Only 2% of businesses have put responsible artificial intelligence (RAI) controls in place to safeguard against reputational risk and financial loss.
That’s the key finding from a new study published by Infosys Knowledge Institute (IKI), the research arm of consulting organisation Infosys, which uncovered that 95% of c-suite and director-level executives have reported negative AI-related incidents in the past two years.
Some 38% of businesses surveyed do not report the environmental impact of enterprise AI initiatives. A Goldman Sachs report in 2024 predicted AI’s energy demand will surge by 160% by 2030, and the IKI research called on organisations to use energy-efficient models as they build their enterprise AI stack.
Some 39% characterise the damage experienced from AI issues as “severe” or “extremely severe”, while 86% of executives that are aware of agentic AI believe it will introduce new risks and compliance issues.
Conversely, 78% of companies see RAI as a business growth driver – meaning there is a need to act to fill what the researchers have called a “substantial gap in practical implementation”.
The report, titled ‘Responsible Enterprise AI in the Agentic Era’, surveyed more than 1,500 business executives and interviewed 40 senior decision-makers across Australia, France, Germany, UK, US, and New Zealand. It found 77% of organisations reported financial loss, and 53% have suffered reputational impact from AI-related incidents.
Businesses dubbed as RAI leaders tend to be better at developing improved AI explainability in their organisations, and they proactively evaluate and mitigate against bias, rigorously test and validate AI initiatives and have a clear incident response plan.
Jeff Kavanaugh, head of Infosys Knowledge Institute, said: “Today, enterprises are navigating a complex landscape where AI’s promise of growth is accompanied by significant operational and ethical risks.
“Our research clearly shows that while many are recognising the importance of Responsible AI, there’s a substantial gap in practical implementation. Companies that prioritise robust, embedded RAI safeguards will not only mitigate risks and potentially reduce financial losses but also unlock new revenue streams and thrive as we transition into the transformative agentic AI era.”
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