48% of healthcare, pharma firms to use Gen AI solutions in 1 year: Report

Nearly 48 per cent of healthcare and pharma companies surveyed are poised to integrate first-gen AI solutions within one year, an EY report said on Wednesday.

The shift is, however, significant in the sector, which has been traditionally conservative in adopting digital technologies, it added.

The findings also underline the growing appeal of this emerging technology that has made headlines with its promise of transforming industries.

The EY report insights revealed that in healthcare, Gen AI holds the promise of benefiting every facet of the value chain, from clinical services to customer operations and branding. Similarly, in life sciences, the potential of Gen AI applications is poised to expedite the assimilation of cutting-edge technologies across the value chain.

According to the report, 60 per cent of survey participants from the healthcare and life sciences sector believe Gen AI will have a significant impact on the entire value chain.

"While 28 per cent of healthcare and life sciences firms have already implemented their first Gen AI solution, a significant majority -- 48 per cent -- plan to implement their first Gen AI solution within 1 year," it said.

The report, titled 'The AIdea of India: Generative AI's potential to accelerate India's digital transformation' highlights that while the healthcare and life science sector has been traditionally conservative in adopting digital technologies, a gradual shift is underway.

While some organisations in India are already piloting Gen AI in controlled environments, 80 per cent of the surveyed firms acknowledged that their organisations are not yet fully prepared to embrace this technology.

Still, there is a keen interest in establishing the necessary infrastructure, the report said.

While concerns revolve around potential job displacements, leaders were largely positive that Gen AI will not replace the core healthcare workforce but rather improve their efficiency.

About 84 per cent of healthcare and life sciences firms surveyed believe that Gen AI can positively impact workforce productivity, whereas 60 per cent believe, it could amplify existing workforce potential.

During the survey, healthcare leaders cautioned that the adoption and implementation of Gen AI would be challenging.

It also revealed apprehensions among industry leaders, such as a dearth of adequate skills and understanding within the existing ecosystem, and reservations regarding result accuracy.

Concerns pertaining to data privacy, cybersecurity and the potential for biased responses underscore the imperative to mitigate these issues before embarking on this transformative journey.

"The survey was designed to reflect the breadth of Indian business sectors. It canvassed nearly 200 C-suite executives across India. They represent diverse sectors, including technology; media and entertainment; financial services; government; health, pharma and life sciences; retail; and manufacturing," EY said.