The changing face of leadership in the era of AI
April 17, 2024

Imagine your boss, but with a futuristic twist—that’s the vibe as AI takes centre stage. The workplace is morphing, and so is leadership. It’s not the same-old boss; it’s a high-tech, AI-infused version. We’re not just talking about suits and ties; we’re talking about navigating the tech wave while keeping that human touch. How is this new-gen boss handling the AI takeover? Let’s dive into the fresh and evolving world where the boss meets AI.

AI will influence not just your job but also your manager

While research has shown that AI can significantly increase the productivity of average workers, there are signs that AI will play a more complex role in the workforce rather than just automating tasks and replacing human labour.

Business Insider (BI) was informed by Fabian Stephany, an AI lecturer at the Oxford Internet Institute, that AI was playing a more “ambiguous role in the labour market” than just “automating away” jobs on a large scale.

Stephany is one of the experts who told BI that AI might have an equal impact on your boss’s and your own jobs since it shifts the standard by which workplace leaders are valued; talent, not size.

He continued by saying that AI is changing the job at “the task and skill level”. “It comes down to augmenting and automating certain things,” he stated. AI has brought about changes that align with the way businesses approach leadership, according to Ravin Jesuthasan, global leader for transformation services at consultancy firm Mercer.

“Companies are already starting to rewrite the rules of leadership, rewrite the rules of management, and reward managers for different things,” Jesuthasan told Business Insider. In the past, a worker’s seniority indicated how big their team and budget were.

With AI entering the picture, salaries and spending plans won’t be as important as companies telling employees, “I’m going to actually reward you for your impact on the company,” according to Jesuthasan.

AI-driven productivity: Rethinking leadership metrics in the evolving workplace

ABI was informed by Nicola Morini Bianzino, global chief technology officer at EY, that measurements such as budget size and the number of direct subordinates may become inadequate indicators of leadership if AI reorganises people’s responsibilities and increases individual worker productivity.

The changing face of leadership in the era of AI

“You basically need to turn around the way you look at the discipline of management in general,” he stated. It’s not about working more productively than I did yesterday. This is about taking a totally new approach,” he continued.

How AI affects leadership roles

The incorporation of AI technologies into daily management challenges accepted ideas while simultaneously creating a wide range of new opportunities. This is because AI is invading numerous areas under the managers’ purview.

The changing face of leadership in the era of AI

AI serving as a helper

AI is your devoted helper. It offers suggestions for action after doing real-time data analysis. This enables you to respond to changes more quickly and with greater knowledge.

Relief from daily duties

Even though they take up significant time, routine chores are frequently essential to daily work. AI is capable of both assistance and task replacement. This allows managers to focus more on developing creative ideas, strategic planning, and, most importantly, supporting the individual growth of their employees. 

Extending the range of understanding

Errors are inevitable throughout human history. While AI is not flawless either, it outperforms humans in terms of pattern recognition and analysis. The knowledge gathered from this helps managers make decisions. Team leaders must, however, also develop the ability to critically evaluate AI. It’s critical to strike a balance between human intuition and technology precision.

Enhanced development of human resources

The needs of employees have evolved, with a strong emphasis on individuality and ongoing growth. AI can assist in more accurately identifying each employee’s areas of strength and growth. Customised training and development programmes that especially support professional development can therefore be designed. But what matters most is that the human being always has to be at the centre. 

While AI can provide assistance, effective leadership still requires human communication, empathy, and emotional intelligence.

Society and ethics

Corporate management is being revolutionised by AI in the boardroom. However, it also prompts more queries and concerns about the fair use of AI technologies, privacy, and data security. Future executives will need to make sure AI is used responsibly and that technology advancements align with company values and employee demands.

Integrity and openness

The roles of AI and management have to be clearly defined, and all employees must be actively involved in the design and use of AI systems. Your staff members need to be able to easily identify the decision-making process and the limits of their authority.

Prejudice or bias

Another concern is that algorithms and data sources may introduce unintentional biases into AI systems. When evaluating applications for a particular role, for instance, the AI uses 

successful workers as references. Based on its references, the AI may favour men if the company currently employs a higher proportion of men. Therefore, managers need to make sure that the AI systems they utilise operate in an ethical, responsible, and transparent manner.

Data security

For AI to work effectively, your employees must provide sensitive, private information. Here, data protection violations are a common concern, and with good reason. Adherence to the numerous national and European data protection directives, including the GDPR, is vital.

Towards the future

The AI era is redefining leadership and necessitating a paradigm change in the way that leaders view their positions. Technological adoption will be embraced by those who successfully traverse this changing environment but they will also place a high value on emotional intelligence, adaptability, and a harmonic blend of human and machine talents. The leaders who recognise the value of human leadership in the era of AI and see past technology developments will prosper as enterprises continue to harness the power of AI.

(Tashia Bernardus)

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