The UK’s Industrial Strategy: Key Sectors Where AI Is Having An Impact Today

In this article we discuss:

• What is the UK Industrial Strategy?
• How Workday is Partnering with UK Plc
• Industries where AI is making an impact today
• Keys to Successful AI Adoption Across Industries

In a period of rapid technological change and evolving global economies, nations worldwide are striving to carve out a competitive edge. The United Kingdom is no exception. This week, the UK Government unveiled its ambitious New Industrial Strategy, to encourage innovation, drive investment, and create a more dynamic and prosperous industrial landscape for British businesses. At its heart, it identifies those sectors we, as a nation, should be throwing our weight behind, alongside a clear vision for how technology, particularly Artificial Intelligence, will reshape the UK economy.

The eight industry sectors poised to drive the UK's future growth will come as no surprise to those familiar with British business: Advanced Manufacturing, Creative Industries, Clean Energy, Defence, Digital and Technology, Life Sciences, Financial Services, and Professional and Business Services. Widely recognised as the backbone of the UK economy, these sectors include household names like AstraZeneca, Centrica, Direct Line Group, GSK, Hiscox, OVO Energy, Rolls-Royce and Grant Thornton. All of whom are Workday customers, I’m absolutely delighted to add. 

Alongside the prioritisation of these industries, the Prime Minister emphasised that increased digitisation and technology adoption across the entire economy is a priority and crucial for enhancing productivity and growth. And we couldn’t agree more. This focus on technology, particularly Artificial Intelligence, is what underpins our bullish outlook on the prospects for UK Plc, often in contrast with the pervasive pessimism that can in part be attributed to our national character but is also symptomatic of the age we live in.

How Workday is Partnering with UK Plc

At Workday, we have a front row seat when it comes to seeing how companies across the UK are using artificial intelligence to tackle two challenges British businesses have historically struggled with; productivity and skills. From where we’re sitting, we can see organisations from those eight key sectors using AI to supercharge productivity and transform into skills-based organisations, and it’s happening now.

Every day we’re helping more and more UK businesses to harness the transformative power of AI, from titans of industry to fast-growing small businesses. But when you zoom out a little further and consider the broader impact AI is already having on these industries, then the view becomes even rosier.

Industries where AI is making an impact today 

Industry 1: Healthcare and Life Sciences

In healthcare and life sciences, AI is revolutionising both healthcare system operations and the detection, treatment, and management of diseases. Through enhanced capabilities in complex data analysis and advanced diagnostics, AI is driving breakthroughs to improve patient outcomes and deliver personalised, value-based care. Its applications include:

• Diagnostics: Analysing medical images and pathology slides for earlier and more accurate detection of conditions like cancer and heart disease.

• Personalised Treatment Plans: Integrating patient-specific data to provide tailored care recommendations.

• Accelerating Drug Development: Reducing research timelines by identifying high-potential drug candidates and simulating molecular interactions.

• Population Health Management: Identifying trends, highlighting risk factors, and guiding proactive interventions to address public health challenges.

• Operational Optimisation: Streamlining hospital workflows, from appointment scheduling to staffing and inventory management.

See it in action: Find out how AstraZeneca is using AI to identify skills gaps and improve how it attracts and retains talent.

Industry 2: Financial Services

The financial services industry, always data-driven, is seeing AI elevate its analytical and predictive capabilities. AI's ability to perform real-time analysis of massive datasets has transformed how financial institutions manage risk, handle security, track performance, and deliver personalised customer experiences. Key applications include:

• Fraud Detection and Prevention: Monitoring transactions in real time to flag suspicious activities and prevent fraudulent actions.

• Risk Management: Using predictive analytics to assess market trends, credit risks, and compliance challenges.

• Personalised Financial Services: Enabling hyper-personalised recommendations like tailored investment strategies.

• Customer Support: Utilising virtual assistants and chatbots for 24/7 customer service.

• Operational Efficiency: Automating repetitive tasks like data entry and report generation.

See it in action: Find out how Checkout.com is using AI to improve efficiency and productivity.

Industry 3: Creative Industries

AI is transforming media and communications by revolutionising content creation, distribution, and consumption. It gives media companies the power to craft more engaging and personalised experiences while at the same time streamlining production. In this fast-moving industry, AI helps organisations stay ahead by enabling:

• Content Personalisation: Algorithmically analysing viewer behavior to deliver tailored recommendations across platforms.

• Automated Content Creation: Generating written articles and video scripts, accelerating production timelines.

• Analytics Platforms: Dynamically applying analytics to understand audience preferences and optimise content strategies.

• Enhanced Advertising Targeting: Analysing consumer data for precise ad targeting and relevant campaigns.

• Improved Workflow Efficiency: Reducing the time and cost associated with media production processes.

See it in action: Find out how Reach, the largest commercial news publisher in the UK, is using AI to improve employee engagement. 

Industry 4: Advanced Manufacturing

In manufacturing, AI is transforming traditional factories into intelligent, agile production ecosystems. By optimising workflows, predicting equipment failures, and enabling precision at every production stage, AI helps manufacturers to meet shifting consumer demands while cutting costs and minimising waste. Key advancements include:

• Predictive Maintenance: Analysing sensor data to predict machinery failures and enable preemptive repairs.

• Quality Control: Leveraging computer vision to detect product defects during production.

• Supply Chain Optimisation: Streamlining logistics by forecasting demand and optimising inventory levels.

• Robotics and Automation: Smart robots performing complex assembly tasks with precision.

• Energy Efficiency: Analysing consumption patterns to identify opportunities for reducing energy use and supporting sustainability.

See it in action: Find out how Rolls-Royce is using AI to take an entirely new approach to people development and building a skills-based future.

Industry 5: Professional and Business Services

In the professional and business services sector, AI is redefining how firms deliver expertise, manage operations, and generate insights. From legal and consulting to accounting and marketing, AI tools are automating routine tasks, enhancing analytical capabilities, and enabling more personalised client solutions. This transformation allows professionals to focus on higher-value activities and strategic advice, driving efficiency and innovation through:

• Automated Research and Data Analysis: Quickly sifting through vast amounts of information for legal research, market trends, or financial data, freeing up human hours.

• Predictive Analytics for Consulting: Using AI to forecast market shifts, identify optimal business strategies, and guide corporate decisions with greater accuracy.

• Enhanced Client Management: Personalising client interactions through AI-driven insights into client needs, communication preferences, and service histories.

• Streamlined Back-Office Operations: Automating tasks like data entry, invoicing, and compliance checks, reducing errors and operational costs.

• AI-Powered Marketing and Sales: Optimising campaign performance, identifying leads, and personalising outreach based on deep customer insights.

See it in action: Find out how AI is helping EQ to become a more agile organisation.

Industry 6: Clean Energy

The clean energy sector is leading the way as the world transitions to a more sustainable future, and AI is accelerating this shift. By optimising energy generation, distribution, and consumption, AI is improving efficiency, reliability, and cost-effectiveness across the entire energy ecosystem. This includes:

• Optimised Renewable Energy Generation: Predicting output from solar and wind farms based on weather patterns and optimising energy capture.

• Smart Grid Management: Balancing supply and demand in real-time, preventing blackouts, and integrating diverse energy sources into the grid.

• Predictive Maintenance for Energy Infrastructure: Monitoring equipment in power plants and grids to anticipate failures, reducing downtime and maintenance costs.

• Energy Consumption Optimisation: Analysing usage patterns in homes and businesses to recommend and automate energy-saving measures.

• Battery Storage Optimisation: Managing charging and discharging cycles of energy storage systems to maximise efficiency and extend battery life.

See it in action: Find out how Centrica is using AI to overcome slow and time-consuming manual processes.

Industry 7: Defence

In the defence sector, AI is transforming everything from intelligence gathering and logistics to autonomous systems and cybersecurity. This is helping organisations respond to increasingly complex challenges while also enhancing safety and effectiveness. Key applications include:

• Advanced Intelligence Analysis: Processing vast amounts of data from various sources to identify patterns, predict threats, and provide actionable intelligence.

• Autonomous Systems: Developing and deploying uncrewed aerial, ground, and underwater vehicles for reconnaissance, surveillance, and operational support.

• Predictive Logistics and Maintenance: Optimising supply chains and anticipating equipment failures to ensure readiness and reduce operational costs.

• Cybersecurity and Threat Detection: Identifying and neutralising cyber threats in real-time, protecting critical defence infrastructure and data.

• Enhanced Situational Awareness: Fusing data from multiple sensors to provide a comprehensive and real-time view of operational environments for decision-makers.

See it in action: Find out how QinetiQ is using AI to create a high performance culture.

Industry 8: Digital and Technology

By its very nature, the Digital and Technology sector is a hotbed for AI innovation. AI is not just a tool but often the product itself, driving new software capabilities, enhancing data processing, and enabling the next generation of digital services. This includes:

• Software Development Automation: Assisting with code generation, bug detection, and automated testing, accelerating development cycles.

• Enhanced Data Management and Analytics: Processing, organising, and drawing insights from massive datasets to improve product features and user experiences.

• Personalised User Experiences: Developing AI-driven recommendation engines, intelligent assistants, and adaptive interfaces for various platforms.

• Cybersecurity Solutions: Building AI-powered systems for real-time threat detection, anomaly identification, and automated response to digital attacks.

• Cloud Infrastructure Optimisation: Managing cloud resources, optimising server performance, and predicting capacity needs for efficient digital service delivery.

See it in action: Find out how Kainos is using AI to get the insights they need to fuel rapid growth.

Keys to Successful AI Adoption Across Industries

AI has the potential to not only transform the UK’s industrial landscape, but to change the way we see ourselves; from a country that muddles through against the odds, to a nation of dynamic and innovative businesses that punch well above their weight on the world stage. The power to get there is well within our grasp.  

However, to make sure AI fuels innovation, rather than heaping further disruption on organisations, there are some important things to bear in mind. Companies that we’ve partnered with to effectively integrate AI tend to follow similar approaches.

• Define Specific, Measurable Goals: Establish clear, actionable objectives for every AI initiative, such as improving customer satisfaction or reducing costs and regularly evaluate progress against these goals.

• Build a Foundation of Ethical Practices: Ensure AI tools operate fairly by investing in diverse datasets, performing regular audits for bias, and prioritising data privacy. Communicate openly about how you’re using AI and what you expect to achieve.

• Choose Flexible, Scalable Solutions: Prioritise AI platforms that integrate seamlessly with existing systems and can grow with your organisation.

• Start Small and Iterate: Begin with targeted pilot projects in high-impact areas to test AI in controlled environments. That way you can gather data, and refine how you’re using AI before gradually expanding adoption.

• Invest in Training and Upskilling: Prioritise workforce development and train employees to use AI tools effectively. Workday's report Elevating Human Potential found that 83% of respondents believe AI tools can help them be better at their jobs.

• Partner with an Expert: Successfully adopting AI requires a strategic partner who understands your industry's unique challenges and opportunities. Workday brings deep expertise and tailored solutions to help organisations leverage AI responsibly and effectively, streamlining operations, enhancing decision-making, and driving meaningful outcomes.

Ready to amplify human potential with AI? In the Workday AI Masterclass, our expert leaders teach you how to responsibly build, deploy, and govern AI within your organisation.