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AI is creating a hidden skills deficit that organizations can no longer ignore

• By People Matters News Bureau
AI is creating a hidden skills deficit that organizations can no longer ignore

By: Sneha Ayyar

Artificial intelligence is making work faster, easier and more scalable. Across IT organizations, coding, analysis, content creation and decision support activities are increasingly being augmented by AI. However, what appears to be a productivity breakthrough may also be creating a hidden skills deficit that organizations can no longer afford to ignore.

The concern is not that organizations will lose technical skills. As AI executes more tasks and makes more decisions, employees are losing the opportunities to exercise the human capabilities that create differentiated business value. The result is a gradual erosion of critical thinking, judgment, creativity and problem solving.  Gartner conversations with more than 150 CIOs and technology leaders reveal skills atrophy is an urgent and often overlooked risk. Yet, currently only 40% of CIOs and IT leaders say their organization has a strategy in place to prevent the ongoing decline of skills.

Human foundation skills are mentally demanding. They require people to challenge assumptions, explore ambiguity, reason through trade-offs and accept accountability for decisions. AI makes it easier to bypass these activities. The result is that teams continue to execute and generate outputs, but increasingly spend less time developing the underlying capabilities needed to assess, question and direct those outputs. 

This creates a dangerous illusion of capability. Outputs may be technically correct and produced at unprecedented speed, while the skills that ensure quality, resilience and contextual relevance decline beneath the surface. As execution becomes abundant through AI, competitive advantage shifts from producing outputs to directing, challenging and applying them effectively. Organizations that fail to preserve these human capabilities risk scaling outcomes that are technically sound but strategically flawed. 

For CIOs, the challenge is no longer simply achieving AI adoption. The challenge is ensuring that AI adoption does not weaken the human foundation skills that make AI valuable in the first place. The solution is also not less AI. It is ensuring that human foundation skills are deliberately exercised alongside AI. To address this risk, and sustain critical human capabilities in an AI-driven workplace, CIOs should focus on the following interventions that embed judgment, critical thinking, creativity and collaboration into the flow of everyday work.

As AI continues to commoditize execution, the scarcity that creates value increasingly lies in the human ability to question, interpret, decide and adapt. CIOs that deliberately preserve and strengthen these human foundation skills will be better positioned to unlock AI’s benefits while maintaining the capabilities that drive innovation, resilience and competitive differentiation.


About the author: Sneha Ayyar is Director analyst at Gartner, where she advises CIOs and senior executives on their most critical strategic priorities. Her research focuses on how Agentic AI is transforming work and the workforce, including AI literacy, workforce planning and change management.