In the ever-evolving landscape of the workplace, artificial intelligence (AI) and automation stand as pivotal forces reshaping the very character of employment and the workplace.
With the prevalence of Generative AI (GenAI) technology, organisations need to reimagine the entire landscape of the workplace with its capabilities that extend far beyond human potential.
AI is revolutionising healthcare, finance, and transportation, among other sectors with the ability to process vast amounts of data and derive insights.As we consider the transformative effects of these technologies, it is essential to recognise their dual role as catalysts for disruption and new opportunities.
AI and automation
According to McKinsey, AI and automation are set to boost economic growth through enhanced productivity and by tackling societal challenges in healthcare and climate change domains. However, this technological tide also brings about significant workforce transitions and impacts jobs and many more undergoing visible transformation.
According to PWC reports, the potential economic impact of this change is immense, estimated at $15.7 trillion by 2030, driven by increased productivity, enhanced quality of goods and services, and the emergence of new markets and industries.
Businesses that integrate AI technology into their systems will gain a competitive edge, positioning themselves as pioneers in their respective fields.
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As AI technologies become more integrated into daily operations, many tasks once exclusive to humans will be taken over by machines. Some jobs may become obsolete, but new jobs will emerge, requiring a workforce capable of coexisting harmoniously with smart robots.
McKinsey analysis suggests that AI could replace 15% of the global labour force by 2030. Still, by 2035, AI technologies alone are predicted to raise labour productivity in 16 sectors—including manufacturing—by up to 40%. Hence, the real test for businesses lies in smoothly handling workforce transitions during this period.
Impact of AI on workplaces
- Automation of routine tasks: AI can automate repetitive and mundane tasks, freeing up employees to focus on more complex and creative activities. This shift will also require employees to adapt to new skills and job responsibilities—one where empathy, communication, and problem-solving may play an important role.
- Enhanced decision-making: AI systems can analyse vast amounts of data quickly and accurately, providing valuable insights that aid in decision-making. Employees of the future would need to learn how to interpret and leverage these insights to make informed decisions. Since similar insights may be available to most organisations, the ability of employees to put these insights to use to drive innovation in the market may become the competitive advantage for businesses of the future.
- Personalised customer experiences: AI-powered tools enable businesses to offer personalised products and services based on customer preferences and behaviours. Employees must develop skills in using these tools to enhance customer experience and brand loyalty.
- Remote work and collaboration: AI-driven platforms facilitate remote work by enabling seamless communication and collaboration. Employees need to become proficient in using these platforms to work effectively in a remote or hybrid environment.
- Change and continuous learning: In an AI-driven world, employees must be willing to learn to work with new tools and changed processes, committing to life-long learning.
Employers can equip workers with the required digital and collaboration skills they would need to succeed by prioritising reskilling and upskilling programmes, coupled with continuous engagement.
Human and machine collaboration will be essential, with human employees filling positions that demand creativity, critical thinking, and emotional intelligence, which AI cannot easily replicate.
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Emerging technologies reshaping the future of Indian MSMEsEthical and responsible use of AI
While promoting the use of AI for enhancing efficiency, improving products and services, and enhancing customer experience, businesses definitely need to invest in promoting ethical and responsible use of AI. Employees should be aware of the ethical implications of AI and the insights available from the tools.
Learning how to identify and mitigate biases in AI systems is essential to ensure fairness and equity. It is essential to understand the implications of privacy while handling customer data to train AI models to draw insights.
The future outlook
The future of work is about adaptation and innovation, leading to a more efficient and fulfilling work environment for everyone. Businesses and employees can thrive by embracing these changes. The future of work—driven by AI and automation—is bright and full of possibilities.
Meghan Nandgaonkar is the Head of JDU – Global Delivery, Fujitsu India.
(Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the views of YourStory.)
FAQs
The future of AI and automation is promising. We can expect to see advancements in AI applications, such as more sophisticated chatbots, autonomous vehicles, and advanced robotics. AI-driven automation will continue to shape industries, driving innovation, and transforming the way businesses operate.
How AI impact the future of work? ›
Sustainable Business Models. Generative AI will lead to huge productivity improvements and improved cost structures for all types of enterprises. Employees will be significantly more effective and productive in pursuing new levels of creativity and invention.
How AI and automation will affect work? ›
AI and machines increase labour productivity by automating routine tasks while expanding employee skills and increasing the value of work.
What are the positive effects of AI and automation? ›
Increase in Workforce Productivity
AI-powered tools can help manage and optimize various aspects of work, such as prioritizing tasks, scheduling meetings, and automating routine processes. This allows employees to focus on more strategic and creative tasks, thereby increasing their productivity.
Is AI automation worth it? ›
It allows organizations to augment their human workers with these AI digital workers to streamline business processes. This helps deal with skills and labor shortages and frees employees from boring, repetitive tasks so they can focus on higher-value strategic work.
What jobs is AI replacing? ›
What Jobs Will AI Replace First?
- Data Entry and Administrative Tasks. One of the first job categories in AI's crosshairs is data entry and administrative tasks. ...
- Customer Service. ...
- Manufacturing And Assembly Line Jobs. ...
- Retail Checkouts. ...
- Basic Analytical Roles. ...
- Entry-Level Graphic Design. ...
- Translation. ...
- Corporate Photography.
What does the future of AI look like? AI is expected to improve industries like healthcare, manufacturing and customer service, leading to higher-quality experiences for both workers and customers. However, it does face challenges like increased regulation, data privacy concerns and worries over job losses.
What is the negative impact of AI on employment? ›
One of the most substantial drawbacks of AI is job displacement. As AI systems are increasingly employed to automate repetitive tasks, there's a potential risk for significant job losses, particularly in specific industries. Consequently, this can cause considerable changes in the job market and the workforce.
Will AI replace humans? ›
While AI is advancing rapidly, it's unlikely that it will completely replace humans in all roles. Instead, we're more likely to see a symbiotic relationship where AI complements human capabilities rather than outright replaces them. 2025. AI will begin replacing taxi drivers at scale.
How is AI automation changing our lives? ›
AI can process large amounts of data quickly and accurately, to support well informed decisions faster. AI changes our lives across different sectors and industries. As AI technology continues to evolve and mature, AI will impact our daily lives in almost everything we do”.
The point of AI isn't to perform repetitive tasks like automation. Instead, AI is designed to mimic humans at a more intellectual level, and to be able to perform tasks that they learn by observing patterns and past outcomes.
What is the role of AI in automation? ›
The most critical component of intelligent automation is artificial intelligence, or AI. By using machine learning and complex algorithms to analyze structured and unstructured data, businesses can develop a knowledge base and formulate predictions based on that data. This is the decision engine of IA.
How will AI impact the future of work? ›
How Will AI Affect Jobs - How many jobs will AI replace by 2030. Artificial intelligence (AI) could replace the equivalent of 300 million full-time jobs, a report by investment bank Goldman Sachs says. It could replace a quarter of work tasks in the US and Europe but may also mean new jobs and a productivity boom.
How does automation affect the future of work? ›
Automation in the Workplace
While automation can lead to increased efficiency and cost savings, there are also concerns about job loss and the impact on human workers. As technology continues to advance, it is crucial for both employees and employers to adapt and find ways to work alongside automated systems.
How are AI and automation affecting job loss? ›
Forrester's research suggests as many as 86% of US employees fear that many people will lose their jobs to AI and automation, and almost a third (31%) believe that trend will manifest during the next two to five years.
Can AI replace automation? ›
While AI can automate specific testing aspects, it cannot entirely replace human testers. The cognitive skills, creativity, problem-solving abilities, and emotional intelligence that human testers bring to the table are irreplaceable.
Is there future in automation? ›
The future of automation testing is undeniably exciting, marked by the integration of AI, machine learning, and cutting-edge technologies. Embracing these advancements will not only streamline testing processes but also elevate the overall quality of software.
Is there a future for artificial intelligence? ›
Future of Artificial Intelligence. Artificial intelligence (AI) has a bright future, but it also faces several difficulties. AI is predicted to grow increasingly pervasive as technology develops, revolutionising sectors including healthcare, banking, and transportation.
Will AI replace robotic engineers? ›
Embracing AI as a collaborative partner rather than a replacement empowers the engineering community to address complex global challenges and drive progress towards a brighter future. In conclusion, AI approaches will not replace simulation software or engineers.
