With nearly half (44%) of business leaders in the UK citing boosting efficiency and productivity as their top priority for the coming year, the reluctance to embrace technology risks slowing development among UK enterprises.
The data is revealed in the 2024 OneAdvanced ninth Annual Trends Report, which combines more than 6,000 senior executive voices from a cross-section of British businesses. It indicates that UK business leaders are grappling with the challenges around technological advancement in the face of their objectives to grow.
The study, conducted in September 2024, also showed that more businesses are juggling both cloud and on-premise (42%) this year than last year (36%).
Meanwhile, a significant majority (85%) of leaders recognise the tangible benefits that properly implemented AI solutions can bring, however, almost half (48%) haven’t attempted to integrate AI and two-fifths of those who have implemented AI projects have seen them fail.
Julian David, CEO of techUK, said: "Investing in digital transformation cannot be optional for British business success. Technology can drive growth and support key objectives such as cybersecurity and sustainability, so business leaders will be looking to their CTOs to guide them to the right choices.
"It is concerning that so many businesses are struggling to modernise their technology solutions and update legacy systems. Underinvestment in this area is holding back UK economic growth. Leaders in all sectors must grasp the opportunity to accelerate digital transformation and empower their employees with agile data-driven tools that can boost productivity and help their organisations thrive."
Andrew Henderson, CTO at OneAdvanced, said: “Business growth requires the right infrastructure and software services to be in place. It’s not at all surprising that so many leaders say that efficiency and productivity are their top priorities, but to find that so few are actively embracing the technology and services that will allow them to grow is quite astonishing.
“Cloud solutions are one example of where British businesses are lagging. Only a third of businesses are leveraging a complete cloud approach, and more businesses are juggling both cloud and on-premise this year than last year. This is a complex approach to systems management that prevents businesses from truly realising their growth potential.
“Meanwhile, slow uptake on AI projects – coupled with a high rate of failure – could put British businesses at a disadvantage on the global stage. Many businesses are currently implementing AI for fear of missing out rather than to address customer needs. Artificial intelligence has amazing potential to solve productivity concerns and elevate customer experience innovation, but without the proper adoption of cloud solutions and a lack of availability of reliable data, businesses will continue to find it hard to realise the full potential of AI tech.
“This is not a time for sitting back. If businesses are not moving, they are losing ground. They should experiment and then make practical investments in the technology, where aligned to clear customer outcomes. This will enable their growth plans to become a reality, boost the country’s knowledge and skills in this emerging area while supercharging the economy, cementing our place on the global business stage,” he added.
The report also revealed that 15% of business leaders are either unsure or lacking confidence in their current technology infrastructure fully supports their growth goals, with two-thirds (66%) saying that they have current plans to upgrade their digital systems.
