DataStax
While organisations are moving from demonstrations to proof of concept (POC) implementations, generative AI (GenAI) is progressing from an initial hype phase to a stage with practical applications. However, there is an emerging concern that a significant number of companies are becoming stuck in what may be described as a “use-case limbo.”
EY analysis reveals varying adoption rates across different enterprise types across India. Domestic enterprises have rolled out 15% to 20% of POCs into production, while Global Capability Centres (GCCs) have implemented 30% to 40%. This disparity highlights a more cautious approach by local enterprises compared to the swift capacity development of GCCs.
The “Use Case Limbo” Dilemma
While there are evident use cases for some GenAI technologies, such as support chatbots or document interaction tools, many companies cannot fully deploy them to achieve their value or potential for scaling. Hence, there is a degree of confusion, as several questions about the impact of GenAI on work, the measure of value it produces, and the opportunities and threats for the near future remain unanswered.
On one hand, the potential of GenAI—whether to summarise and sift or to automate—appears massive, as it is likely to save time and effort in tasks that are unnecessarily performed by humans. Furthermore, its ability to emulate human-like cognitive behaviour suggests it can fill a wide variety of roles, with trillions of dollars at stake in its innovation and implementation.
The result is an uncertainty that permeates all echelons of the company, manifesting in specific concerns across different roles:
- Employees wonder what GenAI means for their jobs.
- Executives consider its implications for value creation.
- CEOs and boards grapple with the extent to which GenAI shapes opportunities and threats.
These are not just pressing concerns; they reflect the growing anxieties across the organisation. As companies develop and deploy GenAI use cases—whether four, 14, or even 42—their ability to provide satisfactory answers to these concerns becomes increasingly pressing. What used to be the most honest answer, “Your guess is as good as mine,” has now become merely unhelpful.
To avoid “use case limbo,” companies can employ several strategies, such as:
- Leverage Strategy: Focus on using GenAI to save time and reduce toil.
- Knowledge Strategy: Improve existing business operations through GenAI implementation.
- Lighthouse Strategy: Proactively explore how GenAI can evolve or expand the business model.
In this approach, the challenge of “use case limbo” is broken down into its constituent parts to make it more manageable and is assigned to specific areas of responsibility.
Learning from Digital Transformation
The challenges of GenAI adoption mirror those faced during digital transformation efforts. The World Economic Forum noted that without clear direction, organisations risk getting stuck in “pilot purgatory” due to the breadth of possibilities and the variety of use cases and technologies. The same principle applies to GenAI, emphasising the need for a clear strategy to avoid “use case limbo.”
Some companies are already making significant moves beyond the limbo stage. Moderna aims to use ChatGPT Enterprise to automate nearly every business process, supporting its plan to launch 15 new products within five years. Verizon’s CEO, for instance, is organising their GenAI strategy around optimising processes, enhancing product experiences, and driving revenue growth.
Strategic GenAI Implementation
To avoid future regret and move past “use case limbo,” organisations should take a multifaceted approach.
It’s crucial to initiate conversations based on the unique contexts of employees, customers, and markets, rather than relying on generic use cases. To help GenAI unleash its revolutionary innovations, companies need to ensure proper execution.
Specifically, companies must engage their staff in actively driving the value dimensions that match their interests and skills or address their actual pain points. Second, employees must be assigned clear accountability for each of the three strategic areas, namely Knowledge, Leverage, and Lighthouse. Finally, companies need to incorporate appropriate metrics for attaining success in all three areas and consistently drive their development.
As a result, organisations will be able to benefit more from the opportunities that GenAI creates, as opposed to getting lost in the endless loop of pilot projects.
