IBM: CEO Of Indonesia Boosts AI Adoption, But Large-Scale Implementation Is Still Limited

Illustration of artificial intelligence (photo: Ministry of Immigration and Corrections)

JAKARTA - The latest study from the IBM Institute for Business Value conducted on 2,000 CEOs globally, found that they are committed to expanding the implementation of AI solutions across organizations.

In fact, 61% of CEOs also confirmed that they are currently actively adopting AI agents and are preparing to implement them on a large scale.

In Indonesia alone, 77% of CEOs view integrated data architecture across companies as a crucial factor to encourage cross-function collaboration.

Meanwhile, 67% consider internal organizational data as the key to maximizing the benefits of AI's generating technology (GenAI).

"Companies in Indonesia have closely followed AI's trends and innovations while still balancing the needs of stakeholders," said Juvanus Tjandra, Managing Partner of IBM Consulting Indonesia.

However, talent readiness remains a major concern. As many as 35% of CEOs believe that Indonesian workers need retraining or skills development in the next three years.

"The use of AI supported by the company's internal data, as well as the improvement of existing talent skills can be a competitive advantage that competitors find difficult to emulate," added Juvanus.

According to him, the time to experiment has been over. Now, he emphasized, organizations in Indonesia have the opportunity to invest in AI to encourage efficiency and increase productivity.

However, there are still challenges that need to be overcome. As many as 73% of Indonesian CEOs admit that they are encouraged to invest in several technologies before having a clear understanding of their benefits.

As a result, only 27% of the AI initiatives have been successful in providing the expected return on investment (ROI) in recent years. In fact, only 15% have been successfully implemented thoroughly across the company.