- CEO’s Weekly Newsletter
- 24 Apr 2023
In a recent session, we explored the exciting world of generative AI and the innovative ways that businesses are implementing it. From enhancing core products to optimizing shared services, there were plenty of exciting pilot programs to discuss. Demand certainly outweighs supply when we look at the supply-demand gap across the G20 countries for emerging skills. When there is an anticipated economic slowdown, it may not feel that way, but the world needs more technology and innovation and not less of it.
Here is a table of various use cases that enterprises are piloting. Last week, we wrote about specific new areas across the functions. The initiatives show that a Generative AI Chatbot is one common capability many companies pilot. Unlike before, we do not have to worry about editing for spelling errors. The Chatbot can pick up the context, engage in a continuous dialogue, and deep dive into a specific problem.
As you can see, Generative AI is being piloted as a Writing Machine and an effective Chatbot. The role of the human is not diminished but more optimized. A few leaders highlighted why the skill sets might change, but hiring for the right skills and the required engine (Recruitment) will still be a critical differentiating function. We looked at G20 countries’ supply-demand gap from an emerging skills perspective, and we believe that the world has around 11 trillion dollars in opportunity if the skill gaps are addressed. Companies will realize this opportunity very soon. (Recruiters and Workforce Planners do not go anywhere)
Opportunity for Workforce Planners
- Workforce planners will possibly do more cost simulations and analysis than ever before. The cost of automation and Generative AI is not well understood. In general, there is a statement used (1 cent per API call), but more work needs to be done to understand the cost of the machine
- New skills are emerging that need to be translated into areas of growth. Many companies are not well equipped to handle ransomware attacks, for example. Last year companies paid close to 457 million USD in ransomware payments (WSJ article on April 15th, 2023)
- Workforce Planning should examine skills across the following lens
- Digital Security
- Innovation and Growth
- Operations and Scale
- SaaS platform-related skills- Companies also have a limited understanding of the skills required to use the various SaaS platforms. Enterprises spend an enormous amount of money here