Business in SG looking to hire head of AI, proper frameworks still a barrier

Business leaders capable of effectively tracking and measuring the impact of AI are much more likely to see tangible business benefits emerge on both company and employee levels. However, measuring the impact of AI continues to be a significant challenge.

In fact, a study by Hubspot found that close to half of Singapore business leaders surveyed cited a lack of success metrics (49%), relevant talent and skill sets (48%), and visibility of AI use (45%) as the top three obstacles faced when measuring the impact of their AI efforts, which could impact the effectiveness of any measurement tools. 

Moreover, in Singapore, only 27% of local organisations have officially implemented AI or AI-enhanced tools to support employees with their work. The silver lining however is that while organisational-wide adoption of AI may be low, individual use of AI is high, with over half (51%) of business leaders in Singapore reportedly using AI for their own work. This suggests that more employees might also be personally utilising AI tools, said a new report by Hubspot.

Dan Bognar, VP & MD, JPAC at HubSpot, said while AI holds considerable potential to positively transform how businesses market to, sell to, and service customers, the research suggests that ongoing gaps between AI strategies and operational realities are impacting how companies use AI.

“Shifting from independent to company-wide use will require the development of clear guidelines outlining AI usage policies, equipping employees with the relevant AI skill sets, as well as integrating AI solutions with data and tools currently in place. Most importantly, proper measurement frameworks need to be implemented to accurately track AI’s business impact,” said Bognar.

Safe to say, the lack of visibility of AI use across teams has raised concerns for a majority (82%) of business leaders. Collectively, these factors may hinder the ability of Singapore organisations to fully leverage the potential of AI.

The research also highlights that most companies with a proper framework see increased productivity (88%) and increased efficiency (76%) among employees, with nearly two thirds (61%) also reporting higher levels of employee well-being. From a business standpoint, benefits include increased revenue (75%), improved customer satisfaction (75%), the ability to generate better leads (60%), as well as a reduction of overall costs (46%).

Investment in AI continues

Moving forward, almost all (97%) Singapore business leaders are planning to invest in AI tools over the next 12 months, with the average investment amount being approximately SG$32,000. As AI adoption grows, so will the demand for specialised AI-related roles.

A head of AI role that steers organisational use of AI is increasingly more commonplace, and the wide range of use cases means this role may be filled by business leaders in traditionally non-tech functions such as sales, customer service, and marketing.

Nine in ten (90%) business leaders in Singapore are expecting their organisation to hire more roles to support AI rollout and implementation. This aligns with research from LinkedIn that identifies Singapore as one of the fastest growing markets for AI talent in Asia Pacific in recent years. The Singapore government is also spearheading efforts to cultivate a rich pipeline of AI talent, having announced plans to triple the number of local AI practitioners to 15,000.

While three quarters (75%) of business leaders surveyed are expecting their organisation to employ a head of AI in the next 12 months, there appears to be a growing recognition of the need to adapt existing workforces for an AI economy.

As AI use matures, businesses will begin to identify opportunities for automation, empowering AI to undertake labour intensive tasks while enabling the human workforce to use this new freed capacity to take on more strategic work. This is likely to have a positive impact on job satisfaction and employee well-being. Nearly nine in ten (87%) Singapore business leaders have plans to restructure their workforce as AI features more frequently in the workplace.

“The best results are derived from a combination of AI capabilities and human ingenuity. The AI era should be viewed as an opportunity for organisations to reskill or upskill their workforce, tapping relevant initiatives such as SkillsFuture Singapore to meet increasing demand for AI skills. This is a critical step that empowers employees not only to undertake other strategic tasks, but also to effectively leverage the power of AI to drive better business outcomes,” said Bognar.