Understanding AI's Impact on Business and Key Reasons Behind AI Project Stalls

The Economic Potential of AI

AI is shaping how we live, work, and learn. AI tools could create over £400bn in value for the UK economy by 2030 and save over 700,000 hours a year for GPs and teachers https://www.publicfirst.co.uk/googles-impact-in-the-uk-2023.html.

Employment Projections in Key Sectors

According to Skills England's Assessment of Priority Skills to 2030, the largest projections of additional employment between 2025 and 2030 are for the Creative Industries, Digital and Technologies, Housebuilding, and Clean Energy Industries sectors.

By clearly defining AI within the context of your business, you can better align your strategies with the projected employment trends and ensure that your organisation is well-positioned to leverage AI for growth and innovation.

Defining AI for your Business

Moving forward with the AI journey will require defining AI and what it means for each business. The first step is identifying what AI means. The National AI Strategy defines Artificial Intelligence as:

> “machines that perform tasks normally performed by human intelligence, especially when the machines learn from data how to do those tasks.”

> (Source: National AI Strategy, September 2021)

Bridging the AI Skills Gap

AI understanding has different meanings to different people, often resulting in an inability for employers to understand what is needed to advance training and software adoption and for workers to articulate their AI skill set to existing or future employers.

Building High-Performing AI Teams

Creating high-performing teams is essential to succeed in AI. Employers need to understand where the gaps lie, whether in strategic or operational AI skills, to benchmark training requirements and outcomes needed. Employees' ability to adapt to AI will depend on their existing digital skills, which cannot be assumed. When rolling out new AI development tools and upskilling teams, it is crucial to link these efforts to broader workforce development strategies. This ensures that the desired outcomes of generative AI tools are met, ultimately benefiting overall productivity.

Preparing Your Tech Infrastructure

Ensure existing legacy tech infrastructure is AI-ready with data and governance processes that support AI usability. The gap that currently exists between strategic workforce planning and employee readiness is a missed opportunity for businesses. Delayed AI adoption and future focus will lead to underperformance and low morale across teams. The Pissarides Review https://www.ifow.org/publications/the-final-report-of-the-pissarides-review found that firms with high involvement from HR and skills strategies achieve better outcomes for productivity and employee well-being.

Company-Wide AI Adoption

Often, companies see early AI adopters and employee pioneers leading individual teams in isolation. The key is a company-wide focus that considers the overall needs of the business and the sector it operates in, translating this into an internal operational plan encompassing all roles, processes, and systems. Creating pathways that match employer needs will create a future-ready skills system.

Ethical and Security Considerations

Leaders are eager to explore AI capabilities yet proceed with rational curiosity regarding what is possible, the unknown implications, and the ethical and security considerations pressing upon companies embarking on this digital insurgence. Along with the developments and increased use of generative AI tools comes the need to focus efforts on cybersecurity and data governance to support the rollout.

Partnering with TalentBuff

If any of this resonates, you’re not alone. TalentBuff will partner with you to close the AI skills gap in practical, outcome-focused ways to create a Talent Strategy for AI-ready teams, source talent, and build internal capability, supplemented by a change program including leadership development.