Freshworks report shows AI is increasing productivity and enabling higher-value work

Freshworks Inc. has unveiled its new Global AI Workplace Report, revealing significant productivity gains and new opportunities for employees with AI integration in the workplace. The comprehensive global study, conducted between March 9 and April 4, 2024, surveyed over 7,000 full-time employees and highlights the rapid adoption of AI, with more than half of knowledge workers actively using AI-powered software at work.

The study indicates a significant shift in the perception and use of AI across various departments in the workplace. Over 55% of employees reported using AI-based applications in their daily tasks. Additionally, almost three-quarters of respondents (72%) believe that AI adds value to their work processes, and 81% express confidence in AI for its ability to improve the quality of work and increase productivity.

“This report shows that AI is delivering massive productivity gains at an enterprise scale,” said Prakash Ramamurthy, Chief Product Officer at Freshworks. “Knowledge workers are also seeing significant productivity gains at work, which in turn is driving a lot of interest from employees in mastering AI skills. Make no mistake, the AI era is definitely delivering on its promise of freeing up workers to perform at a higher level and is showing compelling AI benefits.”

The report highlights that knowledge workers are experiencing noticeable improvements in productivity. On average, workers reported saving almost 3 hours and 47 minutes per week with AI assistance in tasks such as summarizing issues and suggesting next steps for repetitive tasks. This translates to almost 24 workdays per year, allowing employees to engage in higher-value work and increasing overall job satisfaction.

Nearly all senior leaders (95%) using AI reported measurable business impacts, such as increased productivity (52%), improved work quality (47%), and improved customer engagement (34%). However, 37% of employees admitted that their organizations lack effective metrics to assess productivity.

Leaders are optimistic about AI’s future contribution, with 80% of senior executives predicting AI software will show its value within two years. Respondents highlighted AI’s potential to streamline communications, reduce redundant email threads and speed up technical reporting.

The study also found that many employees use AI without realizing it. About 40% of employees were unaware of the extent to which they were using AI in their work. IT departments reported that almost half of employees were using AI-based software features, such as email auto-complete and meeting suggestions, without realizing it.

Still, a significant number of workers expressed confidence in their AI skills, with IT professionals (75%) the most confident, followed by marketing (65%) and finance (52%) workers.

Taking on AI skills

The enthusiasm for AI is evident, with 70% of employees looking to improve their AI skills to remain competitive in the job market. Additionally, 37% of employees noted that their companies are adopting AI due to fears of missing out on technological advances.

Employees also see clear benefits from AI adoption, with 62% believing it will increase profitability and help companies stay competitive. However, there are concerns about AI replacing junior roles and increasing competition for entry-level positions, with 44% of respondents expressing such concerns.

The report highlighted differences in the pace of AI adoption across countries. Surprisingly, the United States, despite being a leading AI developer, ranked last in AI adoption (50%), AI trust (59%), and AI comfort (61%). In contrast, India and the United Arab Emirates led in AI adoption (75%), comfort (88%), and trust (86%).

Freshworks Global AI Workplace Report highlights the transformative impact of AI in the workplace. By significantly reducing workloads and unlocking higher-value tasks, AI is poised to revolutionize business operations and employee experiences worldwide.

Image: Depositphotos