AI Investment Grows Amid Uncertain Returns, Rising Risks

Artificial intelligence continues to be a transformative yet complex force in business, with Forrester highlighting AI agents as a major emerging technology that offers significant opportunities but also risks due to their autonomous nature. Concentrix views AI, particularly generative AI, as a key growth catalyst and is investing strategically while managing financial goals and shareholder returns. Despite widespread AI investment, many companies struggle to achieve meaningful returns, as noted by analyst Gary Marcus, citing issues like lack of clear strategy and outdated infrastructure. Klarna's recent decision to rehire human staff after aggressively shifting to AI underscores customer resistance to bot interactions and operational challenges. Additionally, AI's role in third-party risk management presents efficiency gains but exposes serious governance and visibility gaps that organizations must address. Overall, AI adoption demands careful management of risks, clear governance frameworks, and alignment with human-centric outcomes to realize its potential effectively.