AI’s productivity promise: mind the value gap

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  • Insight
  • 2 minute read
  • February 12, 2025

44% of business leaders report workforce efficiency gains according to our 2025 CEO Survey, yet only 24% see profit impact.

David Lee

David Lee

Partner, PwC Ireland (Republic of)

To what extent did GenAI increase or decrease the following in your company in the last 12 months?

Source: PwC's 28th Annual Global CEO Survey

The first wave of enterprise AI adoption has revealed a telling disconnect: while 44% of organisations report workforce efficiency improvements, only 24% have translated this into increased profitability. This value gap emerges as a critical challenge as companies navigate their AI transformation journeys.

The data exposes a clear pattern in early AI implementation. While a significant portion of companies are seeing operational benefits — with 42% of executives citing personal productivity improvements — there’s a marked drop when it comes to financial outcomes. The fact that only 31% report revenue growth suggests that many organisations are still struggling to convert operational efficiencies into tangible business value.

To bridge this implementation-to-value gap, business leaders should focus on three key areas:

  1. First, establish clear pathways to monetise efficiency gains. This means identifying specific processes where AI-driven time savings can be redirected to revenue-generating activities. For example, when AI reduces report creation time by 50%, establish protocols to reinvest that time into client engagement or product innovation.
  2. Second, implement robust value-tracking mechanisms. Develop metrics that directly connect AI initiatives to financial outcomes. Track not just time saved, but the conversion of that efficiency into measurable business results, such as increased sales conversations, faster product development cycles or enhanced customer response times.
  3. Third, adopt a systematic approach to scaling proven AI solutions. Rather than pursuing widespread deployment, identify and replicate high-impact use cases where efficiency gains clearly translate to bottom-line growth. Prioritise initiatives that demonstrate direct profit contribution and ensure each expansion phase has clear value targets.

While AI shows promise in enhancing operational efficiency, capturing its full potential requires a more strategic approach to value creation. Success lies not just in implementing AI tools, but in fundamentally rethinking how these capabilities can drive profitable growth.

Organisations must therefore move beyond measuring tool adoption to focus on value realisation. Those who can successfully bridge this gap between efficiency gains and financial impact will be better positioned to lead in the next phase of AI transformation

CEO Survey 2025

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David Lee

David Lee

Partner, PwC Ireland (Republic of)

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