About IFTF

Institute for the Future IFTF is the world’s leading futures organization. For over 50 years, businesses, governments, and social impact organizations have depended upon IFTF global forecasts, custom research, and foresight training to navigate complex change and develop future-ready strategies. Our mission is to prepare the world to create beer, more equitable futures by disrupting short-term thinking with visions of transformative possibilities. Institute for the Future is a registered 5013, women-led, nonprofit organization based in Palo Alto, California. iftf.org

About NTT DATA INSTITUTE OF MANAGEMENT CONSULTING, Inc.

NTT DATA INSTITUTE OF MANAGEMENT CONSULTING, Inc. was established in 1991 as a 100% subsidiary of NTT DATA, the largest system integrator in Japan. With approximately 400 professionals and stas, we deliver cuing-edge consulting and advisory services in areas such as the public, financial and industry sector. We are commied to provide strategic foresight and dedicated to empowering organizations with forward-thinking strategies, navigating complex challenges to drive transformative change and sustainable growth.

Acknowledgements

Authors: Jorge Camacho, Ben Hamamoto, Toshi Hoo, Rod Falcon, Susanne Forcheimer Research Contributors: Aikihiro Ishizuka, Junhao Zhong

Executive Producer: Jean Hagan

Editorial: Mark Frauenfelder, Heidi Swillinger

Production and Design: Robin Bogo, Robin Weiss

© 2024 Institute for the Future. All rights reserved. SR-2336 / www.iftf.org 2

Table of Contents

Executive Summary .......................................................................................................4 Introduction ................................................................................................................... 11 Horizon One: AIEnabled Work and Workers .............................................. 16 Horizon Two: AIEnabled Work and Workers: Tomorrow ............................ 29 Horizon Three: The Future of AIEnabled Work and Workers ..................... 47 Conclusion: A Beginning, Not An End .......................................................................75 Glossary .........................................................................................................................76

© 2024 Institute for the Future. All rights reserved. SR-2336 / www.iftf.org 3

Executive Summary

Organizations urgently need AI strategies. It is becoming increasingly clear that artificial intelligence isn’t just another technological trend, but a force like the Internet, or even electricity, with the potential to thoroughly redefine how organizations and their workers get things done. This transformative potential and the pace at which it is advancing mean that organizations of all kinds cannot aord to hesitate in engaging with this emerging technology. However, engaging does not mean rushing to action. On the contrary, organizations must urgently start considering their AI futures because crafting eective strategies to responsibly harness the potential of the technology requires significant deliberation and foresight. While it’s almost certain that this technology will be transformational, what that transformation will look like, and whether it is beneficial or harmful to organizations and humanity as a whole will be determined by the decisions we make today. Similarly, while nearly all organizations will be transformed, organizations in dierent industries and in dierent cultural contexts will be transformed in varied ways. This, again, makes it imperative for organizations to proactively create specific strategies rather than relying on generalized advice about the broad changes AI is likely to bring.

This report, “Three Horizons of AIEnabled Work & Workers” was created to provide Japanese organizations with the foresight necessary to engage with the transformative potential of AI today. It was created collaboratively by NTT DATA INSTITUTE OF MANAGEMENT CONSULTING, Inc. and the Institute for the Future IFTF, using IFTF’s Prepare-Foresight-Insight-Action methodology for anticipating future change to generate strategic implications. Specifically, it was created to help organizations:

Expand beyond mere technological innovation to fundamentally reshape work, communication, and decision-making across industries.
Get up to speed on the current capabilities of AI.
Anticipate how AI will change organizations in the next 510 years.
Consider the unique ways these changes will play out in the cultural context of Japan.