90% of Healthcare C-Suite Sees Positive Return From GenAI

Generative artificial intelligence (GenAI) is rapidly transitioning from a futuristic concept to a tangible force reshaping the healthcare landscape.

Buoyed by early successes, healthcare firms are aggressively increasing their investments in GenAI, particularly in areas like product innovation and customer service, signaling a shift in how the industry operates.

A report from PYMNTS Intelligence, “Healthcare Firms Going Long on GenAI Investment,” reveals that these bets are already yielding significant returns, prompting a wave of further adoption among major players.

The report surveyed C-suite executives at healthcare firms with at least $1 billion in annual revenue to understand their GenAI strategies.

The findings indicate a strong conviction in the technology’s potential, with nine in 10 executives anticipating a positive return on their GenAI investments. Consequently, a majority of these leaders plan to further escalate their GenAI spending in the coming year, placing healthcare ahead of the cross-industry average in its bullish outlook.

The report highlights the strategic prioritization of GenAI in crucial operational areas as businesses strive to stay competitive.

Key data points underscore this accelerating trend:

• Ninety percent of surveyed healthcare executives report that their previous GenAI investments have already achieved a positive ROI, demonstrating the swift impact and efficiency of the technology in this sector. This is noteworthy given the typically lengthy timelines for returns on technology investments.
• Healthcare firms that reported very positive ROI from their GenAI investments spent an average of $6.4 million in the last 12 months, significantly more than the $2.7 million average spent by all polled companies. This suggests a correlation between higher investment and more substantial returns, emphasizing the importance of strategic allocation of resources.
• Roughly six in 10 healthcare CFOs indicated that their companies are already utilizing GenAI for product and service innovation, as well as for real-time automated customer service responses. These two applications represent the most frequent use cases identified in the survey, highlighting the immediate strategic focus of GenAI deployment.

Beyond these core areas, the report also noted that a significant portion of healthcare firms are leveraging the technology for data visualization and reports (55%), search and access to information (55%), and workflow automation management (51%).

Interestingly, the adoption of GenAI in high-stakes areas such as fraud detection and cybersecurity management remains relatively low, suggesting a cautious approach to these critical functions, at least in the short term. On average, healthcare executives expect GenAI to be fully embedded across their businesses within 7.4 years, aligning with cross-industry expectations.

The post 90% of Healthcare C-Suite Sees Positive Return From GenAI appeared first on PYMNTS.com.