Why Businesses Are Still Struggling to Capitalize on AI – Key Insights from Kyndryl’s Global Report

Dubai, UAE – A new global report by Kyndryl (NYSE: KD), a global leader in IT infrastructure services, sheds light on a critical challenge facing modern enterprises: the growing gap between AI adoption and the ability to convert that adoption into real business transformation.

While most companies are eager to embrace artificial intelligence in business, few have developed the necessary frameworks to ensure their teams are truly ready to work with these technologies. The Kyndryl People Readiness Report 2024 reveals a widespread AI talent gap that is hindering AI strategy execution and slowing down returns on AI investments.

Key Findings from the Report:

• 95% of companies have already invested in AI.
• Yet 71% of business leaders say their workforce isn’t prepared to use it effectively.
• 51% cite a lack of skilled employees to manage and implement AI systems.
• 45% of CEOs observe resistance or skepticism among employees toward AI technologies.
  

“AI success requires more than infrastructure; it depends on preparing people,” said Michael Bradshaw, Global Practice Leader for Applications, Data and AI at Kyndryl. “Without focusing on workforce readiness, businesses risk falling short on their AI integration goals”.

AI in the Middle East: Adoption vs. Results

In the UAE and Saudi Arabia, where digital transformation is at the heart of national strategies, the appetite for AI is undeniable. Around 77% of organizations are investing in traditional AI and machine learning technologies. However, only 39% have seen measurable ROI from those efforts, highlighting a common challenge across the region: a disconnect between AI in the UAE and workforce preparedness.

What Sets AI Pacesetters Apart?

The report highlights a group of standout companies known as AI Pacesetters—organizations that are not only investing in enterprise AI, but also making smart moves to prepare their people and culture. These companies excel in three areas:

1. Change Management: They are 3x more likely to have dedicated AI integration strategies with embedded change management systems.
2. Trust Building: They report 29% fewer employee concerns about AI harming morale or job satisfaction.
3. Skills Development: Pacesetters are 67% more likely to use tools that measure and develop AI skills within their workforce. Nearly 40% face no major skill-based obstacles.
   

“Preparing your workforce for the generative AI era isn’t easy, but it’s essential,” said Maryjo Charbonnier, Chief Human Resources Officer at Kyndryl. “It’s about aligning learning, culture, and systems to empower people and drive long-term business transformation”.

Building a Future-Ready Workforce

As AI adoption continues to accelerate in the Middle East, workforce development is becoming an urgent national and corporate priority.
“The region is moving quickly toward an AI-driven economy” said Pieter Bil, Vice President and Managing Director, Kyndryl Middle East and Africa. “Achieving meaningful impact requires collaboration between governments, academic institutions, and tech providers to build a workforce that’s resilient, skilled, and ready for the future”.