Artificial intelligence (AI) is redefining how organisations operate, develop talent and create value, but long-term success will depend on organisational transformation rather than technology adoption alone, according to a new whitepaper by KPMG in India and Nasscom.
Titled ‘Reorganise or Fall Behind: The Real Race in the AI Decade – Industry and Academia Speak: The Unfiltered Reality of AI-Led Transformation’, the report draws on insights from industry leaders, academia, executive interviews, roundtables and a focused technology industry skilling survey. It explores three themes—The Ground Has Shifted, The Human Equation, and Building the Capability Engine—highlighting the need to redesign operating models, build workforce readiness and strengthen continuous learning.
Shalini Pillay, Partner and National Leader – Global Capability Centres, KPMG in India, said, “As organisations accelerate their AI journey, the ability to build future-ready talent and continuously evolve capabilities will be a key differentiator. India has a unique opportunity to strengthen its position as a global hub for innovation and talent by fostering stronger collaboration between industry, academia and the wider ecosystem. Organisations that invest in workforce readiness today will be better equipped to create long-term value in an AI-driven economy.”
Sunit Sinha, Partner and Head, Human Capital Advisory Solutions, KPMG in India, said, “AI presents organisations with an opportunity to reimagine how work is structured, how talent is developed and how value is created. As enterprises move beyond experimentation, success will depend on their ability to build workforce readiness, redesign operating models and create capability systems that evolve with the pace of change. The organisations that act with clarity and intent today will be best positioned to lead in the AI decade.”
Arun Sharma, Partner, Human Capital Advisory Solutions, KPMG in India, added, “The future of work will be defined by readiness, not just resources. Building deployable skills, fostering continuous learning and strengthening collaboration across industry, academia and government will be essential to creating a workforce that can thrive in an AI-driven economy.”
The report notes that while 74 per cent of organisations say AI initiatives are delivering business value, only 24 per cent have achieved returns across multiple AI use cases, underscoring the need to move beyond pilots. It concludes that the competitive advantage in the AI era will belong to organisations that reorganise around AI by redesigning work, building workforce readiness and creating capability systems that evolve with changing business needs.
