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New research commissioned by digital transformation solutions company UST finds most organisations surveyed may have onboarded artificial intelligence (AI) but suffer from a lack of skilled workforce and “a compass to navigate uncharted waters”. As much as 93 per cent view AI as essential to success, but more than three-quarters face severe talent shortage.
They have also run into complex regulatory requirements and rising ethical concerns, slowing implementation and preventing AI from reaching its full potential, the study found. The study, titled ‘AI in the Enterprise’, had surveyed 600 senior IT decision-makers in companies ($500-plus million revenue) across the US, the UK, India and Spain with a combined revenue of $10-plus trillion.
Accelerating innovation
Krishna Sudheendra, CEO, UST, said AI is already accelerating innovation, improving productivity, and redefining what is possible in unimaginable ways. “This research shows its myriad benefits and challenges for businesses. By shining a light on dominant hurdles to effective AI integration, we hope to help enterprises identify right tactics and facilitate greater adoption,” he added.
Adnan Masood, Chief Architect-AI and Machine Learning, UST, said the absence of a mature AI governance framework is an issue that enterprises can no longer ignore. Ninety per cent of those surveyed agree that robust regulations are needed to guide development and mitigate risks as AI becomes deeply embedded in society. Soon, privacy-first AI and regulations will become essential to modern platforms with algorithmic transparency, explainability, and risk metrics.
UST had recently launched an initiative to train more than 25,000 employees — approximately 80 per cent of its workforce — with generative AI skills, following the launch of its UST AlphaAI solution for business agility and digital transformation.
The report mentions three findings:
Management buy-in: More than half of large businesses use and integrate AI throughout the organisation, and nearly a third of them run it in an unstructured way. An estimated 16 per cent are just starting the experiment. Only one per cent do not use AI or plan to do so. For 92 per cent, AI implementation aligns with strategic goals, and 93 per cent believe it will be essential to success in the next five years. Only eight per cent do not face barriers to these goals. About 89 per cent find a need to increase spending to keep up with competitors.
Significant roadblocks: At least 44 per cent of respondents described the implementation process as challenging, citing security concerns (40 per cent); shortage of in-house expertise (33 per cent); and compliance and regulatory challenges (33 per cent). The lowest-ranking barrier was ‘no clear understanding of benefits’ (14 per cent). More than 76 per cent cited severe shortage of skilled personnel, and 89 per cent need external guidance. At least 57 per cent plan to engage external third-party expertise in the next three years; 67 per cent believe external advisors are hard to come by; while 38 per cent consider external expertise less expensive than mobilising it in-house. Nearly a third of respondents cannot upskill own workforce.
Lack of tools: As much as 91 per cent agrees on the need for a responsible AI framework/policy. However, fewer than 39 per cent considers current approach ‘very effective’. More than 91 per cent believes better regulation is required for successful and responsible AI implementation. This should ensure data privacy (62 per cent); better transparency (57 per cent); and ethical usage (55 per cent). Respondents say neither their government (71 per cent) nor industry (64 per cent) is doing enough on AI regulation.
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