90% women view GenAI as crucial for career growth, yet only one-third feel prepared to use it: nasscom-BCG report

Today women make up 36% of India's tech workforce, however, they remain underrepresented in executive roles. The advent of Gen AI is set to revolutionize the tech industry, offering a unique opportunity to foster gender diversity by enabling women to overcome traditional barriers and excel in their careers. nasscom unveiled its GenAI: The Diversity Game Changer We Can't Ignore report along with BCG, to analyze the adoption of AI/Gen AI amongst women and outline actionable steps to cultivate an inclusive environment and drive sustainable growth. The report was launched on the sidelines of Nasscom Global Inclusion Summit at Bengaluru.

The report, based on extensive surveys and interviews with industry leaders (1), reveals that women rate their professional ambitions as very high, demonstrating greater ambition across all levels. It further highlights the importance of diversity in reducing bias and enhancing ethical outcomes in AI, indicating that diverse teams are better at detecting ethical issues and making decisions that consider others' well-being.

As GenAI is projected to dominate 33% of the global AI landscape by 2027, the AI market is expected to reach $320-380 billion, growing at a CAGR of 25-35%. The report underscored that women are willing to go the extra mile for success in AI/Gen AI, with 95% of junior,96% of mid-management and 100% of the senior management women (based on survey findings) are ready to invest more time to achieve professional success in GenAI. The report shows that women view Gen AI tools as a significant boost to their perceived competence, with 45% of the surveyed women in tech roles experiencing higher confidence compared to their non-tech peers. Additionally, it outlines that Gen AI adoption is driven by efficiency and innovation, acknowledging its transformative potential. Survey findings reveal that 1 in 5 women use GenAI tools almost daily with nearly 35% of senior management women reporting daily usage.

Despite the progression, the lower adoption and usage of GenAI tools among some women at senior management levels can be attributed to several challenges, including limited knowledge, lack of trust, restricted access to these tools, and fear of competence scrutiny. From entry-level roles to the C-suite, women consistently point to knowledge gaps as the primary challenge in adopting Gen AI. The report outlines that addressing these knowledge gaps and other barriers is crucial to increasing GenAI adoption among women.

Commenting on the report, Sangeeta Gupta, Senior Vice President and Chief Strategy Officer, nasscom, said, “Despite significant progress in diversity and AI/Gen AI adoption, substantial gaps still limit women's full potential in the tech industry. With Gen AI set to dominate the tech industry, it is critical to address key challenges such as knowledge gaps and lack of support, to empower women, particularly in these roles. By addressing these obstacles and cultivating an inclusive environment, businesses can not only enhance their own success but also contribute to a more equitable and dynamic tech landscape. We believe that embracing these changes is both a moral imperative and a strategic advantage that will shape the future of the industry.”

"Globally, senior women lead in GenAI adoption, yet India lags with a 64% gender disparity in AI leadership. To capture the USD 320 billion AI market, India’s tech sector needs diversity. This will ensure effective systems by eliminating biases and incorporating varying ethical perspectives. Let's seize this significant opportunity to rectify the gender imbalance in the tech industry.", says Sreyssha George, Managing Director and Partner, Boston Consulting Group.

While GenAI will act as an equalizer for women in tech, only 35% of surveyed women respondents feel completely prepared by their employers, leading to barriers in adoption. To bridge this gap, organizations need to play a pivotal role in driving GenAI adoption by creating environments that support and encourage these technologies. The report recommends key actions to boost women's success in these technologies: defining clear career pathways; guiding through formal and informal mentorship programs; enabling flexible work arrangements; offering ethical training; building a culture of empowerment, diversity, and inclusion; and fostering networking opportunities. Addressing these needs will empower women to embrace GenAI technologies and drive greater diversity and innovation in the industry.

Committed to fostering a culture of diversity, equity and inclusion, on the sidelines of the Global Inclusion Summit 2024, nasscom also unveiled the DE&I Organization Assessment Framework that can help organizations map their DE&I progress. This platform will enable organizations to receive a comprehensive report highlighting their DE&I strengths and areas for improvement. Additionally, it will provide valuable insights to guide their DE&I journey.