Canadian executives see operational gains from generative AI, but integration lags: RSM Canada Survey
84% of Canadian middle market business leaders surveyed are already seeing positive returns from generative AI integration, though many lack the resources to maximize its potential
Toronto, ON (Jul. 23, 2024) – Seventy-four per cent of midsize Canadian organizations are already adopting generative AI into their business operations, according to a new survey from RSM Canada LLP – a leading global provider of assurance, tax and consulting services. However, the survey found that only 49 per cent of these companies have full or partial integration of AI technologies.
“Middle market companies are quickly grasping the potential of AI, which is poised to significantly impact how companies handle numerous critical functions in the years ahead,” said Rhys Morgan, RSM Canada consulting leader. “Yet, businesses are also facing the challenges that come with integrating breakthrough technologies into their operations, leading many to face a shortage of experienced staff and a need for external assistance, particularly as AI-driven processes become increasingly vital for growth.”
A strong majority (84 per cent) indicated that generative AI has impacted their organization more positively than expected. However, 58 per cent said the technology has also been harder than expected to implement, and 76 per cent said they need outside help to get the most out of their generative AI solutions.
Other key findings of the survey include:
- 61 per cent of middle market Canadian companies that have adopted generative AI tools are using it for automated tasks; 51 per cent are using it to enhance customer service; and 46 per cent are using it to increase employee productivity and creativity.
- 14 per cent of businesses that use generative AI technologies report full integration across core operations and workflows.
- Middle market companies that use generative AI reported using solutions such as ChatGPT (75 per cent), Microsoft Copilot (34 per cent) and Google Bard/Duet (20 per cent).
- 71 per cent of those who currently use generative AI indicated their organization has a budget dedicated to AI investments.
- 78 per cent of those who have a budget dedicated to generative AI investments said their AI budget will increase in the year to come.
Implementing and scaling AI technologies comes with a variety of challenges the middle market needs to navigate. These can include:
- Data quality: Organizations must prioritize data quality management, ensuring accuracy and completeness through processes such as data cleansing and enrichment, supplemented by external data when required.
- Skills gap: A lack of overall AI expertise within an organization can hinder the adoption process so investing in training is crucial to empower employees, accelerate implementation and drive business innovation.
- Integration with existing systems: Incorporating generative AI solutions into existing processes and systems, like CRM or ERP, can pose complexity and requires detailed planning to guarantee seamless integration with the current infrastructure.
- Ethical and legal considerations: Organizations must tackle AI-related issues by creating standards to ensure system transparency and accountability, and perform routine audits to prevent ethical, legal, regulatory or compliance risks.
- Cost: The investment in hardware, software and personnel can be notable for the middle market so organizations need to consider the benefits such as increased efficiency, improved decision making and cost savings, against the expenses involved in its adoption.
Methodology
The survey – conducted by Big Village – included 510 respondents, with 407 in the United States and 103 in Canada. Qualification for survey participation required respondents to have at least some influence on decisions related to technology investments within their organization; most report working for companies with annual revenues of $10 million to $1 billion. The survey was conducted online from February 26 through March 4, 2024.
About RSM
RSM is the leading provider of professional services to the middle market. The clients we serve are the engine of global commerce and economic growth, and we are focused on developing leading professionals and services to meet their evolving needs in today’s ever-changing business landscape. Our purpose is to instill confidence in a world of change, empowering our clients and people to realize their full potential.
RSM Canada LLP provides public accounting services and is the Canadian member firm of RSM International, a global network of independent assurance, tax and consulting firms with 64,000 people in 120 countries. RSM Canada Consulting LP provides consulting services and is an affiliate of RSM US LLP, a member firm of RSM International. For more information, visit rsmcanada.com.
SOURCE: RSM Canada via FleishmanHillard HighRoad
Tags: Artificial Intelligence (AI), RSM, survey