Despite high confidence in AI progress, only 17 percent say they have fundamentally reshaped team operations, while 68 percent say financial returns have yet to be formally calculated and reviewed
Avanade, which describes itself as the world’s leading Microsoft expert, has launched its Build Beyond Limits: AI Reality Report. It reveals a growing gap between organizations’ confidence in their AI maturity and the extent to which they have fundamentally transformed how they operate.
THE GLOBAL PICTURE
The global survey found that 77 percent of organizations describe themselves as Established, Advanced, or AI-first in their AI journey, while 72 percent have high confidence that their teams are using AI effectively. Yet only 18 percent say they have fundamentally reshaped how their teams operate around AI, and 75 percent believe organizations publicly present themselves as more AI mature than they really are.
The study surveyed 3,600 business decision makers across 11 markets, including North America, EMEA, and Asia-Pacific and Japan. Respondents were from organizations with more than USD500 million in global annual revenue across Financial Services, Consumer Goods and Services, Energy, Healthcare, Manufacturing, Retail, Distribution, and Transport.
APAC: STRONG PROGRESS, LIMITED TRANSFORMATION
The findings from 1,400 respondents across APAC reveal a similar divide. While 76 percent describe their teams as Established, Advanced, or AI-first in their AI journey, and 73 percent have high or complete confidence that their teams are using AI effectively to deliver their strategy and goals, only 17 percent say they have fundamentally reshaped how their entire teams operate around what AI makes possible.
Key APAC findings include:
- Investment remains focused on incremental gains: 79 percent agree that too much of their organization’s AI investment is directed toward incremental improvements rather than transformational opportunities.
- Financial accountability remains a challenge: 68 percent agree that their organization has yet to formally calculate the financial return on its AI investment and have the results reviewed by finance or senior leadership.
- Perceived maturity may exceed reality: 76 percent agree that their own organization publicly portrays itself as more AI mature than it actually is.
Separately, only 43 percent of APAC respondents say their organizations use business-value and ROI targets to judge whether they are making meaningful progress with AI. This suggests that many organizations may still be evaluating AI activity and adoption without consistently linking it to business outcomes and value creation.
For APAC business leaders, the priority is to distinguish between AI investments that improve existing operations and those intended to fundamentally change how the business creates value. Both can deliver benefits, but they require clear objectives, accountability, and measures of success aligned with what each investment is intended to achieve.
WHAT AVANADE’S LEADERS SAY
“AI is no longer a purely technological conversation, it’s a transformative one. Our research shows that while organizations are seeing value from AI, many are still only applying it to existing ways of working, rather than reimagining what’s possible. The opportunity isn’t simply to keep pace. It’s to build beyond today’s limits.
“We’re already seeing what’s possible when organizations move beyond productivity gains and redesign workflows around AI. Through our work with Thomson Reuters on Reuters Imagen, we’ve seen first-hand how AI can unlock entirely new ways of creating value when organizations are willing to rethink how work gets done,” said Chris Howarth, CEO at Avanade.
“Too many organizations are measuring AI progress by activity rather than impact. Deploying tools, running pilots and improving productivity are important milestones, but they are not the destination. What remains to be seen is whether organizations are truly changing and investing in how decisions are made, how work gets done and how value is created through AI. AI-native challengers are building these capabilities from day one, and established organizations must think just as boldly about the future they want to create,” said Ben Beath, chief AI officer at Avanade.
“Incremental AI improvements can create real value, but improving existing operations and fundamentally transforming a business are different ambitions. APAC leaders need to be clear about where each applies, with investment decisions and measures of success to match. Where transformation is the goal, that means redesigning workflows, responsibilities and decision-making, with clear ownership of outcomes. The real test is whether the intended change happens and its value can be demonstrated,” said Bhavya Kapoor, president of Avanade Asia Pacific.
ABOUT THE RESEARCH
Avanade commissioned independent market research specialist Vanson Bourne to conduct the research. A total of 3,600 business decision makers were interviewed in August and September 2026, with representation across the Americas, Europe, the Middle East, India, and Asia-Pacific and Japan. Respondents were from organizations with more than USD500 million in global annual revenue across Financial Services, Consumer Goods and Services, Energy, Healthcare, Manufacturing, Retail, Distribution, and Transport.
The full report, Build Beyond Limits: The AI Reality Report, is available on Avanade’s website.