For Canadian industries to capture the enormous benefits that artificial intelligence offers, Canadian executives must make dramatic shifts in their mindsets, strategies, and execution plans.
copyright by www.mckinsey.com
From high tech to retail, from mining to transportation, artificial intelligence (AI) is fast becoming one of the most promising forms of digital disruption. Early adopters are seeing real benefits that range from reducing operational costs by streamlining processes to building lucrative new AI-based businesses. And fast-followers are developing strategies to leverage AI opportunities while guarding against AI-driven competition from non-traditional sources.
Industry leaders are beginning to envision a future shaped by AI. The insurance sector is starting to think about how AI-guided autonomous vehicles will impact auto insurance as the number of accidents and private ownership declines. Forward-thinking retail companies are beginning to envision a time when AI’s predictive capabilities—fed by a torrent of consumer data—will become so accurate that products can be shipped before customers order them. Tomorrow’s leaders in the financial industry are preparing for an environment in which few products will be standardized, and offerings will be calibrated to individual needs, guided by AI-informed customer profiles.
These changes are coming, and all companies should be preparing themselves.
In Canada, which pioneered many foundational advances in deep learning research and possesses a rich AI talent base, the question confronting businesses is whether they can reap AI benefits commensurate with the nation’s historic academic leadership. Right now, big players such as Google, Facebook, and Microsoft are coming to Canada to leverage its deep talent pool. But will Canada’s pioneering AI history translate into accelerated technology advances in its own businesses?
To find out, McKinsey & Company surveyed 120 leading Canadian executives and interviewed 31 business leaders in depth. We found an encouraging amount of enthusiasm for AI—and a willingness to take even bolder actions to search for AI value. We uncovered valuable lessons from Canadian leaders that can be applied to other businesses that are struggling or have yet to embrace AI. However, we also found notable gaps in business leaders understanding of AI’s potential, and its impact on the value chain, which has manifested itself in a paucity of truly impactful initiatives. If Canada cannot mobilize aggressively to tap its wealth and talent, others will—and Canadian businesses will risk finding themselves at an enduring competitive disadvantage.
The report distills our findings and anecdotes into a series of targeted recommendations tailored to Canadian business leaders.
In Canada, which pioneered many foundational advances in deep learning research and possesses a rich AI talent base, the question confronting businesses is whether they can reap AI benefits commensurate with the nation’s historic academic leadership. Right now, big players such as Google, Facebook, and Microsoft are coming to Canada to leverage its deep talent pool. But will Canada’s pioneering AI history translate into accelerated technology advances in its own businesses?
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Our research uncovered three key gaps between Canada’s AI aspirations and activities:
- Strategy does not match expected impact. Although 89 percent of Canadian business leaders believe AI will create major, positive change within three to five years, only 34 percent have transformed their longer-term corporate strategies to position themselves appropriately to seize AI’s potential benefits.
- The basics of AI are not widely understood. Although 82 percent of survey respondents reported they currently use or invest in sophisticated AI applications—deep learning, reinforcement learning, neural networks—interviews revealed current use cases focus nearly entirely on traditional analytics—dashboards and statistics-based analysis.
- Current AI applications are not transformative. Most businesses that are currently exploring AI’s benefits often focus on a small number of non-core use cases. However, transformative, value-chain targeting experiments are often underutilized.
While these responses align with early stage AI maturity, Canadian business leaders need to accelerate their efforts to fully participate in this next digital revolution. […]
read more – copyright by www.mckinsey.com
For Canadian industries to capture the enormous benefits that artificial intelligence offers, Canadian executives must make dramatic shifts in their mindsets, strategies, and execution plans.
copyright by www.mckinsey.com
Industry leaders are beginning to envision a future shaped by AI. The insurance sector is starting to think about how AI-guided autonomous vehicles will impact auto insurance as the number of accidents and private ownership declines. Forward-thinking retail companies are beginning to envision a time when AI’s predictive capabilities—fed by a torrent of consumer data—will become so accurate that products can be shipped before customers order them. Tomorrow’s leaders in the financial industry are preparing for an environment in which few products will be standardized, and offerings will be calibrated to individual needs, guided by AI-informed customer profiles.
These changes are coming, and all companies should be preparing themselves.
In Canada, which pioneered many foundational advances in deep learning research and possesses a rich AI talent base, the question confronting businesses is whether they can reap AI benefits commensurate with the nation’s historic academic leadership. Right now, big players such as Google, Facebook, and Microsoft are coming to Canada to leverage its deep talent pool. But will Canada’s pioneering AI history translate into accelerated technology advances in its own businesses?
To find out, McKinsey & Company surveyed 120 leading Canadian executives and interviewed 31 business leaders in depth. We found an encouraging amount of enthusiasm for AI—and a willingness to take even bolder actions to search for AI value. We uncovered valuable lessons from Canadian leaders that can be applied to other businesses that are struggling or have yet to embrace AI. However, we also found notable gaps in business leaders understanding of AI’s potential, and its impact on the value chain, which has manifested itself in a paucity of truly impactful initiatives. If Canada cannot mobilize aggressively to tap its wealth and talent, others will—and Canadian businesses will risk finding themselves at an enduring competitive disadvantage.
The report distills our findings and anecdotes into a series of targeted recommendations tailored to Canadian business leaders.
In Canada, which pioneered many foundational advances in deep learning research and possesses a rich AI talent base, the question confronting businesses is whether they can reap AI benefits commensurate with the nation’s historic academic leadership. Right now, big players such as Google, Facebook, and Microsoft are coming to Canada to leverage its deep talent pool. But will Canada’s pioneering AI history translate into accelerated technology advances in its own businesses?
Thank you for reading this post, don't forget to subscribe to our AI NAVIGATOR!
Our research uncovered three key gaps between Canada’s AI aspirations and activities:
While these responses align with early stage AI maturity, Canadian business leaders need to accelerate their efforts to fully participate in this next digital revolution. […]
read more – copyright by www.mckinsey.com
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