Why AI Ambitions Are Outpacing Reality at an Alarming Rate 

3 Takeaways 

  • Only 2% of companies are structurally ready to scale AI. 
  • A growing AI readiness gap is leaving most firms stuck between ambition and execution. 
  • High-readiness companies stand out by design—structuring leadership, roles, and accountability around AI from the start. 

A new survey of more than 1,000 senior technology leaders warns of a brewing crisis: companies are racing to adopt AI, but almost none are structurally ready for it. According to the Future of Tech Leadership 2025 report by executive search firm Riviera Partners, only 2% of organizations qualify as “high readiness” for scaling AI. 

This AI organizational readiness crisis is widening just as enterprises double down on generative AI, copilots, and automation tools. The result, analysts warn, is a landscape where ambition is running far ahead of organizational design. 

The Brewing Readiness Crisis 

AI has become the top strategic priority for technology leaders. Nearly two-thirds (62%) say it is “very important” to their enterprise strategy over the next 12–18 months. But when it comes to execution, most organizations admit they are unprepared. 

Why are companies unprepared for AI? 

  • Weak change management and execution discipline (42%) 
  • Limited AI fluency (35%) 
  • Lack of strategic agility (35%) 

Even among early adopters—companies already deploying AI copilots and integrating AI into workflows—only 55% believe they have the right leadership in place to scale. The data suggests the challenge is not enthusiasm for AI, but the lack of leadership structures, accountability, and cultural scaffolding to support it. 

Organizational Design as the Differentiator 

To measure preparedness, Riviera Partners created an Organizational Design Readiness Index. The index assesses C-level ownership of AI strategy, board engagement, cross-functional collaboration, and hiring behavior. 

The results are stark: 

  • Only 2% of companies score as structurally “high readiness” 
  • 77% fall into low or very low readiness tiers
  • Venture-backed and privately held firms rank worst, with nearly half in the very low category

By contrast, high-readiness companies are three times more likely to have Chief AI Officers, centralized hiring strategies, and board-driven pipelines for leadership. These firms are structurally preparing to translate AI ambition into execution—while most peers remain trapped in the AI readiness gap. 

The Expanding C-Suite, Under Pressure 

One response to the AI surge is a shift in the C-suite. Most companies (62%) have added AI-related responsibilities to existing leaders, but fewer than four in ten (39%) have created new AI-specific executive roles. Titles such as Chief AI Officer are emerging, yet just over half currently report directly to the CEO—limiting influence at the strategy table. 

Boards and investors are increasingly pressing for change. Nearly half of executives expect board-driven shifts in executive responsibilities this year, and one in three foresee a full organizational redesign. 

Hiring and Compensation in Flux 

The readiness gap extends into hiring. Nearly 40% of companies say C-suite recruitment will be their most difficult challenge over the next year. Internal recruiting functions are under strain, and many organizations lack the capacity to compete for AI leadership readiness talent. 

Compensation is moving upward in response. Early AI adopters are paying more, underscoring how the war for AI-fluent leaders is reshaping executive pay. 

A Strategic Fault Line 

The report concludes that AI is no longer just a technology challenge. It has become a test of organizational design—and most companies are failing it. 

For C-suite leaders and HR executives, the findings underscore an urgent reality: AI ambition without structural readiness risks stalling transformation at best—and ceding competitive advantage at worst. 

Explore the Full Report and Benchmark Your Readiness 

The Future of Tech Leadership 2025 report draws on data from more than 1,000 senior technology executives, offering a clear look at how AI is reshaping leadership, organizational design, and hiring across public, private equity–backed, and venture-backed companies. 

Readers can also take the AI Organizational Readiness Quiz, a two-minute assessment built on real-world data, to: 

  • Get a custom AI readiness score 
  • See how their organization compares to peers across ownership types 
  • Receive tailored recommendations on next steps 

Download the full report and take the readiness quiz to see where your company stands in the AI readiness crisis. 

About Riviera Partners 


Riviera Partners is a global executive search firm specializing in technology, product, and design leadership. With over two decades of experience and a proprietary platform that combines deep recruiting expertise with data-driven insights, Riviera is the go-to talent partner for venture capital, private equity, and public companies. Learn more at www.rivierapartners.com

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