Used in the right way, AI can reshape industries. But does this disruption require the displacement of workers?

In fact, replacement of human agents with AI in some functions may prove detrimental to customer satisfaction. A survey from early 2024 showed 90% of UAE consumers preferred human interaction over chatbot sessions.

A CEO that looks to the cost-cutting potential of AI without due consideration of consumers’ fancies may find that costs saved are outpaced by declining revenues.

This is the balance the UAE’s CEOs must strike in 2025 — to turn AI investment into profit more effectively than competitors. Under the pressure to get this balance right, many business leaders may freeze under ‘analysis paralysis’.

But staying still is not an option.

There is no choice for the modern CEO but to become a champion of AI. This not only means being open to more AI investment. It means being willing to change the corporate mindset and usher in an era of ‘Universal AI’.

Only leaders can replace workers; and only leaders can encourage employees to embrace the thing they fear, and see it as a net positive — for them in their daily work life, and for their department in adding value to the enterprise.

Translating this feeling of AI as a net positive, into a net positive on a balance sheet, is a process that requires leaders to remain committed.

To remain a frontrunner in the AI race, organizations cannot afford to take a wait-and-see approach. In 2020, we saw the emergence of multi-cloud environments; once seen as gimmicks, they became standard practice. AI strategies are already following the same trajectory.

What CEOs now face is a complexity of choice as AI steadily innovates at breakneck speeds — with new innovations appearing almost daily. Avoiding vendor lock-in is key to a successful enterprise AI strategy.

Those who can maintain full technology optionality to always choose or swap in the best LLM or collection of AI tools — at any time — to deliver the best outcome for their specific uses cases, stand the best chance to win the race.

Humans first

AI comes with risks, especially in the UAE where strict regulatory frameworks now exist to protect consumers and businesses. Legal concerns are understandable, given the financial consequences of privacy violations.

But since standing still is not an option, CEOs must establish steering committees to design guardrails that allow innovation to occur while protecting privacy, ensuring the quality of data, and preventing projects running over budget. These measures collectively go by another name: AI governance.

Most AI platforms now come with governance tools that allow coders, data scientists, and other developers to innovate without having to be experts on compliance.

Platforms also ensure that while development teams work hard to delight end users — customers or colleagues — they do not inadvertently annoy them. It is inadvisable to prioritize bold public statements that appease investors if customers and employees are going to be put off by the outputs of AI.

Customers think in terms of pain points. A good AI strategy would be to identify the most common pain point that can be practically and quickly addressed and deliver on it. Employees want to be empowered. Invest in training that allows them to level up and see AI as friend, not foe.

Concentrate on employees and customers and AI will pay dividends. It is these measurable dividends, rather than lofty claims, that will please investors and board members.

To say that AI is the future here is not theoretical. But just as AI cannot replace us, neither can it make us prosperous. Only our leaders can do those things by how they choose to adopt AI.

CEOs can choose to freeze, they can choose to act cynically, or they can choose to adopt an inclusive, business-healthy, Universal AI culture where people come first.

This is a sustainable model that sets the enterprise up for longevity.

Sid Bhatia, Special to Gulf News

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