‘Pakistan has opportunity to move beyond traditional software services’

LAHORE: As artificial intelligence (AI) reshapes the global job market, Pakistan has an opportunity to move beyond traditional software services by developing expertise in industrial AI. In this field, the ability to monitor automated systems, anticipate equipment failures and minimise costly downtime is becoming increasingly valuable.

Speaking to Business Recorder, Dr. Hamad Alizai, Associate Professor of Computer Science at the Lahore University of Management Sciences (LUMS), said Pakistan should prepare its engineering and technology graduates for this emerging demand by equipping them with practical, industry-specific skills.

He explained that universities provide a broad-based education, whereas industries require graduates who can work with particular technologies and tools. Some adjustment between academic learning and the workplace is expected, but he noted that the gap is widening as AI advances and reshapes employers’ expectations.

To address this challenge, the MSAI–LUMS Industry 5.0 and EdgeAI IoT Innovation Lab and Skills Accelerator will give students practical exposure to industrial sensing, connected equipment and computing technologies. The industry-supported initiative seeks to complement academic education with skills relevant to modern industrial environments.

Discussing AI’s impact on employment, Dr. Alizai said the technology is increasingly capable of performing routine tasks once handled by human workers. “Knowledge-based jobs, particularly those involving repetitive tasks, are being affected,” he said. He added that the change is not confined to computer science and carries implications for electrical and mechanical engineering and other disciplines.

According to Dr. Naveed Anwar Bhatti, Pakistan has so far experienced a more gradual impact from AI than some international markets, though this could change as businesses grow more confident in adopting the technology. Universities are feeling the shift as well, with AI enabling some research tasks to be completed with fewer human resources, even as expectations for research output and delivery speed continue to rise.

He compared the current transition to the shift from radio to television, arguing that while technological change can reduce demand for certain types of work, it can also create new industries and employment opportunities. “The competition will not simply be about who is best, but also about who moves first,” he said.

Industrial EdgeAI, in his view, could allow Pakistan to build expertise beyond traditional software services, particularly in monitoring and maintaining automated systems. As factories and other industrial operations rely more heavily on connected equipment, the ability to detect faults before they disrupt production is becoming more important.

Industrial sensors and AI-based monitoring can identify potential equipment failures, allowing businesses to schedule maintenance before a breakdown occurs. This approach, known as predictive maintenance, can reduce downtime and the economic costs that come with it.

“If a system can identify in advance that a motor is likely to fail or a robot’s battery is deteriorating, the necessary replacement can be arranged before operations are disrupted,” he said. He added that replacing and installing equipment can take considerable time, which makes early detection especially valuable for businesses that depend on continuous operations. Graduates trained in industrial sensing, AI and automation could help monitor equipment, maintain systems and tackle the technical challenges of increasingly automated operations.

For Pakistani manufacturers, such capabilities could improve operational efficiency and help reduce losses caused by equipment failures.

However, Dr. Alizai noted that export performance also depends on government policies, institutional support and wider economic conditions.

He acknowledged that universities cannot fully replicate industrial environments, since doing so across multiple disciplines would be expensive and resource-intensive. While university laboratories can reproduce certain industrial conditions, replicating specialised equipment and processes in depth requires additional investment and industry knowledge.

Industry-supported initiatives, he said, can help bridge this gap by providing access to equipment and technical expertise that universities might otherwise struggle to acquire. The LUMS laboratory aims to bring this practical exposure directly into the learning process.

Dr. Alizai said the laboratory’s equipment will first be introduced into university courses and then used in course projects and capstone projects. More advanced research applications could follow as the partnership develops. The objective, he explained, is to move beyond theoretical instruction and enable students to apply their knowledge to practical problems involving industrial technologies.

He added that the model is not limited to one sector and, with credible industry partners willing to invest in future skills, could be extended to agriculture, water management, energy and other areas.

He also pointed out that AI could lower the cost of certain industrial monitoring applications by allowing businesses to use cheaper sensors where they can provide sufficiently accurate information. For example, an application that traditionally relied on an expensive vibration sensor might, under suitable conditions, use a less costly sensor paired with an AI model trained to interpret its signals. “If you don’t need 100 percent accuracy and 95 percent is sufficient, an AI-based solution may help reduce costs,” he said. He cautioned, however, that the suitability of this approach depends on the application’s requirements and accuracy standards, and that it is not a universal replacement for specialised sensors.

Looking further ahead, Dr. Bhatti said the laboratory’s long-term ambition is to establish a pipeline through which industry can bring practical problems to academic researchers and assess the solutions developed through university-industry collaboration.

Outlining the expected outcomes over the next three years, he said the first priority is to produce graduates with skills relevant to specific industries, reducing the need for extensive additional training after recruitment. The initiative also aims to forge a stronger link between graduates and employers by building a pipeline of industry-ready talent.

A further objective is to work with industry on practical problems and develop solutions that benefit the participating institutions and businesses.

Dr. Alizai concluded that the model’s wider success will depend on finding credible industrial partners who understand future technological requirements and are willing to invest in accelerating students’ skills before those capabilities become an immediate necessity. Such partnerships, he said, could help universities respond more effectively to changing industrial demands while creating opportunities for graduates in emerging technology fields.

Copyright Business Recorder, 2026