SINGAPORE: A recent report released by the Capgemini Research Institute has found that more than half of Singaporean businesses acknowledge the potential of generative AI (gen AI) to revolutionize software engineering and other domains. However, the vast majority of these businesses have yet to implement a governance framework to manage this emerging technology effectively.
The Capgemini report surveyed 1,098 senior executives and 1,092 software professionals and included 20 in-depth interviews with industry professionals and leaders. The findings provide a detailed snapshot of the current state of gen AI adoption and the challenges faced by businesses in Singapore.
According to the report, nearly 29% of organizations in Singapore are either running pilots with gen AI or have already integrated the technology into their software engineering processes. This indicates a significant interest and initial steps towards adoption within the city-state.
The survey highlights that 32% of software professionals in Singapore are aware of gen AI’s potential and are in the process of developing strategies for its adoption. In contrast, 40% are still in the evaluation phase, considering how best to utilize this technology within their operations.
Among the reported benefits of gen AI initiatives, fostering innovation was cited by 61% of organizations, while 49% highlighted improvements in software quality. These benefits underline the transformative impact that gen AI can have on business operations and software development processes.
The focus areas for productivity gains through gen AI include innovative work (54%) and complex, high-value tasks (43%). These areas are critical as businesses seek to leverage AI to enhance efficiency and effectiveness in their operations.
In terms of specific applications within software engineering, gen AI is primarily being used for user story generation (40%), UX design assistance (37%), and coding assistance (37%). These use cases demonstrate the practical ways in which AI is being integrated into the software development lifecycle.
Despite the enthusiasm for gen AI, the report identifies significant challenges in its implementation. Two-thirds (66%) of respondents pointed out that culture and leadership are crucial prerequisites that are currently missing. Additionally, people and talent (52%) and computational infrastructure and support (50%) were also cited as key areas needing attention.
A notable finding is that 90% of software professionals in Singapore are using gen AI tools that are not authorized by their organizations. This percentage is the highest among all countries surveyed, indicating a gap in official support and governance for the technology.
Moreover, only 23% of organizations have established upskilling or reskilling programs for gen AI, marking the lowest rate among the countries surveyed. This highlights a critical need for workforce development to ensure that employees are equipped with the necessary skills to leverage gen AI effectively.
Pierre-Yves Glever, head of global cloud and custom applications at Capgemini, commented on the findings, stating, “Generative AI has emerged as a powerful technology to assist software engineers, rapidly gaining adoption. Its impact on coding efficiency and quality is measurable and proven, yet it holds promise for other software activities.”
TISG/