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95% of Enterprises See No ROI from AI Tools, MIT Study Blames ‘Workslop’

MIT study reveals 95% of enterprises see no ROI from AI tools, with workslop costing companies over $9 million annually in lost productivity.

Businesses across various sectors are increasingly investing in artificial intelligence (AI) tools for workplace efficiency, yet a new report from MIT Media Lab reveals that 95 percent of organizations have reported no measurable return on their investments in generative AI tools. This substantial gap between AI adoption and return on investment is attributed primarily to the fact that AI does not seamlessly integrate into many existing workflows. In addition, most AI models still lack the contextual awareness necessary to effectively address industry-specific tasks.

Compounding this challenge, a separate study by BetterUp Labs has introduced the concept of “AI workslop,” defined in the Harvard Business Review as “AI-generated content that looks polished but doesn’t actually move work forward.” This phenomenon means that employees often find themselves investing more time revising, correcting, or clarifying AI-generated content than they would have spent completing the tasks themselves.

The implications of this workslop are significant. The BetterUp report estimates that employees spend nearly two hours a day—specifically, an average of 1 hour and 56 minutes—dealing with such subpar outputs. This includes the time spent decoding poorly constructed ideas, fixing missing details, and reworking content that ultimately lacks utility. The repercussions extend beyond the individual, dragging in managers and peers and creating a ripple effect that disrupts team productivity.

Researchers have linked the issue of workslop to a phenomenon known as cognitive offloading, which involves the use of external tools to minimize mental effort. However, in the case of workslop, the burden is not transferred to a machine; rather, it is shifted onto coworkers. According to BetterUp, this issue predominantly affects peers, accounting for about 40 percent of all cases, while managers contribute to workslop approximately 16 percent of the time.

Overall, companies with more than 10,000 employees could be losing as much as $9 million annually in productivity due to the high volume of workslop, which constitutes roughly 40 percent of all AI-generated output in the workplace. Beyond the financial impact, the cultural cost is equally noteworthy. Employees reported feeling frustrated, confused, and even offended when confronted with workslop, which can erode trust and collaboration among coworkers.

While some may consider abandoning these AI tools entirely as a solution to the problem, BetterUp Labs advocates for a more nuanced approach. Setting clear organizational guidelines for the appropriate use of AI is crucial. This involves defining scenarios in which AI can add genuine value while establishing firm boundaries where its application may conflict with the company’s strategic objectives or values.

Additionally, researchers recommend a shift in mindset regarding AI’s role in the workplace. Instead of viewing AI as a mere shortcut, it should be regarded as a collaborator that supports high-quality work. This perspective emphasizes the need to treat AI as a tool that enhances productivity rather than a replacement for diligence and effort.

As businesses continue to experiment with AI integration, understanding and addressing the challenges posed by workslop will be vital in realizing the technology’s full potential. With a strategic approach, organizations can harness AI to genuinely augment productivity and foster a healthier workplace culture.

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Marcus Chen
Written By

At AIPressa, my work focuses on analyzing how artificial intelligence is redefining business strategies and traditional business models. I've covered everything from AI adoption in Fortune 500 companies to disruptive startups that are changing the rules of the game. My approach: understanding the real impact of AI on profitability, operational efficiency, and competitive advantage, beyond corporate hype. When I'm not writing about digital transformation, I'm probably analyzing financial reports or studying AI implementation cases that truly moved the needle in business.

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