UAE businesses are prioritising AI adoption
According to ServiceNow research
According to a new AI Maturity Index Report by ServiceNow, in collaboration with Oxford Economics, businesses in the United Arab Emirates (UAE) are making significant strides toward AI adoption.
The report reveals a widespread commitment to artificial intelligence (AI) as a key driver of business transformation. Over 80% of companies have a clear, shared vision for their role.
A remarkable 71% of surveyed companies in the UAE report that their C-suite executives are fully dedicated to leveraging AI for organisational transformation. Moreover, 81% of businesses say they operate with a clear, unified vision regarding AI’s role in the enterprise.
Additionally, 60% of companies have appointed a designated AI leader, such as a Chief AI Officer, to oversee their AI strategies and ensure successful implementation. These results demonstrate strong leadership commitment and foresight.
In line with these developments, the survey also found that 77% of businesses have increased their AI budgets yearly, reflecting a robust investment trend in AI technologies. This increased funding is enabling companies to develop and implement AI solutions across various aspects of their operations.
When measuring AI success, nearly a quarter (23%) of respondents highlighted productivity increases as the primary metric for evaluating AI solutions’ return on investment (ROI). This focus on productivity is reflected in the areas where businesses deploy AI technologies.
Over half (53%) of respondents leverage AI for data-related tasks such as cleaning, management, integration, visualisation, and transformation. Other popular use cases include performance management (44%), resource utilisation (43%), and sales-related tasks like lead generation and marketing (43%).
Despite these investments, the report reveals that many businesses are still in the early stages of AI maturity. While all organisations report some level of AI capability, only 15% are innovating and transforming their businesses with AI.
Most (44%) are still in the experimental phase, 31% operationalise AI, and 12% assess its potential. However, the report suggests that, given the ongoing commitment to AI, organisations in the UAE are expected to advance through these stages and rapidly mature their AI capabilities.
Interestingly, UAE businesses are already experiencing tangible returns on their AI investments, even though many are not yet fully mature. Around 65% of enterprises report at least some ROI regarding increased efficiency or productivity, and 24% have seen ROI more significant than 15%.
William O’Neill, Area Vice President for UAE at ServiceNow, an AI platform for business transformation, noted: “AI has made a bigger splash since GenAI emerged. The real power of AI is in carefully selected use cases, and UAE businesses are leading in this regard. AI is now advanced enough to reshape work across departments, from payroll and procurement to employee requests, customer queries, and content creation.”
As the UAE continues to lead in technological innovation, the report shows that businesses are also building the necessary skills to execute their AI strategies. More than three-quarters (76%) of respondents feel their current employees possess the right mix of skills to implement AI.
In comparison, 65% have cultivated a culture where teams can work independently to identify AI-driven solutions. Additionally, 55% of companies host AI learning events, and 45% have developed training programmes to upskill and reskill employees.
Hero image: Many businesses in the UAE are still in the early stages of AI maturity. Credit: Rahul Pandit
