AI is everywhere these days, in all of our devices, search engines and much more. While much of the impact is still unknown in these early days, it’s clear AI integration is here to stay. The latest KPMG poll shows more than half of Canadian organizations plan to invest in agentic AI in the next six months.
Agentic AI systems can operate independently by using tools such as large language models to make decisions and perform tasks with minimal or no human intervention. AI agents can perform a variety of tasks independently, such as responding to customer inquiries, placing and tracking orders, building lead generation lists and managing refunds.
"Agentic AI is a nascent technology, but it’s the most transformative AI we’ve ever seen in human history to date. We are already seeing humans work alongside agents as organizations use the technology to fill critical skills gaps, boost productivity and efficiency. Using AI agents for repetitive tasks allows an organization to re-focus their workforce on the more critical work, such as strategy and innovation," Stephanie Terrill, managing partner for digital and transformation at KPMG Canada, said in a statement.
Agentic AI a top investment opportunity
Agentic AI is already making its way into the workplace, with just over a quarter of survey respondents saying they’ve already rolled out the technology within their organization. Nearly two-thirds are in the early stages, whether that’s exploring potential uses, running experiments or launching pilot projects. Looking ahead, 34% of those surveyed plan to adopt agentic AI within the next year.
While almost three-quarters said they’re "very familiar" with what agentic AI is, only about two-thirds felt the same confidence when it came to understanding how it could actually be applied in their own industry or workplace.
“There’s still a knowledge gap between what business leaders know about agentic AI and how they can use it to their advantage,” said Terrill. “Awareness, education and hands-on experience will be key to closing that gap.”
Putting agentic AI to work
When it comes to putting agentic AI to work, organizations are eyeing improvements in key areas like customer service, cybersecurity, compliance and regulatory management, communications and accounting.
The most anticipated benefits include quicker, more accurate access to information, stronger decision-making capabilities and a boost in productivity. But there are hurdles, too. Cybersecurity and privacy concerns, data quality issues and the cost of deployment top the list of challenges businesses expect to face.
Most organizations believe the technology will have a clear impact on the bottom line. A majority expect agentic AI to increase profitability by five to 15%, and more than half predict it will help reduce operating costs by a similar margin.
Still, not all outcomes are positive. Eight in 10 expect the technology will lead to a reduction in headcount, and nearly three-quarters say there’s real concern among staff that agentic AI could replace them, or entire teams.
Survey methodology
KPMG in Canada surveyed 252 Canadian businesses from Feburary 28 to March 5, using Sago’s premier research panel. Seventy-two percent of respondents identified as business owners and 28% are senior level decision makers. Sixteen percent of respondents are in banking and capital markets; 15% in industrial manufacturing; 15% in technology, media and telecommunications; 12% in consumer, retail and leisure; remaining respondents are spread out across other industries.
As well, 22% of respondents’ organizations reported annual revenues of $50 to $99.9 million; 19% reported between $100 million and $299.9 million; 10% between $300 million and $499.9 million; 13% between $500 million and $699.9 million; 10% between $700 million and $899.9 million; 12% between $900 million and $1 billion; and 14% reported annual revenues over $1 billion.
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
