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Artificial intelligenceLatest NewsJob creation and lossesEmployer branding

Why AI plans need to be discussed with delicacy

by Claus Jepsen 20 Dec 2024
by Claus Jepsen 20 Dec 2024 How a business talks about AI could impact its ability to attract and retain staff
Shutterstock
How a business talks about AI could impact its ability to attract and retain staff
Shutterstock

It’s hard to escape predictions about the impact of AI on the workplace, but businesses need to tread carefully when outlining plans to make efficiences, argues Claus Jepsen. 

The debate about artificial intelligence (AI) in the workplace rumbles on, but there is a reputational issue that does not appear to have been greatly discussed.

How a company approaches the adoption of AI could have a significant impact on its public reputation as an employer of choice.

AI and jobs

Nearly a third of employees use AI at work

Klarna to ‘halve’ workforce as it ramps up AI 

We all know the challenges of recruiting and retaining the right people, but if CEOs are forthright about AI as a means of cutting costs (and perhaps staff), what consequences could this have on recruitment strategies?

Given the worries widely expressed about its impact on employability, employers must demonstrate not just how AI adoption will drive shareholder value, but how it will support its employees on the journey to the AI-fuelled workplace.

Some companies, such as Klarna, have been very public in saying that it will drive efficiencies including headcount reduction, but what message does that send to future employees?

It is questionable whether highly prized recruits will consider roles with companies they perceive as too ruthless and lacking empathy towards staff.

Playing the long game

That is why organisations should play the long game when it comes to strategies for AI adoption. It will not only impact how successful businesses are in the future, but it will also positively impact reputation as an employer of choice.

Ultimately, how an organisation is seen to implement AI and how it supports its employees in the transition could become a positive recruitment tool.

There is wide acceptance that AI will change the way we work which could have a significant impact on roles.

Unit4 recently worked with analyst company IDC to explore the human challenges facing organisations as they prepare to embrace the technology more wholeheartedly.

IDC’s research highlights some of the issues, including 28% of European companies saying they will struggle to address fear of layoffs, while 78% of US and European employees expect some or most of their current tasks to be automated in the next two years.

Digging into these concerns more deeply, IDC also identified some of the areas where employers must reassure employees.

As it stands, discussions around AI are alienating and disenchanting the existing workforce, because there appears to be an indiscriminate targeting of cost and use cases are based on business not employee impact.

There seems to be few, if any, plans for reskilling or transition, leading to a sense that the voice of the employee is lost.

AI champions

Senior leadership teams must recognise these concerns and show they are not only listening, but acting on this feedback.

Obviously, a key point is around expectations – what can employees expect from their organisations during this transition? And just as important what is expected of employees and what are they going to get out of it?

Without sounding like a politician on the hustings, senior leaders should be painting an exciting picture of work life when AI is everywhere within an organisation. This will not happen overnight.

Indeed, IDC talks about a journey where AI moves from an assistant role to that of advisor before becoming an agent acting autonomously alongside employees.

It is difficult for everyone to see what this means for their roles, but in working with IDC we identified the rise of new roles like AI Orchestrators, who will manage the relationship between AI and employees.

There will be a greater need for experts and specialists instead of general administrators and managers, because AI will take on repetitive tasks and allow employees to focus on more rewarding, stimulating work.

Build a skills development framework

Of course, this will require new skills, but understanding what skills already exist within your workforce – and where the gaps may be – can be addressed by building a skills development framework.

This should be looking ahead to 2030 and should be looking at the balance of skills required, because extracting value will require a mixture of IT, digital business, human and leadership skills.

For example, when we reach the stage where AI is acting as an autonomous agent, employees will need skills to be able to orchestrate the actions of these tools.

They will need to ensure the AI is acting ethically and interpreting its insights to build strategies that will enable organisations to innovate.

This could require leadership skills around governance, human skills around critical thinking and creativity, as well as IT skills in integrating AI tools and digital business skills in automation and prompt engineering.

Consequently, the employee of the (quite near) future is going to need an array of soft and technical skills. This might seem daunting to some employees, especially those already well established in their roles.

This, though, is where the astute employers can differentiate their brands and be perceived as employers of choice in this AI-fuelled era.

IDC advises that the emphasis should be very much on people. It makes three key recommendations for organisations considering how to best embrace AI.

Human-centric approach

Firstly, plans should be underpinned by a human-centric approach with a clear message that AI adoption is not about replacing employees but enhancing their capabilities.

This builds trust among employees, but also ensures that AI tools are solving problems relevant to the organisation.

Secondly, it is critical to involve users on the journey so that they can experience AI firsthand and evaluate where it can benefit their work.

This informs the third priority, upskilling employees. If everyone in the organisation has a clear understanding of its impact and value, it will be easier to identify the skills gaps so that employees undertake the training they need to build their confidence.

Getting this approach right will not just mean organisations become more productive and innovative than their competitors, they will also steal a march as an attractive place to work.

The organisations with a more people-focused approach will build reputations as trusted leaders, which is crucial as employees seek to allay fears and map out their career opportunities in the AI-fuelled work environment.

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Claus Jepsen

Claus Jepsen is chief product and technology officer at Unit 4

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