KPMG says companies should appoint a dedicated leader to lead AI transformation

By: Trademagazin Date: 2024. 12. 09. 11:34

There is no question that the application of advanced technologies, including generative artificial intelligence (GenAI), is becoming an important breakthrough for economies and companies. Companies must therefore appoint a responsible leader who will take charge of tasks, transformations, and innovations related to artificial intelligence, KPMG states in its analysis.

To manage the AI transformation, more and more companies are creating a new leadership position: the CAIO (chief artificial intelligence officer). According to some research, about 11 percent of medium-sized and large American companies, including Morgan Stanley, Dell, local SAP, Levi’s, and KPMG LLP, have already appointed this leader or created an equivalent position. KPMG expects this trend to accelerate in the near future. The firm’s latest quarterly GenAI survey of U.S. companies with revenue of more than $1 billion found that 45 percent have hired or plan to hire a new leader in the next 12 months to oversee the adoption of AI into their business processes.

According to KPMG’s GenAI Pulse survey, 46 percent of companies expect GenAI to create new revenue streams and 54 percent expect new business models in the next 12 months. This will require dynamic shaping and evolving strategies across business areas and functions. Most companies don’t have the senior leaders who can manage a fast-paced, cross-functional, and disruptive phenomenon like this technology. So it may not be sustainable to continue to rely on the CEO to drive GenAI strategy—which is what 34 percent of companies are doing.