Despite the popular belief that organizations are gaining value from artificial intelligence (AI) at the expense of the people they employ, and that AI-powered automation could lead to the displacement of workers, 60% of employees see AI as a collaborator and not a Job threat. And organizations with employees who get value from AI are 5.9 times more likely to see significant financial benefits from it than organizations where employees don’t get value from AI,
These are key findings from a report by MIT Sloan Management Review (MIT SMR) and Boston Consulting Group (BCG), included Achieving individual and organizational value with AI. It presents findings from the sixth consecutive research effort between MIT SMR and BCG on artificial intelligence and business strategy. It includes results from a global survey of 1,741 managers and interviews with 17 executives, representing more than 100 countries and 20 industries, about the use of AI at work. According to the report, people derive personal value from AI when using the technology enhances their self-determination, which encompasses their competence, autonomy and relationships.
“AI use in business is now done. Many technologies have embedded, even hidden, AI components that workers may not even be aware of. When everyone uses AI to some degree – and gets value from it – familiar tropes become problematic,” said Sam Ransbotham, professor of analytics at Boston College and guest editor for the MIT SMR Artificial Intelligence and Business Strategy Big Ideas Research Initiative. “For example, the idea that managers who use AI will replace managers who don’t use AI loses meaning when everyone uses AI.”
Understanding the extent of AI at work
AI use is so pervasive that individual workers may take some of its applications for granted. According to the findings, 66% of people report that they do not use AI or use it only minimally. But when prompted with specific examples of AI-enhanced business applications, such as office productivity applications, calendar schedulers and customer relationship management software, 43% of respondents confirm that they regularly or sometimes use business products with AI. (See Figure 1.)
“When people don’t know they’re using AI, they naturally have a harder time recognizing its value,” said François Candelon, global director of the BCG Henderson Institute and co-author of the report. “But our research shows that employees who use AI knowingly are 1.6 times more likely to get individual value and 1.8 times more likely to be satisfied with their jobs than those who don’t realize they’re using AI.”
Mandating the use of AI is a critical step toward overcoming resistance
Interviewees and survey respondents cited that mandating the use of AI is an important first step toward overcoming resistance. Making AI use mandatory triples the likelihood of its use: people who are required to use AI at work are three times more likely to regularly use the technology than those who are not required to use it professionally. But managers should still ensure that people have agency. People who can override AI are 2.1 times more likely to use AI regularly compared to those who can’t override it. Furthermore, managers who lead by example by using AI with their teams are 3.4 times more likely to boost regular AI use among individual team members than managers who do not.
“Trust is just one factor that drives AI adoption: being required to use it. Seeing your boss use it. Having the ability to override it. These all contribute to adoption, especially in the early stages of AI deployments,” notes David Kiron , MIT SMR Editorial director and co-author of the report.
AI’s impact on job satisfaction, competence and co-worker interaction
According to the report, 64% percent of survey respondents personally get at least moderate value from using AI. These workers are 3.4 times more likely to be satisfied in their jobs than employees who do not get value from AI. Only 8% of global survey respondents are less satisfied with their jobs because of AI.
People who receive AI-based suggestions to improve their performance are 1.8 times more likely to feel more competent in their roles than those who do not. Furthermore, employees working in organizations that invest in AI that improves the quality of decision-making for matters such as operations scheduling, inventory management and marketing return on investment (ROI) are 1.5 times more likely to see individual value from AI compared to those. Which are in organizations that don’t invest in this type of AI.
In addition to helping employees feel more capable in their work performance, the survey revealed that many respondents think that using AI has improved interactions with their team members (56%), with their managers (47%) and with other people in their departments. (52%).
“To reap the financial and organizational benefits of AI, managers must promote a virtuous cycle of use and value at the individual level by cultivating trust, understanding, agency and awareness of the technology,” said Shervin Khodabandeh, a senior partner and managing director. . at BCG, coleader of GAMMA in North America, and co-author of the report. “The relationship between individual and organizational value of AI is additive, not zero sum.”