June 27, 2025 AI’s Promise: Are Businesses Capturing True Value?

AI is revolutionizing industrial automation, yet its potential is untapped. Businesses can leverage it strategically to drive real impact.

By Phil Lewis, SVP Solution Consulting International (EMEA & APJ), Infor

Artificial Intelligence has hit its stride in industrial automation. No longer just a Silicon Valley buzzword, AI now powers everything from predictive maintenance on factory floors to real-time quality control and supply chain optimization.

American businesses are racing to jump on board, with AI adoption soaring to 72% in 2024, and the global market set to hit $1,771 billion by 2032. Yet despite this gold rush, most organizations are barely scratching the surface of AI’s potential.

The reality? Many companies are settling for AI basics. They’ve got the chatbots, the virtual assistants, and some automated processes – but that’s like buying a Ferrari just to drive it to the grocery store. The real game-changing capabilities of AI – revolutionizing operations, supercharging decision-making, and driving breakthrough innovation – remain largely untapped.

In today’s economic climate, with inflation concerns and market volatility making headlines, caution is understandable. Some companies are holding back on major AI investments, while others are simply overwhelmed by where to begin their AI journey. This hesitation, while natural, risks leaving significant value on the table.

The AI Adoption Pressure

With tech giants continually showcasing new AI breakthroughs, businesses feel intense pressure to “do AI.” But here’s the million-dollar question: How many are implementing AI with a clear, strategic vision versus just trying to keep up with the Joneses? It’s easy to get swept up in the momentum, seeing competitors roll out AI-driven features and assuming you must do the same. But without a clear, long-term purpose, these initiatives often fall short.

The key lies in integrating AI deeply into core business functions to generate real value and sustainable growth. For example, take supply chain management – AI could be transformative here, especially given America’s recent supply chain challenges. Imagine AI systems that not only predict disruptions but automatically reroute shipments and adjust inventory levels in real-time.

To help businesses achieve AI-driven transformation, modern enterprise solutions are harnessing generative AI to drive process innovation. By automating complex workflows and delivering intelligent recommendations, these tools enable organizations to boost operational efficiency, minimize bottlenecks, and respond more quickly to shifting market conditions. This practical application of AI goes beyond basic automation, embedding intelligence directly into everyday operations to unlock long-term competitive advantages. Retailers like Walmart and Target could use AI-powered supply chain solutions to prevent empty shelves before they happen. Logistics companies could optimize delivery routes across the nation’s vast highway network, cutting costs and emissions. U.S. manufacturers could deploy AI to predict equipment failures before they halt production lines. Yet, despite these possibilities, adoption remains fragmented.

Strategic Integration: Beyond the Basics

The shift from basic AI adoption to true transformation requires a fundamental change in mindset. AI is not just another tool to be bolted onto existing processes; it is a strategic partner capable of reimagining how work gets done. The question is no longer if businesses should invest in AI, but how they should invest to make it truly transformative.

Achieving this level of transformation means integrating AI into strategic planning from the outset rather than treating it as an afterthought. It requires training employees to work effectively alongside AI and fostering a culture where AI is seen as a trusted partner in decision-making. Businesses must commit to long-term value rather than chasing quick wins, ensuring that AI is not merely retrofitted to existing processes but fully embedded in a way that maximizes its potential. This also involves a strong focus on upskilling employees, enabling them to collaborate with AI in a broader business context and drive meaningful change.

One common misconception is expecting overnight results. While simple applications like chatbots show immediate impact, AI’s true power lies in its ability to learn and improve over time. Businesses looking for instant ROI often implement AI at a topline level but miss out on embedding it into processes where its true value compounds over time.

Companies that fully embrace AI and integrate it thoughtfully into their operations are seeing measurable results. For example, Midwest Wheel, a large truck parts distributor, enhanced its sales order process using an AI-driven recommendation engine, leading to a 30% reduction in processing time. Implemented in just four weeks without requiring specialized training, the system continues to learn from new data, steadily improving its accuracy and operational impact. This highlights how AI’s capacity for continuous learning can deliver significant and evolving value when embedded deeply into core business functions.

In another example, Xpress Boats, a manufacturer of all-aluminum, all-welded fishing boats and trailers, took a hands-on approach to improving operational efficiency and meeting delivery timelines. By closely examining their internal processes, the team gained real-time visibility that helped them quickly spot and resolve bottlenecks. As a result, they identified process issues 98% faster, cut the time employees spent tracking down problems by 90%, and reduced issue reporting by 75%. These changes also led to a 50% drop in expedited shipping costs. Even more impressive, the company achieved these results in under 90 days. The improvements not only increased inventory accuracy and streamlined workflows but also helped ensure customers received their boats on time—boosting both efficiency and satisfaction.

Data Privacy in the AI Age

Implementing clear policies on data collection, storage, and usage is ‘a must’ to ensure transparency in how AI systems make decisions. As we become more aware of how data is used, businesses that fail to demonstrate accountability risk facing a loss of customer confidence and potential legal repercussions. Safeguarding customer data needs to make up a key part of the foundation for building and maintaining trust – not just a compliance tick-box.

To safeguard customer data in AI applications, businesses must prioritize security and compliance from the ground up. This includes adhering to industry standards and regulations such as GDPR, HIPAA, SOC 2, or CMMC 2.0, depending on the sector. Key measures include implementing strong encryption protocols, role-based access controls to limit data access, and continuous monitoring to detect and respond to potential threats. Transparent data governance policies are essential to build trust with customers and ensure accountability. By embedding these protections throughout the AI lifecycle (from data collection and processing to storage and analysis) organizations can mitigate risks, uphold privacy, and maintain customer confidence in an increasingly data-driven environment.

Key Takeaways

Success with AI isn’t about following trends or chasing quick wins. It’s about thoughtful integration that transforms operations and decision-making over time. Companies that approach AI strategically, balancing innovation with responsibility, will find themselves with a powerful competitive advantage in the evolving digital economy.

AI’s biggest gains come from long-term strategic integration, so it’s crucial to pinpoint the areas where the technology can really propel growth and create meaningful change. For instance, businesses should examine how it can be harnessed to elevate customer experiences, streamline operational processes, or spark innovative developments in products and services.

The question isn’t whether to adopt AI anymore – it’s how to do it right. And in today’s competitive landscape, that might make all the difference. By balancing the potential for growth with a strong commitment to data protection, businesses can confidently integrate AI into their strategies and know that they’re not just following a trend but building lasting competitive advantage.

Abou the Author:
Phil has been part of Infor for more than 20 years and leads the International Solution Consulting team. The International team consists of solution architects, solution consultants and technical consultants, all focused on providing exceptional solutions to customers across EMEA and APAC. The entire team is driven to create value for customers by architecting world-class cloud services, based on Infor’s portfolio of industry-specific CloudSuites, Strategic Edge solutions, digital platform technologies and innovation offerings.

Phil is passionate about innovation, and how the array of digital technologies available today can transform organisations of all sizes…enabling them to take advantage of new opportunities and align for growth, both today and in the future.

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