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Many companies are struggling to scale their AI deployments or even move them past the pilot stage. Often the problem isn't technology, but organizational misalignment around goals, processes and incentives. At the break, join Caroline Roach, Senior Partner, IBM Consulting, to learn why.
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Here's your afternoon TNB Tech minute for Wednesday, May 27th. I'm Julie Chang for the Wall Street Journal. SK Hynix, the world's second largest memory chip maker, is the latest company to join the $1 trillion club. Shares in the company have more than tripled this year amid the AI chip boom. They rallied over 9% higher today, bringing its market capitalization above $1 trillion. Fellow memory maker Micron hit the same milestone just hours before, and South Korean peer Samsung Electronics also passed the mark earlier this month. Speaking of Samsung, unionized workers there approved a bonus pay deal averting a strike under the terms of the deal reviewed by Dow Jones News Wires. The the company has agreed to allocate 10.5% of its semiconductor division's operating profit to special bonuses for employees in that segment, contingent on hitting certain profitability benchmarks. A senior Samsung official said that that could yield up to $430,000 per employee as early as next year. The 11th hour deal put an end to months of labor unrest that had raised fears of possible disruptions to the global chip supply chain. And the European Union plans to reserve most of its mobile satellite spectrum for homegrown operators starting next year. It's the bloc's latest move to curb reliance on foreign tech companies. Wednesday's proposal would overhaul how licenses are granted for the frequency band that's used for satellite communications after May 2027, when licenses held by U.S. companies ViaSat and EchoStar are due to expire. Two thirds of the sought after ban would be reserved for commercial use, which would be divided between European companies and non EU companies to diversify the bloc suppliers. The remaining one third of access would also be set aside for EU operators providing secure government communications. And that's your TMB Tech minutes. Check back in the morning for another quick tech update.
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Scaling AI successfully requires more than the right technology. Here again is Caroline Roach, senior partner,
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IBM Consulting the biggest thing that we were talking about a year ago is what model to use, and the biggest thing that I'm talking about with my clients now is how do I drive change within my organization.
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Companies able to identify correct and then avoid misalignment will be best positioned to deliver meaningful business value from AI.
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The organizations that are the most successful set very clear targets and have several priorities that are very clear across the enterprise. The technology is really good, but if you're not changing your organizational alignment, not incentivizing your people correctly, not looking at workflows, you're not going to see real value with it.
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Visit IBM.com think leadership to learn how building organizational alignment can help deliver AI deployments that scale and drive growth.
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