Artificial Intelligence (AI) has been a subject of fascination and anxiety in equal measure. The sentiment ‘AI won’t replace humans, but humans using AI will replace those who don’t’ has been echoed numerous times, but what’s the reality? According to a recent IBM survey, executives globally believe that the statement holds water.
The IBM report, which involved 3,000 executives, found that a staggering 87% expect AI to augment roles rather than replace them. However, the report also came with a wake-up call: nearly 40% of the workforce will need reskilling within the next three years to adapt to AI-driven changes. Considering the global workforce stands at around 3.4 billion, that’s about 1.4 billion individuals needing new skills.
Why does this matter? Companies that successfully reskill their workers are likely to see a revenue growth rate premium of 15% in comparison to non-adopters. If those companies also heavily invest in AI, they experience a 36% higher rate of revenue growth compared to their peers.
A shifting foundation
Executives expect generative AI to have the
greatest impact on next-gen employees.
Interestingly, the hiring landscape is changing. Employers are gradually shifting their focus away from technical skills like STEM proficiency. Instead, they are looking for skills like effective communication, time management, and adaptability. This shift is attributed to AI tools such as ChatGPT making it easier for people without specialized technical knowledge to perform tasks that previously required it.
- AI and the Augmented Workforce: AI technology is enhancing human capabilities rather than replacing them, offering a blend of human intelligence and machine efficiency that drives business growth.
- Reskilling Urgency: The next three years are crucial for upskilling approximately 1.4 billion workers. Those companies that proactively address this need will be the industry leaders of tomorrow.
- Changing Skill Sets: As AI takes over more technical tasks, the emphasis in hiring is shifting towards soft skills like time management, teamwork, and effective communication.
Employees today are prioritizing meaningful work over other perks like flexibility and growth opportunities. They believe they possess the tech skills needed for daily operations, but executives think otherwise. Technological illiteracy was cited by executives as their second-greatest talent-related challenge.
In summary, as we stand at an inflection point in the AI revolution, it’s crucial to understand that both hard and soft skills will be valuable. It’s not just about keeping up with technological advancements but also about enhancing our human capabilities. Employees need to be willing to experiment and adapt to effectively mesh with AI, setting the stage for unprecedented business innovation and personal growth.
For the complete insights and in-depth findings, check out the full report.
Note: Statistics and data are sourced from the recent IBM survey.
Source: IBM Institute for Business Value