Gulf Companies Struggle with AI Adoption Due to Boardroom Fear and Cultural Resistance
Despite advancements in technology, Gulf companies often hesitate to adopt artificial intelligence due to fear and cultural barriers within their boardrooms.
In the rapidly evolving landscape of technological innovation, Gulf companies face a unique challenge in embracing artificial intelligence (AI).
The reluctance to adopt AI is not rooted in technical shortcomings but stems from the apprehensions and cultural nuances present within their boardrooms.
According to recent studies, while investment in AI is commonplace among these organizations, only a small fraction consider themselves truly AI-mature, citing leadership hesitation and a lack of risk readiness as significant obstacles.
Yousef Khalili, a global chief transformation officer at an AI solutions company, highlights the critical role of organizational culture in hindering or enabling AI adoption.
Executive teams often drive digital discussions, yet it is ultimately the boardroom's decision that determines whether AI initiatives scale.
To overcome these barriers, Khalili emphasizes the need for boards to redefine their relationship with AI, viewing it not as a tool for cost-cutting but as a means of enhancing leadership capabilities.
This shift in perspective requires CEOs to model new forms of leadership—open, collaborative, and committed to upskilling—and for boardrooms to adopt a more inclusive approach that fosters employee engagement and literacy.
In Saudi Arabia, the government's strategic prioritization of AI through Vision 2030 offers a unique advantage, providing both public and private sectors with a strong foundation for digital transformation.
However, for private firms to match governmental ambition, they must align closely with a mindset of risk-taking, experimentation, and long-term impact.
Ultimately, Gulf companies must address the cultural barriers to AI adoption by prioritizing internal literacy, fostering inclusive leadership, and redefining what success looks like in an era where AI is a fundamental capability, not a peripheral one.
The reluctance to adopt AI is not rooted in technical shortcomings but stems from the apprehensions and cultural nuances present within their boardrooms.
According to recent studies, while investment in AI is commonplace among these organizations, only a small fraction consider themselves truly AI-mature, citing leadership hesitation and a lack of risk readiness as significant obstacles.
Yousef Khalili, a global chief transformation officer at an AI solutions company, highlights the critical role of organizational culture in hindering or enabling AI adoption.
Executive teams often drive digital discussions, yet it is ultimately the boardroom's decision that determines whether AI initiatives scale.
To overcome these barriers, Khalili emphasizes the need for boards to redefine their relationship with AI, viewing it not as a tool for cost-cutting but as a means of enhancing leadership capabilities.
This shift in perspective requires CEOs to model new forms of leadership—open, collaborative, and committed to upskilling—and for boardrooms to adopt a more inclusive approach that fosters employee engagement and literacy.
In Saudi Arabia, the government's strategic prioritization of AI through Vision 2030 offers a unique advantage, providing both public and private sectors with a strong foundation for digital transformation.
However, for private firms to match governmental ambition, they must align closely with a mindset of risk-taking, experimentation, and long-term impact.
Ultimately, Gulf companies must address the cultural barriers to AI adoption by prioritizing internal literacy, fostering inclusive leadership, and redefining what success looks like in an era where AI is a fundamental capability, not a peripheral one.
