AI Adoption – 3 Priorities that Emphasize the Human Element

In the rapidly evolving landscape of artificial intelligence (AI), the integration of human-centric principles is critical to maximize AI’s full potential while still maintaining human-in-the-loop roles and values. The success of AI projects hinges on people and the ways in which they work, far more than on technology alone. However, the Society for Human Resource Management (SHRM) notes that more than 80% of AI projects fail to deliver expected business value, often due to overlooked human factors like workforce readiness, training, and cultural resistance.

“The key to successful AI integration lies in building an AI-ready culture, aligning AI initiatives with business goals, and maintaining open communication with employees throughout the process. With the right strategies in place, AI can become a catalyst for innovation, driving business growth and improving the overall employee experience.”

Adopting AI-Driven Change Management: Key Strategies for Organizational Growth

Expectations are High but Significant Challenges Remain

The growing expectations for AI are a key driver for the need for education and training. While AI is already proving to be a game-changer for workplace productivity, there are still numerous challenges.

Findings from the Nielsen Norman Group, Bain, and MIT are insightful and demonstrate how AI can enable teams to operate with greater speed and efficiency –

  • Generative AI can boost user performance by 66%

  • Highly skilled workers show a 40% increase in productivity

  • Employees using Gen AI tools complete tasks 40% faster

These findings highlight that AI isn’t just optimizing individual tasks – it has the potential to revolutionize entire business processes.

AI’s impact goes beyond simple task efficiency. McKinsey research shows that AI can automate 60-70% of data collection and processing time, freeing employees to shift their focus from repetitive tasks to higher-value, strategic, and creative work.

Yet, despite these promising benefits, most organizations struggle to translate AI potential into reality. IBM research reveals that nearly 50% of company executives say their workforce lacks the necessary AI skills and competencies to adopt and scale AI solutions effectively. Without proper training and support, AI adoption becomes a frustrating process rather than a transformative one. Gartner reports that 85% of AI projects fail to deliver expected business value, largely because organizations rush into AI initiatives without adequate planning, workforce training, or organizational change management. The result? Wasted time, frustrated employees, and growing skepticism about AI’s real value.

While a substantial 75% of companies have embraced AI technologies, only about one-third of employees have received training in the past year, highlighting a critical gap in AI literacy. This disconnect is further emphasized by the fact that 82% of workers report that their organizations have not provided training on generative AI, underscoring a widespread lack of guidance in navigating these advanced tools.

A human-centered approach to AI emphasizes planning for AI implementations that ensure the emerging technology is a collaborative tool that augments human jobs rather than replacing them. Focusing on communication, education, training, and activities that align to human-centered AI strategy recognizes the needs of company employees and shapes the workforce mindset that embraces AI adoption and improves the success of AI initiatives.

Below, let’s explore 3 human-centered priorities for AI adoption that can create an adaptable company culture that embraces AI adoption and change that will improve AI project success and build a workforce that is better prepared for the transformative changes that are coming.

#1 - AI Literacy as the First Step to AI Success

To shift from AI hype to AI success, leading companies are embracing a new approach: AI literacy programs designed to equip employees with both technological knowledge and practical application skills. These programs mark a fundamental change in how businesses approach AI adoption. Instead of treating AI as a tool for a select few experts, successful organizations are making AI knowledge accessible to employees at all levels.

Making AI an integral part of the company’s work ecosystem through AI literacy is important for several reasons:

  • Reduces fear and resistance – Many employees are hesitant about AI, fearing job displacement with little understanding of AI potential or benefits. AI literacy fosters confidence and a more positive mindset toward AI adoption.

  • Encourages AI adoption – When employees understand AI, they can better identify opportunities to apply it in their work, driving innovation from within.

  • Bridges the gap between IT and business staff – Effective AI adoption requires collaboration. AI literacy programs help employees communicate across functions and work together on a variety of initiatives including AI implementations.

A 2024 McKinsey study concluded that successful early adopters of generative AI technology focus heavily on educating, upskilling, and reskilling staff to create a new mindset and culture that embraces AI. However, sustained AI adoption doesn’t happen overnight. The key is an iterative, habit-forming approach to AI literacy that does not settle for traditional training or one-time workshops, but through incremental, ongoing skill-building over time.

Companies can create AI-literate champions through habit-forming reinforcement that ingrains skills and an AI-embracing mindset that becomes part of the company’s DNA.

#2 - Beyond AI Literacy – Upskilling and Reskilling Prepares Workers for Change

Preparing a company workforce for AI adoption goes beyond awareness. While AI literacy is a key foundation, upskilling and reskilling enable employees to adapt, evolve, and thrive using specific AI tools implemented in a new AI-driven workplace. Understanding this distinction is important for organizations looking to successfully integrate AI capabilities while building an AI-aware and embracing culture.

The World Economic Forum noted that AI is transforming entire business models, with half of employers globally planning to reimagine their business to respond to new threats and take advantage of new opportunities from AI. More than 75% of companies are planning to train their workers in these new AI capabilities. However, more than 40% see major job disruptions as AI automates some tasks. Nearly 50% of companies expect to retrain impacted staff from roles impacted by AI disruption to take on needed roles in other areas of the business as an opportunity to alleviate skills shortages while reducing the human cost of AI adoption.

As AI continues to reshape jobs, companies that invest in upskilling and reskilling can take better advantage of new AI capabilities and retain productive talent rather than replace it. This approach reduces turnover, preserves institutional knowledge, and ensures smart, hard-working employees remain valuable contributors to an increasingly AI-enhanced workplace.

Additionally, upskilling and reskilling enable AI adoption success. More than 80% of recent AI projects fail in part because those using AI solutions lack the training and skills to use AI capabilities to their advantage. The lack of investment in the human element of AI projects contributes to the failure rate of these expensive and time-consuming initiatives.

Organizations that only focus on AI literacy without acknowledging the need for more specific training and education from upskilling and reskilling may struggle to see real productivity gains from AI adoption while seeing more employee turnover. However, companies that invest in a more holistic approach to develop general AI knowledge while preparing staff with focused AI training and new skills as workflows and organizational needs evolve will see more successful AI projects. These companies will create a future-ready workforce culture that sustainably embraces AI as an enabler of success. 

#3 - The Importance of Organizational Change Management for AI Adoption Success

Creating foundational AI literacy and providing upskilling and reskilling for employees taking on more AI ready roles or changing positions due to AI impacts does not guarantee implementation success for specific AI projects. Much like any technology effort, the ability to achieve the expected business outcomes depends more on business and technology process change and human behavior change than the technical deployment of any AI solution. Even more so with AI projects, targeted and intentional organizational change management (OCM) is critical to creating the necessary understanding, desire, and action for change.

AI Literacy, Upskilling, and Reskilling are not Enough

While the foundational elements of AI literacy discussed above are important for creating an overall company culture that is more prepared for AI adoption, these efforts do not address the specific challenges with any specific AI implementation. Generic AI training does not address how any specific AI project will impact specific employee roles, workflows, and decision-making processes. Even if the overall understanding of the company’s direction with AI has been advertised, without tailored change management, employees may resist AI due to uncertainty about its impact on their workflows and jobs.

Skills training does not guide employees through the reengineering of their work. Without targeted change management, employees may resist adoption, actively or passively undermining AI initiatives.

Connecting Change to Company AI strategy

Effective OCM can also relate current AI projects to company strategy that has been communicated as part of overall AI literacy. This connection to the larger strategic direction can create better context and buy-in for the specific incoming changes. Training that is unique to the project capabilities being introduced and that shows how this project relates to the overall AI direction can improve workforce performance and comfort. Reinforcement helps to prevent AI abandonment while building new habits that contribute to long term AI adoption success.

“As AI continues to transform the business landscape, organizations must be prepared to navigate the complexities of AI adoption through effective change management strategies. By addressing both the technological and human factors involved in AI integration, leaders can ensure that their organizations are well-positioned to thrive in an AI-powered future.”

Adopting AI-Driven Change Management: Key Strategies for Organizational Growth

Other Considerations

In addition to AI literacy, upskilling, reskilling and change management, there are several other things a company can do to reinforce the importance of their employees during times of change. These human-centered activities further support and encourage creating a culture that embraces AI and a workforce that is resilient during a time of change.

Continuing Education

Another source of vital AI literacy, upskilling, reskilling, and reinforcement of company strategy are local professional and continuing education programs. Whether pursuing an MBA or targeting specific new skills or certifications, there are numerous academic programs that dovetail with the need for company leaders to embrace AI and be champions for change. Leaders who take advantage of these programs frequently have strong strategic perspectives, a better understanding of critical oversight and governance solutions, and have a stronger grasp of the ethical considerations that are needed for successful AI adoption.

Continuous Improvement Practices

Feedback loops are an important part of AI adoption efforts that can support employees and help them feel heard. The key to ensuring that feedback continues to contribute to employees’ feelings of being heard is making sure that their feedback results in action. Continuous improvement programs help reinforce the importance of the human side of AI adoption if the follow-through happens and is visible. By embedding these practices into company culture, organizations create a dynamic environment where employees feel valued, AI is embraced as a tool for employee success, and the company remains increasingly adaptive in the face of continuously maturing AI capabilities.

Innovation Programs

Another form of continuous improvement is innovation teams or programs where company employees have an opportunity to suggest ideas. Instead of reacting to AI changes defined by leadership, employees can take an active role in defining how AI fits into their work which contributes to shifting the company culture to one of continuous improvement and adaptability.

Employees are more likely to embrace AI if they see it solving real problems. Celebrating employees who propose AI-driven solutions is positive reinforcement and encourages innovation as a “safe space” for employees to test AI related ideas and encourages employees to become internal advocates for adoption and change. This sort of active involvement in the conversation encourages a staff-driven approach to change, which is often more effective than top-down mandates.

Call to Action – What can Leaders and Employees Do Now

To bridge the growing gap between AI adoption and workforce readiness, organizations must take a proactive and structured approach that emphasizes the human side of AI adoption. It’s not enough to simply introduce AI tools. Leaders must be intentional about fostering a culture of AI literacy that empowers employees to use these technologies effectively. This means providing targeted upskilling and reskilling initiatives tailored to specific job functions and emphasizing organizational change management for all AI projects. Executives should invest in AI literacy at all levels and consider other efforts that reinforce AI literacy including continuing education, feedback loops and continuous improvement programs, and innovation programs that focus on the human side of their AI strategy. By doing so, companies can ensure that AI becomes an asset rather than a source of anxiety or disruption in the workplace.

By making AI education and reinforcement a shared responsibility, businesses can foster a workforce that is not only AI-literate but also better prepared for the evolving technology landscape.

Is your organization ready to harness the full potential of artificial intelligence to accelerate growth, transform operations, and empower employee and customer experiences? Let’s connect.

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