In a recent discussion, Columbia Business School Professors Stephen Meier and Todd Jick shared insights on the evolving role of AI as it relates to human dynamics in the workplace.
The two professors emphasized the importance of a human-centered approach to successfully integrating AI in organizations. Their discussion also explored key aspects such as change management, employee motivation, and the crucial role of leaders in guiding AI-driven transformations.
Watch a video of the discussion above and read an edited transcript below.
Columbia Business School: What inspired you to pursue this line of research?
Stephan Meier: A couple of months ago, when all this AI hype came to the forefront, Todd and I met in the hallway and started talking about AI. We both realized that what really interests us is the human side of the human-machine interaction. We thought about how we can create a human-centric future, deeply considering change management tools, human motivation, and how to implement AI in a way that really supports success in an organizational context.
CBS: How is the interaction between AI and humans transforming management?
Meier: There are three main ways in which AI and human-machine interaction impact leaders and integration, primarily around implementation:
- Humans are generally anxious about change, and in the context of AI — where the discussion often centers around replacing humans — they’re even more anxious about job security and what will be left for them to do.
- Leaders need to ensure their workforce is prepared and has the right skills for these new ways of working.
- Leaders must figure out how to implement AI in a way that creates value — not just as a cost-cutting tool, but to improve organizational effectiveness overall.
In the end, this is not just a technical process; it's a human change management process. I’m very happy to have Columbia Business School’s expert on change management, Professor Todd Jick, here to discuss the tools we can adapt for the AI transformation.
Todd Jick: Obviously, AI must create value by producing deliverables that are beneficial. However, there has been an overemphasis on the technology itself, and less focus on how it’s implemented and accepted. As I often say, a good idea badly implemented goes nowhere. Conversely, a bad idea well implemented isn’t beneficial either. Our goal is to emphasize the importance of implementation.
Research shows a 75% failure rate for introducing organizational changes. With AI, we’re facing a broad-scale change, and it’s critical to make it into that 25% success category. The reasons for failure often stem from people’s resistance to change: either they’re unwilling to change or unable to do so.
People resist change for many reasons — fear of losing jobs, loss of status or identity, lack of inclusion, or poor communication. Ironically, our research shows that only 61% of leaders actually explain the benefits of change, and only 45% communicate one-on-one with employees, even though 75% of leaders believe enthusiasm alone will motivate employees. But employees want more than enthusiasm; they need to understand the incentives and feel included.
CBS: How can managers support employees who are hesitant to use AI?
Jick: We need transparency and more fundamental involvement of employees, early and often. Additionally, we must address employees’ fears of job loss, which is a significant concern. This is classic change management, and the science behind it should be applied here.
We also need to consider how we upskill employees and provide transitions, pilots, and experimentation as they adapt to new roles. Change management is essential to ensure AI delivers the benefits we all hope for.
CBS: What are some practical steps for managers as they implement AI?
Jick: To help employees accept change, there are five critical techniques to address issues of unwillingness or inability:
- Inform: Communicate clearly with employees.
- Incentivize: Ensure there are benefits tied to the change.
- Include: Involve employees early and often in AI development and adoption.
- Inspire: Show them the exciting possibilities of this future.
- Instruct: Provide training (or “instruction”) to develop necessary skills.
These steps can help implement AI effectively.
CBS: How do we keep humans at the center of the workplace as AI takes on a greater role?
Meier: It’s crucial for leaders to reassure employees that the goal is to augment, not replace, them. This can be done by shifting focus from jobs to tasks. AI performs certain tasks very well, freeing humans to focus on other areas.
For example, at Morgan Stanley, AI assists financial advisors by handling some tasks more efficiently, allowing advisors to spend more time on high-value activities, like meeting with clients and understanding their needs.
CBS: How should we be thinking about AI in the workplace?
Meier: I think we’re overly focused on technology and not enough on the human side. We need to understand the “oldest processor in the world” — the human brain — and consider what motivates people at work. We should use AI to enhance those motivators rather than diminish them.
For example, autonomy and trust are crucial motivators. Instead of using AI to control employees, we should use it to empower them, giving them feedback and information that helps them make better decisions.
In my book, I outline four motivators essential for engagement: purpose and meaning, autonomy (with trust), competence (or skills), and relatedness (collaborative work). AI can support these motivators if implemented with people in mind, creating a human-centric future of work.
Learn more about Stephan Meier's new book The Employee Advantage.
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Watch Professors Jick and Meier describe how Morgan Stanley, a global leader in financial services, has successfully integrated AI to streamline operations and sustain a competitive advantage:
