Singapore Organisations Double Down on AI But Face Growth Challenges Due to Skills Gap: Autodesk Research
Despite soaring AI optimism, a new Autodesk report finds Singaporean businesses face major growth hurdles due to a lack of skilled talent.

Autodesk, Inc. released the 2025 State of Design & Make report, which explores sentiments from leaders across Design and Make industries on managing cost control, embracing emerging technologies, and addressing the talent and skills gaps. The study finds that despite ongoing geopolitical and economic uncertainty, the majority of business leaders in Singapore are investing in AI, technology advancement, and sustainability across all industries, with efforts to overcome a technical skills shortage.
Design and Make industries – architecture, engineering, construction, and operations; design and manufacturing; and media and entertainment – employ nearly 300 million people worldwide* and by 2027 will represent $30 trillion in value globally**. Autodesk’s report is the only global study that surveys leaders across these collective industries – highlighting the issues that unite them and distinguishing the challenges unique to each sector.
Singapore businesses double down on AI as a driver of digital transformation
AI sentiment remains largely positive in Singapore. Against economic headwinds, businesses may be viewing AI as a means to enhance their competitiveness. Use cases for AI among Design and Make industries could also include automating resource-intensive tasks, enhancing creativity, and informing critical design decisions with data-backed insights, among others. Recognising AI’s potential to drive growth, many business leaders are now prioritising investment in the technology.
- Nearly three quarters (74%) of Singapore business leaders surveyed say AI will enhance their industry, above the Asia Pacific (APAC) average of 68%.
- Nearly seven in ten (69%) feel that AI will make their industry more
- Three quarters (75%) say their investments in AI will increase, above the APAC average of 68%.
- AI also ranked as the top investment priority among Singapore respondents (72%).
“Our research tells us that over 80% of business leaders in Singapore feel the global landscape is more unpredictable than ever. Cost control and management are now top priorities, likely due to rising business costs. These economic pressures are pushing businesses to eliminate inefficiencies, making digital-led growth through technologies like AI a necessity,” said Haresh Khoobchandani, VP, APAC & Japan, Autodesk.
Overall trust and confidence in AI remain high. These sentiments may be influenced by the Singapore government’s ongoing support for AI, with considerable assistance provided to local businesses through initiatives like the S$150 million Enterprise Compute Initiative, aimed at accelerating enterprise AI adoption. Despite AI’s potential for positive digital transformation, there is also recognition that this will disrupt traditional ways of working, necessitating new skill sets and new ways of working.
- Nearly seven in ten (68%) Singapore business leaders trust AI technologies for their industry
- 76% are confident that their companies will make the right decision when it comes to AI — above the APAC average of 68%.
- More than half (54%) of Singapore business leaders agree that AI will destabilise their
The AI boom is here, but the workforce isn’t ready
However, a talent crunch continues to impact business growth. Leaders are struggling to attract, train, and retain talent, which is affecting their ability to effectively harness or manage technological advancements, including those made in AI. More critically, talent constraints are also hampering overall business growth.
- About a third (32%) of Singapore business leaders ranked attracting, training, and retaining talent among their top 3 challenges faced.
- Three in ten (30%) also rank technological advancements, including AI, among their top 3
- More than six in ten (62%) also find the lack of access to skilled talent to be a barrier to their company’s growth.
Businesses are struggling to find employees with the right technical skills, which may lead to a premium being placed on AI skills when hiring. In fact, less than half of local leaders say their organisations are approaching or have achieved their AI goals, suggesting potential challenges with implementation. With AI implementation only as good as the quality of data it has access to, this may also lead to high demand for data-related skill sets when hiring.
- About six in ten (61%) Singapore business leaders face challenges hiring new employees with the right technical skills.
- Nearly half (47%) are prioritising the ability to work with AI when hiring in the next few years
- This is followed by a focus on skills related to data analytics and insights, a priority among 39% when it comes to hiring.
- Only four in ten (43%) say they are approaching or had already achieved their AI
While Singapore businesses acknowledge the importance of upskilling, many are finding it difficult to address these challenges with on-the-job training and continuous learning that could help their employees – and their businesses – keep up with the rapid pace of transformation.
- More than seven in ten (71%) Singapore business leaders say their organisations are implementing skilling programs to mitigate the talent shortage.
- However, more than half of professionals say they do not have the resources to design internal training programs.
- More than six in ten (61%) say external training programs do not meet the needs of their organisation, above the APAC average of 54%.
A competitive economy and rapidly digitalising landscape means that businesses must master AI skills to thrive, working alongside technology rather than against it. Industry leaders must bridge the gap between education and the demands of an AI-driven workforce by democratising access to technology, working with educators to help create effective curriculums that reflect workforce needs, and increasing job awareness to connect the next generation to the most in-demand opportunities.
In Singapore, these efforts are driven at both a public and private level. Business leaders can leverage the Enterprise Compute Initiative, which aims to close the AI capability gap by helping local enterprises, such as SMEs, adopt AI solutions tailored to their specific needs. In addition, private sector-led initiatives such as the Autodesk Education Platform contribute to accelerating skilling efforts and diversifying the talent pipeline in Design and Make industries.
Sustainability meets intelligence: An AI-powered green revolution
As businesses navigate economic pressures and shifting regulations, sustainability is becoming a necessity for long-term growth and resilience, driven by demand among customers, partners, and suppliers. As more local leaders incorporate sustainability measures into their business strategies, this may reflect a growing trend of sustainability-linked regulation.
Beyond carbon tax, Singapore businesses, operating in a global trade hub, would also be increasingly required to comply with global ESG standards and reporting requirements. Organisations in Singapore are using AI to achieve sustainability goals and are among the most likely in APAC to do so.
- Nearly half (48%) of Singapore business leaders are using AI to be more sustainable, above the APAC average of 39% and ranking second in the region only after India (52%).
- Singapore is on par with its APAC (94%) and global (95%) counterparts, with 96% of Singapore business leaders saying their organisations are making changes to be more When it comes to setting sustainability goals, the focus is influenced by customers (78%), partners (75%), and suppliers (60%). Business leaders are increasingly recognising the financial benefits of sustainability, with more than seven in ten (73%) believing it can generate more than 5% of their annual revenue.
“AI is packed with potential. Beyond generating innovative ideas, it can also take on more complex tasks, offering a major opportunity for Design and Make leaders to continue growing in today’s competitive landscape,” said Khoobchandani. “The most successful businesses will be those able to close the skills gap. Beyond using their own resources, this means leveraging available government initiatives like SkillsFuture and the Enterprise Compute Initiative in addition to working with private-sector experts. This holistic approach will be key to help businesses move beyond the AI hype and start delivering real results.”
The 2025 State of Design & Make report can be found here.