinforced this, showing that
organizations with more diverse ecosystems were
much more likely to have transformative visions
Two or more ecosystem relationships for AI and use AI as a strategic differentiator.
Source: The State of AI 4th Edition data analysis. Of course, thoughtful orchestration of these
Deloitte Insights | deloitte.com/insights relationships is required to achieve such outcomes.
Time to diversify: Simple Deciding how to leverage each one is just as
and streamlined tech important as who and how many. “Emergent
technology domains, like artificial intelligence, are
ecosystems introduce risk
evolving too fast and in too many directions for
While it may seem counterintuitive, simple and most companies to keep pace. This demands a
streamlined ecosystems frequently introduce more more fluid and hybrid approach—buy, lease, invent,
risk than those that are diverse and complex. experiment, and partner with a variety of external
Understandably, many leaders attempt to organizations that compliment and extend your
minimize the time and expense of managing company’s competitive edge,” advises Keith Strier,
multiple relationships, and so they choose to work vice president of worldwide AI initiatives at Nvidia.
with the fewest partners needed to meet their goals.
As AI and ML tools become more deeply embedded Which elements your organization decides to build
into an organization’s core operations, it’s in-house versus buy or license externally is an
important to expand this view. Concentrating important strategic exercise that can’t be
resources on too few vendors or partners can lead overvalued. Each decision should come down to
to overdependence,17 so much so that an one central question: How does each relationship
organization could become virtually unable to support and protect your organization’s ongoing
move to a new vendor in the future. In other words, competitive differentiation in the market?
when too many critical business processes rely on a
single vendor’s platform and models, it can become For more ecosystem recommendations:
extremely difficult to disentangle from them
• Business ecosystems come of age
without significant disruption. This can ultimately
stymie innovation and growth. • Ecosystem-driven portfolio strategy
19
Becoming an AI-fueled organization
O
RGANIZATIONAL PROGRESS HAS always 2. Update your operations and document
depended on humans’ ability to imagine a new ways of working. Ask: Are your
new vision for the future and identify the business leaders (not just data sciences teams)
opportunity available within it. We seem to be driving the AI agenda? And are they allocating
rapidly approaching the day when AI could adequate time to design applications in a way
independently and reliably illuminate creative and that the business can adopt and deliver
strategic opportunity, releasing us from the transformational results?
confines of our limited perspectives. As we advance – Ensure business sponsors are taking the
further into that AI-fueled future, those lead in AI-fueled initiatives
organizations that lay the foundations now will – Redesign roles, processes, and workflows to
likely be rewarded manyfold. integrate and encourage adoption of
AI tools
Rapidly transforming, but not yet fully – Set enterprisewide standards for AI and ML
transformed, has been the underlying theme of this solution development to promote high-
report—very few organizations in the market have quality, ethical application design
achieved mature AI-fueled transformations across and delivery
the enterprise. Even among Transformers, who are
leading the way, there is room to improve: Forty- 3. Evaluate your culture in the Age of With.
five percent don’t have a significantly differentiated Ask: Does your organization display an
AI approach, 50% report partially mature MLOps AI-ready culture?
procedures, and 46% aren’t investing significantly – Build organizationwide data literacy, trust,
in change management efforts to drive deeper and agility
enterprise transformation. Most of today’s leaders – Ensure your workforce has adequate
have plenty of work to do to ensure strong support to learn new skills, capabilities,
foundations are set: and ways of working through multilayered
change management approaches targeted
1. Start with your enterprisewide strategy. to unique audiences
Ask: Have your organization’s leaders set a core,
overarching business strategy and incentivized 4. Diversify your ecosystems. Ask: Is your
AI development enterprisewide to achieve the vision? ecosystem strategy diverse, well-integrated, and
– Set bold, enterprisewide goals for AI that supporting your ability to differentiate and
tightly align to the core business strategy remain agile?
– Remember the art of the possible; don’t let – Design your ecosystem to always protect
“cost out” goals cause you to miss and drive your competitive differentiation
big opportunities
– Champion the plan and transparently The pathways have been made clear. For those
communicate about required trade-offs leaders with the ambition, these leading practices
across all levels of the organization and can be a road map to future—currently unimaginable
even externally —AI successes as the Age of With matures.
20
Deloitte’s State of AI in the Enterprise, 4th Edition
Methodology
T
O OBTAIN A global view of how AI is outcomes achieved through AI initiatives. For full-
transforming organizations, Deloitte scale AI deployments, we calculated the cumulative
surveyed 2,875 IT and line-of-business frequency of respondents who selected “deployed”
executives between March and May 2021. Eleven (achieved at least one full-scale deployment)
countries were represented: Australia (109 among the 0–10 types of AI applications. Similarly,
respondents), Brazil (218 respondents), Canada we calculated cumulative frequency by counting
(216 respondents), China (219 respondents), the number of outcomes achieved to a “high degree”
France (188 respondents), Germany (218 among the 0–17 potential outcomes achieved by
respondents), India (225 respondents), Italy (97 respondents. This established the following profile
respondents), Japan (110 respondents), the United groups of respondents:
Kingdom (218 respondents), and the United States
• Transformers: (28%, N=794) have achieved
(1,057 respondents).
four or more high full-scale AI deployments
and at least four outcomes to a high degree
All participating companies have adopted AI their AI initiatives. They are considered the
technologies and are AI users. Respondents were leader group, the most “AI-fueled,” within our
required to meet one of the following criteria: survey respondents.
responsible for AI technology spending or approval
• Pathseekers: (26%, N=753) have achieved
of AI investments, developing AI technology
fewer than four high full-scale AI deployments
strategies, managing or overseeing AI technology
but still achieved at least four outcomes to a
implementation, serving as an AI technology
high degree through their AI initiatives.
subject matter specialist, or making or influencing
decisions around AI technology. • Underachievers: (17%, N=496) have
achieved more than three high full-scale AI
deployments but still achieved fewer than three
To complement the blind survey, Deloitte
outcomes to a high degree through their
conducted qualitative telephone interviews with 17
AI initiatives.
AI experts from various industries.
• Starters: (29%, N=832) are still developing or
Analysis model. To identify “AI-fueled” leader exploring AI deployments and have deployed
groups, we developed an analysis model defining fewer than four high full-scale AI deployments.
four profiles of organizations based on the They have achieved fewer than four outcomes
frequency of full-scale AI deployments and the to a high degree through their AI initiatives.
21
Becoming an AI-fueled organization
FIGURE 6
Consumer 20%
18% 14%
21%
26% 100–999 $10B+
$50–500M
10,000+
14%
$5–10B
20%
18% $500M–$1B
38%
5,000–9,999 1,000–4,999
30%
$1–5B
Title Role
7% Other
4% Owner/partner
31% 6% Board of directors
C-suite
11%
Head of business unit
51% 49%
LOB IT
13%
Head of department
Director/VP 28%
22
Deloitte’s State of AI in the Enterprise, 4th Edition
Endnotes
1. Unless otherwise cited, data in this report comes from the State of AI 4th Edition survey fielded between March
and May 2021.
2. Mike Bechtel, Seeing the forest for the trees, and the forests beyond: The future of AI, Deloitte, accessed
September 27, 2021.
3. Frank Konkel, “Survey: Pandemic accelerating AI adoption,” Nextgov, March 26, 2021.
4. Beena Ammanath, Susanne Hupfer, and David Jarvis, Thriving in the era of pervasive AI: Deloitte’s State of AI in the
Enterprise, 3rd Edition, Deloitte Insights, 2020.
7. Steven Levy, “Inside Amazon’s artificial intelligence flywheel,” Wired, February 1, 2018.
8. Deloitte analysis.
9. Deloitte, “An innovation strategy powered by tech,” accessed September 27, 2021.
10. Rohit Tandon and Sanghamitra Pati, ML-Oops to MLOps, Deloitte, accessed September 27, 2021.
11. Tom Davenport et al., Analytics and AI-driven enterprises thrive in the Age of With: The culture catalyst, Deloitte
Insights, July 25, 2019.
12. Paul J. Zak, “The neuroscience of trust,” Harvard Business Review, January 1, 2017.
13. Deloitte, The future of trust: A new measure for enterprise performance, 2021.
14. John Hagel, John Seely Brown, and Maggie Wooll, Redefine work: The untapped opportunity for expanding value,
Deloitte Insights, 2018.
15. John Hagel, John Seely Brown, and Maggie Wooll, Skills change, but capabilities endure: Why fostering human
capabilities first might be more important than reskilling in the future of work, Deloitte Insights, August 30, 2019.
16. Shrupti Shah et al., Nudging for good: Using behavioral science to improve government outcomes, Deloitte Insights,
June 24, 2019.
17. Eamonn Kelly, Business ecosystems come of age—Part of the Business Trend Series, Deloitte University Press,
April 16, 2015.
18. Justice Opara-Martins, Reza Sahandi, and Feng Tian, “Critical analysis of vendor lock-in and its impact on cloud
computing migration: a business perspective,” Journal of Cloud Computing 5, no. 4 (2016).
23
Becoming an AI-fueled organization
Acknowledgments
A research effort of this size requires the collaboration of many, without whom this project would not
be possible. The authors would like to thank our external interviewees: Keith Strier, NVIDIA
Corporation; Andrew Beers, Tableau; Dr. Tian He, JD.com; Eileen Vidrine, Department of the Air
Force; Michelle K. Lee, Amazon Web Services; Najat Khan, Janssen Pharmaceuticals; Ong Chen Hui,
Singapore Infocomm Media Development Authority; Phil Thomas, Scotiabank; Rajeev Ronanki,
Anthem; Rajen Sheth, Google; Tulia Plummettaz, Wayfair. We would also like to thank Deloitte
leadership and subject matter experts: Ben Stiller, Rich Nanda, Jim Rowan, Manoj Suvarna, Tasha
Austin, Dave Kuder, Rohit Tandon, Sangha Pati, Michael Griffiths, and Mike Bechtel. And last but
certainly not the least, the core research project team: Abha Kulkarni, Brenna Sniderman, David
Novak, David Levin, Jonathan Holdowsky, Negina Rood, Andy Bayiates, Kate Schmidt, Mike Nash,
Scott Woodward, Jaya Gopalan, James Boise, and Bridget Maloney.
Beena Ammanath is a managing director with Deloitte Consulting LLP and is an award-winning senior
executive with extensive global experience in artificial intelligence and digital transformation. She is the
founder and CEO of Humans for AI Inc and has coauthored the book AI Transforming Business.
Nitin Mittal is a principal with Deloitte Consulting LLP. He currently serves as the US Artificial
Intelligence (AI) Strategic Growth Offering Consulting leader. He specializes in advising clients to
achieve competitive advantage through data and cognitive-powered transformations that promote
amplified intelligence and enable our clients to make strategic choices and transform ahead
of disruption.
Irfan Saif is a principal at Deloitte & Touche LLP and chief strategy officer for Deloitte Risk & Financial
Advisory. Throughout his professional services career, he has delivered and overseen the strategy and
implementation of transformational cyber risk and disruptive technology solutions for leading global
enterprises. He serves large, multinational clients in the technology sector as well as leading brands in
media, financial services, and retail.
Siri Anderson is a researcher and writer at the Deloitte Center for Integrated Research, where she also
serves as chief of staff. Previously, Anderson led the sponsored and contributed content program for
Deloitte Digital. Before joining Deloitte, Anderson worked in editorial and strategic communications
roles in technology and health care industries.
24
Deloitte’s State of AI in the Enterprise, 4th Edition
Contact us
Our insights can help you take advantage of change. If you’re looking for fresh ideas to address your
challenges, we should talk.
Industry leadership
Nitin Mittal
Principal | Deloitte Consulting LLP
+1 617 947 7500 | nmittal@deloitte.com
Nitin Mittal is a principal with Deloitte Consulting LLP. He currently serves as the US Artificial
Intelligence (AI) Strategic Growth Offering Consulting leader.
Irfan Saif
Principal | Deloitte Risk & Financial Advisory
+1 415 269 8276 | isaif@deloitte.com
Irfan Saif is a principal at Deloitte & Touche LLP and chief strategy officer for Deloitte Risk & Financial
Advisory. In his more than 25-year career in professional services, Saif has delivered and overseen the
strategy and implementation of transformational cyber risk and disruptive technology solutions for
many leading global enterprises.
Beena Ammanath
Executive director of Deloitte AI Institute | Deloitte Consulting LLP
+1 925 474 7139 | bammanath@deloitte.com
Beena Ammanath is a managing director with Deloitte Consulting LLP and is an award-winning senior
executive with extensive global experience in artificial intelligence and digital transformation.
Research leadership
Brenna Sniderman
Executive director | The Deloitte Center for Integrated Research | Deloitte Services LP
+1 929 251 2690 | bsniderman@deloitte.com
Brenna Sniderman is the executive director of the Center for Integrated Research, Deloitte Services LP,
where she oversees a cross-industry research team focused on global shifts in technology, mobility,
climate, and workforce—developing work that ultimately helps guide how organizations can operate
and strategize in an age of rapid technology and cultural change. Sniderman’s work is cited in
prominent media platforms such as Forbes, GE Digital, and Wired, and frequently gives keynote
speeches at industry and client conferences.
25
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