Leadership In The Age Of AI: Guiding Workforce Transformation

Abstract

The advent of Artificial intelligence (AI) has gained popularity among managers and researchers in recent years. AI, driven by technological developments and public interest, is seen as a revolutionary technology that could revolutionize humanity. However, at this point, managers have limited empirical guidance on preparing for and implementing AI in their company’s operations. Thus, this chapter explores the critical role of leadership in enabling workforce change in the era of AI. Based on secondary data sources, the chapter presents a case study of Microsoft’s success under the exemplary leadership of Satya Nadella. The study’s novelty results from its focus on the junction of human capital growth driven by leadership and AI adoption. The findings of this case study show that leaders who prioritize openness, ethical behavior, collaborative practices, and continuous improvement are essential in steering AI to support workforce transformation rather than causing instabilities in the workplace.