Avanade has launched Build Beyond Limits, a new position on how companies should use artificial intelligence. Preliminary findings from its upcoming AI Reality Report show that 73% of business leaders believe too much AI investment is still focused on incremental gains.

The initiative reflects what Avanade sees as a shift in corporate AI use: from improving existing processes to redesigning operating models, products and services around the technology.

Avanade based that view in part on early research showing that only 17% of leaders have fundamentally redesigned their operating model around AI. The figures come from a survey of more than 3,000 senior business leaders across industries and markets worldwide.

Chris Howarth, Chief Executive Officer of Avanade, said many organisations have completed an initial phase of AI adoption focused on efficiency and are now moving into a different stage.

"We're reaching a tipping point in the AI journey," Howarth said. "The first chapter of AI implementation was about doing things faster. The next chapter is about doing things that were never thought possible before. The organisations that lead tomorrow won't simply use AI to improve today's business. They'll use it to build entirely new ways of creating value."

Avanade describes this distinction as AI "on" the business versus AI "in" the business. In its framing, the first focuses on productivity tools, automation and copilots. The second embeds AI into workflows, products, services and business models.

Ben Beath, recently appointed Chief AI Officer of Avanade, said many companies remain at the earlier stage.

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