Gen AI Should Be Envisioned Within Context Of Workforce: IBM-Oracle Study
The study recommended that a culture of continuous learning, growth and mobility should be encouraged and rewarded.
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Organisations are often more focused on how generative artificial intelligence can simplify and automate today's processes. While such measures may increase productivity, leaders are overlooking an opportunity to leverage employee potential. Organisations must, therefore, envision gen AI not as a standalone, but within the context of their workforce, suggests a study by IBM Institute for Business Value in collaboration with Oracle.
The study of 1,000 C-suite executives across 20 countries and 20 industries shows the major concerns facing leaders, including future skills and a vision for the future of work.
Executives understand the impact of technology on the future of work. Yet only 42% said their organisation is integrating technology across business functions in many areas or everywhere. According to 57% of the CEOs, culture change is more important to becoming a data-driven organisation than overcoming technical challenges.
Fewer than half (45%) of executives have a vision for the future of work and have forecasted the impact on employees, which impacts transparency at the workplace. Also, 63% of organisations do not have a framework for assessing the impact of gen AI on their current workforce.
Of the surveyed executives, 87% expect job roles to be augmented, rather than replaced, by gen AI. However, only one of two employees is getting straight talk about AI, automation and the impact on their career and skills development.
Around 65% of study participants said their organisations empowered people to work in collaboration with AI and automation to a moderate or significant extent. But 62% organisations said that a lack of expertise is a barrier to executing their AI and automation strategy to a moderate or significant extent today.
Around 93% of executives also agreed that HR plays at least some role in developing an organisation’s future of work strategy. But only one in five said HR actually owns the strategy, and 74% reported HR either supports the strategy or is one of key players. The study noted that HR should champion a gen AI-friendly culture, empowering managers to motivate their employees to embrace the technology.
The study recommended that a culture of continuous learning, growth and mobility should be encouraged and rewarded. Organisations should focus on integrating AI into daily workflows to position its use as second nature for employees.
The gen AI market is poised to grow 46% per year, resulting in a market volume of $356 billion by 2030. But people must be part of a business' operating model. Hence, employees should be entrusted with autonomy to create their own path forward with AI, the study noted.
