Everyone is talking about GenAI. Not just CIOs and business tech leaders. The CEO and the Board want to know what the company is doing to push the needle with GenAI, whether it’s to boost productivity, identify new business models, better understand and respond to customer sentiment and behavior and/or to utilize insights to reinvent Go-to-Market models. Business leaders and members of the SLT also want to know how GenAI can be used to help them and their teams meet their strategic goals.
Demand for GenAI services is fierce. Case in point: In Microsoft’s earnings report on Thursday, company officials said capital expenditures have risen 79% from a year earlier to $14 billion. The company is spending faster than it’s increasing revenue, which grew 17% in its latest quarter, according to CNBC.
But even with that boost in capital expenditures, demand for data center infrastructure to deploy AI models is currently outstripping Microsoft’s supply, at least in the short-term, according to Microsoft CFO Amy Hood who spoke on the earnings call.
One Chairperson & CEO who has been vocal about the transformational potential of GenAI is Jamie Dimon at JPMorgan Chase & Co. A few weeks ago, Dimon compared the potential impact of AI to other critical innovations in world history, including the steam engine, electricity, computing and the internet, according to a recent Business Insider article.
In his annual letter to shareholders, while the bank doesn’t yet know the full impact that AI will have on its business, he believes it will have “extraordinary” consequences.
“Since the firm first started using AI over a decade ago, and its first mention in my 2017 letter to shareholders, we have grown our AI organization materially. It now includes more than 2,000 AI/machine learning (ML) experts and data scientists,” Dimon said in the letter.
JPMorgan Chase is using AI across more than 400 specific cases including marketing, fraud and risk. Dimon said the bank’s also exploring how generative AI can be applied to fields such as customer service and operations as well as software engineering, according to Business Insider.
If a visionary global leader such as Jamie Dimon can see the rich potential that AI can offer across a wide spectrum of use cases, it’s high time for CIOs and business tech leaders who haven’t already done so to step up their communications on these opportunities with the CEO and the Board.
Unlocking the Transformational Power of GenAI
Several HMG CIOs and business tech leaders have told us that rather than focusing on the most common productivity-focused use cases, they try to convey to the CEO, to the Board and the SLT different ways that AI can transform the business, reinvent the customer experience and generate insights on market conditions ahead of competitors who are behind in these efforts.
This includes identifying the company’s strategic goals and business opportunities and working backwards to applying data, AI and machine learning to help address these issues. And applying GenAI tools to analyze analyst reports, news, research, and social media to identify patterns, events and opportunities that might otherwise slip by.
As HMG Strategy Founder and CEO Hunter Muller has shared repeatedly with the HMG community, this is a seminal moment for CIOs and business technology executives. “This is not a time to be on the sidelines. GenAI represents an incredible opportunity for business tech leaders to step up with bold, visionary leadership and to guide other senior stakeholders through the art of the possible — to reimagine and reinvent the business and create fresh Go-to-Market models.”
In our discussions with CIOs, CISOs, CDOs, CTOs and business technology leaders at our CIO & CISO Executive Leadership Summits, our Global CIO & CISO Executive Leadership Alliance (CELA) gatherings, our regional advisory board meetings and other forums, we discuss a variety of issues surrounding the use of Generative AI. Beyond dialogue surrounding use cases and applications, the discussions often veer to governance, privacy and security issues surrounding AI initiatives. We also talk about third-party AI services and Large Language Models (LLMs) that are ready for prime time and what separates those from others that aren’t.
We’ll be diving into these topics throughout the course of our upcoming 16th Annual New Jersey C-Level Technology Leadership Summit on May 23. Click here for more information about the world-class speakers and content and to register for the event.
We’ll also be exploring effective techniques for keeping organizational data properly safeguarded along with the role that the company’s cybersecurity team can and should play in these initiatives at our 8th Annual NY CISO & Technology Leadership Summit at The Harvard Club of New York on June 11. Click here to learn more and to get involved.
Be sure to share your comments below as we encourage an interactive exchange on these issues to share our collective wisdom and advice for fellow business tech leaders on the promise and challenges associated with leveraging GenAI. After all, the answers aren’t necessarily in the room – they lie within our 500,000-member-strong global community of world-class business technology leaders.
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