Latest news with #VedantSampath
Techday NZ
21-05-2025
- Business
- Techday NZ
Businesses consider merging IT & HR to boost engagement
Nexthink has released research indicating a significant shift may be underway in how businesses approach employee productivity and engagement, with the potential merger of IT and HR departments emerging as a solution. The study, titled 'The Experience Silo: The Future of HR and IT', surveyed 1,100 IT leaders worldwide and revealed strong support for integrating IT and HR teams to counter declines in productivity and employee engagement. According to the research, 93% of respondents said merging the two departments would increase productivity, boost employee satisfaction, and drive engagement. 64% predicted a full merger will take place within five years, while a further 31% expect much closer collaboration between the functions. The potential benefits of such a merger, as cited in the report, include reduced delays and improved outcomes for digital transformation projects, smoother onboarding of new hires, faster adoption of digital tools by employees, and higher levels of employee satisfaction, retention, and engagement. Specifically, 85% of IT leaders expect fewer delays in digital transformation, 94% anticipate more successful project outcomes, and 97% believe employees would more quickly adopt new digital tools. 95% said onboarding processes would improve, and 93% anticipated gains in productivity, engagement, retention, and satisfaction. These findings come as businesses contend with sluggish productivity and declining engagement, trends which are contributing to an estimated USD $430 billion in lost global productivity. The challenges are heightened by the increasing complexity of the digital workplace, with employees now using an average of 11 applications, up from six in 2019. IT leaders anticipate a further 43% increase in the number of workplace applications over the next three years. Vedant Sampath, Chief Technology Officer at Nexthink, commented on the situation. "Virtually every business is facing this crisis of falling engagement and sluggish productivity, although some more than others," Sampath said. "This shows that businesses are considering radical changes in response. This isn't just about smoother onboarding or faster tech support; it's about fundamentally reimagining the workspace in a way that allows employees to bring their best selves and produce their best work." Merging IT and HR functions would not be without challenges. Respondents cited concerns including a lack of clear ownership over new and existing responsibilities (58%), poor communication between the two departments (50%), and differing priorities (49%). Nonetheless, more than half of the surveyed IT leaders (52%) said their organisations were 'very ready' to begin merging functions to enhance digital transformation efforts. The research also examined possible leadership for a combined department. 40% said that the new entity should be overseen by a new role, such as a Chief Experience Officer (CXO), rather than a traditional Chief Information Officer (CIO) or Chief People Officer. The anticipated remit of the merged function extends beyond traditional HR or IT responsibilities to encompass measuring and improving digital employee experience (62%), managing all workplace technology and collaboration tools including automation and AI (69%), overseeing employee digital training (61%), and providing insight into workforce analytics such as productivity scores (51%). Sampath added, "We're moving towards a future where the employee experience is going to be just as important as the customer experience. Whether HR and IT merge or not, it's essential that businesses invest in giving their workers great experiences. Nobody is able to be properly productive if they're constantly battling delays, poorly functioning tools, and disjointed processes. The businesses that address these frustrations and properly marry people and technology will be the ones that attract top talent, reduce friction, and build high-performing, adaptive teams."
Techday NZ
28-04-2025
- Business
- Techday NZ
Lack of employee skills threatens value of AI investments
New research from Nexthink has indicated that a lack of employee digital readiness could jeopardise returns on significant investments in artificial intelligence (AI). The survey encompassed 1,100 global IT decision makers and highlighted that 92% of IT leaders believe the latest wave of AI-powered digital transformation is poised to increase digital friction within organisations. According to the findings, fewer than half (47%) of employees currently possess the digital dexterity required to adapt to emerging technological changes, and 88% of leaders expect many workers to feel daunted by advancements such as Generative AI. IT spending worldwide is projected to rise to $5.61 trillion in 2025, with $644 billion allocated specifically to Generative AI. These figures underscore the scale of investment underway, yet point to significant challenges regarding workforce preparedness. Despite these outlays, 42% of IT leaders disclosed difficulty in assigning precise monetary value to their AI initiatives, while 93% expressed a desire to improve mechanisms for identifying underperforming investments. Vedant Sampath, Chief Technology Officer at Nexthink, highlighted the human aspect of digital transformation, stating: "Organisations are spending trillions on IT to digitally transform, but without their people on board, it's a fast track to failure. Too many employees are left grappling with unfamiliar AI tools because they lack digital dexterity: the ability to confidently embrace new technologies." "IT teams, meanwhile, are flying blind without visibility into where things are going wrong. Transformation isn't just about rolling out new tech; it's about enabling people to use it effectively. If businesses don't end this digital dexterity crisis, they'll end up with cutting-edge AI tools - but a workforce that can't use them. That's a one-way ticket to watching AI investments go up in smoke." The pace of digital change within organisations is accelerating. On average, IT leaders anticipate a 43% increase in the number of applications used over the next three years. Two-thirds (66%) report their organisation is introducing a new application, tool, or platform every month. This pace is placing substantial pressure on IT teams, with 69% admitting there are currently too many users for IT to provide effective adoption support to everyone. The consequences of insufficient support are felt across several business areas. According to the report, inadequate application rollouts can result in reduced productivity (61%), diminished collaboration (51%), an increase in IT support tickets (46%), and greater overall employee dissatisfaction (46%). In response, IT leaders are focusing on increasing digital dexterity across their organisations. A substantial 96% stated the need to improve their ability to accurately detect digital friction among users, which they believe would greatly enhance the success of digital transformation projects. As AI continues to reshape the workplace, the same proportion (96%) emphasise the importance of strengthening digital adoption support to help employees adjust to AI, while 95% see tailored digital employee experience (DEX) insights as essential for the future. The research identifies clear benefits to improving digital dexterity, including faster adoption of new tools (46%), increased productivity (38%), and greater innovation (37%). "Digital transformation lives and dies by the employee experience," Sampath added. "If IT teams can't effectively guide employees through adoption, businesses will never unlock the full value of their investments. DEX is no longer a nice-to-have; it's business critical. Without it, IT leaders will struggle to measure impact, let alone maximise returns, and risk seeing their transformation efforts stall before they even get off the ground."
