The survey added that companies in the automotive, banking and financial services, consumer goods, technology, industrial manufacturing, and telecoms said managing this risk is the biggest determinant of success on AI investments.
Getting managers and employees to trust the advice provided by AI systems, and getting employees to learn about and adopt the new processes and systems that AI requires is also very important, it said.
However, addressing people's fears about losing their jobs is not ranked as a major barrier by the survey of 835 executives across 13 sectors.
The study comes amid growing concerns among a section of the tech world, which feels AI has the potential to have unwelcome consequences and are hence making a pitch for a regulation, while others feel that the industry will continue finding required solutions by itself.
The survey said all the industries, led by insurance have started to invest in AI systems.
The insurance industry is averaging $124 million in AI spends, followed by $95 million while the cross-sectoral average was $70 million, said the survey.
As many as 80% of the 835 executives polled said they are investing in AI while the remaining 20% said they have plans to start focusing on this aspect by 2020, it said.
"All industries see AI technology as a major game-changer on their business competitiveness by 2020," TCS chief technology officer K Annath Krishnan said.
When going by investments in AI as a percentage of revenue, consumer goods industry led with 0.66%, followed by utilities (0.53%), insurance (0.52%) and telecoms (0.39%).
The survey claimed all respondents spoke about revenue benefits on AI investments with an average revenue increase of 17% across all the 13 sectors. It has an impact on costs as well, with 12% average reduction being reported by those polled.
Telecom is the biggest gainer when it comes to return on the AI investments, with 25% revenue improvement and 20% cost reductions reported by those polled.
AI is used the most by the information technology function with high-tech and utility companies more frequently using cognitive technology in their IT operations, the survey said.
However, only 29% of the companies are using AI in sales at present even though some segments like consumer goods (52%) and retailers (49%) reported higher tendency to use it.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)