British businesses face AI adoption challenges due to skills gap

British businesses are currently grappling with significant challenges in harnessing artificial intelligence (AI), primarily stemming from a substantial skills gap among their workforce. A recent survey conducted by NTT Data revealed that a staggering 59% of companies in the UK and Ireland perceive their employees as lacking the essential skills needed to unlock the full potential of AI technologies. The research indicates that this skills deficiency is a prominent barrier, hindering effective AI adoption and investment returns.

The survey highlights that over a quarter of organisations in the UK and Ireland—27%—have not yet established expert teams focused on generative AI, a figure which stands 10% above the global average. This suggests that many businesses in the region are lagging behind their international counterparts in implementing advanced AI capabilities.

Yutaka Sasaki, the CEO of NTT Data Group, noted a critical tension that arises as companies transition from AI experimentation to implementation. He stated, “As we move beyond experimentation, a tension emerges: move too fast, and we risk unintended circumstances; move too slow and we fall behind.” This sentiment reflects the urgency and caution required in navigating the evolving landscape of AI technologies.

Despite these challenges, a remarkable 99% of the organisations surveyed expressed their intent to bolster investments in generative AI, anticipating substantial improvements in key areas such as productivity, efficiency, sustainability, compliance, business processes, security, and employee experience. However, the same organisations flagged problematic aspects that complicate technology adoption. Two-thirds of global respondents indicated that their workforce lacks the requisite skills to engage effectively with generative AI, while a notable 72% acknowledged a lack of defined policies concerning GenAI use among employees.

Key obstacles hampering broader AI adoption were identified in the survey, including limited perceptions of the technology’s value, inadequate awareness among staff, user resistance, and overarching concerns about the safety and security implications of generative AI.

Beyond the workforce skills issue, businesses face additional hurdles. A significant 90% of respondents cited legacy infrastructure as a major impediment to the successful integration of AI technologies. The majority of Chief Information Officers (CIOs) and Chief Technology Officers (CTOs) have recognized that migrating to cloud-based solutions is essential for facilitating effective AI application.

Sasaki contended that “the future is clear,” describing generative AI not merely as another tool but as a transformative force, suggesting a pivotal shift in operational paradigms. He emphasised that the maturation of AI technologies necessitates a robust foundational framework before companies can proceed with investments and fully leverage these innovations.

In light of these findings, there is a growing demand from companies for clearer guidance and regulations from government bodies to help navigate the complex challenges surrounding AI implementation. As the industry evolves, the balance between leveraging AI for strategic advantage and addressing inherent challenges remains a critical focus for UK and Irish businesses.

Source: Noah Wire Services