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The AI revolution
How AI can enhance workers’ efficiency and unearth productivity gains throughout the economy?
From challenges to opportunities: How EY and AI work hand in hand
Unlike past technological revolutions that largely involved the automation of manual labor, AI marks a paradigm shift in its focus on assisting and automating complex cognitive functions, with unavoidable consequences for knowledge workers. Entire industries and all manner of professions are on the cusp of profound change.
AI has the potential to enhance workers’ efficiency and unearth productivity gains throughout the economy. Our AI survey of multidisciplinary professionals across levels, sectors – and across Europe – already provides insights of the depth and scale of the AI-driven productivity boost in major economies, and an indication of its potential contribution to the global economy. That said, unlocking productivity gains that AI promises will likely take time, effort, and wise strategy.
One use case we are already seeing gaining traction is the deployment of AI as a powerful knowledge tool. By distilling key insights from vast volumes of data, AI is already helping businesses and their teams make more accurate and in turn better decisions. Forward-thinking executives are wasting no time and have set to work exploring how AI can empower informed decision-making, while breaking down silos and allowing more voices to be heard than ever before. But how exactly is Europe faring in the AI revolution? Do employees here feel that they are a part of the change and are adequately equipped by their employers to tackle the AI transformation process with suitable training? Are they seeing a meaningful evolution of their job profiles and tasks?
Around the world, regulators too are shifting their attention toward AI and its implications for the economy and for society more broadly. Government commissions and task forces are investigating the likely impact on all sectors, from healthcare and financial services through to transportation, as they seek to address a host of concerns: citizens’ privacy, bias in algorithms, job displacement – the list goes on. In May 2024, for instance, the EU introduced the Artificial Intelligence Act (AIA), which aims to regulate the development and use of AI systems within its borders, to protect the safety, security and fundamental rights of its people. To navigate the global regulatory complexity that is rapidly emerging, companies will need to designate compliance responsibilities for AI deployment and use across their entire organization, not just technical departments.
Notwithstanding all the advancements promised, one thing can never change: humans need to remain at the heart of AI development. Moving forward, the emphasis must be on AI empowering employees across all industries to work smarter, better and more efficiently. It’s not just a question of bringing to market better products and solutions: AI holds the potential to craft a more sustainable global economy – for people and for the environment.
One thing can never change: humans need to remain at the heart of AI development
Most companies recognize the need to accelerate their AI initiatives to gain a competitive edge. Yet concerns persist as regards the pace of AI adoption and the maturity of solutions. Some caution against overinvesting in tools or use cases likely to become obsolete all too soon. Others question whether the timeline touted by AI visionaries is realistic to unfold a truly transformative impact.
There is no shortage of questions, and problems still remain unresolved. There is no one-size-fits-all model when it comes to AI. Drawing on the rich experience we have already gained working shoulder-to-shoulder with the clients across a broad spectrum of industries and a huge variety of use cases, we are convinced that it is possible to create meaningful value by taking a broad approach to AI and by augmenting people potential to drive extraordinary outcomes.
With a human-centered approach to AI, we help hone technology to enhance talent, driving efficiency and productivity gains across business functions. EY teams of leading multi-disciplinary professionals spanning risk, strategy, technology, and transformation work hand in hand with clients to assist them in an implementation process that is aligned with their purpose, culture, values, and key stakeholders so that AI drives positive human impact.
In the following, we gauge the current state of AI in European businesses across a range of industries and determine the level and challenges of adoption, the perceived and captured benefits, the impact on the workforce, and approaches to capability building, and cast a glance ahead at the future of this rapidly evolving technology.
Adoption
Many organizations are still struggling with the operationalization of AI. Barriers need to be removed; a clear tone from the top is needed.
Benefits
Cost benefits are already evident. The frame needs to be expanded to include other benefits, including creating more meaningful and attractive work profiles and hence improved employer branding.
Impact on workforce
AI is certain to have a huge and imminent impact on the workforce across all sectors and professions. Upskilling is key.
Capability building
Organizations need to accelerate their investment in AI capabilities and make sure they place their bets on the right technologies in a field that is undergoing fast-paced innovation and whose future is difficult to predict. Appropriate training programs are key.
Future of AI technology
AI technology is advancing along many different avenues. Tomorrow’s winners are already making bold moves today.
