More than three quarters of project-oriented companies plan to increase their investments in new technologies. Although a similar number are convinced that they should invest in AI to expand their services, less than half of companies expect this to increase profits.

While 79% of professional services firms expect increasing investments in new technologies, significant challenges remain to the wider adoption of new technologies.

According to the “Adopting Emerging Tech” study by software and solutions provider Deltek, companies are taking fewer risks with their resources due to economic headwinds.

Commenting on the findings, Bret Tushaus, Vice President of Product Management at Deltek, said: “Project management challenges are exacerbated by ongoing global socioeconomic upheaval. This increases the pressure on companies to optimize costs and reduce resources in order to remain profitable while meeting customer demand. It’s like trying to keep a smooth house running in difficult times, making sure all needs are met while keeping a tight budget.”

Source: Deltek, Adopting Emerging Tech

The biggest challenge to adoption was technology costs, cited by 54%. While playing it safe may seem like the best option, it also comes with risks. Looking at the data, Deltek found that an alarming 30% of companies surveyed said that failure to make significant progress on digital transformation would result in a loss of market share within 12 months, making it imperative for companies to overcome obstacles quickly.

74% of respondents also see investing in and implementing AI as a competitive advantage. Companies are convinced that it will improve their ability to expand their services in the market. But there are risks here too. Only 41% believe that a successful implementation will increase profits. This means that even simply spending money on the technology is no guarantee of success. To achieve this, it could be crucial to first focus on allocating core resources to get the most out of each investment.

Tushaus added, “Investing in ERP projects as a backbone provides insight into business metrics, streamlines processes, and supports the productivity gains needed to keep companies on track and confidently demonstrate their success to key stakeholders. Think of it as a detailed family planner that helps you track expenses, plan meals, and manage schedules all in one place. This makes it easier to keep everything under control and demonstrate progress.”