With generative artificial intelligence emerging as a cornerstone of enterprise innovation, organizations are poised to unlock new possibilities and drive unparalleled growth.

Strategic partnerships, robust data strategies and a holistic approach to technology integration are an important part of this growth of enterprise technologies. As enterprises navigate the complexities of digital transformation, companies have an opportunity to reap the rewards of embracing innovation and harnessing the full potential of generative AI.

“Return on transformation investment’s really important,” said Ray Wang (pictured, left), founder and chairman of Constellation Research Inc. “What you’re thinking about is, where are my regulatory projects? Where are my cost reduction? Where’s operational efficiency? Where’s revenue and growth? Having the right portfolio is going to be very important.”

Wang was joined by Ayon Banerjee (right), chief strategy and growth officer at Persistent Systems Ltd., as they spoke with theCUBE Research executive analyst John Furrier at the “Accelerating Innovation With Persistent” event, during an exclusive interview on theCUBE, SiliconANGLE Media’s livestreaming studio. They discussed the intricacies of the seismic shift in the approach by companies to innovation, with a particular focus on leveraging generative AI to drive enterprise innovation and shed light on crucial aspects and valuable insights about the future of enterprise technology. (* Disclosure below.)

Embracing generative AI in enterprise innovation

Data precision is an important part in today’s enterprise landscape. As enterprises racing to adopt AI technologies, there is a necessity of having the right data strategy in place to achieve precision and build trust, according to Wang.

“Every company is running out of data, and the question is do you have enough data to achieve a level of precision that your stakeholders are going to trust,” he said. “It’s really important to make sure you have small language models, very small language models to complete that level of precision and data. Start with the data you have and then partner for all the other sources.”

A robust data strategy is the foundation for successful AI adoption, according to Banerjee. Drawing from his extensive research, he noted that enterprises are now fully funding AI projects, marking a significant shift from the previous year.

“What you’re going to continue to see is that budgets are going to be tough,” he said. “Companies need to be very deliberate.”

Transforming IT services for the future

When it comes to the evolution of the IT service market, there has been a fundamental shift in engagement dynamics in addition to AI adoption, according to Wang. The conversations now extend beyond traditional IT departments to include various stakeholders across organizations.

“There are IT service providers that have a full breadth of services around the way and then there’s Persistent, which is focused on innovation, product development, engineering,” Wang said. “I don’t see them as the IT services that you’re just hiring people for time and materials. I see them as people you go to for an innovation partner. And that’s kind of how we advise our customers.”

With enterprises increasingly seeking innovative approaches, Banerjee highlighted the immense opportunities for IT service providers to drive value and fuel business growth. IT service providers should act as innovation partners, guiding enterprises toward a future-ready ecosystem.

“Establish the value before you start really taking it to the next level,” he said. “The risk always is that if I try to do much more and sooner and then have a few missteps, it creates a big reputational issue. It’s really about being deliberate and thoughtful about what we are actually doing.”

Here’s the complete video interview, part of SiliconANGLE’s and theCUBE Research’s coverage of the “Accelerating Innovation With Persistent” event:

(* Disclosure: TheCUBE is a paid media partner for the “Accelerating Innovation With Persistent” event. Neither Persistent Systems Ltd. nor other sponsors have editorial control over content on theCUBE or SiliconANGLE.)

Photo: SiliconANGLE