Generative artificial intelligence (AI) has the potential to automate a significant portion of employees’ tasks, with McKinsey Global Institute data suggesting that 60-70 percent of current work activities could be automated. A recent report from OpenAI also highlights the widespread impact of generative AI, with 80 percent of U.S. workers potentially having at least 10 percent of their tasks automated. However, while work will change and become more efficient, human leadership, particularly from middle managers, will remain crucial. Middle managers are currently spending less than 30 percent of their time on people leadership, but generative AI offers the opportunity to automate certain tasks, freeing up time for middle managers to focus on leading. Generative AI tools can also enhance middle managers’ capabilities, providing personalized training, career counseling, and real-time team performance insights. Middle managers will be critical in deploying and adopting generative AI, as they can apply human judgment, manage risks, and reimagine roles and work processes. Overall, generative AI has the potential to increase productivity and empower middle managers as valuable assets to organizations.
| Signal | Change | 10y horizon | Driving force |
|---|---|---|---|
| Generative AI can automate tasks | Shift from manual tasks to automation | More efficient work processes | Efficiency and productivity improvement |
| Middle managers can focus on people leadership | Shift from administrative tasks to people leadership | Improved leadership and employee development | Time-saving and AI support |
| Generative AI can enhance training and career counseling | Shift from traditional methods to AI-powered support | Personalized and effective training and career guidance | Improved manager capabilities and employee development |
| Generative AI can provide real-time team performance insights | Shift from manual analysis to AI-generated insights | Better team performance management | Enhanced decision-making and performance improvement |
| Middle managers play a crucial role in AI deployment | Shift from limited involvement to critical role | Successful AI implementation and risk management | Responsible leadership and organizational support |
| Middle managers contribute to reimagining roles and work processes | Shift from traditional approaches to AI-driven strategies | Redesigned tasks and responsibilities with AI integration | Strategic thinking and maximizing AI potential |