New Samsara Research Indicates the AI Revolution Has Arrived in Physical Operations, and Industry Leaders Are Already Reaping the Benefits

Rhea-AI Summary

Samsara's latest State of Connected Operations Report highlights the significant impact of AI in physical operations, based on insights from over 1,500 leaders across seven countries. The report reveals that 94% of operations leaders see AI as essential for staying competitive, with 87% planning to increase AI investments within the next year. More than half (51%) of leaders are already using AI, experiencing benefits like improved safety (45%) and employee productivity (42%). Additionally, 90% of employees using AI view it positively. The report stresses the importance of data privacy and security, with 58% of leaders implementing protective measures and 51% prioritizing security compliance when selecting technology partners.

Positive

• 51% of leaders are already using AI, indicating strong adoption.
• 87% plan to increase AI investments within the next year, showing future growth potential.
• 45% reported improved safety and 42% reported enhanced employee productivity due to AI.
• 90% of employees using AI have a positive outlook on its implementation.
• 58% of leaders are implementing privacy and data protection measures.

Negative

• Despite positive usage, 42% of leaders are not yet employing AI, indicating slower adoption in some areas.
• Only 51% of organizations prioritize security and privacy compliance, suggesting potential vulnerabilities.
• AI investment pressures may increase costs for companies not yet adopting these technologies.
• Labor shortages, geopolitical conflicts, and reshoring challenges may strain resources despite AI advancements.

Insights

Tech Expert

The findings of Samsara's report are indicative of a broader trend in the adoption of AI across physical operations. With 51% of leaders already using AI and 87% planning to increase investments, it's evident that AI is no longer an experimental technology but a vital tool for enhancing productivity and safety. The positive reception from employees (90%) validates the technology's integration in day-to-day operations.

One critical area of focus is data privacy and security. With 58% of organizations implementing privacy measures, this shows a prudent approach to managing the large datasets required for AI. It's important for these operations to maintain trust and compliance while leveraging AI capabilities.

In the short term, organizations can benefit from immediate improvements in efficiency and safety, as evidenced by reported gains of 42% in productivity and 45% in safety enhancements. Long-term benefits include staying competitive and operationally resilient against challenges like labor shortages and geopolitical issues.

Market Research Analyst

Samsara’s report highlights a significant shift in market sentiment towards AI within physical operations, which account for over 40% of global GDP. The overwhelming consensus among leaders (94%) that AI investments are necessary underscores the urgency to adapt to technological advancements to remain competitive.

Interestingly, the report points out that 52% of leaders prioritize integration capabilities with existing systems when selecting AI partners. This indicates a market demand for flexible, interoperable AI solutions that can seamlessly blend with legacy systems, ensuring minimal disruption during implementation.

The anticipated increase in AI investment (by 87% of organizations) suggests robust future growth in the AI sector, potentially driving up stock values of companies operating in this space. However, investors should monitor how successfully these organizations manage the integration and privacy aspects to gauge the long-term sustainability of these AI initiatives.

Samsara’s latest State of Connected Operations Report reveals majority of leaders see AI as a competitive advantage and are already realizing positive ROI across safety and productivity

• More than half of leaders surveyed (51%) are already using AI, and 87% said they plan to increase investments in AI in the next year.
• All organizations using AI report they have experienced benefits, including improved safety (45%) and employee productivity (42%). Of those already using AI, 90% say their employees feel positively about it.
• Of those already using AI or planning to in the next 1-2 years, 58% are implementing privacy and data protection measures.

SAN FRANCISCO--(BUSINESS WIRE)-- Samsara Inc. ("Samsara") (NYSE: IOT), the pioneer of the Connected Operations™ Cloud, today announced its latest State of Connected Operations Report — Smarter, Faster, Safer: The AI Revolution in Physical Operations — providing insights into how the organizations that drive more than 40% of the global GDP are leveraging artificial intelligence (AI) to enhance safety, maximize efficiency, and empower their employees. With perspectives from more than 1,500 physical operations leaders across seven countries, the report reveals how AI is already revolutionizing how these organizations operate — and how leaders are transforming their operations and unlocking new efficiencies. This original research found that 94% of operations leaders surveyed believe their organization needs to invest in AI technology solutions to keep up in today’s environment.

“AI is everywhere, and physical operations leaders are quickly embracing it,” said Evan Welbourne, Head of AI and Data at Samsara. “When used strategically, advances in AI can bring meaningful change to the companies that power our global economy. For example, it can reduce costs, boost efficiency, and even save workers' lives in the field.”

AI investment is on the rise.

While some industries are slower to adopt AI, organizations within physical operations are embracing it, viewing it as a market-tested technology whose utility is proven and expanding. Nearly all (94%) leaders believe AI technology is vital to keep up, and 87% of organizations say they plan to increase investments in AI within the next 12 months. With continued pressures around labor shortages, geopolitical conflicts, and reshoring, technology will be key as organizations face these challenges.

The use of AI is growing in physical operations — and employees see that as a good thing.

AI is not seen just as an experimental technology for the industries that keep the global economy running smoothly. More than half (51%) of leaders surveyed say their organization is already using AI, and reported benefits include improved safety (45%) and employee productivity (42%). Leadership roles are not the only ones within these organizations that are bullish on AI — 90% of those already using AI say their employees feel positive about it. This may be because workers are seeing the direct benefit these solutions have on their day-to-day lives through enhanced workplace safety and efficiency.

Security and data privacy come first.

It takes massive amounts of data to train AI models, representing a huge responsibility — and risk — for any organization. Physical operations leaders are not cutting corners. Of those already using AI or planning to in the next 1-2 years, 58% are implementing privacy and data protection measures. For the 63% of organizations that plan to adopt AI solutions created by external technology partners, security is not to be sacrificed for functionality. 52% of leaders said they care most about a partner’s ability to integrate with existing systems, with security and privacy compliance (51%) also ranking high.

“Not all AI solutions are created equal,” says Welbourne. “You have to be able to trust the system, and that means finding a technology partner who not only has a proven track record with responsible innovation, but who also deeply understands your business and the challenges you’re up against.”

To view all insights from the State of Connected Operations Report — and discover how operations leaders are embedding AI into their organizations — visit https://samsara.com/resources/state-of-connected-operations-report-ai.

About the Research

This survey was conducted by an independent research firm, Wakefield Research, between April 5 and April 14, 2024. 1,550 operations leaders were surveyed across seven countries: the United States, Mexico, the United Kingdom, Ireland, France, Germany, and Canada. This survey consisted of 20 questions and was conducted online, in either the English language or translated into a local language across markets. Global results have been aggregated across all responses to provide an average. Please see the full report for additional information on the audience surveyed.

The information provided in this report is for general informational purposes only. Samsara does not guarantee you will achieve any specific results if you follow any advice in the report. It may be advisable for you to consult with a professional such as a lawyer, accountant, architect, business advisor, or professional engineer to get specific advice that applies to your specific situation.

About Samsara

Samsara (NYSE: IOT) is the pioneer of the Connected Operations™ Cloud, which is a platform that enables organizations that depend on physical operations to harness Internet of Things (IoT) data to develop actionable insights and improve their operations. With tens of thousands of customers across North America and Europe, Samsara is a proud technology partner to the people who keep our global economy running, including the world’s leading organizations across construction, transportation and warehousing, field services, manufacturing, retail, logistics, and the public sector. The company's mission is to increase the safety, efficiency, and sustainability of the operations that power the global economy.

Samsara is a registered trademark of Samsara Inc. All other brand names, product names or trademarks belong to their respective holders.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240611959094/en/

Lindsay McKinley

media@samsara.com

Source: Samsara

FAQ

How many leaders are currently using AI in physical operations according to Samsara's report?

According to Samsara's report, 51% of leaders are currently using AI in physical operations.

What percentage of leaders plan to increase AI investments in the next year reported by Samsara?

87% of leaders plan to increase AI investments in the next year as reported by Samsara.

What are the reported benefits of AI in physical operations from Samsara's report?

The reported benefits include improved safety (45%) and employee productivity (42%).

How do employees feel about AI according to the latest Samsara report?

90% of employees using AI feel positively about it according to Samsara's report.

What security measures are leaders implementing for AI in physical operations as per Samsara?

58% of leaders are implementing privacy and data protection measures for AI.