Canadian CEOs are making generative AI a priority to boost competitiveness, according to a new IBM study.

The IBM Institute for Business Value, in cooperation with Oxford Economics, surveyed 3,000 CEOs spanning 26 industries and 30 countries, including Canada. The findings reveal that 64% of Canadian CEOs believe that competitive advantage depends on having the most advanced generative AI capabilities, higher than the global average of 59%.

Additionally, 62% of Canadian CEOs say productivity gains from automation are so great they must accept more risk to stay competitive, and 72% say they will take more risk than the competition to maintain a competitive edge.

“As with any transformational change, there are challenges but there is also widespread recognition of a tremendous opportunity with AI for increased productivity” says Craig Eaket, managing partner, IBM Consulting Canada. “The potential business value is extraordinary.”

The numbers reveal that 43% of Canadian CEOs (compared to 34%, globally) are prioritizing technology modernization in the next three years and 34% (compared to 24% globally) are prioritizing their ecosystem and partnerships.

But only 22% of Canadian chief executives see customer experience as important for enterprise transformation, lower than the global average of 30%. More Canadian CEOs (35%, compared to 26% globally) categorize efficiency and cost savings as the key objective in their AI deployment.

The findings also show that generative AI continues to fuel significant workforce changes: 52% of Canadian executives say they are hiring for positions that did not exist last year due to generative AI, but 59% struggle to fill key technology roles and face challenges sourcing talent.

Of all the countries surveyed, Canadian CEOs are most satisfied with their AI governance plans, with 48% saying they have good governance in place today, significantly higher than the global average of 39%.

In January, an IBM survey revealed that while Canadians as a whole are keen on trialing AI, consumer satisfaction remains poor.