2024 AI Trends: 5 Things Business Leaders Need to Know

Author: Salima Lin , Senior Partner and Vice President, IBM Consulting

With the end of the year approaching, it’s a good time to reflect on the transformative impact generative AI has had on business. We’ve seen generative AI drive change across entire enterprises, impacting everything from data to people, and from machines to operating models. 2024 will be another significant year for the technology and trust will be become a critical factor.

The IBM Institute for Business Value's latest report, "Five trends for 2024," reveals the major AI trends that will shape the business landscape and the pivotal role trust will play in capitalizing on this innovation.???

Organizations move from “plus AI” to AI plus

Business leaders understand the transformative impact that generative AI can have -- 75% of CEOs believe generative AI is no longer just an add-on. It will be essential to their organization's success in 2024.?Just having generative AI capability won’t be enough to win competitive advantage. To effectively integrate AI, leaders must balance its capabilities with a human-centric approach, ensuring responsible and ethical use while maximizing its potential.

People who use AI will replace those who don’t

By 2024, generative AI will impact all levels and roles within organizations. Successful AI adoption will depend on whether employees willingly embrace reskilling and adapt to new roles. Fostering trust of AI among employees will be critical, and business leaders must take a holistic approach recognizing that AI is really more about people, than just technology.

The data conversation moves out of IT into the C-Suite

Data is no longer just a technology concern – it’s a business imperative. Business leaders need to trust that data – the lifeblood of every organization -- is secured and protected. Yet, more than half of CEOs (57%) say that data security is a barrier to adopting generative AI. This means trusted technology can’t be just an IT concern, but a core value that should be embedded across the entire organization. By prioritizing trust in every interaction, business leaders can enhance their cyber risk capabilities and create a clear path to value for their organization.

Operating models bend so they don’t break

As business leaders prepare for a future filled with uncertainties, it's become increasingly evident that they need trusted operating models built to adapt to a changing world. 2024 sees generative AI-infused dashboards become even more sophisticated, enabling visibility and responsiveness to the ever-growing array of shocks. Top CEOs have already been moving in this direction, but only 6% said their measures are fully integrated across the enterprise, linked to outcomes, central to strategy and aligned with ecosystems.

Ecosystems are not just part of the strategy, they are the strategy

Given that leaders who foster open innovation have been shown to achieve a 59% higher revenue growth rate compared to their peers, it’s clear why trusted ecosystems will become an essential competitive advantage in 2024.? For open innovation to thrive, information must flow freely across the ecosystem, making it more important than ever for business leaders to evaluate potential partners on their ability to maintain a strong, trust-based relationship

To learn more about how organizations can balance trust and technology in this era of generative AI, I highly recommend checking out the full report here: https://ibm.co/3RG1jFv