New Global Report: Executive Insights on AI Strategy, Risks, and Readiness

Why It Matters

The findings highlight a widening competitive divide and escalating risk exposure, urging risk leaders to embed AI governance into enterprise risk frameworks.

Key Takeaways

• 73% early adopters claim AI delivers strategic advantage
• Only 24‑27% have adequate AI talent, IT, or regulatory readiness
• 46% view AI as top‑10 risk; 69% among AI‑mature firms
• Emerging markets show 36‑42% AI adoption, higher than West
• Financial services fear competitor outpacing via AI (33%)

Pulse Analysis

The ERM Initiative, together with AICPA & CIMA, has produced one of the most comprehensive snapshots of executive sentiment on artificial intelligence to date. Drawing on responses from 1,735 senior leaders across eight global regions and eight industry sectors, the study quantifies both the upside and the emerging downside of AI deployment. It confirms that adoption is accelerating, especially among early‑adopter firms that already report measurable strategic gains. At the same time, the data reveal pronounced regional variation, with emerging economies outpacing North America and Europe in AI uptake.

Readiness, however, remains the Achilles’ heel for the majority of organizations. Only a quarter of respondents say they possess sufficient AI‑skilled talent, robust IT capacity, or a clear regulatory compliance framework. Smaller firms lag even further, with fewer than one in five meeting these benchmarks. The gap translates into heightened risk exposure: 46 % of all firms now rank AI among their top‑ten risks, a figure that jumps to 69 % for AI‑mature enterprises. Governance, model‑risk oversight, and board‑level attention are therefore becoming non‑negotiable components of any AI strategy.

For risk executives, the report signals a shift from treating AI as a siloed technology issue to embedding it within enterprise‑wide risk management. The competitive advantage enjoyed by early adopters comes with amplified risk pressures, especially in sectors such as financial services where 33 % fear being outpaced by rivals. Integrating AI governance into ERM frameworks, standardising talent pipelines, and tailoring controls to regional regulatory nuances will be critical to narrowing the readiness divide. Companies that master this integration are poised to capture AI‑driven growth while mitigating the fast‑evolving risk landscape.