The Race for AI ROI: How Enterprise Productivity is Being Transformed

AI News & Trends 2025-11-04 18 min read By All About AI

IBM's groundbreaking "The Race for AI" report surveyed over 3,500 senior business leaders across 10 EMEA countries, revealing unprecedented insights into how Artificial Intelligence is transforming enterprise productivity. The findings paint a picture of rapid adoption, measurable returns, and sector-specific disparities that are reshaping the competitive landscape.

AI: The Greatest Productivity Force Multiplier in History

Artificial Intelligence is being hailed as the greatest force multiplier for productivity the world has ever witnessed. This designation isn't hyperbole—governments and businesses are backing this assessment with billions in investment, recognizing AI's potential to fundamentally alter the trajectory of economic growth.

The timing couldn't be more critical. Europe's productivity growth has remained stagnant, hovering below 1% throughout 2024. AI represents not just an incremental improvement, but a transformative opportunity to reverse this troubling trend. The numbers are staggering:

  • 3% annual boost in global productivity growth projected by 2030
  • $4 trillion in potential value addition to the global economy
  • $3.5 billion in measurable productivity gains achieved by IBM itself in just two years

🎯 Key Insight

IBM's own transformation story demonstrates that AI-driven productivity gains aren't theoretical—they're measurable, financially reportable, and achievable within a 2-year timeframe.

The Data: 66% Already Seeing Significant Impact

The research, conducted in partnership with Censuswide in September 2025, delivers compelling evidence of AI's current impact:

  • 66% of EMEA senior business leaders report AI has already delivered significant productivity improvements
  • Only 2% of respondents indicated they have yet to see or expect any meaningful impact within the next two years
  • 60% of organizations anticipate tangible returns on their AI investments in under 12 months
  • 92% of EMEA senior leaders are confident that AI agents and tools will deliver measurable ROI within two years

Where ROI Goals Have Already Been Met

Organizations are seeing concrete results across multiple dimensions:

Metric Achievement Rate
Employee Time Savings 25%
Financial Cost Savings 20%
Increased Revenue 22%
Enhanced Employee Satisfaction 23%
Improved Customer Satisfaction 21%

Strategic Priorities: Efficiency First, Then Innovation

When prioritizing AI investments, EMEA senior leaders focus on three key areas:

  1. Increasing Efficiency (51%) - The primary driver for half of all organizations
  2. Enhancing Decision-Making Capabilities (42%) - Leveraging AI for strategic insights
  3. IT Modernization (40%) - Building the foundation for AI-first operations

💡 Beyond Efficiency

For forward-thinking organizations, AI benefits extend far beyond simple efficiency gains. They're enabling businesses to augment human potential and accelerate innovation in ways previously impossible.

AI as a Strategic Enabler of Business Transformation

Operational Benefits

Organizations report tangible improvements across multiple operational dimensions:

  • 55% - Increased operational efficiency
  • 50% - Improved decision-making and knowledge-sharing
  • 48% - Augmented workforce capabilities

Business Model Transformation

The most progressive organizations are moving beyond incremental improvements:

  • 24% of leaders who reported significant productivity gains felt AI had fundamentally altered their business models
  • 78% of senior leaders are using or planning to use AI to speed up innovation cycles
  • 25% of EMEA business leaders seeing improvements identified "developing company strategy" as an area of greatest productivity gains

Strategic AI Applications

Organizations are deploying AI in transformative ways:

  • 76% are transitioning from linear value chains to AI-enabled platforms connecting multiple stakeholders
  • 79% are evolving from periodic risk assessments to continuous AI-powered monitoring

Sectoral Disparities: Winners and Laggards

While the overall outlook is positive, progress varies dramatically across sectors, revealing a concerning digital divide:

Sector Significant Gains Financial ROI 2-Year ROI Confidence
Banking & Financial Services 72% 26% 94%
Energy & Utilities 70% 26% 94%
EMEA Average 66% 20% 92%
Public Sector 55% 13% 86%

Banking & Financial Services: Leading the Charge

The financial sector is setting the pace with clear strategic priorities:

  • 52% prioritize increasing operational efficiency
  • 41% focus on enhancing risk mitigation and compliance
  • 72% already seeing significant productivity gains (vs. 66% EMEA average)
  • 26% achieving financial ROI (vs. 20% EMEA average)

Energy & Utilities: Matching Financial Services

Energy companies are keeping pace with strategic AI deployment:

  • 55% prioritize operational efficiency
  • 51% focus on enhancing decision-making
  • 70% reporting significant productivity gains
  • 26% achieving financial ROI

🏆 Real-World Success: Nedgia

A generative-AI contact center deployed by Nedgia in the Energy & Utilities sector cut waiting times dramatically by instantly resolving queries, freeing human agents for higher-value support tasks.

Public Sector: Struggling to Keep Pace

The public sector faces significant headwinds, with only 55% reporting productivity gains compared to 66% EMEA average. Key barriers include:

  • 70% - Inadequate data infrastructure or data fragmentation
  • 68% - Budget limitations
  • 66% - Talent or expertise shortage

Top Priority Areas for Public Sector:

  1. Increasing operational efficiency (55%)
  2. Enhancing risk mitigation and compliance (42%)
  3. Enhancing decision-making (41%)

⚠️ Growing Digital Divide

The 17-percentage-point gap between Banking/Energy (70-72%) and Public Sector (55%) in productivity gains represents a concerning disparity that could widen without targeted intervention.

Transforming the Workplace: Employee and Customer Impact

Augmenting the Workforce

AI and automation are fundamentally reshaping how employees spend their time, freeing them from routine tasks to focus on higher-value activities:

  • 39% - Driving innovation and new ideas
  • 36% - Strategic planning
  • 33% - Creative work

Importantly, over one in four (28%) respondents reported that AI is driving job creation, contradicting fears of widespread job displacement.

Enhancing Customer Experience

AI is transforming how organizations engage with customers:

  • 39% - Using virtual assistants
  • 38% - Fraud detection and prevention
  • 38% - Behavior prediction and analysis

Requirements for Scaling AI Successfully

Scaling AI across the enterprise demands more than great technology—it requires a comprehensive approach to governance, ethics, and operational flexibility.

Critical Success Factors

Enterprise leaders emphasize five key requirements:

  • 87% - Maintaining control over AI systems and data
  • 86% - Ability to govern AI systems for regulatory compliance
  • 85% - Flexibility to choose and adapt AI solutions as needs evolve
  • 85% - Ensuring technology operates ethically and responsibly

🔑 The Right-Sized AI Approach

Enterprises need efficient, cost-effective AI tailored for specific use cases, rather than generic, trillion-parameter models. Choice and interoperability matter more than raw model size.

Five Key Priorities to Accelerate AI ROI

1. Establish an Effective Operating Model for AI

Create a common, universally understood approach for AI transformation across the organization. This includes:

  • Clear roles and responsibilities
  • Standardized processes for AI development and deployment
  • Integration with existing business operations

2. Cultivate AI Literacy and a Culture of Innovation

Remove fear and build understanding of what AI is and is not. This ensures:

  • Tools add value when applied to the right areas
  • Employees can identify productive AI use cases
  • Innovation becomes embedded in organizational culture

3. Get Comfortable with Uncertainty and Rapid Change

Develop a culture that embraces constant change as AI becomes embedded in every interaction layer:

  • Iterative development approaches
  • Continuous learning and adaptation
  • Flexibility in strategic planning

4. Understand and Mitigate AI Deployment Risks

Apply AI governance tooling to monitor and mitigate risks such as:

  • Unwanted bias in decision-making
  • Data privacy violations
  • Regulatory non-compliance
  • Security vulnerabilities

5. Establish a Cross-Company "AI Board"

Create oversight mechanisms to ensure responsible AI deployment:

  • Define ethical principles
  • Review higher-risk AI use cases before implementation
  • Ensure alignment with organizational values
  • Monitor ongoing AI performance and impact

Key Takeaways for Business Leaders

📊 The Bottom Line

  • AI ROI is Real and Rapid: 60% of organizations expect tangible returns within 12 months
  • Sectoral Disparities Matter: Banking and Energy are outpacing other sectors by 15+ percentage points
  • Beyond Efficiency: 24% of high-performers report AI fundamentally altering business models
  • Choice Matters: 85-87% of leaders prioritize control, flexibility, and ethical governance
  • Job Creation, Not Destruction: 28% report AI is driving job creation

The Path Forward

The IBM EMEA Report makes clear that AI isn't a future possibility—it's a present reality delivering measurable value today. Organizations that establish the right governance frameworks, cultivate AI literacy, and maintain flexibility in their approach are positioning themselves to capture the full potential of this transformative technology.

The race for AI ROI is on, and the early leaders are already seeing returns. The question for every organization isn't whether to adopt AI, but how quickly and strategically they can scale it across their operations.

📚 Learn More

This article is based on IBM's "The Race for AI" EMEA Report, surveying over 3,500 senior business leaders across 10 countries in September 2025. For organizations looking to accelerate their AI journey, the report provides a roadmap grounded in real-world success stories and data-driven insights.

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