1、2024 Fujitsu SX SurveyAccelerating Sustainability Transformation with AIPractical insights for C-level executivesPrefaceRapid advances in technology are creating enormous changes across both business and society.At the same time,the sustainability challenges caused by geopolitical tensions and clima

2、te change have become urgent business priorities.Since 2022,Fujitsu has surveyed business leaders around the world,assessing their Sustainability Transformation(SX)initiatives.Our survey1 in November and December 2023 revealed that over half(53%)of business leaders are actively reviewing these activ

3、ities.In particular,the business environment is changing rapidly due to advances in AI.In January 2024,Fujitsu surveyed 800 CxOs across 15 countries to understand how their organizations are now using AI and how technologies such as AI are supporting their SX activities.This report summarizes the in

4、sights gained from the survey and proposes calls to action for business leaders to successfully drive Sustainability Transformation using AI and other digital technologies.1 Visit page 43:2024 Fujitsu SX Survey-Charting a course for change1IndexExecutive summary03Introduction05Section 1The transform

5、ational impact of AI07Section 2Sustainability Transformation accelerated by AI21Section 3Recommendations for business leaders39Respondents profile41Related information432Executive summaryAdvances in AI and other technologies are creating rapid change across both business and society.In January 2024,

6、Fujitsu commissioned Oxford Economics to conduct a survey on the business impact of rapid AI adoption,the status of Sustainability Transformation,and how this transformation can be driven by AI and other digital technologies.Fujitsu and Oxford Economics conducted an on-line survey of 800 business le

7、aders(CxOs)across 14 industries in 15 countries.Interviews were also conducted with CxOs at 12 organizations that are implementing Sustainability Transformation strategies.The interviews looked at the status of AI implementation,and the Sustainability Transformation outcomes being achieved using dig

8、ital technology.According to our survey,many respondents expect AI to dramatically change business and society and are therefore upscaling their AI initiatives.They predict AI will be integrated into every part of their business within the next three years.Respondents also recognized that in the fut

9、ure,the rapid adoption of AI will require employees to develop new skills.However,they hold mixed views on the possible implications that AI could have on employment and overall headcount levels.At the same time,many respondents believe that increasing AI usage will support their Sustainability Tran

10、sformation plans.In fact,organizations that have successfully delivered financial and non-financial outcomes through their Sustainability Transformation have typically increased their investment in AI and are actively using AI across their organizations.These survey results are consistent with Fujit

11、sus belief that greater use of AI and other digital technologies will enable successful Sustainability Transformation.This report proposes specific calls to action to help business leaders drive successful Sustainability Transformation using AI and other digital technologies.3Key findingsOur survey

12、explored business leaders attitudes towards AI and its current usage across their organizations:1Business leaders are strengthening their AI initiatives in recognition of the huge changes that AI is creating across business and society.2The use of AI will rapidly expand into other areas.Business lea

13、ders predict that AI will permeate a wide range of tasks within the next three years.They also believe that people will need to develop the skills to work with AI,unlocking their own creativity and ensuring that people and AI can collaborate effectively.3The integration between management resources

14、and AI is still in progress.Organizations are at various stages of AI readiness.Around 40%of organizations have yet to set an organization-wide AI strategy,while only 12%have the resources to use AI,based on a comprehensive AI strategy and usage guidelines.Our survey also examined the impact of digi

15、tal technology on Sustainability Transformation initiatives:1The process of converting sustainability initiatives into new business opportunities is underway.While many leaders see addressing sustainability as a business opportunity,only around 10%of organizations are generating steady revenue from

16、these opportunities.2AI and Digital Transformation can drivesuccessful Sustainability Transformation.Over 60%of leaders recognize that increased use of AI will enable Digital Transformation and help to solve societal challenges.3The use of AI and other technologies is key.Organizations that create a

17、 sustainability vision and strategy,strengthen their organizational capability and proactively use AI and other technologies succeed in driving greater sustainability and financial value than other organizations.4IntroductionSustainability and technology are key management prioritiesThe business env

18、ironment is influenced by a wide range of external factors and is becoming increasingly uncertain.Our survey clearly reveals that,in addition to political and economic factors such as inflation and geopolitical tensions,external factors relating to the environment and well-being are also having a si

19、gnificant impact on business.These factors are all related to sustainability.In addition to these sustainability factors,the survey highlights the rapid advance of AI,which is now expected to be the third most impactful external factor.Business leaders are clearly now recognizing the significant imp

20、act of AI advances.Our survey respondents were then asked to consider their response to the twin challenges of sustainability and technology.External factors with the biggest impact over the next 12 months1Inflation,interest rates,exchange rate fluctuationsPolitics and economics2Geopolitical tension

21、s and conflictsPolitics and economics3Rapid advance of AITechnology4Energy problemsEnvironment5PandemicsWell-being6Intensifying cyber-attacksTechnology7Climate changeEnvironment8Poverty,inequality and access to education and healthcareWell-beingSample size:8005IntroductionResponses to AI and sustain

22、ability will determine the future of businessBusiness leaders recognize the importance of responding to AI and sustainability challenges.Indeed,more than half of business leaders surveyed believe that their response to the rapid advance of AI will determine the future of their businesses.They believ

23、e that organizations that fail to use AI and data effectively will lose competitive edge and,as a result,market share.At the same time,more than half of business leaders now believe its important to achieve business growth while contributing to environmental and social sustainability.So,how can busi

24、ness leaders best respond to the twin challenges of advancing AI and sustainability?In this report,we share our key survey findings,including the key factors that should be considered to shape successful business strategies.The response to AIs rapid advancement will determine the future of business5

25、1%20%Organizations that fail to use AI and data effectively will lose their competitive edge and be eliminated from the market52%27%It has become important to achieve business growth while contributing to environmental and social sustainability51%19%Sample size:800AgreeDisagree6Section 1The transfor

26、mational impact of AISection 1:The transformational impact of AIOrganizations ramp up AI initiatives and boost investmentHow are organizations responding to the rapid advance of AI?In our survey,76%of organizations ranked AI among the top 5 priorities in their Digital Transformation.Almost 90%respon

27、ded that they plan to increase investment in AI compared to last year.Many organizations are now ramping up their engagement with AI and increasing their AI usage.Priority of AI in Digital TransformationTop 576%42%Among top 3 priorities34%Among top 5 priorities24%A priority but not among top 50.1%Nu

28、mber one priorityPlanned investment in AI this yearIncrease investment88%12%Significantly increase investment76%Increase investment12%No changeSample size:798(organizations who responded that they are engaged in Digital Transformation)8Section 1:The transformational impact of AI Major expansion of A

29、I use in the next three yearsOrganizations are now trying to incorporate AI in all aspects of their business as we enter the full-scale adoption phase.The chart on the next page shows the current use of AI in organizations and the outlook for its future use.Currently,AI is used predominantly for imp

30、roving efficiency in business support,automation of customer service and handling of routine tasks.However,over the next three years,around 80%of organizations aim to use AI for complex decision-making,including the enhancement of product and service functions and management decision support,both pr

31、eviously difficult to achieve with AI.Our survey results suggest that,over the next three years,AI will permeate almost every aspect of business,enabling radical transformation.Business leaders will need to examine and implement strategies for using AI to address this drastic change.Were also using

32、AI to design our own AI products,with AI probably now the number one hot topic in our industry.We have created a detailed 5 to 10 year plan for our AI initiatives,with AI now at the heart of our strategic planning.Chief Digital Officer,Manufacturing,USA9Section 1:The transformational impact of AI AI

33、 use expanding into areas that involve complex decision making in the next three yearsSample size:798(organizations who responded that they were engaged in Digital Transformation)Automation of customer service52%28%17%3%Human tasks supported by generative AI31%37%29%3%Creation of images and other co

34、ntent22%45%27%6%Automation of routine tasks19%46%31%5%Enhancing management decision making17%35%43%5%Automation of software development16%27%33%24%Automation of business processes15%36%38%11%Enhancing product and service functionalities13%38%43%6%Enhancing R&D activity11%36%36%17%Our organization al

35、ready usesOur organization does not use,but plans to use within next 12 monthsOur organization does not use,but plans to use within 3 yearsOur organization has no plans to utilize within 3 years/Dont know10Section 1:The transformational impact of AI Organizations are starting to introduce AI across

36、their operationsGiving good financial advice requires detailed knowledge about products,the industry,personal circumstances,regulatory matters and intuition.All that knowledge exists somewhere in the data and documentation we have within our organization A Generative AI bot could access all this dat

37、a,consider your age,pension,savings,mortgage status,salary,bonus,family circumstances and expenditures It could also infer your risk appetite If we can use Generative AI to put all of that together,we can transform the nature of financial advice conversations.Chief Data Officer,Finance,UKWe use Chat

38、GPTs algorithm to analyze our conversation and dialogue data,using it in conjunction with our traditional propensity-to-buy models to find deeper insights.This helps our sales teams to adapt their propositions and improve their targeting.As a result,we have significantly reduced the purchase cycle f

39、rom around 6 months to roughly 10 weeks.This huge improvement is helping to maintain our cash flow,as it also helps our Finance team to forecast more accurately.Chief Data Officer,Manufacturing,USAWere looking at AI to help us do things like training.Theres so much information out there and using AI

40、 to put all of that into cohesive training packs,including making videos,could save a lot of time.The challenge is that the specialist information we need,including sustainable finance information,isnt currently available in large volumes out there.Chief Sustainability Officer,Finance,Singapore11Sec

41、tion 1:The transformational impact of AI People and AI will collaborate to drive transformationIn the future,as the use of AI permeates all areas of business,the relationship between people and AI is expected to change significantly.In fact,70%of business leaders believe that people and AI will comp

42、lement and enhance each other,becoming an effective partnership.They also strongly believe that collaboration between people and AI will continue to develop,leading to the transformation of current business processes.Impacts of AI on business:predictions up to 2030Sample size:800Percentage of respon

43、dents who agreed or strongly agreedCollaboration between people and AI will progress,changing business processes significantly(75%)Innovation generated by collaboration between people and AI will contribute to more than 20%of our organizations businesses(72%)Organizational structures will be flatter

44、 and more decentralized,because AI will support peoples autonomous decision-making(74%)More than 50%of business tasks in our organization will be conducted by people and AI in collaboration(54%)12Section 1:The transformational impact of AI Addressing environmental and societal issuesThe continuous a

45、dvancement in AI is expected to have a positive impact on the environment and society.According to our survey,78%of business leaders expect the power of AI and computing to increase,helping to solve complex environmental and societal challenges.In collaboration with big data,computing,trust technolo

46、gy and various other digital technologies,AI will enable advances such as visualization based on real-time data and enhanced resilience against uncertainty.AI can help to guide both our environment and society in a better direction.Impacts of AI and digital technologies on society and the environmen

47、t:predictions up to 2030Sample size:800Percentage of respondents who agreed or strongly agreedThe power of AI and computers will continue to increase,helping solve complex environmental and social challenges(78%)The dynamics of cities will be increasingly visualized with real-time data and AI,enabli

48、ng more sustainable planning and more effective disaster response(75%)The dynamics of business operations will be increasingly visualized with real-time data and AI,enabling more effective responses to uncertainty(72%)The environmental and social value of many products will be evaluated,flowing thro

49、ugh society to promote sustainability by leveraging the advances in AI and trust technology(73%)The advance of AI and trust technology will accelerate safe and secure data flow across industries,helping shape various digital ecosystems(72%)13Section 1:The transformational impact of AI Mixed views on

50、 the headcount impact of AI Will AI automate tasks previously done by people,increasing efficiency while maintaining output,or will it expand human productivity and creativity to increase output?Will AI replace people,or will it broaden and enhance their capability?The responses in our survey were m

51、ixed between these two options.70%of business leaders believe that people and AI will complement each other and become partners in enhancing each others capabilities,with 66%expecting AI to improve performance while retaining their employees.On the other hand,41%of business leaders expect AI adoptio

52、n to lead to headcount reductions,although roughly the same number(40%)take the opposite view.This is a critical point to consider when assessing the implications of transforming business processes and investing in the development of new skills.Despite general agreement that AI deployment will incre

53、ase productivity and enhance peoples skills,there is contention over the impact on headcount reductions.People and AI will complement each other and become partners in enhancing each others capabilities.70%11%Because AI deployment will increase human productivity,organizations will deliver greater p

54、erformance while keeping their employees.66%13%Because AI deployment will increase human productivity,organizations will reduce their headcount.41%40%AgreeDisagreeSample size:80014Section 1:The transformational impact of AI Key initiatives in the AI eraHow can organizations gain the best outcomes fr

55、om using AI?The survey results show that more than 70%of business leaders recognize the need to acquire new skills,to better manage both people and AI,to protect against AI-related cyber-attacks and to enhance AI trust and ethics.One of the most important challenges for business leaders is how they

56、manage their existing human resources.In the future,it will be necessary for humans and AI to collaborate to perform tasks and produce higher quality outcomes.We will need to embrace transformation from a new perspective,looking at how we can take an integrated approach toward managing people and te

57、chnology together.Initiatives required in the AI eraSample size:800The advancement of AI will require people to acquire new skills.73%10%The management of people and AI will become significantly more important in future business.73%10%Protecting AI against cyber-attacks will become a critical busine

58、ss agenda item.73%9%AI trust and AI ethics will be essential for business.72%11%AgreeDisagree15Section 1:The transformational impact of AI Human capabilities required in the AI eraWhat capabilities will we need to improve in the era of AI?In our survey,the top skills identified that employees need t

59、o improve are critical thinking,sense-making capability to give purpose and knowledge of science and mathematics.AI can now respond to a variety of questions with instantaneous human-like output of text and images.However,people still have responsibility for AI output,including the critical thinking

60、 needed to exercise the appropriate discretion.People also need to set correct goals and apply sense-making to ensure activities serve the right purpose.Furthermore,knowledge of science and mathematics will help people to understand the mechanisms used by AI and to correctly recognize its limitation

61、s and potential.In the AI era,employees must educate themselves to continue enhancing these capabilities.It will be important to create new value by maximizing human creativity through ongoing collaboration with AI.Capabilities to be enhanced in the era of AI eraSample size:800,up to three multiple

62、selectionsCritical thinking79%Sense-making capability to give purpose72%Knowledge of science and mathematics46%Collaboration with others37%Communication with passion and emotion34%Physical abilities(e.g.master craftsmanship)16%Knowledge of arts and humanities16%16Section 1:The transformational impac

63、t of AIChallenges in introducing AIWhile the introduction of AI offers many benefits,including increased operational efficiency and productivity,it also comes with serious risks.Introducing AI creates a variety of challenges.Firstly,the shortage of appropriate human resources is a major issue.The in

64、troduction and operation of AI requires a high level of expertise and skills,and organizations must actively engage in upskilling and,where necessary,recruitment.In addition,AI carries security risks.AI can generate disinformation and misinformation(AI hallucination)and may violate copyrights and pr

65、ivacy,risking an organizations credibility.The European(EU)AI regulation Act(May 2024)has strengthened the laws and regulations around AI,meaning organizations must urgently take steps to strengthen their AI governance.Issues confronted in AI deploymentThere is a lack of people with the AI skills re

66、quired.65%16%The output of AI has the risk of copyright infringement.62%17%The return on investment of AI is not clear yet.55%29%AI is not linked with the data and IT systems of our organization.54%25%There is a concern about the leakage of company data caused by using AI.50%23%AI solution is not ma

67、ture enough.45%33%The output of AI is not trustworthy enough.43%37%AgreeDisagreeSample size:798(organizations who responded that they were engaged in Digital Transformation)17Section 1:The transformational impact of AI Concerns around AI introductionI encourage my junior data scientists and junior s

68、oftware engineers to learn various kinds of business domain knowledge.They need to explore different methodologies to improve our predictive models,because all basic data,data operation and database operation-type coding work will be 100%replaced by AI in the next two years.And I really do not want

69、them to lose their jobs.So,my team also provides internal training,and budget for them to attend professional schools,even for the entry-level jobs.They need an AI-related skillset including knowledge of Neural Network models.Chief Data Officer,Manufacturing,USAI think the ethical consideration has

70、to be there.Business leaders have to be educated on the ethical aspects of using AI before they dive in,and before they invest in deploying AI technology as part of the running of the business.Chief Product Officer,Transportation,SingaporeData security is a big worry.AI and misappropriation create a

71、nother risk factor when youre talking about system security.To give an example,when youre running a water treatment plant with a locked down system,it must be highly secure because if someone were to hack into that system,thats potentially the communitys water supply and if someone with the wrong in

72、tent got into that system,that could be catastrophic.I think the security is probably the biggest concern.Chief Sustainability Officer,Public Sector,AustraliaThere are huge potential privacy implications,in that Large Language Models will remember everything you tell them.Its interesting to think th

73、at I could type something into a Large Language Model from which it could be accidentally or inaccurately repeated to another customer.Chief Data Officer,Finance,UK18Section 1:The transformational impact of AIMany organizations in the early stages of AI introductionWhile business leaders recognize t

74、he importance of using AI,there are challenges when introducing it.As a result,the level of AI adoption and progress varies significantly between organizations.According to our survey,around 40%of organizations have not yet developed a company-wide AI strategy.On the other hand,nearly half of the or

75、ganizations have determined their company-wide strategy and are developing guidelines.As few as around 10%have committed resources to data,technology infrastructure and human resources based on a company-wide AI strategy and guidelines.Many organizations are still in the initial stages of AI introdu

76、ction.To achieve successful AI-driven transformation,organizations need to increase the maturity level of their AI usage.Level of AI engagementOur organization has not implemented any AI initiative3%Our organization has not set an organization-wide AI strategy.Each business unit implements its indep

77、endent AI initiative36%Our organization has set an organization-wide AI strategy and AI usage guidelines 49%Based on our AI strategy and usage guidelines,our organization builds resources(e.g.,data,technology infrastructure,and AI talents)to use AI 12%Sample size:798(organizations who responded that

78、 they were engaged in Digital Transformation)19Section 1:The transformational impact of AI Using technology to create a sustainable societyIn this section,we looked at the impact of the rapidly advancing AI on business,the environment and society,as well as the current issues and initiatives around

79、AI use.Many organizations have boosted their investment in AI and are planning to introduce AI in almost every area of their business.AI is expected to achieve greater efficiency and productivity,to drive innovation,and to address complex societal issues such as disaster response.Even so,most organi

80、zations are still in the initial stages of AI introduction.Business leaders need to formulate an organization-wide AI strategy,develop guidelines for AI use,foster new skills for employees,and organize the necessary infrastructure and other resources.There is also an urgent need to deal with the neg

81、ative aspects of AI,such as data leakages and privacy breaches.In the next section,we analyze the current state of sustainability initiatives and how AI-centered technologies can be leveraged to drive successful Sustainability Transformation.20Section 2Sustainability Transformation accelerated by AI

82、Section 2:Sustainability Transformation accelerated by AIAI will contribute to successful Sustainability TransformationBusiness leaders believe that sustainability and AI will influence their business in the future,with AI enabling business innovation and helping to resolve social issues.Our survey

83、revealed that more than 60%of business leaders think that the increased use of AI will contribute to the success of both Digital and Sustainability Transformation.76%of business leaders think that Digital Transformation will contribute to the success of their Sustainability Transformation.In this se

84、ction,we analyze how organizations can use technologies such as AI to successfully achieve Sustainability Transformation,based on current Sustainability Transformation initiatives and challenges,and we share the characteristics of Sustainability Transformation pioneers.Strengthening the use of AI wi

85、ll contribute to the success of Digital Transformation65%3%Strengthening the use of AI will contribute to the success of Sustainability Transformation63%4%Digital Transformation contributes to the success of Sustainability Transformation76%1%AgreeDisagreeSample size:798(organizations who responded t

86、hat they are engaged in Digital Transformation)22Section 2:Sustainability Transformation accelerated by AIBusiness opportunities created by Sustainability TransformationMany organizations see business opportunities in sustainability-related initiatives.Specifically,more than half of the business lea

87、ders surveyed recognize that contributing to sustainable energy use,reducing waste,promoting recycling,contributing to sustainable economic and industrial development are all important business opportunities.They see technology as the key to realizing these opportunities.Key sustainability issues th

88、at generate business opportunitiesContribute to sustainable use of energy55%Decrease waste and promote recycling54%Contribute to sustainable development(economic and industrial)50%Contribute to smart and sustainable cities32%Preserve natural resources and biodiversity29%Improve peoples health27%Erad

89、icate poverty and reduce inequalities23%Respond to climate change15%Reduce the risk of disasters and create greater safety in society15%Sample size:794(organizations who responded that they were engaged in sustainability),Up to three multiple selections23Section 2:Sustainability Transformation accel

90、erated by AIOnly 10%of organizations are generating steady revenue The survey revealed that almost all organizations have begun to incorporate sustainability initiatives into their businesses.Of those,14%are at the stage of consideration,39%are at the stage of conducting PoC and trials while 47%have

91、 already started to create business ventures.However,only a little over 10%of organizations are currently generating steady revenue from sustainability-related business ventures.Clearly,we need to accelerate the speed of progress.Progress towards turning sustainability initiatives into business vent

92、ures 14%Exploring commercial-ization39%Conducting trials or proof of concept(PoC)36%Started but not yet generating revenue10%Started and generating steady revenue0.4%Already a key business pillarSample size:794(organizations who responded that they were engaged in sustainability)Calculated based on

93、the business development of each of the top 3 most important business opportunities selected by respondents24Section 2:Sustainability Transformation accelerated by AIIssues include complexity,lack of technology infrastructure and dataPromoting technology-based Sustainability Transformation is key to

94、 turning sustainability challenges into business opportunities.However,there are still various challenges to overcome to achieve this.More than half of business leaders ranked responding to the complexity and enormity of the transformation as the number one challenge.This was followed by the lack of

95、 support provided by existing technology infrastructure and the absence of sufficient reliable data.With the need to embrace a wide range of stakeholders,Sustainability Transformation is both complex and far-reaching.It may also not yield a financial profit in the short term.So,what actions should b

96、e taken to overcome these challenges,promote Sustainability Transformation and develop sustainability as a key business pillar?Sustainability Transformation issuesThe complexity and enormity of transformation required53%Current technology infrastructure cannot support the transformation efforts44%La

97、ck of adequate,reliable,and comparable data37%Lack of clear understanding of current local and global regulations36%Lack of solid business cases31%Lack of talent with required skills for implementation29%Lack of executive alignment on sustainability vision and commitment to activities of improving s

98、ustainability18%Internal resistance and suspicion of sustainability initiatives17%Lack of budget and funding to support sustainability initiatives16%Loss of business and revenue due to commitment to Sustainability Transformation10%Sample size:794(organizations who responded that they were engaged in

99、 sustainability)25Section 2:Sustainability Transformation accelerated by AIRegenerative enterprise Regenerating the environment,economy and well-being using technologyFujitsu proposes that organizations should transform into regenerative enterprises that will generate net positive value for the envi

100、ronment,the economy and peoples well-being.Net positive describes a situation where the organizations positive impacts on the environment and society outweigh its negative impacts.Many organizations are already engaged in Sustainability Transformation aimed at achieving net zero or net positive outc

101、omes.However,they are faced with the challenges posed by the complexity of the transformation and insufficient data and technology infrastructure.On the other hand,there are organizations such as regenerative enterprises that have succeeded in delivering value for the environment,economy and well-be

102、ing by using technology to transform their organizations.From the next page,we analyze the features and initiatives of these pioneering regenerative enterprises.TechnologyRegenerativeenterpriseRegenerative valuePlanetEnvironmentProsperityEconomyPeopleWell-beingCreating net positive regenerative valu

103、e with technology26Section 2:Sustainability Transformation accelerated by AIPioneering regenerative enterpriseFujitsu has identified organizations that have formulated a clear vision and strategy for sustainability,boosted their organizational capability and proactively deployed technology in their

104、initiatives.We describe these organizations as pioneering regenerative enterprises.Just 59 of the 800 organizations surveyed(7%)meet the definition of being a pioneering regenerative enterprise.From the next page,we will look at these pioneering organizations sustainability initiatives,their financi

105、al and non-financial performance and their level of AI use.Pioneeringregenerative enterprise7%1Vision&strategyOrganizational capabilityTechnology1 Pioneering regenerative enterprises:59/800 companies1.Promoting a sustainability vision and strategy Having a clear sustainability vision and company-wid

106、e strategy Implementing the strategy as an integral part of the business2.Advanced organizational capability in sustainability Hiring and retaining personnel with the skills required for Sustainability Transformation Setting sustainability goals and KPIs across financial and non-financial metrics Bu

107、ilding an ecosystem and sharing future goals and clear KPIs3.Exploiting technologies for sustainability Transforming business processes to drive environmental and well-being value using data and digital technologies Using AI to improve employees productivity,creativity and well-being Building a comp

108、any-wide data platform to manage the performance of sustainability initiatives and business Addressing cross-industry challenges by sharing data with ecosystem partners27Section 2:Sustainability Transformation accelerated by AIPioneering organizations lead sustainability in businessPioneering organi

109、zations are the leaders in generating business opportunities and revenue through sustainability initiatives.For example,44%of pioneering organizations are generating revenue from preserving natural resources and biodiversity,while only 11%of non-pioneering organizations have reached the same stage.T

110、he same is true for other initiatives.More than 20%of the pioneering organizations are generating revenue from initiatives,compared to just 10%of non-pioneering organizations.More importantly,sustainability efforts are interconnected.For example,addressing climate change is closely connected to usin

111、g sustainable energy and preserving biodiversity.In fact,around 30%of pioneering organizations are pursuing business initiatives across multiple sustainability areas to generate revenue.That is roughly three times the number for non-pioneering organizations.Proportion of companies that have generate

112、d revenue from sustainability issuesPreserve natural resources and biodiversity44%11%Eradicate poverty and reduce inequalities29%8%Contribute to smart and sustainable cities28%11%Contribute to sustainable development(economic and industrial)26%10%Respond to climate change25%12%Decrease waste and pro

113、mote recycling21%8%Contribute to sustainable use of energy21%9%Pioneering organizationsOther organizationsSample size:794(organizations who responded that they were engaged in sustainability)28Section 2:Sustainability Transformation accelerated by AIPioneering organizations also lead in AI usePionee

114、ring organizations are also well ahead with the introduction of AI.90%of pioneering organizations surveyed ranked AI among their top three priorities for Digital Transformation.However,only 38%of non-pioneering organizations put AI in their top three priorities.Similarly,88%of pioneering organizatio

115、ns have already formulated an organization-wide strategy and guidelines for AI,while only 46%of non-pioneering organizations are in the same position.Similarly,more than 90%of pioneering organizations plan to use generative AI to support operations and automate routine tasks within the next year.In

116、addition,more than 70%plan to use AI in complex decision-making,such as automating business processes and supporting business decisions.Pioneering organizations focusing on AI and promoting AI strategyPioneering organizationsOther organizationsAI among the top 3 priorities for Digital Transformation

117、%38%Setting an organization-wide AI strategy and usage guidelines%46%Pioneering organizations are actively using AI for a wide range of tasksPioneering organizationsOther organizationsHuman tasks supported by generative AI such as ChatGPT%66%Automation of customer service%79%Creation of images and o

118、ther content%65%Automation of routine tasks%62%Automation of business processes%48%Enhancing product and service functionalities%49%Enhancing management decision making%50%Enhancing R&D activity%47%Percentage of respondents who use or plan to use generative AI within the next year29Section 2:Sustain

119、ability Transformation accelerated by AICreating financial and non-financial valueIn addition,pioneering organizations outperform other organizations in terms of their financial performance,including sales and operating profit.At the same time,they enjoy a positive reputation for non-financial value

120、s,such as customer satisfaction and employee satisfaction.In other words,they have succeeded in providing higher value to multiple stakeholders.Further examination is needed into the relationship between Sustainability Transformation and financial and non-financial value.However,the results of our p

121、revious survey conducted in 2023 clearly show that sustainability initiatives are gaining support from customers who value ethical consumption and employees who share the same values.Investing in sustainability opportunities while creating financial,customer and employee valueRevenue93%79%Operating

122、profit97%77%Customer satisfaction85%66%Employee satisfaction68%52%Pioneering organizationsOther organizationsSample size:800(proportion of organizations who responded Improved or significantly improved)30Section 2:Sustainability Transformation accelerated by AISustainability Transformation using AIS

123、ustainability Transformation using digital technology is advancing in various industries.We will now highlight some of the Sustainability Transformation measures being implemented in specific industries using AI-based digital technologies.Section 2:Sustainability Transformation accelerated by AIUsin

124、g technology to address environmental challengesSustainability initiatives differ from industry to industry.While all industries are working hard to reduce CO2 emissions,the transportation sector is more advanced than others.About half of the organizations in this sector are actively monitoring and

125、managing CO2 emissions.This sector,which relies heavily on fossil fuels,needs to comply with regulations and guidelines introduced by governments and the International Energy Agency(IEA),and to manage soaring fuel prices,which are now encouraging the industry to pursue green initiatives.In manufactu

126、ring,wholesale and retail,and transportation,initiatives such as shared mobility and autonomous driving are advancing rapidly.These sectors need to address rising fuel prices and urban traffic congestion to achieve more efficient and sustainable transport systems.Elsewhere,the public sector is promo

127、ting recycling and waste reduction by improving traceability.The use of technology to address environmental challenges is increasingly important to improving both environmental and business sustainability.Financial servicesHealthcareManufacturingPublic SectorRetail and WholesaleTransportationMonitor

128、ing and management of CO2 emissions 22%20%30%25%25%49%Shared mobility services and autonomous driving,enabling smarter transportation and reduced environmental impact30%23%38%28%Traceability of products and materials,recycling,and waste reduction throughout the value chain13%45%6%5%Cleaner and smart

129、er urban energy29%Sample size:798(organizations who responded that they are engaged in Digital Transformation)32Section 2:Sustainability Transformation accelerated by AIUsing AI to make business sustainableIn the future,AI will be adopted by all industries and businesses.AI-based support services ha

130、ve already been introduced into sectors with customer touchpoints,including the financial,public,wholesale and retail sectors.41%of manufacturing organizations are using AI to enhance product design.In addition,manufacturing,transportation and wholesale and retail sectors are developing AI solutions

131、 to visualize their supply chains and logistics.35%of transportation organizations are working on supply and demand forecasting using AI.This suggests that AI is already being used in the core areas of value creation in each industry,such as customer service in financial and public sectors,and produ

132、ct development in manufacturing.As AI strategy becomes more important,investment in AI will continue to increase.Organizations now need to consider other key areas where AI can be introduced to help them enhance sustainability across business and society.Financial servicesHealthcareManufacturingPubl

133、ic SectorRetail and WholesaleTransportationUsing AI to increase the quality of support service47%33%29%41%36%17%Visualizing real-time operations of manufacturing,supply chain and logistics operations,enabling an agile response to uncertain and volatile changes32%28%19%32%36%49%Using AI to forecast d

134、emand and supply,enabling matching and loss reductions15%17%35%Using AI to strengthen product design41%Sample size:798(organizations who responded that they are engaged in Digital Transformation)33Section 2:Sustainability Transformation accelerated by AIUsing AI to improve peoples well-beingAI will

135、also contribute significantly to peoples well-being,from improving employee productivity through to customer experience.Organizations across all industries,in particular the manufacturing sector,are working to improve productivity and employee engagement through automation.The financial and healthca

136、re sectors use digital technologies to enhance customer satisfaction by providing personalized services tailored toward the needs of each person.Initiatives to improve customer well-being by using digital technologies are also attracting attention.54%of organizations in the financial services are us

137、ing digital technology to provide services to people who would otherwise have no access to financial services.More than half of all organizations in the healthcare sector provide comprehensive healthcare services,including prevention and prognosis,by linking health,insurance and medical data.Organiz

138、ations need to use AI both to reduce costs through automation and to improve the well-being of their employees and customers.Financial servicesHealthcareManufacturingPublic SectorRetail and WholesaleTransportationUsing AI to automate work,improving employee productivity and experience/engagement40%3

139、4%43%31%32%29%Merging online and offline to provide personalized and inclusive experience47%38%26%21%30%23%Using digital technology to provide financial inclusion54%Provision of personalized healthcare services by connecting health,insurance and medical data with ecosystem partners55%Sample size:798

140、(organizations who responded that they are engaged in Digital Transformation)34Section 2:Sustainability Transformation accelerated by AIAccelerating Sustainability TransformationHow are organizations using AI and other digital technologies to drive Sustainability Transformation?We will now share spe

141、cific examples of Sustainability Transformation practices from organizations we have interviewed.Section 2:Sustainability Transformation accelerated by AISustainability as a business combining the right technology and focusTo be the benchmark company for ecological transformationVeolia group is a le

142、ader in the design and development of water,waste and energy management solutions.Veolia has set ambitious targets to reduce its emissions by 50%by 2032 and to achieve net-zero emissions by 2050,demonstrating its commitment to sustainable business practices and technology-driven environmental change

143、.In its 2024-2027 strategic program Green Up,Veolia aims to create a more sustainable and desirable future by accelerating the deployment of solutions that already exist and innovating to create those of tomorrow.Sustainability as a business with the right technologyWorking across water,waste and en

144、ergy,Veolia helps its customers decarbonize,depollute and regenerate resources,which will be supported by a global investment of 2 billion euros over 3 years.Kate Moonen says,“Locally,my team in ANZ helps customers achieve their own sustainability goals,but also plays a role internally to co-ordinat

145、e and communicate our own sustainability plans,including how we will reduce our own greenhouse gas emissions.”Moonen says,“Sustainability as a business is what we do.We need to shift the thinking that sustainability is not commercially favorable.Its not an either-or equation.We can have both profit

146、and positive environmental outcomes with the right people,technology and focus.”Kate MoonenChief Marketing Communications&Sustainability Officer for Australia and New ZealandVeolia36Section 2:Sustainability Transformation accelerated by AIData and AI make cities and business more sustainableData and

147、 technology help sustainability effortsEvery mile a person travels on mass transportation plays an important role in achieving a better future for our planet.The Chief Technology Officer(CTO)of a major US transportation company says,“The data warehouse helps our sustainability efforts in giving us t

148、he ability to measure how many trains we run,and what the percentage of saving on fuel cost is if we go electric versus diesel.If you cant measure it,you cant improve it.”AI saves energy and empowers peopleThe CTO adds,“We use AI for passenger counting;how many people are at a particular platform at

149、 a particular time.So,that helps us with our scheduling department to schedule fewer or more trains,depending on the number of people we have.”In addition to saving energy,AI empowers developers in his organization.“I dont think Id be able to replace a developer today with AI.What I could do is have

150、 the AI tools available to them to do their job better.I would say upskill the organization,so they are better equipped to do the same amount of work and be more productive.”Chief Technology OfficerTransportation,USA37Section 2:Sustainability Transformation accelerated by AIDecarbonize the end-to-en

151、d global supply chainEcosystem approach to clean the supply chainJeffrey Tan,former products portfolio head for Southeast Asia at Maersk,says,“Scope three,the entire ecosystem of suppliers,vendors,and people that are working with us,is very important here.The impact needs to be felt across the entir

152、e ecosystem,and we have worked very closely with our suppliers,vendors,and customers to really clean the supply chain.”Digital supports decarbonization of supply chain“Digital Transformation has supported the sectors sustainability efforts.”Tan continues,“One is the digitization of documents,because

153、 our sector uses a lot of documents.Another is electrifying a tremendous amount of transportation equipment.Additionally,the ability to use robotics and AI to automate the entire process is crucial.”“If were able to deploy AI to make critical decisions first,it will save time and money,whether its o

154、ptimizing the best route or the best way to transport inbound and outbound materials and cargo through our warehouses.The use of AI becomes the number one top agenda in the supply chain management and logistics sector.”Jeffrey TanChief Product Officer1A.P.Moller-MaerskChief Product Officer1:title at

155、 time of interview 38Section 3Recommendations for business leadersRecommendationsSo far,we have looked at the impacts of AI on business and society more broadly,as well as the current state of sustainability initiatives by organizations and the challenges they face.We have also seen how digital tech

156、nology,and particularly AI,can contribute to the progress of Sustainability Transformation.We now offer the following advice for guiding business leaders towards successful Sustainability Transformation.1Use AI to expand people skills and improve their well-beingIt is important to position AI as a t

157、rusted partner,using AI to enhance peoples capabilities and well-being.In addition,to enhance collaboration between people and AI,it is necessary to reskill employees to develop their unique human capabilities.In the AI era,it is also important to transform business processes incorporating the coope

158、ration between people and AI so that employees can demonstrate their creativity.2Formulate and implement an AI strategy and guideline to maximize the potential of AIAs organizations adopt AI,they must address the negative aspects of AI,such as data breaches and privacy violations.Organizations must

159、develop an organization-wide AI strategy and guidelines to manage AI appropriately,and deploy resources such as data,technology infrastructure and people accordingly.To succeed in AI-driven business transformation,it is important to strengthen the resources required for AI utilization.3Use AI to res

160、pond to sustainability challengesAs responses to climate change and energy issues become urgent management priorities,organizations need to further drive innovation to improve sustainability.Pioneering organizations are using AI to create financial and non-financial value by addressing sustainabilit

161、y challenges.It is important to select sustainability challenges that match the organizations purpose,accelerating the use of AI to tackle these challenges.4Strengthen organizational capability to engage in sustainability as businessOrganizations need to strengthen their organizational capabilities

162、to engage in sustainability as a business.In particular,it is important to develop financial and non-financial goals and KPIs,develop the skills needed for transformation,and create a cross-company data platform to manage sustainability and business performance.Enhancing organizational capabilities

163、will help transform sustainability initiatives into core business.5Build ecosystems oriented towards sustainabilitySustainability Transformation requires a complex and large-scale effort.The key for successful transformation is to build a cross-industry ecosystem by building a secure data linkage in

164、frastructure and sharing data and knowledge.It is important to share a common purpose with trusted partners,and to use technology to overcome challenges such as different country laws and regulations and different capabilities among partner organizations.40Respondents profile Sample size:800CountryJ

165、apan25%USA16%Canada9%UK5%Finland5%Germany5%Spain5%France5%Philippines4%Australia4%Singapore4%China4%Korea4%New Zealand3%Thailand3%IndustryWholesale and retail9%Consumer product goods9%Transportation8%Manufacturing8%Food and/or beverage8%Healthcare8%Electronics8%Financial services8%Energy and/or util

166、ities8%Telecommunications services7%Chemicals and/or metals7%Insurance7%Government3%Public Sector3%41Revenue for last fiscal year30%$100 million to$1 billion 36%$1 billion to$5 billionNumber of employees10%500-99948%1,000-4,99930%5,000-19,99910%20,000-49,9992%50,000-99,9991%100,000 or moreRespondent

167、s by roleChief Security Officer(CSO)11%Chief Technical Officer(CTO)10%Chief Information Officer(CIO)10%Chief Analytics Officer(CAO)10%Chief Data Officer(CDO)9%Chief Financial Officer(CFO)7%Chief Operating Officer(COO)6%Chief Strategy Officer(CSO)6%Chief Compliance Officer(CCO)5%Chief Marketing Offic

168、er(CMO)5%Chief Product Officer(CPO)5%Chief Digital Officer(CDO)3%Chief Risk Officer(CRO)3%Chief Administrative Officer(CAO)3%Chief Human Resource Officer(CHRO)3%Chief Sustainability Officer(CSO)2%Chief Revenue Officer(CRO)1%Chief Executive Officer(CEO)1%42Related informationFujitsus Sustainability T

169、ransformationFujitsu Technology and Service VisionThe Fujitsu Technology and Service Vision(FT&SV)is the evolving story of Fujitsus insights for the future.FT&SV 2024 sets out specific steps aimed at transforming organizations into regenerative enterprises that deploy AI-centered technology to provi

170、de greater value for the environment,the economy,and peoples well-being.Refer to the websites listed below for information on Fujitsus approaches to the main issues raised in this survey.Fujitsu Technology and Service Visionhttps:/activate.fujitsu/en/about/vision/technology-vision2024 Fujitsu SX Sur

171、vey-Charting a course for changeIn November and December 2023,we conducted a survey of 600 senior executives(CxOs)across 11 industries and 15 countries with the aim of gaining a clear picture of their progress towards corporate and organizational Sustainability Transformation(SX).We define those com

172、panies and organizations who are at an advanced stage in their SX as”Change Makers”and propose four key steps for organizations who wish to follow in their footsteps.2024 Fujitsu SX Survey-Charting a course for changehttps:/activate.fujitsu/en/insight/sx-survey-202443Related informationTechnologies

173、to achieve a sustainable societyFujitsu R&DTo help achieve a more prosperous and trusting society,Fujitsu is focusing its R&D resources on five digital technologies and contributing to sustainable development for society and the planet.Fujitsu R&Dhttps:/ Research PortalThe Fujitsu Research Portal is

174、 intended for customers who are using digital technology and particularly AI for their Sustainability Transformation.It offers a platform where users can quickly test Fujitsus advanced technologies through APIs and web applications.Fujitsu Research Portalhttps:/en- Fujitsu 2024Fujitsu and Fujitsu lo

175、go are trademarksof Fujitsu Limited registered inmany jurisdictions worldwide.Otherproduct,service and company namesmentioned herein may be trademarksof Fujitsu or other companies.Thisdocument is current as of the initialdate of publication and subject to bechanged by Fujitsu without notice.Thismaterial is provided for informationpurposes only and Fujitsu assumes noliability related to its use.