Unlocking Agentic AI: Opportunities, Challenges, and Implications for Southeast Asia

Agentic AI is emerging as a transformative force in the world of technology, promising to unlock significant economic benefits while also posing unique challenges for enterprises. As this concept evolves, the sophistication of its applications raises important questions about trust and integration in the workplace. Recent estimates suggest that by 2028, agentic AI could generate up to $450 billion in economic value. Yet, despite its potential, only 2% of organizations have fully embraced this innovative approach.

Understanding the Potential of Agentic AI

Capgemini’s recent report reveals a landscape where high potential meets limited deployment. Based on a survey of 1,500 executives across 14 countries, including Singapore, the research underscores the crucial role of trust and oversight in harbingering the value of agentic AI. An impressive 74% of executives believe that human involvement in AI workflows offers more benefits than costs. Astonishingly, 90% of respondents view oversight as beneficial or at least cost-neutral.

This insight emphasizes a key message: AI agents thrive partnered with humans rather than functioning in isolation.

Early Steps, Slow Progress

The report highlights that while approximately 25% of organizations have initiated pilot projects, only 14% have advanced to implementation. Many remain in the planning phase, indicating a widening gap between ambition and readiness that may hinder the realization of economic gain.

Excitingly, real-world applications of agentic AI are beginning to emerge. For instance, personal shopping assistants that can conduct searches, generate product descriptions, and handle cart placements via voice or text commands are becoming more commonplace. Although these systems usually refrain from executing financial transactions for security reasons, they effectively emulate a human assistant’s capabilities.

This innovation prompts a vital question: As AI technology takes on tasks such as searching and comparing, will users still navigate traditional online stores directly? For many, a streamlined, AI-driven interface may be the answer to navigating the often overwhelming digital retail space.

Defining Agentic AI

To clarify the concept, Jason Hardy, Chief Technology Officer for Artificial Intelligence at Hitachi Vantara, shared his insights on how businesses can approach this cutting-edge technology.

“Agentic AI is a kind of software that can independently decide, act, and refine its strategies,” Hardy explains. “It’s comparable to a team of domain experts that learns from experience and operates dynamically, rather than merely responding to prompts like generative AI does.”

This distinction between generating outputs and driving business outcomes is what makes agentic AI particularly valuable for enterprise operations.

Why Adoption is Accelerating

According to Hardy, the surge in adoption is largely attributed to the complexities faced by businesses today. “Organizations are overwhelmed by the intricacies of risk and demand. Agentic AI stands out because it doesn’t just analyze data; it actively optimizes storage, automates compliance, and even anticipates issues before they arise, demonstrating real-time responses to security threats.”

Capgemini’s findings echo this sentiment. Their study indicates that while confidence in the technology is varied, initial deployments have proven beneficial—particularly when agentic AI tackles routine yet critical IT tasks.

Where Value is Emerging

Hardy points to IT operations as the earliest and most promising area for agentic AI. “Automated data classification and proactive storage optimization can free up countless hours for teams, while predictive maintenance reduces both downtime and risk,” he adds.

The efficiency gains from these capabilities enable systems to detect issues preemptively, allocate resources better, and quickly manage security incidents. “With early adopters utilizing agentic AI for proactive incident management, we’re witnessing a significant boost in reliability and performance in hybrid environments,” Hardy notes.

For the time being, IT is the most practical entry point for organizations looking to realize the benefits of agentic AI, providing measurable results that impact cost management and risk control.

Southeast Asia’s Starting Point

For enterprises in Southeast Asia, the emphasis should first be on optimizing data. Hardy insists, “Agentic AI can only create value if the enterprise data is meticulously classified, secured, and governed.”

Moreover, the required infrastructure for agentic AI includes support for multi-agent orchestration, persistent memory, and dynamic resource allocation. Organizations choosing to adopt this technology must be prepared to establish a solid foundation.

Many may find it beneficial to initially implement agentic AI solutions in IT operations, using them to improve performance and prevent outages before expanding to other business areas.

Reshaping Core Workflows

Hardy anticipates that agentic AI will dramatically transform workflows across IT, supply chain management, and customer service. “In IT operations, it can not only predict capacity needs but also autonomously manage workload balancing and resource reallocation in real-time. Furthermore, it can automate predictive maintenance to avert hardware issues before they happen,” he elaborates.

In the realm of cybersecurity, agentic AI promises even greater capabilities. “The technology can swiftly detect abnormalities, isolate compromised systems, and trigger backups within seconds, significantly enhance response times and mitigate potential damages,” he explains.

The applications of agentic AI go beyond mere prototypes. Early adopters are already witnessing tangible improvements in reliability and resilience within their hybrid environments.

Skills and Leadership

However, the rise of agentic AI also necessitates a shift in human roles. “The focus will transition from execution to strategic oversight and orchestration,” Hardy points out. Organizational leaders must establish boundaries, ensuring that these autonomous systems remain within ethical and operational frameworks.

This evolution elevates managers’ responsibilities toward mentorship and strategy, while HR departments will need to cultivate governance skills to ensure successful integration.

The workforce impact may be uneven, with the World Economic Forum estimating 11 million new jobs may emerge in Southeast Asia by 2030, alongside 9 million roles likely to be displaced. Young professionals and women could face particularly sharp disruptions, underscoring the critical need for effective reskilling initiatives. Major companies like Microsoft are already making significant investments to facilitate skill development across the region.

What Comes Next

Looking ahead, Hardy believes many leaders are underestimating the rapid pace of change. “The immediate results in IT operations from agentic AI—ranging from data classification to cybersecurity automation—are just the beginning,” he remarks.

The broader economic implications could indeed be profound. According to IDC, the integration of AI and generative AI could potentially inject around $120 billion into the GDP of the ASEAN-6 by 2027. Hardy anticipates that the transformative impacts will outpace current expectations.

In Indonesia specifically, over 57% of job roles are projected to be either enhanced or disrupted by AI, indicating that this transformation extends well beyond IT, affecting organizational structures, risk management, and value creation strategies.

Balancing Autonomy with Oversight

Both the findings from Capgemini and Hardy’s perspectives converge on a central theme: while agentic AI holds remarkable promise, its practical implementation hinges on striking a balance between autonomy, trust, and meaningful human oversight.

As businesses explore the myriad benefits of this technology, they must ensure that governance, reskilling, and infrastructure readiness remain top priorities. The question facing Southeast Asia isn’t just if agentic AI will flourish, but how swiftly organizations can adapt, ensuring accountability as machines assume greater responsibility for critical business decisions.

Embrace this exciting wave of change and consider how you can leverage agentic AI to elevate your organization. Let’s cultivate a future where technology enhances our capabilities while preserving the essence of human insight and leadership. Your journey into the world of agentic AI awaits!