As organizations navigate the transformative potential of Generative AI (GenAI), a recent KPMG survey reveals that while many business leaders are doubling down on AI investments, significant challenges, including data quality and employee adoption, could hinder progress. The KPMG AI Quarterly Pulse Survey gathered insights from 100 U.S.-based executives representing firms with annual revenues of $1 billion or more, uncovering key trends shaping the AI landscape.
AI Set to Transform Businesses by 2027
According to the survey, 67% of leaders expect AI to fundamentally reshape their businesses within two years, reflecting widespread optimism about the technology’s transformative potential. However, only 12% of organizations are currently deploying AI agents, despite more than half (51%) exploring their use. Leaders anticipate utilizing AI agents for administrative duties (60%), call center tasks (54%), and creating business materials (53%) in the next year.
As enterprise technology providers enhance agentic AI capabilities, 2025 is projected to mark a shift from experimentation to full-scale deployment, particularly in sectors prioritizing automation, productivity, and customer interaction.
Data Quality and Employee Adoption Remain Key Challenges
While the enthusiasm for AI is clear, 85% of leaders cited data quality as the biggest obstacle to AI strategies in 2025, followed by data privacy and cybersecurity (71%) and employee adoption (46%). Despite these concerns, most organizations are prioritizing new technology purchases and hiring over workforce training, potentially widening gaps in employee readiness and organizational efficiency.
The survey highlights that adoption challenges are compounded by governance disparities. While 71% of C-suite executives use GenAI tools, only 15% of entry-level employees report doing the same. Furthermore, companies plan to include AI in performance development tracks, with 81% of leaders aiming to implement this practice, though only 24% of employees currently interact with AI within existing workflows on a weekly basis.
Pressure to Demonstrate ROI Grows
Investors are increasingly focused on the financial returns of AI initiatives, with 68% of executives identifying ROI as a priority. However, measuring success remains elusive. Only 31% of leaders believe they will be able to measure GenAI ROI within the next six months, and none have fully achieved this yet.
Productivity emerged as the top ROI metric for the first time since early 2024, with profitability following closely. This shift indicates that organizations are placing greater emphasis on tangible business outcomes as they allocate resources to AI projects.
Scaling AI Across the Enterprise
With half of the organizations scaling GenAI technology—up from just 10% six months ago—the focus is shifting to broad enterprise integration. Scalability and performance are top priorities when selecting AI providers (66%), followed by technical expertise (61%).
Key insights include:
- AI-driven productivity tools: 54% of organizations report weekly usage of GenAI productivity tools.
- Enhanced oversight: Dynamic monitoring and traceability of AI models are expected to streamline adoption and address governance gaps.
- Increased representation: While only 7% of organizations currently have board members with GenAI expertise, 91% plan to appoint such members.
Future Outlook for GenAI Implementation
The survey reflects cautious optimism for the coming year, with organizations looking to strike a balance between innovation and practicality. Leaders are encouraged to focus on defining metrics aligned with broader business strategies and addressing potential risks, particularly in cybersecurity, privacy, and ethical AI deployment.
As businesses scale their AI initiatives, fostering cross-functional collaboration and embedding AI seamlessly into workflows will be critical to achieving sustainable growth and meeting investor expectations.
About KPMG LLP
KPMG LLP is the U.S. member firm of the global KPMG network, providing services in audit, tax, and advisory domains. Operating in 142 countries, KPMG employs over 275,000 professionals worldwide. With a commitment to innovation, inclusion, and community service, KPMG continues to lead in helping organizations navigate a rapidly evolving technological landscape.
