If you’re a CIO or CTO wondering how to keep your tech stack AI and future-ready without overextending budgets or overhauling your entire infrastructure, you’re not alone. The AI megatrend is forcing every technology leader to answer one pressing question: “Are we investing wisely in AI, or are we falling behind?”
The truth is that AI is no longer emerging, it's here, accelerating, and fundamentally transforming how we build, manage, and scale software. And if your organisation still treats AI as a side experiment, you’re already behind.
Let’s break down what’s happening, what’s coming next, and how NashTech advises leaders to take action.
For new custom-built software…
We are finding that, already, AI is transforming how software development companies (like NashTech) are building custom software. Our experience of working with tools such as Generative AI (GenAI) is already delivering ~25% improvements in coding productivity, which means faster releases, smaller teams delivering more, and more for your budget.
For legacy systems…
Once known for being the thorn in every CIO’s roadmap, legacy systems are slowly beginning to benefit from the GenAI treatment. GenAI now enables:
This is critical, as ~30% of IT budgets and ~20% of engineering resources are typically spent managing technical debt. So, whilst there’s no question, GenAI is benefitting new custom software, there is an opportunity for it to improve the development of legacy systems as it improves and matures, helping enterprises finally tackle the modernisation backlog.
Outsourcing is evolving. AI, through the capabilities mentioned above, is opening up new ways to create value, particularly through partnerships, with:
AI augmented delivery: Top offshore providers are now blending human expertise with AI tools. NashTech, for instance, integrates AI into:This hybrid model enhances quality, reduces cycle times, and delivers measurable ROI, without requiring larger teams, because, despite the increased demand for custom software, GenAI makes teams more efficient. So as demand grows, productivity gains mean you won’t necessarily need to increase your headcount.
AI integration, adoption and ROI. But here’s the reality check: adoption isn’t easy
Despite optimism, real-world AI adoption faces friction. In 2024, Gartner found that 39% of CIOs still hadn’t implemented AI in their organisations. The gap is largely due to unclear ROI, lack of use case maturity, and limited enterprise readiness.
NashTech’s advice to turn AI from an aspiration into an advantage, is to firstly, prioritise effectiveness over cost-cutting. AI’s greatest power lies in amplifying human capability, not just replacing headcount. Look at the three core pillars of:
According to Gartner (2024), AI-related services will account for £443 billion, or 27%, of all IT service spend by 2027. And Bain & Company reports early GenAI adopters are seeing initiatives that could impact EBITDA by up to 20%. That’s no longer theory. Its strategy aimed at driving value which can be evidenced in the bottom line.
If you’re unsure about the answers to the points above, we can help, speak with us today https://www.nashtechglobal.com/contact-us/
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Ready to turn GenAI potential into business performance? NashTech empowers CIOs with end-to-end GenAI consulting, from strategy and fine-tuning to custom model development and seamless SaaS integration. Whether you’re enhancing foundational models with your own data or embedding GenAI into core systems, we can help you accelerate innovation, optimise ROI, and ensure you’re investing wisely into your AI initiatives. Read more: https://www.nashtechglobal.com/software-solutions/artificial-intelligence-services/ |