India Falls Behind in AI Adoption, Nearly Half (45%) Are Still In Early Stage: Deel Study
AI may be the
buzzword across boardrooms in India, but true transformation is still taking
shape. While most organizations have embarked on their AI journey, many remain
stuck in the early stages compared to global markets, which are in more
advanced stages of AI adoption. About 45% of Indian firms are at the early
stage of adoption – highest globally, 38% at the intermediate stage, and only
17% at an advanced stage where AI is embedded in core business processes and
innovation.
Released today, the
IDC InfoBrief “AI at Work: The Role of AI in the Global Workforce,” commissioned
by Deel, presents findings from a survey of over 5,500 business
leaders across 22 markets. The findings further reveal that while AI
adoption is gaining momentum, only 54% of Indian organizations have formal
reskilling programs in place, compared to 67% globally. This points to a
widening gap between technological advancement and workforce preparedness,
underscoring the urgent need for structured, future-focused learning.
Across HR functions
in India, AI is most widely used in talent management (66%) and talent acquisition
(57%). However, as AI takes over repetitive and knowledge-based tasks,
organizations face new challenges in talent development, workforce integration,
and leadership pipelines.
The top barriers to adoption include:
· Data privacy and compliance concerns (46%)
· Integration with legacy systems (45%)
· Lack of internal AI expertise (43%)
“AI is no longer
emerging, it’s fully here,” said Nick Catino, Global Head of Policy at
Deel. “It’s reshaping how we work and how businesses operate. Entry-level
jobs are changing, and the skills companies look for are too. Both workers and
businesses need to adapt quickly. This isn’t about staying competitive, it’s
about staying viable.”
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