Posted on 12/30/2025 3:44:07 AM PST by RoosterRedux
BCG’s latest research provides empirical proof that for a small number of companies AI is delivering significant bottom-line value in the form of revenue and cash flow increases and process and workflow improvements.
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The difference is that the top 5% of companies, which we call future-built, have put in place the critical capabilities needed to make AI work at the level of innovation and reinvention as well as to boost efficiencies. Not only are these companies outperforming the competition, but they have also opened a value gap and are pulling further ahead as they reinvest the proceeds from their earlier success in new capabilities, tools, and innovations. Future-built companies are achieving a transformative effect on value creation by catalyzing better decisions and faster and more efficient actions, targeting step changes that go far beyond what is possible from automation and productivity increases.
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Much of this value is concentrated in core business functions, such as R&D, sales and marketing, and manufacturing, as well as in IT, where the expected value potential in multiple areas increased substantially over expectations in our 2024 report, "Where’s the Value in AI? The biggest value comes from client-related functions and IT."
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Future-built firms have adopted an AI-first approach and installed and achieved organizational buy-in for an AI-first operating model that combines strong leadership with decentralized execution and shared ownership between business and IT. They are moving toward hybrid workflows based on human–AI collaboration supported by necessary upskilling, governance guardrails, and partnerships. They aggressively source or train the talent they need, now and for the future, especially through broad-based upskilling of current staff (more than 50% of the internal workforce).
(Excerpt) Read more at media-publications.bcg.com ...
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A.I. is only profitable because governments are throwing gobs of money at it so they have a platform to control society.
It’s a classic example of something no one asked for being hyped as the best thing since sliced bread.
I get the skepticism on hype and government involvement, but the BCG report (based on 1,800+ execs) shows the opposite: 75% of leaders rank AI a top-3 priority for real business gains—cost savings, revenue, productivity—from private-sector demand, not subsidies.
Top firms are already seeing 2.1x higher ROI by redesigning workflows. The ‘impact gap’ is about execution, not lack of voluntary enterprise investment (many planning $25M+ spends).Surveillance risks are valid, but profitability here is mostly bottom-line driven.
What part of the report seems off to you?
Wait till the lawsuits from chatgpt causing teen deaths and the question of paying out for their use of Intellectual property without paying for it are answered. Then see how much profit is left for investors.
There is not enough solar, wind, and transmission capacity to electrify everything.
This great leap forward for the Climate needs a lot of silver in the hardware.
Now, we find out there is not enough physical silver for the old plus emerging industries
Oh, and all the fancy munitions require lots of silver.
When they explode, the silver inside vapourizes and is never reclaimed and reused
That: ‘Top firms are already seeing 2.1x higher ROI by redesigning workflows.’
‘Top firms’ have rarely been able to account for causes in ROI but now it’s due to ‘AI improved workflows’ at an exact increase of 210%’.
Total fabrication. Make sure you go all in on your AI investments.
IMHO redesigning workflows is probably helpful whether or not AI is the motivation. We’ve all worked for companies/departments that operated inefficiently “because that’s how we’ve always done it”. And the workers always complained about the inefficient processes, then they complained when a new manager tried to improve the workflow. One thing AI brings to the table is that it brings a fear of being left behind, thus it encourages workflow improvement.
A.I. is only profitable because governments are throwing gobs of money at it so they have a platform to control society.
It’s a classic example of something no one asked for being hyped as the best thing since sliced bread.
........
Welcome to the next payola racket. It’s the new solar panel windmill game.
RR I have never run into a corporate type who didn’t run with the latest.... saying it’s the greatest. Has to justify all the buzzwords and monies spent. Enterprise?
What else would he/she have?
I wouldn’t call it a total fabrication, but you’re spot-on to be skeptical.
The 2.1x comes straight from what the C-suite respondents expect to see—not measured outcomes or audited financials. Classic survey optimism.
Yup. Agreed.
“A.I. is only profitable because governments are throwing gobs of money at it so they have a platform to control society.
It’s a classic example of something no one asked for being hyped as the best thing since sliced bread.”
I am retired. I use AI everyday. It provides something I have always wanted.
Don’t knock it till you try it.
“Don’t knock it till you try it.”
I think I’ll stick with my Magic 8 ball. It seems to have the correct answers also.
“Welcome to the next payola racket. It’s the new solar panel windmill game.”
Not at all.
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