As artificial intelligence continues to challenge organizations, only 15% of global tech leaders feel prepared to meet the demands of generative AI, according to the Digital Leadership Report released Oct. 30 by staffing provider Nash Squared.

Further, 88% of tech leaders feel stronger AI regulation is essential.

Despite the predicted AI market growth, its adoption remains limited with just one in 10 US organizations reporting having large-scale implementation of AI. However, 48% are piloting or conducting small-scale AI implementations.

Amid significant concerns around effective AI application, nine in 10 global leaders say stronger regulation of the technology is critical. Conversely, 61% believe such regulation will be ineffective, with 54% in the US expressing the same sentiment.

“Despite the attention around AI, the application and adoption of AI is really in its nascent stage,” Jason Pyle, president of Harvey Nash US & Canada market, said in a press release.

“What our survey findings reveal is that the technology behind AI is moving faster than the strategies and policies to support it, and tech leaders are finding themselves squeezed in the middle,” Pyle said. “As we look ahead to 2024, we expect tech leaders to focus on a few key areas within AI: developing more guidelines around the use and application of AI, putting safety and privacy front and center, and demonstrating its ROI and metrics.”

Other findings in the report:

• 45% of US tech leaders expect budget increases and 46% of US leaders anticipate an increase in headcount.
• 48% of US companies surveyed require some level of in-office time, with three days being the most popular requirement.
• Female representation on US tech teams has remained stable year-over-year at 27%. However, women in leadership roles dropped to 20% from 21% in the US since the previous year.
• The skill shortage, although slightly eased, remains a challenge, with 45% of US tech leaders citing it as an obstacle to keeping pace with change.
• The top in-demand skills in the US include artificial intelligence, technical architecture, big data/analytics/data engineering, enterprise/solution architecture and project management.
• Cybersecurity, which has historically been among the top three most-scarce skills, witnessed the largest decline in demand, with the number of tech leaders in the US dropping to 18% from 43%.

The survey took place between June 22 and Sept. 18. It includes responses from 2,104 technology/digital leaders across 86 countries.