Only one-third of Indian organisations have AI: study by Microsoft-IDC

The survey was conducted with 1,560 business decision makers in mid and large-sized organisations across 15 economies.

Only one-third of organisations in India have embarked on their AI journeys, and 77 percent of the business leaders agree that AI is instrumental for the organisation’s competitiveness, reveals a recent Microsoft-IDC survey ‘Future Ready Business: Assessing Asia Pacific’s Growth Potential Through AI'.

The survey was conducted with 1,560 business decision makers in mid and large-sized organisations across 15 economies. It surveyed 200 business leaders and 202 workers in India.

The findings were released by Dr. Rohini Srivathsa, National Technology Officer, Microsoft India and Ranganath Sadasiva, Director, Enterprise, IDC, in the presence of Girish Nayak, Chief – Service, Operations & Technology, ICICI Lombard General Insurance Company Ltd.

“Today, every company is a software company, and increasingly, every interaction is digital. To be successful in this new world, organisations need to be a fast adopter of best-in-class technology, and in addition to that, they need to build their own unique digital capabilities,” said Rohini.

“Economies and businesses that have yet to embark on their AI journey run a real risk of missing out on the competitive benefits that are enjoyed by leaders. Businesses must now embrace a new culture, where innovation and continuous learning are core components of the organisational culture. It sets the stage for agility, adaptability and growth,” she added.

The study found that by 2021, Artificial Intelligence will be more than double the rate of innovation at organisations (x2.2 times) and employee productivity (x2.3 times) in India. It said that in the last year, organisations that have adopted AI saw 8-22 percent improvement in those areas. It forecast further improvements of at least 2.1 times in three years with the biggest jump expected in higher margins, and higher competitiveness.


The study evaluated six dimensions critical to ensuring the success of a nation’s AI journey. According to the findings, India needs to build upon its investment, data, and strategy in order to accelerate its AI journey. The study also underlines the need for cultural changes and skilling and re-skilling workforces to make AI work for the country.

“To succeed in the AI race, India needs to substantially improve its readiness. Leaders should make AI a core part of their strategy and develop a learning agility culture. Investment in this transformative technology has to be continuous for the long-term success. There is an urgent need for talents and tools to develop, deploy, and monitor AI models, along with the availability of a robust data estate with the adequate governance,” according to Ranganath.

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