A recent study highlights a dramatic rise in the use of unauthorized AI tools by employees, termed ‘Shadow AI.’.
- Half of all employees are using AI tools not sanctioned by their companies, indicating a significant reliance on Shadow AI.
- 46% of employees would resist giving up these personal AI tools, even if companies banned them, showcasing their importance.
- The study suggests businesses urgently need comprehensive AI strategies to mitigate associated risks.
- AI usage is projected to skyrocket from 75% to 90% among workers, necessitating robust risk management strategies.
A comprehensive study conducted by Software AG surveyed 6,000 knowledge workers across the US, UK, and Germany, finding that half of these employees are actively using ‘Shadow AI’—AI tools not officially issued by their organizations. This trend underscores the substantial role AI is playing in the workplace, with personal AI tools becoming indispensable for many workers.
The study reveals a strong attachment to these tools, encapsulated by the finding that 46% of employees would resist ceasing use of their personal AI tools even in the face of company bans. Such refusal underscores the critical role these tools play in enhancing job performance.
This trend poses a challenge for businesses, as Steve Ponting, Director at Software AG, highlights: “If 2023 was a year of experimentation, 2024 will be defined as the year that GenAI took hold.” The rise in AI tool usage is attributed to their ability to save time, simplify tasks, and boost productivity, with 83% of workers noting time-saving benefits, 81% recognizing task simplification, and 71% reporting productivity gains.
With AI usage projected to grow from 75% to an anticipated 90%, the potential for cybersecurity threats, data leakage, and regulatory non-compliance heightens, thereby necessitating immediate strategic planning.
Remarkably, the survey also found that nearly half of workers believe AI tools could expedite their career advancement, illustrating the deep integration and perceived benefits of AI in professional growth.
The study delineates an ‘AI utility gap,’ where 53% of knowledge workers prefer using personal AI tools for their autonomy, while 33% attribute this choice to unavailability of preferred tools from their IT departments.
Despite recognizing the risks such as cybersecurity lapses and data governance failures, few employees take proactive measures, such as security scans (27%) or reviewing data policies (29%). This indicates a pressing need for enhanced training and robust frameworks to safely integrate Shadow AI into daily operations.
Organizations must quickly develop strategies to harness and control Shadow AI’s growth while managing its risks.