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Schneider Electric Study: AI Fuels Industrial Transformation, But Workforce Skills Are a Growing Concern

A new study by Schneider Electric reveals that nearly half of executives (49%) believe Artificial Intelligence is the main engine for industrial transformation. However, a significant majority (52%) are concerned about the growing shortage of digital skills, which could impact operational efficiency and competitiveness.

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Schneider Electric Study: AI Fuels Industrial Transformation, But Workforce Skills Are a Growing Concern

Schneider Electric has revealed a significant acceleration in the adoption of autonomous operations within the energy and chemicals sectors. This surge is driven by an increased reliance on automation and Artificial Intelligence, even as operational and regulatory challenges persist. The company's study, which surveyed 400 senior executives across 12 countries, found that about 31.5% prioritize enhancing operational autonomy within five years, a figure that rises to 44% over ten years. In contrast, less than 5% do not consider it a priority. Participants emphasized that delaying the adoption of advanced automation could lead to a 59% increase in operational costs, a 52% rise in skill shortages, and a 48% decline in competitiveness. The study highlighted several key challenges, most notably high initial costs (34%), reliance on legacy systems (30%), and regulatory resistance (27%), alongside concerns about cybersecurity and unclear regulatory frameworks.

A Turning Point for the Sector

The report explained that the sector is experiencing a crucial turning point with the convergence of electrification, automation, and digitalization. This is happening in parallel with increasing demand for Artificial Intelligence, especially with the expansion of cloud computing and data centers, where electricity demand is expected to reach approximately 1000 terawatt-hours by 2030.

AI as a Key Driver

In this context, 49% of executives considered Artificial Intelligence to be the primary driver for accelerating the shift towards autonomous operations, alongside advancements in cybersecurity, cloud computing, and digital twins. Gwenelle Avice-Huet, Executive Vice President at Schneider Electric, affirmed that organizations are currently operating at nearly 70% autonomy, with plans to raise this to 80% by 2030. She noted that autonomous operations have become the new operating model for boosting efficiency and flexibility without replacing the human element.

Digital Transformation

Analyst Gaurav Sharma pointed out that the pace of transformation towards automation is exceeding expectations. This is fueled by developments in open, software-based automation, which enables companies to achieve higher efficiency with fewer resources.

Geographic Distribution

The study showed that GCC countries and Asia are leading in the maturity levels of adopting autonomous operations, supported by accelerated digital transformation and investments in Artificial Intelligence. Meanwhile, North America is expected to record the fastest growth rate in the coming years, while Europe maintains a slower pace of progress.

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