Measuring the ROI of AI at Work Is Tricky Business
Investing in Copilot for Microsoft 365 is a significant commitment for organizations. It naturally prompts a curiosity about its Return On Investment (ROI). However, measuring ROI poses a challenge due to the unique nature of the solution.
What makes ROI hard to measure for knowledge work?
Through generative AI, Copilot promises to enhance productivity and foster creativity. While people commonly equate productivity with ROI, quantifying it for knowledge workers is hard. Just ask Copilot how it would measure knowledge-worker productivity, and you start to see why:
“Unlike other types of workers, knowledge workers do not produce tangible goods or services that can be easily measured and quantified. Knowledge workers are involved in creating, processing, and distributing information and knowledge, which are often intangible and complex.”
Ultimately, the ROI of Copilot remains elusive in the tool’s early stage of development. This Microsoft report is the most comprehensive analysis on ROI to date, but the inclusion of “likely” in the title suggests uncertainty. Some organizations, like this global electronic-component manufacturer leveraging their data and AI to boost efficiency and revenue through a “recommendation engine,” do realize immediate returns. However, for many, ROI doesn’t always crystallize clearly from the start.
Copilot for Microsoft 365 has only been widely accessible to enterprises since November. Many features are still in the preview stage. Given its continuous introduction of new features and the rapid evolution of generative AI, it’s too early make definitive claims about the concrete ROI it offers.
Where to find ROI
That doesn’t mean the ROI of Copilot is immeasurable. Based on Insight’s lessons learned, it comes down to two things:
- The benefits of enhancing skills: Copilot enhances employee knowledge, writing ability and efficiency in Microsoft 365. They get help with intricate formulas and coding, gain insights about your organization through tailored prompts based on your data, etc. Copilot even guides new hires through an oftentimes overwhelming onboarding process.
- The ability to improve current measurable processes: Identify quantifiable workflows and explore how Copilot can enhance them. For example, a customer service agent handling client emails could leverage Copilot in Outlook to address a higher volume of inquiries. This efficiency gain helps them focus on higher-value tasks.
In both scenarios, the challenge is determining where the saved time went. If it doesn’t help boost productivity, you must then assess whether employees’ other tasks lead to tangible value.
Copilot shines for employee experience.
Insight’s experience with Copilot says its value extends beyond hard ROI. Employee experience is the bread and butter of the AI work assistant. Workers express excitement about using a tool like Copilot to help do their jobs more effectively. Microsoft sheds light on user feedback regarding Copilot through these stats:
- 70% of Copilot users said it makes them more productive.
- 73% said they use it to complete tasks faster.
- 64% said it helps them spend less time going through email.
- 85% said it helps them write a good first draft faster.
- 87% said it makes getting started on a first draft easier.
- 86% said it makes catching up on what they missed easier.
- 68% said it improves their work’s quality.
- 57% said it boosts their creativity.
- 68% said it helps them kick start the creative process.
- 72% said it helps them come up with writing ideas.
We have seen this enthusiasm with our own deployment of Copilot for Microsoft 365. Of about 4,600 Copilot licenses assigned across the entire Insight organization, 85% use it on a regular basis to improve their output.
Don’t turn back with Copilot.
Remember when email was the new technology on the block? Having a corporate email address in the mid-1990s was a luxury in which some executives didn’t see value.
Of course, some were curious and some opted to adopt it immediately. But its ROI was just as hard to define. However, its ability to help render picking up a phone obsolete and move organizations away from on-the-verge-of-outdated paper processes was a game-changer.
AI has a similar effect, revolutionizing knowledge work. It helps knowledge workers improve their productivity, creativity and effectiveness in their roles, even if the exact degree to which it does is hard to measure. It also helps organizations attract and retain top talent looking for every opportunity to get ahead in their work.
Once employees start using Copilot, it’s likely an advantage they won’t want to be without from there on out. Who wants to be the one organization to tell them it’s not an option, when so many others are moving ahead in that direction?
For more information on how Insight can help your organization leverage generative AI to boost your employee experience and productivity, visit insight.com or call 1.800.INSIGHT.
