UK firms embrace AI boom, but bosses lack training to deliver it, report finds

The UK’s ambitions to become a global leader in artificial intelligence risk being held back by a shortage of managers and leaders with the skills and confidence to turn investment in AI into higher productivity, stronger businesses and economic growth, according to new research from the Chartered Management Institute (CMI).

The report, ‘Artificial Intelligence; Real Leadership: The Management Imperative in AI Adoption’, takes one of the first major looks at how the AI boom is changing management and decision-making inside British workplaces, and whether organisations are prepared for the shift.

Based on polling of more than 1,000 UK managers, alongside interviews with senior business and technology leaders, including Jacky Wright, a global leader in transformative technology with CTO executive roles spanning Microsoft, GE and McKinsey & Co and Dr Nicola Hodson, chair of IBM UK and Ireland, the research explores how AI is reshaping leadership, workplace culture and organisational decision-making, from the boardroom to frontline management.

The findings suggest British firms are embracing the AI boom with ambition and investing heavily in new technologies, but many risk falling short of the full economic opportunity because they are not investing at the same pace in the leadership capability needed to scale adoption successfully across workplaces.

The report identified several key findings about how British workplaces are adapting to AI:

Most firms are seeing only modest gains from AI adoption: While 70% of managers report some productivity improvements from AI, only 5% say those gains have been transformational. More than a quarter (26%) say they have seen no productivity gains at all.

Many organisations remain stuck in the experimentation phase: More than two thirds (68%) of organisations are still testing AI or running early-stage pilots, despite over half (52%) of managers believing their organisation will be “AI future-ready” within the next year.

Managers say senior leaders are not leading AI adoption from the front: While 64% of senior leaders encourage experimentation with AI, only 13% of managers strongly agree that senior leaders are actively using the tools themselves.

Confidence in leading AI-enabled teams remains low: Just 12% of managers say they feel “very confident” managing teams using AI, falling to 10% when asked about more advanced agentic AI systems.

Managers are increasingly turning to AI for workplace guidance: Seven in ten (70%) managers report using generative AI tools for advice and guidance at work because they are perceived as faster and more technically detailed.

Jacky Wright, former Chief Technology and Platforms Officer at McKinsey and Chair of the CMI AI Advisory Council, said: “The UK has a major opportunity to lead globally in AI adoption, innovation and productivity growth. Businesses are already investing at pace, but technology alone will not deliver transformation.

“The organisations seeing the greatest success are those investing equally in leadership, culture and workforce confidence. AI adoption is not just a technical challenge, it is a management challenge.”

CMI CEO Ann Francke OBE said: “British firms are not lacking ambition on AI. Across the economy, organisations are investing heavily because they recognise the enormous opportunity AI presents for growth and productivity.

“But there is a real risk the UK falls short of that opportunity if organisations fail to equip managers with the skills and confidence needed to lead change effectively. Britain cannot become an AI leader if leadership capability itself is left behind.”

Lorna Willis, CEO of TechSkills, the UK’s employer-led accreditation body for digital skills, said: “AI is reshaping not only how organisations operate, but what leadership itself looks like. As technology evolves rapidly, the need for clear, confident and human-centred leadership becomes even more important.

“In the AI era, technical expertise alone is not enough. The leaders who succeed will be those able to communicate clearly, build trust, encourage curiosity and help people adapt confidently through change.”

The report argues that AI adoption will increasingly depend on managers developing stronger human and strategic leadership skills alongside technical understanding. It calls on organisations to treat AI implementation as a major organisational change programme, requiring investment in leadership development, workforce confidence and responsible governance.

This article is produced by SWNS based on content distributed by GlobeNewswire.