A recent study by IBM shows that a majority of enterprises in Europe, the Middle East, and Africa (EMEA) are seeing notable productivity improvements from artificial intelligence (AI). The research indicates that two-thirds of surveyed organizations reported significant operational gains, with many expecting to achieve returns on their AI investments within a year.
The report, titled “The Race for ROI,” was produced in collaboration with Censuswide. It surveyed 3,500 senior executives across ten EMEA countries. According to the findings, 66% of respondents said their organizations had achieved significant productivity increases through AI. Additionally, about one in five respondents indicated their organization has already met its ROI targets from AI-driven initiatives. Another 42% expect to see returns within 12 months in areas such as cost reduction (41%), time savings (45%), increased revenue (37%), employee satisfaction (42%), and higher Net Promoter Scores (43%).
AI agents are also expected to contribute further benefits; 92% of leaders anticipate measurable ROI from agentic AI within two years.
The sectors experiencing the largest productivity boosts include software development and IT (32%), customer service (32%), and procurement (27%). The top advantages cited were greater operational efficiency (55%), better decision-making processes (50%), and enhanced workforce capabilities through automation of repetitive tasks (48%).
However, these improvements are not consistent across all organizations. Larger companies reported higher productivity gains—72% compared to just 55% among small- and medium-sized enterprises. Public sector organizations also lagged behind, with only 55% noting substantial improvements so far.
IBM’s research suggests that businesses are increasingly using AI for strategic transformation rather than just operational improvement. Of those who reported significant gains, nearly a quarter attributed fundamental changes in their business models to AI adoption. Many respondents noted changes such as faster innovation cycles, ongoing decision-making powered by AI instead of periodic reviews, and redesigning value streams around new technology rather than automating existing steps.
Nearly half of senior leaders surveyed said AI is enhancing workforce skills. They noted that time saved through increased productivity allows employees to focus more on activities like idea development, strategic planning, and creative work.
Ana Paula Assis, Senior Vice President and Chair for IBM EMEA and Growth Markets stated: “The true value of AI for business goes far beyond individual productivity – it’s about strategic transformation. Our research suggests that, while we are still in the foothills of AI adoption, enterprises in EMEA are seeing meaningful productivity gains from infusing AI into their operations, with many redesigning their business models.”
She added: “On the question of technology autonomy, the response was emphatic: enterprises want to use technology on their terms, with transparency, choice and flexibility baked in.”
Openness and interoperability emerged as key themes from the survey; 85% stressed the need for transparency in how AI systems operate ethically and responsibly. Similarly high percentages emphasized interoperability for smooth integration into existing IT environments and flexibility to adapt or switch providers as organizational needs change.
Despite progress toward achieving ROI from AI investments, concerns remain regarding security risks such as data breaches or trustworthiness of systems—68% cited these issues as barriers to wider implementation. Complexity related to integrating new tools with legacy systems was another common challenge.
To address these obstacles and maximize benefits from AI adoption, IBM’s report recommends establishing effective operating models for managing transformation projects; promoting literacy about AI at all levels; fostering adaptability amid rapid technological change; understanding regulatory risks associated with deployment; and creating internal boards focused on ethical oversight.
The study drew responses from over 3,500 senior leaders aged 25 or older across various industries including finance, public sector services, retail operations telecoms infrastructure—and energy production—in ten EMEA markets ranging from the UK to Saudi Arabia. Participants represented organizations currently using some form of artificial intelligence tools.
