Kyndryl report: Why most businesses are not yet winning with AI

Dubai, United Arab Emirates - A new global study released today by Kyndryl (NYSE: KD), a leading provider of mission-critical enterprise technology services, found that only a small number of organizations globally have taken steps to align their workforce strategies with the growth of AI technology. Those that have done so have positioned themselves ahead in the race to deliver positive return on investments in the technology.
While readiness varies by industry, Kyndryl's first People Readiness Report reveals a striking gap between AI investment and workforce preparedness:
95% of businesses have invested in AI
71% of leaders say their workforces are not yet ready to successfully leverage the technology
51% believe their organizations lack the skilled talent needed to manage AI
45% of CEOs think most employees are resistant or even openly hostile to AI
"Only a small group of businesses have been able to harness AI successfully for business growth," said Michael Bradshaw, Global Practice Leader for Applications, Data and AI. "This report shows that while data architecture and technology infrastructure are key pieces of the puzzle, organizations that do not prioritize their workforces will miss out."
Despite widespread attempts at implementation, most organizations are not currently benefiting from game-changing use cases that will drive new products and services for their customers. In the UAE and Saudi Arabia, 77% of businesses are investing in traditional AI and machine learning, yet only 39% are currently seeing a positive return on that investment, according to the 2024 Kyndryl Readiness Report.
Meanwhile, the new global People Readiness Report reveals that a small subset of AI Pacesetters has leveraged AI for business growth while addressing workforce readiness. They are making strategic workforce decisions and seeing benefits across their employee population. Pacesetters are uniquely addressing 3 key barriers that are inhibiting AI adoption, and they are seeing benefits from their actions across:
Organizational change management: AI Pacesetters are three times more likely than others to report a fully implemented change management strategy for AI in the workplace.
Lack of employee trust in AI: AI Pacesetters are 29% less likely to cite fears around AI affecting employee engagement.
Skill gaps: AI Pacesetters are 67% more likely to agree that their organization has the tools and processes to accurately inventory the skills employees currently have. Four in 10 report no skills challenges at all.
"Preparing your workforce for the era of AI is easy to say, hard to do and an urgent imperative for business leaders," said Maryjo Charbonnier, Chief Human Resources Officer at Kyndryl. "At Kyndryl, we run an entire ecosystem of culture and systems that readies our people and our business for continuous change. It's about anticipating the business impacts of AI, understanding and integrating your skill data with your customer demand and having a multi-pronged approach for equipping employees to build the skills they need and learn to effectively use generative AI tools in their work."
'The Middle East is making remarkable strides in the AI space, establishing itself as a vital pillar in national digital agendas. As this momentum builds, workforce readiness has become a central topic of discussion—not only in the region, but around the world,' said Pieter Bil, Vice President and Managing Director, Kyndryl Middle East and Africa. 'Preparing our people for an AI-powered future requires close collaboration between academia, governments, technology companies, and industry leaders. Together, we can build a resilient, future-ready workforce equipped to harness the full potential of AI.'
To read the full report, visit Kyndryl's People Readiness Report.
About Kyndryl
Kyndryl (NYSE: KD) is a leading provider of mission-critical enterprise technology services offering advisory, implementation and managed service capabilities to thousands of customers in more than 60 countries. As the world's largest IT infrastructure services provider, the Company designs, builds, manages and modernizes the complex information systems that the world depends on every day. For more information, visit www.kyndryl.com.
Kyndryl press contact
amneimne@golin-mena.com

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