Accenture’s AI Progress Barometer: Europe Shows Promise But Faces Internal Divide

AI readiness is a crucial metric that reflects an organization’s capabilities to optimize AI's value. Key components of AI readiness include access to quality data, a skilled workforce, and the establishment of effective processes. Accenture’s AI Progress Barometer evaluates approximately 3,000 of the world’s largest companies, scoring them on a scale of 0 to 100, where a higher score indicates a greater level of AI readiness.

The Barometer revealed that European companies improved their AI readiness scores by 1.6 points over the past six months, a notable increase compared to a 1.1-point rise in North America. Despite this positive trend, North American firms continue to outpace their European counterparts, boasting an average score of 48.9 compared to Europe’s 43.1.

The report uncovered a concerning divide within Europe itself. While large European companies—those with annual revenues exceeding $10 billion—are closing the gap with their North American peers, scoring just 2.1 points behind (47.4 vs. 49.5), smaller European firms are lagging significantly. These companies scored an average of 40.5, trailing comparable North American firms by 7.6 points (48.1). This disparity raises concerns about the future competitiveness of Europe, as smaller firms may struggle to capitalize on AI-driven growth unless they ramp up investment in necessary capabilities.

Mauro Macchi, Accenture’s CEO for Europe, Middle East, and Africa, emphasized the momentum building in AI among Europe’s largest companies. He noted that these firms recognize the need for fundamental transformation to realize AI's full potential, stating, “For AI to deliver more value, faster, it requires enterprise-wide reinvention, not just plug-and-play adoption.” Macchi highlighted the importance of rethinking operational models, enhancing data and technology foundations, and fostering leadership engagement to ensure effective governance and change management.

The pace of AI readiness progress varies significantly across different countries and industries. France (+5 to 43.1), the United Kingdom (+4.8 to 44.5), and Spain (+4.6 to 39.9) recorded the largest improvements. Furthermore, ten out of the 18 sectors analyzed by the Barometer showed overall improvements in AI readiness. Notably, the insurance sector led the way, achieving a remarkable 8-point increase to 48.6, followed by travel (+5.7 to 46.7) and consumer goods (+5.2 to 43.7).

Gavin Stephenson, Accenture’s Data & AI lead for EMEA, remarked on the shift from experimentation to large-scale execution, stating, “A growing number of European companies are beginning to reinvent business processes with AI, while cleaning their data and skilling their people.” He provided an example from the insurance sector where companies are not merely layering AI onto existing processes but are fundamentally redesigning workflows, such as automating straightforward claims processes.

The findings from Accenture’s AI Progress Barometer suggest a cautious optimism for Europe’s AI landscape. While the largest firms are making strides towards greater AI readiness, the widening gap between large and smaller companies could hinder the region's ability to harness the full potential of AI. Continued investment and a focus on capability building will be essential for Europe to maintain its competitiveness in the global AI arena.

As the AI landscape continues to evolve, the next edition of the Barometer will be critical in confirming whether these early signs of improvement will sustain and accelerate across the region.