A lack of skills in UK boardrooms is a barrier to full engagement with artificial intelligence, new research has found.

In a survey of more than 600 directors across the UK, the Institute of Directors finds that half of those polled identify “limited experience” among managers and board members, as well as a “lack of trust” in AI outcomes, as their biggest concerns when it comes to AI.

This is despite more than half (56%) of those who use AI saying they have seen better data insights and analytics as a result of its use.

Erin Young, head of innovation and technology practice at the IoD, says concerns about using AI must be addressed in the government’s forthcoming industrial strategy, expected to be finalised some time this year.

Young says: “While UK business leaders in early AI adoption are enthusiastic about greater productivity and efficiencies, they face a complex set of barriers to top-down implementation and governance — from skills and expertise gaps at board level, to a lack of trust and fundamental concerns about reliability, security and business value across AI capabilities, tools and applications.”

AI ambitions

The government’s industrial strategy includes an AI Opportunities Action Plan, which is aimed at building the UK’s artificial intelligence infrastructure and positioning Britain as a global leader in AI.

The plan also acknowledges that workers will need reskillling for work in AI and AI-enabled jobs.

The IoD survey also found that directors see cybersecurity, skills and training, and ethical risks as additional “barriers” to AI adoption.

Boards are grappling to come to terms with what AI means for business models, processes and procedures, but also what the upshot is in terms of the governance responsibilities and the role AI will play as a governance tool.

In a special panel discussion hosted by Board Agenda and Nasdaq, experts suggested directors’ duties could evolve to include competence and understanding of artificial intelligence risks and opportunities.

The panel heard from another expert about how they had used AI to generate financial data to feed into a live boardroom discussion.

Michael Borrelli, a director at the consultancy firm AI & Partners, says AI will augment boardroom decision-making, help streamline board processes and offer access to “diverse perspectives”.

But it could also transform boardroom composition. He writes: “The integrations of AI may mean boards need to consider new skill sets and expertise. Including members with knowledge in AI technology, data governance and ethical consideration ensures effective oversights and governance of AI initiatives within the organisation.”