A new report reveals that organisations embracing artificial intelligence (AI) and investing in workforce upskilling are seeing dramatic productivity gains of over 30%.
However, the majority of companies remain far from realising AI’s full potential, risking falling behind their more advanced competitors, according to new research from i4cp, a leading human capital think tank. The global study, Workforce Readiness in the Era of AI, highlights how organisations effectively scaling AI are achieving significant advantages by focusing on training employees at all levels to leverage generative AI (GenAI) for greater efficiency. Yet, despite these clear benefits, many organisations are stalling in their AI adoption and workforce preparation efforts.
LINK BETWEEN UPSKILLING & PRODUCTIVITY GAINS
Drawing on survey responses from nearly 1,000 organisations, the study found that companies operationalising AI are reaping the rewards of a prepared workforce:
- Companies scaling AI reported productivity improvements of 30% or more thanks to GenAI upskilling.
- Organisations still experimenting with AI estimated training could boost productivity by only 10-30%.
The gap is particularly stark at the executive level. Organisations scaling AI are 2.5 times more likely to have trained their leaders on GenAI and three times more likely to see executives actively using the technology compared to companies still experimenting.
WORKFORCE READINESS
“The productivity gap between organisations that are scaling AI and those merely experimenting with it is widening rapidly,” said Kevin Oakes, CEO of i4cp. “Our GenAI Maturity Model shows that while 41% of companies are still in the experimental phase, an increasing number – currently 11% – have fully operationalised AI. These organisations are restructuring workflows, applying AI across departments, and investing in comprehensive training for employees at all levels.”
Leading organisations, such as Air New Zealand, Klarna, Zurich and ServiceNow, are highlighted in the report as examples of how AI upskilling can deliver tangible results. These companies are not only scaling AI applications but also creating future-ready workforces through continuous training and workforce planning.
Interestingly, the study found that employees in organisations actively scaling AI were also the most fearful of being replaced by the technology. “This finding sparked significant discussion,” added Oakes. “As employees become more familiar with AI’s capabilities, they begin to see its potential to outperform humans in certain tasks and even entire functions over time. This underscores the importance of focusing on AI readiness while addressing employee concerns about the future of work.”
PREPARING HR FOR AN AI-ENABLED FUTURE
The study emphasises the critical role of HR teams in driving AI readiness and outlines strategic recommendations, including:
- Addressing readiness gaps: In-depth analysis of GenAI adoption trends.
- Best practices: Insights from high-performing organisations already scaling AI.
- Future-proofing workforces: Preparing employees to adapt to AI-driven transformations.
- Cultural evolution: Ensuring AI integration aligns with organisational values and goals.
UPSKILLING: A NON-NEGOTIABLE PRIORITY
For organisations aiming to stay competitive, the message is clear: upskilling is a non-negotiable priority. Companies that delay risk being outpaced by those operationalising AI, restructuring processes, and training employees to work seamlessly alongside emerging technologies.
Click here for more information about the report.
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