According to a recent survey conducted by Gartner, Inc., 79% of corporate strategists believe that technologies such as analytics, artificial intelligence (AI), and automation will play a critical role in their success over the next two years. The survey also revealed that strategists see the potential for automating a significant portion of strategic planning and execution activities, with only 15% currently being automated.
Survey details and insights on AI and Analytics
The survey, conducted between October 2022 and April 2023, included 200 corporate strategy leaders from North America, Western Europe, Asia/Pacific, and Australia/New Zealand, representing various industries, revenue levels, and company sizes. The findings shed light on the growing importance of analytics and AI in shaping effective strategic decisions.
Strategists emphasized that leveraging analytics and AI for more efficient and insightful strategic decisions is a significant challenge and opportunity in the current business landscape. For years, strategists have advocated digital transformation to ensure competitiveness and effectiveness, and now they are ready to apply those principles to their own workflows.
While most corporate strategists reported using descriptive and diagnostic analytics, less than half indicated the use of more advanced tools, such as predictive, prescriptive, or graph analytics. Similarly, only 20% of strategists mentioned employing AI-related tools like machine learning or natural language processing. However, a considerable percentage of strategy leaders stated they are either piloting or exploring the use of these tools. For instance, 51% expressed an interest in machine learning, and 45% showed an interest in predictive analytics.
Challenges in implementing new technologies
The survey identified establishing a clear use case for new technologies as one of the primary obstacles to implementation. More than half of the strategists cited this challenge as one of their top three concerns. The unfamiliar vendor market, overwhelming options, and lack of precedents contribute to this difficulty.
Gartner recommends mapping existing functionality to specific needs and prioritizing different use cases that advanced technology can offer. By assessing the purpose, impact, and suitability of new tools, organizations can build a strong business case for implementation.
Recommendations for strategy leaders
To maximize the benefits of AI and analytics technologies, Gartner advises strategy leaders to:
1. Identify Use Cases: Determine specific areas where advanced technologies can bring value and align them with strategic goals.
2. Prioritize Use Cases: Evaluate the purpose, impact, and suitability of different use cases and prioritize them based on their potential impact on the organization.
3. Build a Business Case: Develop a robust business case by demonstrating how the technology aligns with organizational goals and drives efficiency, insights, and competitive advantage.
Upcoming Gartner IT Symposium/Xpo
Gartner will present additional leadership trends at the upcoming Gartner IT Symposium/Xpo, a leading conference for CIOs and IT executives. The event will cover topics such as business transformation, cybersecurity, AI, customer experience, data analytics, and executive leadership. The conference will be held at various locations worldwide, including Gold Coast (Australia), Orlando (FL), Barcelona (Spain), Tokyo (Japan), and Kochi (India).
The Gartner survey highlights the increasing significance of AI and analytics in the realm of corporate strategy. As organizations strive for competitiveness and effectiveness, leveraging advanced technologies becomes imperative. By identifying use cases, prioritizing implementations, and building strong business cases, strategy leaders can harness the power of AI and analytics to drive their organizations forward in the ever-evolving digital landscape.
