BCG Report: 49% of GCC Organizations Champion Digital Maturity Potential

(MENAFN- mslgroup) Boston Consulting Group (BCG) has unveiled its latest report, Unlocking Potential: Strategies Driving GCC's Digital & AI Maturity. The study reveals how organizations in Qatar, Saudi Arabia, and the United Arab Emirates leverage digital and AI strategies to accelerate transformation. The findings demonstrate that organizations with mature digital and AI capabilities achieve substantially higher revenue and enterprise value.
Drawing on data from over 200 companies across eight key sectors, the research shows that high-maturity organizations significantly outperform their peers. These organizations allocated 2.4x more funding to AI initiatives and dedicated 2.3x higher workforce share to digital & AI transformation in 2024. As a result, they were 1.25x faster in launching digital & AI products to the market and have scaled 2.3x more AI & GenAI solutions across their organizations.
Key Drivers of AI Adoption in GCC Industries
The GCC region is advancing in AI adoption, with 47% of organizations leveraging the technology to drive measurable value. Many of these organizations have successfully embedded AI into their core business functions, achieving improved operational efficiency. The public sector in the GCC stands out for outpacing its global peers in digital and AI readiness, driven by ambitious government initiatives and successful digital rehauls since 2021.
Financial Institutions, Technology, and Healthcare sectors in the GCC are leading in digital & AI maturity based on the 2024 survey ranking of industries. These digitally mature organizations demonstrate clear competitive advantages, achieving 2.1x higher market share with 25% faster time-to-market of digital & AI products than their less mature counterparts. This performance indicates the significant value potential of AI-driven transformation across key regional sectors.
Despite these achievements, the report identifies ongoing opportunities for advancement. While 25% of GCC organizations have reached the top two stages of digital & AI maturity—compared to 31% globally—challenges remain in driving organization-wide AI transformations. These include lack of access to high-quality data, difficulty integrating with existing IT systems, limited availability of talent and skills, and challenges with reimagining workflows and implementing new processes.
These gaps highlight both the region's strong commitment and the potential to further accelerate digital and AI integration to match global benchmarks. This is particularly promising for 49% of surveyed organizations that scored in the mid-range or “emerging” maturity category having succeeded in digital transformations yet still struggle to scale organization wide.
Rami Mourtada, Partner & Director, Digital Transformation at BCG, said: "The real imminent opportunity with emerging technologies such as AI is reshaping core business functions. What's particularly encouraging is seeing many GCC companies, led by public sector entities and financial institutions, rapidly scaling-up AI deployment. This is about monitoring and learning from AI adoption approaches, and about building robust digital-first foundations. Success will depend on how effectively organizations balance innovation with practical implementation, underpinned by integrated capabilities that drive long-term benefit."
A Roadmap to Accelerate GCC Digital Maturity
To bridge the global maturity gap and accelerate impact, GCC organizations must embrace a bold, digital & AI-first strategy across five key recommendations:
• Re-align organizational strategy with a digital-first vision to overcome structural barriers like operational agility and talent development.
• Set a bold strategic ambition for AI adoption focused on clear value pathways and guardrails for responsible AI adoption.
• Boost viable people, organizational capabilities, and underlying technology platforms to support ambition and invest in parallel to scale up.
• Maintain a pipeline of continuing innovation pilots to rapidly and effectively adapt to the changing landscape of emerging technologies.
• Prioritize high-profile lighthouse initiatives with high ROI to fund the journey and build momentum for organization-wide change.
Sustaining Digital Excellence in the GCC
While the GCC has made significant strides, the report emphasizes the need for organizations to prioritize high-impact initiatives that deliver measurable ROI and drive innovation across the board. By investing in advanced AI capabilities and aligning strategies with a digital-first approach, organizations can unlock untapped potential and position themselves for long-term success.
Dr. Lars Littig, Managing Director & Partner at BCG, said: "The GCC's digital future hinges not on infrastructure alone, but on the ability to build deep organizational capabilities. Our research shows that digitally mature organizations see threefold returns on their AI investments, yet significant capability gaps remain across sectors. To translate ambitious vision into tangible business value, GCC organizations must move beyond surface-level digital adoption and focus on foundational elements - data architecture and talent development. This isn't just about catching up to global benchmarks; it's about establishing a sustainable model for digital innovation that leverages the region's unique strengths and positions the GCC as a global leader in the AI era."

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