In tight labor markets, technology may provide bandwidth for growth. Rising levels of employment make technology integral to future talent strategies.
According to the EY Global Capital Confidence Barometer, the use of technology, automation and AI for some routine processes is increasing as labor becomes scarcer and the battle for talent intensifies. This could enable companies to free up valuable resources to focus on broader strategic issues.
Often, the impact of new technologies is overestimated in the short term and underestimated in the long term. In some cases, expectations are too high about the immediate benefits of automating routine tasks. But, paradoxically, the potential opportunities and benefits of AI are still, if anything, underestimated. While there is much speculation regarding AI, there has been a lack of detailed analysis of how it will really transform businesses.
Most organizations are not exploiting the full potential of artificial intelligence — they are just at the beginning of their AI journeys. What may be holding companies back is the undersupply of talent, but it may also be the difficulty in imagining the art of the possible.