in Business
Today & Tomorrow
executive summary
Artificial Intelligence (AI) growth has led to widespread speculation about the opportunities and limits of the novel technology. What was once science fiction is becoming reality, as more headlines boast new innovations in AI that can maximize efficiency and lead to greater return on investment (ROI).
This evolution has, of course, led to varying sentiment. While many look to the benefits the technology can bring, others grow concerned. To assess the sentiment surrounding the recent growth of AI use cases and the associated speculation, SAX LLP – a top 100 accounting, tax, and advisory firm – conducted a survey, generating insight from business leaders across various industries to identify some of the biggest risks and opportunities presented by the AI evolution. The results show that while corporate decision-makers are generally eager to adopt AI, it’s not yet seen as miraculous as technology developers position it. Certain aspects must be addressed for AI to reach its potential and ensure that its adoption doesn’t create more problems than it solves.
While AI may not currently be the silver bullet for businesses, leaders expect the technology evolution to significantly impact operations over time. In our view, if companies fail to integrate it effectively, they risk losing competitive advantages that could impact growth opportunities.”
—Robert Owen, Chief Information Officer, SAX Technology Advisors
Job Security Concerns Aren’t Slowing AI Investment
Perhaps one of the most common concerns among the general public is the potential for AI to replace human jobs. However, many decision-makers in the business community do not share the same sentiment. While 73% of business leaders expressed some level of concern at this prospect, they are more worried about security and privacy concerns and reliability. Thirty-eight percent (38%) of respondents cite security and privacy as the biggest risk associated with AI, while 21% said reliability. The risk of replacing human jobs trailed both, with about 21% selecting this answer.
Despite mild concerns, most business leaders surveyed expect to expand AI use near-term with a quick financial return. Nearly 70% of respondents expect their businesses to increase investment into AI over the next 5 years, with about 7% expecting no investment and less than 1% expecting their business to actually reduce AI use. Fourteen percent (14%) of those surveyed reported being unsure about how their investment into AI would change in the next 5 years, suggesting they want to do more research and assess its potential benefits. (CONT.)
Immediate Benefits in Multiple Industries
Along with the increased investment, nearly half of business leaders suggest that implementing AI would be “immediately beneficial” for their business. Half of respondents weren’t sure how it would benefit, but only 5% said that their business will actually face negative effects from AI implementation. This suggests that many business leaders are aware of not only what aspects of their business would be affected, but also whether this impact would be positive or negative.
When asked which industries are likely to benefit most from AI, Technology was the obvious choice, securing 64% of responses. Healthcare and Banking & Finance followed closely, both with 58%. As for the specific areas of their businesses that would see the most improvement from AI implementation, corporate leaders chose Market Research most often (52%), followed by Content Creation (45%) and Competitor Analysis (44%). Forty-two percent (42%) of corporate leaders selected Accounting/Financial services, followed by 39% choosing Outbound Email Campaigns. Because the most chosen services are among those that can be considered supplementary to most businesses, respondents appear to be of the mindset that AI will help take care of certain tasks so that they can focus on the central aspects of their organizations.
AI Will Be Especially Beneficial for Accounting and Financial Services
Based on the responses, use of the technology alone likely won’t win any new business. Sixtynine percent (69%) of respondents declared that their opinions of a company are unaffected by said company’s use of AI. While 16% said they’d be more likely to do business with a company that uses the technology, 15% said they’d be less likely to do so, meaning there’s no clear answer based on response data.
However, opinions are markedly different specifically for Accounting and Financial Services firms. Though 59% of business leaders said their opinion of an accounting/financial services firm is unaffected by its use of AI, nearly a third (29%) said their opinion would improve. Only 12% of those surveyed said their opinion would worsen upon learning that an accounting/financial services firm uses AI. So, the use of AI can improve perception when it’s an Accounting firm. This is also supported by the fact that Banking and Finance represented the third-most chosen industry that respondents believed would benefit most from AI, and Accounting/Financial Services ranked fourth among job functions and services.
As a result, there is an expectation for accounting businesses to implement AI. According to the results, 75% of corporate leaders would like to see more AI in the accounting/financial services industry, with 96% expecting more widespread AI use in that field over the next 5-10 years. Based on these responses, it can be determined that while business leaders aren’t quite sure how much AI will benefit businesses as a whole, they know it will positively impact accounting firms. It also indicates such businesses are in the spotlight and risk falling behind to competition if they let the AI train pass by.
AI Experience Seen as a Valuable Skill
While many who stay on top of industry trends likely have a general knowledge of recent AI developments, they may not have demonstrated experience using the technology. SAX’s survey found, however, that most business leaders (70%) do have some experience with it. Of those 70% who have demonstrated experience with AI, nearly half (48%) have used it for personal AND professional reasons. As for the remaining corporate leaders, 20% said they’ve used AI exclusively for professional purposes, and 32% said they used it for personal/entertainment purposes only.
Along with the leaders themselves being familiar with using the technology, they also view experience with it as a plus when assessing prospective employees. When progressing through the hiring stage, 84% of business leaders said that demonstrated AI experience would be valuable to some extent. Forty-three percent (43%) find it to be somewhat valuable, with 31% saying moderately valuable and 26% going as far as to say it would be very valuable. With its widespread availability, as well as the expectation that use of AI will increase in the near future, having some AI experience can be a useful asset for securing a new job, as many corporate leaders are growing to expect the evolving workforce to possess more knowledge of it.
Despite AI Optimism, Many Still Look to Government Regulation
Especially with recent developments in the technology, much of the discourse surrounding AI has focused on how big a role – if any – the government should have in enabling or limiting AI. SAX’s survey revealed that most business leaders would like the government to step in, with 69% saying that there should be more government regulation of AI. Only 4% say there should be less government regulation and 4% believe there should be no government regulation. Additionally, only 3% are satisfied with the current state of government regulation.
While there’s overwhelming support for added regulation, more than a quarter of business leaders (26%) still weren’t sure about the state of government regulation of AI. Given most corporate leaders have experience with various forms of AI, the uncertainty could be grounded in concern. The landscape is constantly evolving, making government intervention increasingly difficult. The business leaders who are not sure about the current state of regulation are likely conflicted between the benefit AI can yield and the risks it could bring.
Age and Gender Play a Role in AI Opinions
In some cases, the attitudes toward AI differ significantly across gender lines. One common theme found is that female business leaders don’t appear as optimistic about AI as their male counterparts. While male business leaders placed replacing human jobs as their thirdbiggest concern with AI, behind security and reliability, females put it at the top of the list. Females were also less likely to think that AI would immediately help their business, with only 24% saying so compared to 53% of males. Data also suggest that female-led businesses will be less reliant on AI, as only 24% of female corporate leaders expect to increase their investment into the technology over the next five years, while 53% of male business leaders said so.
Age also plays a role in a business leader’s attitudes toward AI. Of the business leaders surveyed, Baby Boomers (ages 59-77) were most likely to cite security as the biggest risk of AI with 33% saying so, compared to 19% of Gen X (ages 43-58) and 24% of Millennials (ages 2742). On the other hand, Millennials were more concerned with replacing human jobs, with 34% putting it at the top of the list, while 22% of Gen X and 14% of Baby Boomers did so.
Finger on the Pulse of Technology
Part of providing unparalleled accounting, tax and advisory service involves understanding the ever-changing technological landscape. For SAX LLP, this means keeping up with various trends across all businesses to better support our diverse roster of clients. With AI and its myriad strengths and drawbacks being one of the biggest trends, identifying the specific preferences, expectations and concerns will ultimately lead to more informed decisions and guidance to help all businesses implement the best tools to achieve sustained growth and financial stability.
KEY TAKEAWAY KEY TAKEAWAY
After Tech, business leaders expect AI to benefit Healthcare, Banking, & Logistics.
Despite apparent concerns of AI replacing human jobs, business leaders see security & privacy as bigger risks.
“Which of the following industries do you think could benefit significantly from increased implementation of AI?”
Nearly three-quarters of business leaders (73%) are at least somewhat concerned with AI replacing human jobs in their industry.
Business leaders expect to increase AI investment; see quick ROI. Market Research is seen as the biggest reason to utilize AI technology.
Almost
Nearly 7 in 10 business
KEY TAKEAWAY
Use of AI alone won’t do much to improve brand perception…unless you’re an accounting/financial services firm.
Accounting/Financial Services expected to be significantly impacted by AI.
Business leaders are on the fence about a company’s use of AI. of
years. “
Nearly 3 in 4 of corporate leaders would like to see more use of AI in the accounting/financial services industry.
TAKEAWAY
Business leaders overwhelmingly support government regulation of AI. Business leaders are no strangers to AI; expect employees to be the same.
When
“There
Of those who have some level of experience with AI: Of those: 70% 84% of corporate leaders have used AI for various purposes. of
Female business
leaders are more concerned with
AI replacing
jobs. Males are more optimistic about AI’s benefits.
Which of the following do you believe to be the biggest risk with AI in your industry/workplace?
Only 24% of female business leaders said so.
of male business leaders said AI would immediately benefit their business.
More than three-quarters of male business leaders expect their businesses’ investment into AI to increase over the next five years.
Less than half of female business leaders do.
Businesses and job applicants with AI knowledge (or experience) are more likely to impress male business leaders.
81% of male business leaders would like to see more use of AI in the accounting/financial services industry.
of male business leaders said their opinion of an accounting/financial services business would improve upon learning that they use AI. Only 18% of female business leaders said so. 27% of female business leaders view demonstrated experience with AI as not valuable at all for prospective employees.
24% of female business leaders would be less likely to do business with a company that uses AI. Only 59% of
Only 10% of males said so.
with
while
replacing
“
leaders are most
Starting in February 2024, SAX LLP surveyed 220 business leaders from various industries to assess their current attitudes toward the current state of Artificial Intelligence (AI), as well as their predictions for the future of the technology in the business world. Questions included but were not limited to those that pertained to each respondent’s personal experience with AI, expectations for how it would help their business, predictions for how much it would be leveraged over the next five years, as well as the biggest risks and concerns with widespread implementation. Respondents were gathered through SAX LLP’s database, and the survey was distributed by email via SurveyMonkey.
METHODOLOGY
Age Breakdown of Respondents:
18-26: 4%
27-42: 20%
43-58: 31%
59-77: 44%
78+: 1%
Gender Breakdown of Respondents:
Male: 71%
Female: 26%
Rather not say: 3%
