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Most companies use AI for efficiency gains, not growth, EY-Parthenon survey finds
Most companies use AI to cut costs, not grow revenue, an EY-Parthenon survey of 271 U.S. executives found. Only 27-34% trust AI for high-stakes calls like pricing or M&A.
Most Companies Use AI to Cut Costs, Not Drive Growth
Corporate leaders overwhelmingly believe AI will accelerate growth, yet most organizations are still using it to optimize existing operations rather than fundamentally change how they generate revenue. According to a survey of 271 U.S. executives by EY-Parthenon, 78 percent say AI will drive growth. But only a third trust AI inputs for high-stakes decisions like pricing, product development, or merger evaluation.
This gap between ambition and execution is the defining challenge right now. All surveyed organizations changed their growth strategy in the past 12 months due to geopolitical volatility and technological disruption. Yet fewer than half of those growth initiatives are meeting expectations.
Efficiency vs. Revenue
Sixty-three percent of organizations deploy AI for productivity and cost reduction. Only 14 percent use it to stay ahead of competitors. Fewer than 10 percent apply it to new customer acquisition or revenue diversification.
The technology itself is no longer the bottleneck. Access to AI tools is widespread. The problem is deciding what to do with them.
Trust Remains the Real Barrier
Risk and compliance requirements (35 percent) and legacy technology (34 percent) are the most significant internal obstacles to meaningful AI deployment. But the deeper issue is trust in the data and governance behind AI recommendations.
Only 34 percent of executives trust AI for pricing decisions. Just 28 percent trust it for product development. For M&A evaluation, the number drops to 27 percent. Less than half strongly agree their organization knows how to leverage data and AI effectively for growth.
Trust depends on three things: having clean data, establishing clear governance, and ensuring the organization can align around AI-driven decisions.
Execution Now Separates Winners From the Rest
Strategy and market insight are no longer scarce. Most companies have access to sophisticated analytics and customer data. The constraint is the ability to execute quickly across the organization.
Forty-six percent of leaders report that fewer than half their growth initiatives met expectations over the past year. The failure rate points to an execution problem, not a planning problem.
AI can help by coordinating decisions across functions and optimizing trade-offs between pricing, demand, and capacity in real time. This allows companies to move from static quarterly planning cycles to continuous, adaptive execution.
Treating AI as a System, Not a Tool
Leading organizations are moving beyond isolated AI pilots. Instead of embedding AI in individual departments, they are connecting data, decisions, and workflows across the entire enterprise.
This systemic approach requires significant investment in data infrastructure, governance, and organizational alignment. But it enables faster response to market changes and more dynamic decision-making.
Companies that can align their organizations around AI-rather than simply deploying it-are the ones most likely to translate it into sustained growth.
For executives focused on strategy, the lesson is clear: the advantage is shifting from who has the best idea to who can execute on it most effectively across the organization. AI for Executives & Strategy and Data Analysis skills are becoming essential for turning AI ambition into actual business results.