Kyndryl unveils second annual People Readiness Report

Kyndryl has released its second annual People Readiness Report, highlighting changes in workforce readiness to adopt artificial intelligence (AI). The study examined responses from 1,100 senior business and technology leaders across eight countries and identifies a gap between AI expectations and implementation outcomes.

As organisations work to integrate AI, the report notes that success is not only dependent on adopting different strategies or deploying advanced technologies. It also requires redesigning workflows and implementing broader organisational changes. Adjustments to operating models and governance structures are described as important in building trust in AI systems.

With corporate AI investment increasing, organisations are under pressure to deliver measurable results. The report states that global AI spending could reach $2.52 trillion by 2026. Leaders who are most effective in adopting AI are described as those not only using technology but also adapting workforce roles to align with AI-driven changes.

Key findings show that 57% of firms report that AI is now embedded in core business processes. At the same time, 32% report achieving at least one of their primary AI objectives, indicating challenges in meeting expected outcomes.

The report identifies a group of organisations referred to as “Pacesetters.” These organisations restructure roles around AI, prioritise change management to support new operating models, and focus on workforce readiness. They are also described as developing stronger governance frameworks.

According to the report, Pacesetters are 1.5 times more likely to report revenue growth linked to AI and 1.6 times more likely to report innovation in products and services.

Only 23% of organisations report that their employees are fully ready for AI-related challenges. The report also notes concerns among some leaders that AI could surpass human expertise in certain areas, which may affect competitive positioning.

Organisations report a range of actions to prepare for AI-enabled workplaces:

• Redesigning roles for the future: 61% of companies have redefined job roles, while 24% are creating AI-specific roles.
• Addressing skills gaps: 50% of respondents report difficulty finding skilled AI talent, and about one-third have introduced training programmes aimed at improving AI collaboration.
• Building trust through governance: Around one-third of organisations are introducing clearer policies for AI decision-making, along with increased focus on monitoring and oversight mechanisms.

Overall, the report presents the relationship between AI potential and current implementation outcomes, emphasising workforce readiness and organisational adaptation as key factors in enabling effective use of AI.