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CEOs and IT Chiefs Misaligned on AI Readiness

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CEOs and IT Chiefs Misaligned on AI Readiness

Kyndryl’s report shows that business leaders have a different perception of the AI infrastructure in their organizations than IT chiefs.

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Published on: May 29, 2025 12:37

There is a huge gap between what business leaders expect their organisations to be ready for artificial intelligence (AI), and what IT leaders think is possible.

Kyndryl commissioned a survey of 1,100 organizations, which was published in the company’s The People readiness report 2025 () found that only 16% CEOs believe their technology infrastructure to be inadequate to fully support AI, compared with 42% IT leaders.

Leaders cite aligning AI technology with broader business objectives as the top action to leverage AI technology in the workplace. However, CEOs who participated in the survey were not aware of the challenges in integrating AI and automation into existing systems. The survey found that only 16% of CEOs acknowledged that there were challenges, compared to 37% IT leaders. Michael Bradshaw, global leader for applications data and AI, stated that only a few businesses have been able harness AI for business growth.

The survey found despite widespread implementation, most organizations are not currently benefiting game-changing use case that will drive new services and products for their customers.

Kim Basile is the chief information officer of Kyndryl. She said: “Aligning tech strategies with business goals is key to achieving success.” To fully benefit from AI, leaders should focus on broader business goals. Generative AI tools are the most common use case reported.

While GenAI tools are the most common use case, only a fifth report using AI-powered insight to improve decision-making and unlock growth for their businesses. Just one-fifth said that the primary use of AI in their organisation was to develop new products or services for customers.

According to the survey, CEOs and tech executives hold different views on how employees view AI adoption. Nearly three quarters of tech executives and less than half of CEOs believe that their employees are adopting AI.

The disconnect between CIOs/CTOs and CEOs extends into how they perceive workforce readiness and what they believe they can do to get their workforces prepared. Tech executives are more focused on upskilling existing employees in AI technology (80%), while four out of ten CEOs prioritize hiring external talent to acquire those skills. The survey’s authors report that organisations are hindered by uncertainty about how to address skill gaps and prepare for future AI advancements. A third of the business leaders surveyed are not confident in their ability to manage current skill gaps. A similar percentage of respondents said that their organisation did not know what skills employees would need in the future.

According Kyndryl skills are rapidly eroding as new technologies and processes accelerate. The survey revealed that business leaders are concerned about challenges their organizations face in regards to training and upskilling.

In reality, 76% of business leaders polled stated that they prioritize reskilling existing employees to accommodate AI implementation over hiring new employees. Less than 4 out of 10 leaders stated that they were taking employee-focused measures, such as hosting reskilling programs, developing personalised training programs, or providing access external certifications and courses specific to AI.

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