The writing is on the wall: the AI revolution is no longer about early wins or isolated pilots – it’s about full-scale reinvention.
AI adoption is accelerating globally, but the gap between ambition and real-world impact is widening. This is even more pronounced in APAC, where responsible and scaled AI adoption could unlock USD$4.5 trillion in economic value by 2038, according to Accenture research. However, many organisations remain stuck in pilot projects, with only 29% of APAC executives from our CXO survey reporting scaled AI solutions and just 55% fully understanding its value across their organisation.
The reasons are familiar: data silos, outdated processes, weak executive alignment, lack of clear AI strategy and immature AI governance framework. But one issue stands above the rest – talent.
Today, companies are spending three times more on AI technology than on people globally. That imbalance is slowing progress, limiting returns, and ultimately making AI less transformative than it could be.
Southeast Asia’s AI moment
From fintech and logistics to healthcare and smart cities, Southeast Asia is buzzing with innovation. Generative AI can supercharge this momentum, enabling breakthroughs in productivity, customer experience, and sustainable growth.
But unlocking AI’s full value will take more than adopting the latest tools. It requires a reinvention of work, leadership, and enterprise ambition. In the context of C-suite leadership, this means driving transformation across three critical dimensions:
Reimagining workflows with AI agents: AI is evolving beyond chatbots to agentic AI: systems that autonomously manage workflows, make decisions, and adapt in real-time. These AI agents are transforming industries.
In banking, AI can handle customer inquiries, detect fraud, and even assess loan applications—freeing up human talent for high-stakes decisions and complex problem-solving. In healthcare, AI agents are streamlining diagnostics and patient care. In manufacturing, they’re optimising supply chains and quality control.
Majority of leaders in Singapore from our survey (88%) expect their organisation’s AI investment to surge in 2025, with 24% anticipating a jump of at least 20%. Companies that move fast will establish an early lead that compounds over time. Those who hesitate will find it increasingly difficult to catch up.
Reshaping talent and leadership: AI advances rapidly, but workforce transformation lags.
The half-life of skills is now under five years, and many traditional job roles are being reshaped or replaced altogether. Static job descriptions no longer apply in an AI-powered workplace.
Our survey shows a significant majority of executives across Southeast Asia anticipate a shift in their employees’ responsibilities towards innovation over the next three years, with agreement particularly strong in Malaysia and Singapore (both 99%), followed by Indonesia (94%) and Thailand (93%). They’re now building fusion teams that combine AI agents with human experts for enhanced results.
But none of this works without leadership. Organisations with strong leadership sponsorship are 2.5x more likely to deliver enterprise-scale value from AI. AI is not an IT initiative—it’s a C-suite priority. Their role is an active one: championing AI adoption, investing in upskilling, and embedding a culture of experimentation and learning across the organisation.
Moving beyond pilots to full-scale AI adoption: Businesses have launched countless AI pilots—but too few have scaled. Globally, only 34% have implemented a tailored AI solution at scale within their industry. Yet those that have are reaping significant returns: 3x higher ROI than initially forecast.
A strong consensus exists among executives in Indonesia (79%), Malaysia (74%), Singapore (73%), and Thailand (71%) that a clear AI strategy, robust governance, and proprietary data, all built on a foundation of trust, are critical for success.
This means making deliberate investments in comprehensive AI strategy, data readiness, privacy, and governance. Furthermore, implementing a strong governance framework is crucial for addressing ethical considerations, ensuring compliance, and managing risks associated with AI deployment. In financial services, that might include training models on local risk profiles while adhering to data privacy regulations. In retail, it could mean using customer data under a robust data governance policy to personalise the entire buyer journey. Wherever the use case, a clear strategy, sound governance, and localised data are the keys to competitive differentiation.
Why Southeast Asia can’t wait
Our survey shows that 41% of C-suites in Singapore now believe AI’s business impact will exceed their initial expectations, with 50% believing they are on track to meet the demands of advancements. In Southeast Asia, where digital infrastructure is advancing and government policy is actively supporting responsible AI, the conditions for transformation are already in place.
Governments across the region are investing in AI readiness: funding research, promoting public- private collaboration, and developing talent pipelines. This is a pivotal moment for businesses to align with national AI strategies, collaborate with academia and industry partners, and help build ecosystems that fast-track adoption and impact.
AI is a transformational force, not just a tool, and requires leadership. Successful companies will reimagine operations, customer service, and value creation with AI. This necessitates a CIO who can foster enterprise-wide AI fluency, whether it’s designing new work structures that blend human ingenuity with machine intelligence, or backing your ambition with bold, sustained investment – not just in technology, but in people.
The companies that lean in will not only lead their industries—they will define Southeast Asia’s next era of growth.
