Human resources departments across Asia-Pacific are significantly less digitized than other business functions, leaving employees overwhelmed and costing them hours each week, according to a new study from Lark that surveyed 900 companies and 5,000 workers across six countries.
The digital tax on HR teams
The study found 69 percent of IT departments are heavily digitized, and finance follows at 60 percent. HR trails at just 47 percent, with employee experience barely ahead at 48 percent. The gap has real consequences. More than half of all employees-55 percent-report losing three or more hours each week to digital inefficiencies. Some 71 percent say the number of tools they have to manage leaves them swamped.
Olivier Adam of Lark APAC calls this a "digital tax" and argues companies need to involve workers more directly in transformation efforts rather than imposing tools from above. For HR teams, the message is clear: digitization isn't just an IT project-it's a workforce productivity issue.
APAC's AI advantage misses HR
The Asia-Pacific region leads much of the world in AI adoption overall. The HireRight 2026 Global Benchmark Survey shows 43 percent of APAC organizations already use AI for training, and 35 percent deploy it for talent acquisition. Attitudes are shifting fast, too. Nearly half of HR professionals in the region-49 percent-now view candidates who use AI tools positively, up from 30 percent the previous year. In North America, 52 percent of HR departments still use no AI solutions at all.
But enthusiasm hits a wall when it comes to finding people who can actually build and run these systems. The Aon Human Capital Trends 2026 report, using the Philippines as a case study, found 72 percent of organizations have adopted or are piloting AI. While 94 percent expect the technology to create new roles, only 17 percent say they can recruit or retain the AI talent they need.
A mismatch in expectations compounds the problem: 71 percent of employees want personalized benefits, yet just 9 percent of employers provide them. Only 13 percent of Philippine companies have transparent pay structures.
The training gap widens
Sprout Solutions, ahead of its State of HR Summit in Manila on July 8, released data showing 95 percent of surveyed professionals say they are familiar with AI and 89 percent welcome the changes. Yet only 35 percent have received any AI training from their employer. Global research firm i4cp, which surveyed more than 1,300 executives worldwide, found many HR teams are experimenting with isolated tools rather than redesigning workflows from the ground up. Companies that built a strong AI culture saw up to 4.5 times more impact from their HR initiatives. For HR professionals looking to close this gap, structured AI for HR Courses can provide the foundation many employers aren't offering.
There are bright spots. Chinese HR-software provider Beisen Holdings reported a 16.9 percent revenue increase for 2026, reaching about 1.1 billion RMB, driven largely by AI-related offerings. The company launched a new platform called Mavens on June 24. In Singapore, Rockwell Automation earned a "Global Lighthouse" designation from the World Economic Forum for running more than 50 digital and AI-enabled solutions across its factory, spanning smart automation and AI-based quality control.
Why this matters for HR professionals
The data paints a specific picture: HR departments that don't build AI skills risk falling further behind as other functions automate and speed up. The 35 percent training figure from Sprout Solutions is the number to watch. If your employer isn't providing AI training, the productivity gap between you and colleagues in IT or finance will widen. Companies that invest in building AI culture see outsized returns-i4cp's finding of 4.5 times more impact is not a rounding error. For HR managers responsible for driving change, the path forward means pushing for workflow redesign, not just adding another tool to the stack.
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