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AI in GBS: the enterprise shift hiding in plain sight

Built for scale, GBS is redefining value as a source of institutional intelligence and a foundation for smarter, more resilient operations.


In brief
  • The rise of AI necessitates a structural overhaul, merging operational efficiency with innovation in a unified framework.
  • Automation reshapes roles, requiring organizations to prioritize education and transparency to build trust and empower employees.
  • Integrating AI in Global Business Services redefines its role, positioning it as a strategic leader in enterprise intelligence.

Special thanks to Raul Melano for their contributions to this article.

For years, Global Business Services (GBS) has been the operational backbone — foundational, dependable and built for scale.

This evolution is more than a functional shift — it reflects a broader enterprise recalibration. As organizations accelerate artificial intelligence (AI) adoption, GBS is emerging as the natural ecosystem where data, process discipline, governance and talent converge at scale. That convergence is already paying off: 96% of AI-investing organizations report productivity gains, according to the latest EY AI Pulse Survey.

The mandate was clear: run the business support functions efficiently while others focus on strategy. But as AI has surged into the corporate world, something unexpected has happened. The very characteristics that once kept GBS in the background — standardization, integration, process discipline and cross-enterprise reach — have placed it squarely at the center of transformation.
 

While AI initiatives often originate within functions such as finance, IT or risk, Ernst & Young LLP (EY US) observes that GBS is increasingly where these initiatives converge — making it the natural enterprise capability center for scaling AI-driven value responsibly.
 

Across industries, leaders are beginning to see this shift. Almost 80% of organizations now operate within some form of a GBS model — whether building, expanding or digitizing it further — according to the Research Insight Report: GBS as the Engine of Digital Transformation.
 

This EY US-sponsored report from SSON Research & Analytics (SSON R&A) reveals that the rise of AI hasn’t created this shift — it has exposed it. AI does not flourish in chaos. At the enterprise level, it craves structure, stable processes, consistent data and a place within where risk, governance and scalability intersect. That place is GBS.

AI in GBS driving urgency

While AI has been marketed as a revolution, its introduction begins quietly for most organizations. A forecasting model that finally reveals patterns buried in years of financial data. A chatbot that resolves employee questions in seconds instead of days, improving the employee experience. A document agent that summarizes and compares contract revisions in an instant — tasks that once consumed hours of human labor.

These “small” wins often ignite something bigger: clarity. Leaders see how AI can streamline workloads, accelerate decisions, deliver operational transparency in ways traditional tools never quite achieved and create a user experience that delights. Leaders see it and ask for more, challenging what else can be automated through AI.

There is lots of room for growth. More than half of respondents use AI only for limited, task-specific purposes and 21% report no AI use at all, according to the SSON R&A report. Meanwhile, nearly 40% have no dedicated AI team, a gap that reflects both a leadership challenge and a missed strategic opportunity.

This is not due to indifference — it is the hard reality of data and readiness.

“AI is trying to access a digital world through an analog one,” says Dorian Redding, EY Americas Global Business Services Solution Leader. “When organizations are still relying on legacy systems or green-screen technology, AI simply can’t get to the underlying data. That’s why getting the foundation right — data, workflows and governance — is not optional if you want AI to scale.”

Even when AI can access the data, teams often hesitate to trust its output until they have compared it repeatedly to historical results.

Trust, in other words, becomes its own journey.

The foundation problem no one can skip

Organizations are always on the lookout for ways to accelerate AI adoption, but the truth is simple: AI cannot scale until the underlying processes and data structures are ready. It is not easy to merge a digital future with an analog past and it can quickly lead to misalignment that prevents AI from learning effectively or performing reliably.

This is why so many organizations return to the basics: data architecture, workflow orchestration and governance. The organizations that succeed treat AI not as a bolt-on tool but as a capability that grows from disciplined foundations. They revisit policies that vary from country to country. They standardize workflows that have accumulated exceptions over decades. They introduce governance layers that define not only what technology can do, but what the organization is willing to sanction.

This foundational work can feel slow. It is not the “future of work” imagery executives often imagine. But it is essential. Without it, AI amplifies fragmentation instead of efficiency.

A moment of organizational reckoning

AI also raises a deeply human tension — one that surfaces repeatedly across industries. Employees worry what automation means for them. Some fear that AI will shrink their roles before they understand how to evolve. Others see workforce reductions associated with automation as an immediate and tangible risk. For example, an organization with 6,000 shared services employees projects that digital and AI-enabled transformation could reduce that number to 500.

This kind of structural change cannot be hidden. It must be navigated.

“If you get the end-to-end process right and enable it with technology and AI, humans aren’t doing throughput work anymore — they’re managing exceptions,” Maria Saggese, EY Global and Europe West GBS Leader says. “But that requires trust in the data, trust in the process and time for people to understand what their future actually looks like.”

Organizations handling this well tend to do three things:

  1. Educate early and often: Help teams understand what AI can do — where it excels and where human oversight remains essential.
  2. Create space to practice: Let employees experiment with AI tools so familiarity replaces fear.
  3. Articulate a vision for new roles: Reinforce that future GBS teams will manage exceptions, interpret insights and drive decision-making — not execute repetitive tasks.

From an EY US perspective, this marks a shift toward a skills-based GBS workforce — one that combines AI literacy, analytical judgment and human-centric capabilities such as collaboration, ethics and change leadership. Organizations need to address the skill set mismatch from processing transactions to troubleshooting how exceptions are handled.

Leaders also emphasize cross-functional awareness. Sales teams must see how decisions impact receivables. Procurement teams need to understand downstream impacts on accounts payable. AI reveals the interdependence of end-to-end workflows more clearly than any tool before it — and GBS becomes the orchestrator of that interconnected enterprise, becoming an even greater advocate for global process ownership.

Lessons from the rise of RPA: a familiar transformation pattern

The enterprise shift toward AI echoes an earlier wave of change — robotic process automation (RPA). The RPA era revealed that the organizations achieving the greatest gains were those that built on globally standardized workflows and strong governance structures. These models created the consistency and clarity needed for automation to scale across processes, geographies and business units.

The organizations that struggled were typically those that pursued narrow, quick‑hit automations — small wins applied to fragmented processes. These efforts delivered isolated relief but not meaningful transformation. Many of these organizations found themselves forced to pause and rethink their entire operating landscape. Ultimately, they recognized that automation needed end‑to‑end process discipline, not point solutions. That realization is directly relevant today as AI raises the stakes and magnifies the consequences of fragmented foundations.

RPA also exposed the danger of automating broken or inconsistent processes. When policies, workflows or exception paths varied widely across regions or teams, automation often increased complexity rather than reducing it. AI makes this lesson even more urgent. Because AI depends on high‑quality, well‑structured data and stable workflows, inconsistent processes can quickly undermine model accuracy, reliability and trust.

Importantly, RPA surfaced the emotional and organizational realities of transformation. Many employees feared job loss, questioned whether automation outputs were trustworthy or struggled to envision their future roles. The same concerns are resurfacing today, only amplified by AI’s broader reach and greater capability. The organizations that navigated RPA most effectively were those that invested early in communication, education and transparency — helping employees understand how their roles would evolve and where new opportunities would emerge.

If RPA was a catalyst for incremental improvement, AI is a catalyst for structural change. The core lessons remain the same: strong governance, standardized workflows, consistent policies, clear accountability and a commitment to capability‑building are not optional — they are prerequisites. These foundations determine whether AI becomes a sustained enterprise capability or a series of disconnected experiments.

GBS as the first scalable home for AI

When examining where AI can take hold most effectively, GBS emerges as a logical nucleus. It is where global processes converge, where data flows aggregate and where governance is already embedded into operating models.

The next wave of AI — particularly generative AI (GenAI) and agentic AI — pushes this even further. These models are not just automating tasks; they are beginning to manage steps within end-to-end processes, triage exceptions and ultimately execute recommendations. This is why organizations are reimagining GBS as an intelligence hub rather than a transactional one.

But this evolution requires capability building:

  • AI centers of excellence that codify governance and training.
  • Talent pathways that reward analytical acumen, process fluency and technical literacy designed to accommodate both a digital and human workforce.
  • Upskilling programs designed not for specialists alone but for large segments of the workforce.
  • Integrated operating models where experienced AI users sit beside process owners rather than in a separate technical silo.

It is no surprise that 85% of organizations say they are prioritizing AI, automation and analytics skills within GBS, according to the SSON R&A report. And 34% cite upskilling as their top workforce priority. GBS is transforming not only what work gets done but who does it and how they do it.

Adapting the operating model: the shift toward intelligence

As AI becomes embedded in everyday operations, the very structure of service delivery begins to shift. Work once outsourced is now returning to the organization’s GBS because the value lies not in labor arbitrage but in intelligence. This trend is already reflected in the data: 41% of organizations expect digital transformation to drive more insourcing, compared with only 26% expecting more outsourcing, according to the SSON R&A report.

When operations become AI-enabled, governance, process integrity and data quality matter more than labor cost alone. By design, GBS is where these factors converge.

The future role of GBS, as leaders increasingly see it, is broader than service delivery. It is the function best positioned to connect technology, people and data into a coherent enterprise capability.

To fulfill this role, organizations must take decisive steps:

  • Shift from pilots to platforms: AI should be approached as a capability — governed, standardized and scalable.
  • Elevate GBS as a strategic partner: not an order-taker, but a leader of enterprise transformation.
  • Invest deeply in readiness: data quality, governance and talent maturity are not optional — they are prerequisites. The AI skill set mismatch requires attention. As AI becomes integral to operations, targeted upskilling is essential to equip employees with the skills needed to succeed in an AI-driven workplace.
  • Help the workforce evolve: trust must be built through education, transparency and hands-on engagement.
  • Design for the long journey: AI maturity takes time. The best advice for organizations still evaluating their approach is simple — you might as well get started. Waiting will not shorten the journey.

Organizations considering this path may discover that AI has the potential to do more than simply accelerate operations — it could fundamentally reshape how work gets done. Rather than just reacting to service needs, there is an opportunity to shift toward proactive value creation. This approach could strengthen an enterprise’s ability to learn, adapt and evolve over time.

Summary 

The transformation underway shows that GBS’s foundational strengths — standardization, measurability, integration and governance — are exactly what modern organizations need to scale intelligent operations. As teams navigate data complexity and workforce change, GBS offers structure, clarity and a path forward. Its once-quiet capabilities now position it to lead with insight and shape how work evolves.

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