AI is driving a major shift in jobs and skills

Jakarta: A recent study by the IBM Institute for Business Value indicates that globally, executives estimate that 40% of their workforce will need reskilling following the implementation of AI and technology. automation over the next three years.

This means that around 1.4 billion people – out of a global workforce of 3.4 billion according to the World Bank – will need to be retrained in the near future. The study “Augmented Work for an Automated and AI-Driven World” shows that there is a gap between businesses and employees when it comes to workplace priorities.

As AI is poised to take on more manual and repetitive tasks, employees surveyed indicated that engagement in higher-impact work is the primary factor that interests them beyond pay and security – more important than flexible working arrangements, growth opportunities and equality.

However, economic players are not yet aware of this. Executives surveyed ranked impact work as the least important factor for their staff and instead highlighted flexible work arrangements as the most important element outside of pay and security.

“Even though AI continues to be implemented in almost every business process of an enterprise, human labor remains the main competitive advantage of companies. It is therefore very important that leaders are able to lead and direct their staff through this change and enable them to succeed and continue to grow in the new era of generative AI,” said Andrian Purnama, Managing Partner of IBM Indonesia.

“Closing this gap is critical to ensuring staff focus their energy and time on more creative, business-impactful work, while AI and automation are leveraged to complete repetitive, longer-consuming work” , he added.

According to the executives interviewed, developing new skills for existing employees is the biggest problem when it comes to talent management. Executives surveyed said technology was the second most important talent issue, but only 21% of employees said the lack of technical skills within their teams was a major daily challenge.

The study also provides recommendations for how leaders can act to address talent challenges in the AI ​​era and help their organizations transform for the future, including through a focus on skills and operational models.

The IBM Institute for Business Value, in collaboration with Oxford Economics, surveyed 3,000 global executives across 20 industries and 28 countries across all major regions in December 2022 and January 2023 on job roles, skills and how work is done.

IBV also surveyed nearly 370 executives from Australia, Germany, India, Singapore, the UK and the US in April and May 2023 on jobs and skills in the context of AI generative. Additionally, IBV surveyed more than 21,000 workers across 22 countries in December 2022 to understand their expectations and motivations when it comes to work organization, job mobility, and overall employee experience.

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Jordan Carlson

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