‘AI adoption isn’t just a tech challenge – it’s a people challenge,’ says Kyndryl CTO

95% of businesses have invested in AI tools – however, seven in ten of leaders think the workforce is not ready to leverage the technology successfully.

That’s the top line finding of a new survey by Kyndryl – the enterprise technology company surveyed 1,000 business and tech executives in eight markets to find out their readiness for AI.

Clearly, there is a “disconnect between businesses’ AI ambition and action”, Kyndryl’s UK&I CTO Nick Drouet tells UNLEASH.

Drouet continues: “For HR leaders, this is an amber flag.

“AI adoption isn’t just a tech challenge – it’s a people challenge.

“Businesses cannot leverage the transformative power of AI for competitive advantage without a workforce that trusts, understands, and is equipped to work alongside AI.”

There’s a lot of work for organizations, and HR leaders to do here, as Kyndryl’s data shows that only 53% of leaders believe that their workforce is ready to navigate changes from AI tech in the next five years.

Plus, 50% said there is widespread fear of job displacement, and this is impacting how employees engage with AI.

It’s not doom and gloom.

Kyndryl’s data found that there’s a small group – 14% – of businesses, which the tech company calls ‘Pacesetters’, that have successfully managed to align workforce, technology and grow goals – and they are seeing the benefits.

What lessons can other companies learn from these ‘Pacesetters’ in this AI-powered future of work?

How to follow the example of AI ‘Pacesetters’

Drouet tells UNLEASH:  “The organizations seeing real value from AI aren’t the ones with the biggest budgets, but the ones with the clearest workforce strategy, not just adopting AI but embedding it into their culture and operations in a way that empowers their people and drives measurable business growth.”

The foreword of Kyndryls’s report stated: “These organizations are ahead of the curve not because they’ve solved AI, but because they’ve adopted concrete change management strategies for incorporating the technology into their workforce operations.

“They’ve taken steps to develop trust around its implementation and move forward with greater confidence.”

The data shows that ‘Pacesetters’ are three times more likely to report a fully implemented change management strategy, they’re 29% less likely to cite fears about employee trust and engagement, and four in ten of them report no skills challenges.

When it comes to actions that organizations, and specifically HR leaders, need to take to follow the great example of ‘Pacesetters’ – Kyndryl’s report focuses on three priorities: 1) the need to involve employees in the implementation process, 2) creating ethical guidelines for AI use, and 3) ensuring transparency around AI goals and implementation.

Building on this, Drouet shares that organizations need to first focus on building trust.

“Open communication, ethical AI policies, and visible support go further than hype.”

Drouet adds: “Second, implement change management for AI- develop a clear roadmap, communicate benefits and support employees through training and adaption.

“And third, invest in upskilling and reskilling: Launch coaching programs, offer AI-specific certifications and foster a culture of continuous learning.

The ability to align talent with fast-moving business demands isn’t a nice-to-have – it’s fast becoming a core capability for any organization serious about AI.”