Why Enterprise RAG Systems Still Produce AI Hallucinations

Podcast: Don’t Panic! It’s Just Data Guest: Michael Marolda, Senior Product Marketing Manager for Agentic RAG at Progress Software Host: Shubhangi Dua, Podcast Producer and B2B Tech Journalist at EM360Tech Generative AI has been brewing in the enterprise tech industry for at least three years now. AI pilots are launching every other day, internal copilots are deployed across enterprise divisions, and now teams themselves are experimenting with large language models (LLMs) to automate business workflows. Such additions have sped up research and notably improved productivity. While the excitement is valid, the truth beneath is often disregarded. Many enterprise AI systems produce answers that sound convincing, even when they are completely wrong. In the recent episode of the Don’t Panic! It’s Just Data podcast, Michael Marolda, Senior Product Marketing Manager for Agentic RAG at Progress Software, sat down with host Shubhangi Dua, Podcast Producer and B2B Tech Journalist at EM360Tech. Marolda argued that the problem is not necessarily with the AI models themselves. The real issue is with the enterprise data foundations supporting them. “Your AI is only as good as the knowledge it has access to,” Marolda explained during the conversation. The question is what the gap is alluded to in the AI enterprise tech space. Key Takeaways Enterprise AI hallucinations increase without grounded enterprise data. Agentic RAG helps enterprises reduce AI hallucinations and improve accuracy. Unstructured data is the biggest challenge in enterprise AI adoption. Enterprise knowledge layers improve AI governance and traceability. AI token reduction lowers enterprise AI infrastructure costs. RAG architecture helps enterprises scale trustworthy AI systems. Chapters 00:00 Introduction to Enterprise AI and Knowledge Layer 02:13 Challenges with Unstructured Data in AI 08:11 The Importance of a Knowledge Layer 12:04 Trust and Governance in AI Solutions 16:48 Progress's Unique Approach to AI Solutions 19:15 Agentic RAG: A New Paradigm in AI Retrieval 24:52 Real-World Applications of Agentic RAG 26:39 Maintaining Quality and Performance in AI Systems 28:01 Key Takeaways for IT Decision Makers For more enterprise AI, Agentic RAG, data governance, and enterprise knowledge layer insights, follow Progress Software across its official channels: Website: https://www.progress.com/ YouTube: @ProgressSW LinkedIn: Progress Software https://www.linkedin.com/company/progress-software/ X: @ProgressSW For more information on enterprise tech analyst-led insights, please visit em360tech.com EM360Tech YouTube: @enterprisemanagement360 EM360Tech LinkedIn: @EM360Tech EM360Tech X: @EM360Tech #AgenticRAG #AIGovernance #EnterpriseAI #GenAI #RAGSystems #UnstructuredData #KnowledgeLayer #DataRetrieval #AIHallucinations #ProgressSoftware #TechPodcast #B2BTech #CIOInsights #LLM #AICostReduction #EnterpriseSearch #AIStrategy #DontPanicItsJustData #MichaelMarolda #ShubhangiDua #TechNews