If your agents aren’t equipped with the right AI tools, there’s a strong chance they’re using tools they found on their own. Shadow AI—the use of unauthorized AI tools at work—has surged 250% in some industries, particularly in sectors handling sensitive customer data, such as finance and healthcare.

This should raise alarms for everyone, but especially IT and CX leaders, who now face the dual challenge of safeguarding customer trust and protecting the business. By adopting an integrated AI approach, leaders can mitigate these risks by equipping their teams with the right tools, driving secure, efficient, and higher-quality customer service.

Nearly half of agents admit to using Shadow AI, according to our research, even in companies with strict policies against it. Why? They believe the benefits—improved efficiency, reduced stress, and better customer outcomes–far outweigh the risks. And they aren’t alone in thinking that: nearly all agents using Shadow AI say their direct manager is at least somewhat aware.

While Shadow AI may offer short-term gains, it introduces significant risks for organizations. Security breaches, compliance violations, and operational blind spots top the list of concerns. At the same time, organizations that aren’t yet taking advantage of integrated AI are missing out on the strategic benefits to doing so.

Agents using Shadow AI estimate that, on average, they’re saving over two and a half hours every single day. That’s hard to ignore, but it’s just a tiny fraction of what’s possible with AI that is connected across your entire system, learning and improving with each customer interaction.

Since integrating AI into their customer service operation, Rue Gilt Groupe has seen incredible results—a 15-20% reduction in repeat contacts because customers are getting resolution the first time around. “We’re resolving issues faster, we’re getting more detailed information to customers, and they’re noticing the difference,” said Maria Vagas, Vice President of Customer Service. “We’ve seen a dramatic ten point increase in our ‘above and beyond’ customer service rating since we’ve implemented these tools.”

But finding the right tools is critical and requires that leaders bring agents into the conversation to understand where challenges exist and how best to solve them. “If you don’t bring that agent into the design process, into the discussions around AI implementation, you’re going to end up missing the mark,” said Vargas. “Get their feedback, have them test it, and then use that input to drive how you implement AI; otherwise, they may find their own way to tools that better fit their needs and not necessarily what you’re trying to accomplish with AI.”

With that in mind, here are four key benefits to adopting an integrated AI solution, rather than letting your agents go it alone:

1. Improved security to safeguard customer trust—and your business

An incredible 87% of agents using Shadow AI are analyzing customer data with it. That’s a massive security issue that can open the door to privacy violations and potential data breaches. Having AI tools that instead follow all necessary security and privacy protocols shields your business from these unnecessary risks.

2. Connectivity that drives real business results

AI tools built right into your agent workflows work seamlessly with your existing platforms, data sources, and processes to help agents deliver consistent, high-quality service while staying aligned with your business goals. Shadow AI works outside of these systems, causing issues like data silos and misalignment.

3. AI that gets smarter and better over time

Integrated AI tools learn from every interaction and can highlight any problem areas or opportunities for improvement. This improves quality and productivity across the board by making tasks easier, faster, and more accountable, all while operating within official, monitored systems.

4. Real-time insights for smarter decisions on the fly

Unlike Shadow AI, integrated AI delivers real-time data and insights right within your agents’ workflows, helping teams make faster, more informed decisions. This instant visibility allows businesses to spot trends quickly and adjust when needed.

It’s clear from the surging popularity of Shadow AI that agents see real value in these tools, but these short-term benefits come with significant risks that no business can ignore. Instead of sitting back, CX leaders should lean into integrated AI and empower their teams in a way that’s both strategic and secure. By doing so, they can harness the full power of AI—without the risk–ensuring their teams are well-positioned for the future.

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