People First? How Israeli Companies Are Turning AI Doubts Into Business Advantages
As global tech giants invest billions in AI, Israeli companies are taking a different route. They balance skepticism about AI's accuracy and control with the need for efficiency, profitability, and growth. Their focus: developing strategic, people-centered AI solutions that fit their unique business needs.
AI promises significant improvements in process optimization and growth. But concerns remain—such as loss of control, privacy issues, complexity, and sometimes questionable AI judgment. Avi Tzdaka, CEO of Dr. LinkedIn, considers himself tech-savvy but avoids using AI for critical tasks like writing, research, messaging, or email summarization. He believes AI can’t consistently deliver the professional quality his business demands. Instead, he prefers hiring skilled copywriters and external vendors who don’t rely on AI, even if it costs more.
Such cautious attitudes are common. Over half of Israeli companies report challenges implementing AI. Data from S&P Global shows the rate of companies abandoning AI pilot projects has surged from 17% last year to 42% now. Meanwhile, consumer adoption of AI tools like ChatGPT keeps rising, with around 800 million weekly users. Big players like Google and Microsoft are investing heavily—up to 28% of their revenues—to push AI adoption, aware that companies ignoring AI risk falling behind.
In Israel, the Innovation Authority invested roughly NIS 7 million last year to attract foreign AI experts. The goal is to accelerate AI integration across organizations. Israeli tech companies are stepping up—not by forcing AI adoption, but by developing thoughtful, effective solutions tailored to each organization’s needs.
From Strategy to Execution
Elad Systems offers a unique workshop for executive leadership focused on turning AI capabilities into real business value. Their methodology identifies organizational challenges, opportunities, and barriers, helping match precise AI solutions to business needs. This approach is based on extensive experience from dozens of AI projects and deep knowledge across AI disciplines.
During the workshop, Elad’s experts collaborate with management to pinpoint success blockers and drivers, translating these into actionable AI milestones. The process supports strategic planning for digital transformation, data initiatives, and AI integration—all aimed at improving performance, enhancing service, and achieving operational savings.
Uzi Yaari, Elad Systems’ Chief Digital Officer, explains: “Our workshops, combined with implementation support, drive organizational agility and help realize clear business value.” Over the past year, many leading organizations have completed these workshops and are now advancing AI implementations, including Generative AI and Agentic AI solutions.
Where Is the World Heading?
Last year, Priority was acquired by Blackstone in a deal reportedly worth around $800 million. Serving about 75,000 customers in over 70 countries, Priority recently launched an AI platform integrated within its core enterprise management systems. This move reflects a growing trend: enterprise management systems evolving from infrastructure to engines of growth, efficiency, and intelligent risk management.
The new aiERP platform adapts to users by offering a personalized workspace powered by AI. It delivers smart recommendations to improve experiences, supports natural language queries, structured data searches, automation building, and business rule creation. It also uses AI for demand and sales forecasting. Priority’s AI-driven customer service includes a multilingual Q&A assistant that provides automated, optimal responses based on user history.
Priority Software CEO Sagive Greenspan says, “Bringing AI into ERP will significantly boost efficiency, profitability, and business agility for our users.”
Scoutt offers another example. This AI-powered platform builds global development teams by smartly matching developer profiles to project needs. Scoutt streamlines access to quality talent while saving time and costs. CEO Yair Rozilio notes, “When organizations see the process is fast, transparent, and high-quality, their fear of AI shifts to understanding it as a tool that strengthens teams through precise matching.” Scoutt not only addresses current tech challenges but also lowers future project failure rates by leveraging AI.
Despite ongoing doubts and challenges, successful AI adoption happens with people, not instead of them. When AI supports strategy rather than replacing it, results become measurable, intelligent, and sustainable. This is the direction companies are moving toward, and those already engaging thoughtfully with AI are staying ahead.
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