TZ_GenAI

Generative artificial intelligence increases software engineering productivity by 70% 

Prague, 24 June 2024: Ness Digital Engineering, a global full lifecycle digital services transformation company and subsidiary of KKR, and Zinnov, an international management and strategy consulting firm, have jointly presented a comprehensive study entitled “Harnessing the Power of Generative Artificial Intelligence to Transform Software Engineering Productivity”.  

It is a well-known fact that various initiatives in the field of Generative Artificial Intelligence (GenAI) lead to increased productivity. This uniquely designed study, however, measures the actual positive productivity impacts of deploying GenAI at the engineering level. In doing so, it helps managers in CTO, CIO or CPO roles understand the technological and psychological factors affecting productivity in engineering and the long-term implications for the entire business and organizational structure. 

The study, which used Ness’ proprietary Matrix platform to collect data, included more than 100 software engineers working in a variety of development contexts and on different use cases to offer an in-depth analysis of real-world experiences of practicing engineers. 

The study revealed that implementing generative AI not only increases productivity but also allows for a thoroughly assisted context for work, allowing companies to seamlessly globalize their work. This can not only lead to better business outcomes, but also a complete transformation of the fabric of entire organizations. Other key findings include: 

  • 70% reduction in lead time for updates to existing code: Software engineers see the maximum impact of this technology when working with existing code features where development cycle times can be reduced. 
  • 48% reduction in task turnaround time for senior engineers: senior engineers have seen a reduction in turnaround time for their tasks, allowing them to use their time to better plan and assist junior engineers. 
  • ~10% reduction in the complexity of tasks involving highly complex code: generative AI enables engineers to navigate through complex code more efficiently, leading to the development of faster and more accurate solutions. 
  • 70% Better Employee Engagement: the deployment of generative AI leads to simplified work tasks and the further development of a dynamic and collaborative work environment, which has a major positive impact on creating a positive and fulfilling work experience for employees. 

This change is challenging traditional organisational structures. It puts more emphasis on expertise and efficiency achieved using technology, but which must be managed and decided by people. This means that a new kind of workforce will be needed, one in which domain expertise and problem-solving skills are more important than technological skills. 

Ranjit Tinaikar, CEO of Ness Digital Engineering, said, “GenAI is transforming the entire software development industry by significantly increasing productivity and accelerating innovation cycles, ultimately reducing time to market. However, its potential will not be fulfilled if it is viewed as a mere code generation tool, a flawed approach that is common in the world of software development. In order to harness the power of GenAI to its full potential, we worked with Zinnov to conduct a study to understand the real impact of GenAI on software development in all its nuances. We believe this study can serve as a guide for many to the potential impact of GenAI on the product development process, organizational structures, employee engagement, training and development.” 

Pari Natarajan, CEO of Zinnov, said, “Generative AI is already part of the workflow of software engineers in many organizations, where it helps with things like test case generation, code refactoring and identifying opportunities for innovation. This study confirms the belief that generative AI complements rather than dictates workflows, facilitating seamless knowledge sharing and harnessing the true value of globalisation. This gives managers greater confidence in distributing their development teams around the world with minimal impact on productivity. In addition, the widespread use of generative AI boosts employee work ethic and increases productivity. The potential of generative AI is huge, but on the other hand, there are barriers that primarily stem from hardware costs, power consumption and regulatory constraints.” 

The study “Harnessing the Power of Generative Artificial Intelligence to Transform Software Engineering Productivity” can be downloaded here

About Ness Czech and Ness Digital Engineering 
NessCzech, a leading Czech system integrator and part of the international Ness Digital Engineering group, is one of the largest IT service providers in the Czech Republic. Since 1993 it has been a pioneer in the introduction of new technologies and software products. Its most important customers include O2 Czech Republic, Komerční banka and ČÚZK. Ness Czech has offices in Prague, Brno and Ostrava, employs over 270 people and has an annual turnover of over CZK 993 million. 

Ness Digital Engineering is a global provider of comprehensive information technology solutions and services. NDE operates in North America, Europe, the Middle East and Asia. It employs over 4,500 people and manages 11 innovation centers. 

Zinnov is a global management and strategy consulting firm. Over the past 21 years, it has successfully provided consulting services to more than 250 Fortune 500 companies, helping them accelerate their technology journey with its insights to create more value in revenue, transformation and optimization. 

Media contact 
Kamil Pittner, Media Consultant, PRCOM, +420 604 241 482, kamil.pittner@prcom.cz