Persistent Systems, a global Digital Engineering and Enterprise Modernization leader, announced a research collaboration with the Indian Institute of Management Ahmedabad (IIM Ahmedabad) to introduce the 'AI Value Compass', a study that offers a strategic decision framework designed to help enterprises prioritize and scale AI investments with measurable business outcomes. Developed through joint research, the framework provides business leaders with a structured approach to evaluate, prioritize and scale AI initiatives across the enterprise.

Organizations are accelerating AI adoption, particularly Generative AI and Agentic AI, with many now focused on translating early pilots into sustained business outcomes. While AI capabilities are advancing rapidly, success depends on organizational readiness, including alignment with business strategy, operational integration, data preparedness and governance. The 'AI Value Compass' addresses this gap by enabling a more disciplined enterprise-wide approach to AI decision-making.

The framework combines Persistent's expertise in driving enterprise-scale transformation with IIM Ahmedabad's academic strength in management research and decision sciences, bringing together practitioner insight and academic rigor to examine AI adoption through both a technological and organizational lens. Unlike technology-centric approaches, the framework evaluates AI through an enterprise operating model lens, enabling more effective scaling of AI initiatives.

At the core of the research is a structured methodology that evaluates AI initiatives across five critical enterprise vectors: business alignment, people readiness, operational integration, data preparedness and risk and governance. Together, these dimensions provide leaders with a comprehensive view of whether an AI initiative is positioned to scale and deliver sustained business impact.

The study highlights several insights for enterprise leaders. The primary barriers to AI success are organizational and operational rather than technological, underscoring the need for more structured approaches to evaluating and prioritizing AI initiatives. The framework helps enterprises move from fragmented experimentation to disciplined, outcome-led AI execution.

The framework enables enterprises to:

• Identify readiness gaps early in the AI lifecycle
• Prioritize high-impact initiatives based on objective criteria
• Strengthen data, operational and governance foundations
• Improve adoption readiness by aligning teams, stakeholders and ways of working
• Increase the predictability and consistency of AI-driven business outcomes

Beyond the research, Persistent is leveraging the 'AI Value Compass' in client engagements, establishing it as a core decision-making and execution framework. Its application in real-world enterprise contexts will further shape and refine the framework through continued academic–industry dialogue.

Persistent's collaboration with IIM Ahmedabad builds on a longstanding partnership and reflects a shared commitment to advancing industry–academia engagement in the era of AI. The collaboration will further extend into knowledge exchange, talent development and applied research, shaping the next generation of AI-ready enterprises and leaders.