UK managers lack AI leadership skills despite heavy investment, limiting productivity gains, Chartered Management Institute report finds

The Chartered Management Institute surveyed over 1,000 UK managers and interviewed senior leaders including Jacky Wright (Microsoft, GE, McKinsey) and Dr Nicola Hodson (IBM UK and Ireland Chair) to assess how AI adoption is reshaping British workplaces.

While 70% of managers report some productivity improvements from AI, only 5% say gains have been transformational; 26% report no productivity gains at all. More than two thirds (68%) of organisations are still testing AI or running early-stage pilots. Only 13% of managers strongly agree senior leaders are actively using AI tools themselves, despite 64% encouraging experimentation.

Just 12% of managers feel "very confident" managing teams using AI, falling to 10% for advanced agentic AI systems (AI that makes decisions and takes actions autonomously). Meanwhile, 70% of managers report turning to generative AI tools for workplace guidance because they are perceived as faster and more technically detailed.