The Sultanate of Oman is undergoing rapid economic transformation—similar to what the Philippines experienced in terms of HR tech maturity, policy landscape, and overall economic development.

Therefore, in the latest session of the Oman Talent Study Circle, we discussed the Philippines' economic trajectory with 15 Omani HR leaders, focusing on how AI and technology can help shape national talent strategies.

The case study, presented by Aditya Chopra, Head of New Markets at People Matters, offered realistic parallels with the Philippines' workforce challenges and development stage and presented an achievable roadmap. It highlighted challenges such as an educated workforce with persistent job-skill mismatches, fragmented and under-utilized HR tech, low adoption of data-driven decision-making in HR, urban-centric digital skilling and automation readiness, and weak alignment between national talent strategies and enterprise HR capabilities.

After identifying these challenges, Philippines had a strategic realisation: HR had to evolve into a capability center. Thereafter, they implemented three key national-level initiatives to help HR become transformation drivers, not just enablers:

#1 The Digital Workforce Competitiveness Act, 2022:

• This policy mandated nationwide digital skills development. It wasn’t just a plan; it came with funding, structure, and strategic direction.
• Enabled funding for HR tech experimentation and adoption, essentially creating a safety net to support innovation and learning in the HR tech space.
• Empowered HR departments in both public and private sectors to embrace and implement digital tools and AI solutions. That push from policymakers, aligned with the national vision, was crucial in building momentum.

#2 Launching a Public LMS - My Learn Portal, by the Technical Education and Skills Development Authority (TESDA):

• This public LMS and AI-powered learning platform, personalised learning and training experience for public and private sector employees. 
• Integrated workforce planning, performance tracking, and learning analytics.
• Had significant impact across industries by aligning learning with talent development needs.

#3 Globe Telecom’s People Platform

• An AI-enabled Learning Experience Platform (LXP)
• Combined performance management and internal mobility tracking.
• Enabled HR to use predictive analytics to spot skill gaps and develop leadership pipelines

Both, Public LMS and People Platform embedded HR tech and analytics into daily workflows. Tools were not siloed, instead became central to organisational decision-making. Also, showcased how HR can move from operational to strategic leadership. 

Some of the key benefits Philippines observed after the implementation of these initiatives were:

• Digital HR capabilities across the top 1,000 employers rose by 64% since 2021.
• Job-skills mismatch dropped by 32% in key pilot sectors.
• Over 2 million Filipino professionals were upskilled through tech-driven learning platforms.
• HR teams using AI-based tools reported: 40% faster reskilling cycles, 25% improvement in internal hiring success, and 30–40% increase in workforce engagement and learning outcomes

Following this case study, we further discussed how Oman is implementing national-level initiatives to address skill development gaps, strengthen HR tech infrastructure, and scale up workforce transformation.

Here are the key insights from the Oman Talent Study Circle discussion:

#1 AI and automation and sectors gaining an edge

The HR leaders discussed how AI and automation are no longer emerging concepts but are deeply integrated into how HR functions, especially in sectors like banking.

Taking Standard Chartered’s example, HR transformation required more than just tech, it demanded cultural change and mindset shifts. The launch of tools like AskHR faced initial resistance, but employee education and trust-building played an essential role in adoption.

The leaders discussed how this encouraged a move from traditional HR interaction to self-service, challenging the status quo. And ongoing support and sensitivity to different adoption speeds remain critical.

Additionally, Oman’s banking sector is ahead in AI automation, with strong backing from institutions like the central bank. The industry is not just adapting to change, but leading it.

In the last five years, Oman has seen significant progress in automation and AI adoption. Most companies now operate with automated systems, some with custom-built platforms. AI is being layered onto existing systems, a gradual, strategic integration rather than a complete overhaul. This measured and controlled approach is proving to be both practical and effective.

#2 Role of Policymakers, and national initiatives

The leaders discussed how AI implementation is a top national priority under Oman’s Vision 2040, with the government actively promoting awareness and capability-building through regular, free workshops and training programs. These initiatives, led by both global experts and local trainers, are equipping the public and workforce with practical AI skills, making its use increasingly commonplace across both public and private sectors. This widespread accessibility is helping embed AI into the fabric of Omani society, transforming it from a future ambition into a present-day reality.

For an organisation of over 10,000 employees, driving digital transformation is no small task. However, they’re making significant strides in automating HR processes, while maintaining a human touch where needed. For example, all HR policies and systems are now paperless and digital, and recruitment and performance appraisals are handled through automated platforms.

The shift is about more than tech—it’s about creating a culture that embraces automation while preserving meaningful human support where it matters most.

#3 HR at the forefront of collaborative and sustainable transformation

The leaders echoed that HR should lead the direction of AI and digital transformation, but IT and transformation units must collaborate to drive success.

True transformation requires alignment across the organisation, with openness, empowerment, and a shared vision. Digital transformation is a shared responsibility, from leadership to every employee, not just HR.

They said HR may handle people and change management, but reshaping organisational culture is everyone’s role. For example, launching a new LMS platform highlights the need for collaboration across HR, managers, and employees.

Transformation must be cascaded at all levels, if one part breaks, the system fails. Sustainable change depends on cross-functional collaboration, ownership, and alignment.

#4 Cohesive AI learning environment

The leaders emphasized that AI adoption is widespread, with organisations exploring both structured and informal approaches.

Some organisations began experimenting early, despite strict internal security policies around tech usage. The initial AI exploration was closely monitored, later evolving into a guided approach with clear usage guidelines to ensure responsible adoption.

An AI Strategy Roadmap has now been initiated, supported by multiple workshops to identify use cases and priorities. Though the roadmap is still evolving, it has laid a strong foundation for future AI integration.

Setting up an internal AI talent discovery platform helps identify employees passionate about AI and aligns them with relevant projects. These are strategic, early steps toward building long-term AI maturity, innovation, and collaboration.

AI is not a job threat, but a core skill in the modern workplace. Those who fail to adopt or learn AI risk being left behind in a rapidly evolving professional landscape.

#5 Younger generation is the Genera'tion' AI

The leaders also noted that while resistance to AI adoption still exists, especially from traditional workforce segments, the younger, tech-native generation is ready to lead the change. Leaders and managers must empower this new generation, not hold them back.

AI doesn’t replace human work rather it enhances creativity, accelerates performance, and enables better results. The mindset must shift from fearing AI to valuing its impact and outcomes.

While the younger generation is AI-ready, the real challenge lies with those resistant to change or lacking flexibility.

Organisations need to ensure their people understand, apply, and evolve with AI. It should be a core skill for every employee, not just a tool, and must be included in hiring criteria, upskilling programs, and talent assessments.

Some of the actionable steps shared by the HR leaders are:

1. Breaking AI strategy into three levels: Individual, Team, and Organization, offers clarity and better measurement for adoption and transformation.
2. Gaining leadership buy-in and building internal awareness and support systems is crucial.
3. Engaging external AI coaches to build leadership awareness; planning workshops to integrate AI into KPIs.
4. Focusing on education and cultural integration of AI, where people understand “what’s in it for me.”
5. Learning from real-world examples.

The Talent Study Circle is a monthly gathering of HR leaders, designed not only to keep them relevant but also to help them stay ahead of the curve—shaping the future of work while accelerating both personal and organizational growth. Please write to aditya.chopra@gopeoplematters.com to participate in the upcoming July session.