It is important to understand the arrangement between humans and machines in the conduct of AI projects. Specifically, it is useful to understand decision-making in organizations that deploy AI, the associated growth in headcount and retraining efforts, and the way competence is acquired due to introduction of AI in firms.

To evaluate the nature of the human-machine interaction for decision-making, the survey considered the following scenarios: lack of automation, decision support (system suggests; human decides and acts), consensual AI (human concurs with systems), monitored AI (human has veto) and full automation (no role of human).

Fig. 1 Role of Humans & AI in Projects

Nearly 70 percent of high-revenue firms rely on consensual AI, monitored AI and decision-support mechanisms for decision-making.

In medium sized firms, we observe that nearly 50 percent of the firms rely entirely on human decision-making as they do not use AI.

More than 40 percent of small and micro revenue firms use AI for decision support.

The advent of AI into commercial applications has brought about a shift in the competence acquisition for projects in firms. Such shifts could either require incorporation of fundamentally new concepts or principles in task execution, new skills which the firm did not possess, develop many new skills, learn from completely new or different knowledge bases, adopt different methods and procedures or carry out a high degree of re-training.

Fig. 2 Impact of AI/ML on Competence Acquisition

Over 70 percent of the respondents agree with each of these shifts in competence acquisition due to AI.

More than 80 percent of respondents from the survey have indicated that either the organization or more than one department in the organization stood to benefit with AI deployment.

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The AI Index is an initiative that focuses on monitoring the AI readiness and adoption patterns in India. This initiative is a work-in-progress and will be constantly evolving as we expand our data-sets and delve deeper into the world of AI.