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  • Enterprise AI

U.K. Enterprises Scale GenAI, Redefine Hybrid Work, ISG Report 2025


U.K. Enterprises Scale GenAI, Redefine Hybrid Work, ISG Report 2025
  • by: Source Logo
  • |
  • October 15, 2025

U.K. enterprises are transforming workplace strategies by scaling generative AI (GenAI), redefining hybrid work models, and focusing on outcome-based employee experience, according to the 2025 ISG Provider Lens® Future of Work Services report. These changes aim to balance innovation, resilience, and sustainability in digital workplaces.

Quick Intel

  • GenAI moves beyond experimentation to a cornerstone for operational efficiency in some U.K. enterprises.

  • Over 60% of U.K. job postings now offer hybrid or fully remote options.

  • Digital employee experience (DEX) platforms use real-time telemetry for tailored support.

  • Sustainability practices integrated into workplace decisions enhance ESG commitments.

  • U.K. companies align ESG goals with business strategies to boost reputation and investment.

  • ISG ranks leading technology providers across seven quadrants in workplace services.

GenAI Driving Workplace Transformation

While many U.K. enterprises remain cautious, a significant portion is actively harnessing GenAI to empower continuous learning and adaptative workplace cultures. GenAI facilitates hyperpersonalized employee experiences through analyzing vast data volumes to tailor interactions and engagement, underpinned by governance and responsible AI practices.

Iain Fisher, ISG director, stated, "GenAI is no longer an experiment but the cornerstone of workplace transformation," highlighting how forward-looking organizations are leveraging AI to enhance efficiency and foster progress.

Evolving Hybrid Work and Employee Experience

Hybrid work has matured into a standardized operational model, with flexible options balancing autonomy and accountability. Tools such as Microsoft Teams and Zoom enable seamless collaboration across dispersed teams. Employee experience strategies are transitioning from traditional surveys to continuous telemetry and behavioral analytics, incorporated through integrated DEX platforms to proactively address risks of disengagement.

Sustainability Central to Workplace Strategy

Sustainability and ESG are foundational to decisions in technology choices, supplier practices, and workplace design. U.K. companies deploy smart technologies for real-time energy management, reinforcing stakeholder trust and distinguishing themselves competitively. Kevin Turner, ISG principal consultant, noted, "Sustainability is now central to strategic decision-making."

Industry Leaders and Market Landscape

The ISG report evaluates 45 providers in seven critical quadrants including workplace strategy, collaboration, productivity services, and AI-augmented workforce solutions. Accenture, Capgemini, Fujitsu, and others lead multiple quadrants, while specialist firms like Microland excel in customer experience, recognized as ISG’s CX Star Performer 2025.

About ISG Provider Lens

ISG Provider Lens® combines empirical research and real-world insights to evaluate service providers globally. Its reports empower enterprises with transparent data and help ISG advisors guide clients in selecting optimal sourcing partners. ISG covers markets worldwide, including the U.K., U.S., Germany, and more, analyzing technology and business services for enhanced enterprise value.

  • Gen AIHybrid WorkEmployee ExperienceSustainabilityISG Provider Lens
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