A KPMG study that probes GenAI impact in the Apparel & Footwear industry finds that while AI or artificial intelligence is being adopted by businesses across markets, and there is the realisation of the benefits it can bring, and the return on investment it can deliver, the journey could accelerate as new capabilities come on stream.
- KPMG polled senior apparel and footwear accounting executives regarding GenAI and the impact it has on their workforce.
THE FINDINGS:
Current state of AI implementation
- Sixty-nine percent of respondents stated that their finance and accounting organisations do not have access to a large language model (LLM). Without access to secured LLMs, companies may find it challenging to integrate GenAI into their workflows and processes.
- The trend of using GenAI for customer interactions and inventory management highlights a focus on enhancing customer experience, optimising operations, and leveraging data-driven insights. This trend reflects a broader movement toward adopting advanced technologies to drive efficiency, personalisation, and competitive advantage in the apparel industry.
Perceived sentiments of AI
- Companies are increasingly recognising the value of GenAI in knowledge assistance, with 75% of respondents finding it the most compelling use case. The trend indicates a growing reliance on AI to enhance knowledge management and improve access to information.
- Fifty-five percent of respondents have concerns regarding bias, transparency, or GenAI inaccuracies. This concern points to a trend towards ethical AI development and the need to establish stronger AI governance and oversight frameworks.
- To mitigate the risks associated with AI inaccuracies, companies might invest in training and educating their employees on how to effectively use AI tools. This includes understanding the limitations of AI, recognizing potential biases, and validating AI-generated information.
Workforce adoption and training
- One-hundred percent of respondents have completed less than five hours of GenAI training in the past 12 months. This suggests that there is a limited focus on internal training and upskilling around generative AI. Companies may not yet fully recognise the importance of extensive training or may lack the resources to provide it.
- Companies that prioritise AI training and development are likely to be more attractive to top talent who are seeking opportunities to grow their skills in cutting-edge technologies. Additionally, providing robust AI training can help retain current employees by offering them valuable career development opportunities.
- Seventy-five percent of respondents have not invested in a third party to assist in increasing the use of AI across the company.
