This year companies are projected to spend $235 billion on AI, but that number is expected to almost triple to $630 billion by 2028 according to recent research from IDC. Currently, generative AI makes up 17.2% of global AI spending, which is targeted to increase by an eye-popping 60% each year for the next five years.
Despite the hundreds of billions of dollars pouring into AI, new research shows that the overwhelming majority of employees are not prepared or adequately trained to successfully integrate AI into their daily work activities.
Majority Of Workers Not Prepared for AI On The Job
Nearly half (46%) of surveyed business leaders stated that only 20% of the workforce is capable of building AI. That means 80% of the workforce is not ready according to findings from the Work Innovators: A Playbook for Innovation in an Uncertain World research conducted by The Upwork Research Institute, published Tuesday.
The study further stated that 57% of leaders acknowledged that less than a quarter of their full-time employees are capable of independently using AI-driven solutions to address work challenges.
Used With Permission: Upwork Research Institute 2024
“The primary purpose of this research was to explore how companies are navigating today’s rapidly evolving work landscape, particularly in a macroeconomic environment that is creating headwinds for innovation,” explained Dr. Kelly Monahan, managing director and head of The Upwork Research Institute.
“We focused on the maturity of adoption and innovation related to distributed work, flexible talent strategies, and AI. We wanted to understand what differentiates the high performers—whom we call Work Innovators—and how their approaches to work are driving better financial outcomes and sustained innovation,” she added.
High-Performing Companies Approach AI Differently
The glaring gap between organizations’ willingness to invest hundreds of millions into AI in the face of underwhelming employee readiness to adopt AI is striking and poses a significant AI risk to organizations that don’t address it. Dr. Monahan, says high-performing companies recognize that the delta exists, but they take a proactive approach to bridging that gap.
“Work Innovators recognize the critical link between upskilling and technology integration. A striking 63% of these forward-thinking organizations make upskilling a central element of their technology strategies, compared to just 37% of non-innovators,” Dr. Monahan stated in an email exchange for this article.
“This focus on skill development is closely tied to their cohesive approach to technology. Nearly 40% of Work Innovators prioritize the convergence and integration of new technologies, compared to only 23% of their peers who implement technology in siloed ways. By aligning workforce development with integrated tech adoption, Work Innovators are better positioned for agility and sustained growth,” she wrote.
Digital Literacy, Critical Thinking and Resiliency Are Key
Specifically, leading companies prioritize equipping employees with the advanced skills and knowledge they need to thrive in an evolving work environment. According to Dr. Monahan, essential skills for that workers need to thrive in an AI-centric setting include data literacy, critical thinking, virtual collaboration and resiliency.
“With the results from this study, we aim to provide actionable insights for business leaders, helping them identify strategies that can enhance operational efficiency, improve workforce readiness and foster innovation,” she wrote.
“Our goal is to support organizations in adapting to the future of work by sharing best practices from Work Innovators and encouraging broader adoption of flexible, tech-forward models. Ultimately, we hope this research serves as a playbook for innovation, equipping companies with the tools and strategies they need to thrive in a competitive and ever-changing environment,” concluded Monahan.
