Covering Disruptive Technology Powering Business in The Digital Age

Written by: Khairul Haqeem, Journalist, AOPG.

The dawn of an era characterised by technological modernisation has Artificial Intelligence (AI) firmly in the spotlight as a transformative force. This message was relayed unequivocally during a recent media roundtable by Catherine Lian, IBM Malaysia’s Managing Director and Technology Leader, at their office in Petaling Jaya. Catherine urged the urgency of embracing generative AI, stressing the monumental opportunity we’re faced with as this technology matures.

According to IBM’s 2023 CEO Study, generative AI is set to be a game changer in the decision-making landscape, with CEOs across ASEAN, including Malaysia, considering its integration into their business strategy. However, these potential advancements come with their own set of complications, notably data integrity and organisational readiness. The stage is set for an in-depth exploration of AI’s transformative potential and challenges, marking the onset of an era where AI-driven business solutions will drive competition and innovation.

Harnessing the Winds of AI: A Competitive Edge

The fundamental driver behind embracing AI, according to the CEO’s study, is the enormous competitive advantage it offers. Catherine made it clear: “75% of CEOs surveyed believe the organisation with the most advanced generative AI will have a competitive advantage.” The competitive edge here isn’t just a marginal improvement; it’s a defining leap that could separate industry leaders from the rest.

“In many ways,” Catherine noted, “one of the most critical decisions CEOs face right now is whether and how to use AI—in their own decision-making and throughout their enterprises.” With half the CEOs already integrating generative AI into their products and services, it’s clear that AI isn’t just the future—it’s the present. However, this AI-driven gold rush does come with its share of complexities.

Data is the New Oil: Handling the New Currency

As we grow fonder of AI, data becomes the lifeblood that propels the entire machinery. When CEOs grapple with the adoption of generative AI, their foremost concern is data. Catherine underscored the gravity of this challenge: “Without trusted, reliable data, even the best AI will deliver faulty or biased results.” Essentially, CEOs are finding themselves in a world where data governance is not merely an option—it’s a necessity.

Organisations are not blind to this reality. Still, they often find themselves tangled in the intricacies of building a comprehensive data governance framework. As Catherine poignantly puts it, “This siloed approach to data management limits the ability to gain a holistic view of business operations and seamless data harmonisation, thereby impeding efficient decision-making.”

Regulations: The Necessary Brakes on the AI Speedway

Of course, with AI’s immense power comes greater responsibility and inevitable governance. The Southeast Asia region, like many others, is bracing itself for the regulatory challenges that come with generative AI adoption. According to the study, regulations and compliance constraints are already on the minds of 53% of CEOs.

Catherine shared her insight, “AI has brought a new frontier of opportunities, but it also presents new ethical, societal, and regulatory challenges that need to be addressed. For organisations in ASEAN, this is not a distant future concern. It’s something that needs attention today.”

From AI Addition to AI Foundations: The CEO Playbook

IBM’s study sheds light on the shifting mindset of CEOs moving from ‘adding AI’ to ‘starting with AI.’ Catherine explains, “The focus now is to integrate AI deeply and responsibly within the organisation. This involves making everyone smart on tech and data, ensuring data works for you, and eliminating layers between the data source and the decision-maker.” The playbook doesn’t stop there, with strategies focusing on talent, technology, and ecosystem partnerships, all geared towards empowering a successful transition to AI.

Embracing generative AI may present a formidable challenge, but as Catherine reminds us, it’s also “the opportunity of a lifetime.” As we usher in this new era of AI, organisations must navigate data governance challenges and gear up for an AI-integrated future, where technology doesn’t just aid decision-making—it defines it.

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