Singapore businesses leading APAC in AI adoption

But 'lack of employee support can disrupt workforce and hinder companies' long-term competitiveness,' says expert

Singapore businesses leading APAC in AI adoption

Singapore is leading the Asia-Pacific region when it comes to adoption of artificial intelligence in the workplace, but a new report indicates that employees might be getting neglected amid AI integration.

Nearly half of Singaporean businesses (45%) are already using AI in their operations, while 38% are considering its adoption in the near future, according to a report from PERSOLKELLY.

These statistics are higher than the APAC average, where 39% are adopting AI, and 38% plan to do so in the future. According to the report, Singaporean employers are adopting AI for the following reasons:

  • To increase productivity (57%)
  • To increase efficiency (59%)
  • To reduce the risk of human error (40%)

Some 10% of Singapore organisations also use AI to improve their talent acquisition and recruitment process, but it's lower than the regional average of 16%.

The most used AI tools in Singapore's workplaces include AI chatbots and virtual assistants (27%), AI for writing (23%), and Robotic Process Automation Tools (19%).

Amid the widespread adoption, 47% of Singaporean businesses also said they would implement internal policies governing AI use within a year. A quarter said it would take up to two years, while nine per cent said it would take longer than that.

AI's impact on workforce

AI's adoption also makes 45% business leaders believe that job roles and responsibilities would be redefined to accommodate AI technology.

In fact, four in five employers predict a significant job displacement due to AI, according to the report.

However, only 27% said they would develop a comprehensive plan to assist affected staff in finding new opportunities within or outside the organisation.

Only half of employers (53%) in the country are also planning to offer reskilling programmes to help employees transition to other roles in organisation.

Less than half are also looking into the creation of new jobs to complement AI technologies (47%) and into engaging in an open dialogue with employees about the potential impact and solutions related to AI (41%).

Lack of employee support around AI

"While businesses in Singapore have been successful in the adoption of AI practices and policies at a faster rate, the lack of employee support during this process can disrupt the workforce and hinder companies' long-term competitiveness," said Ken Tan, Director, Specialised Contracting (Head of Division) and Head of Sales for PERSOLKELLY, in a statement.

Tan said businesses to focus on coming up with strategies to help affected staff if they want to stay ahead of the curve and protect their workforce.

"There is also potential for companies to leverage the expertise of AI specialist to maximise the opportunities in the usage of AI in the workplace and to support the current workforce with adopting new technology," the director added.

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