BURSTThis year is turning out to be a transformative one for AI, with the new administration’s commitment to defining America as a leader in the field, alongside the launch of the Stargate project. This massive $100 billion initiative, backed by tech giants like OpenAI, SoftBank, and Oracle, is expected to not only generate over 100,000 new jobs but also reshape existing roles as AI integrates more deeply into industries. A recent survey indicates that 75% of small and medium-sized businesses are at least experimenting with AI, with 83% of growing businesses leading in adoption.
But data from the U.S. Census Bureau indicate that while there is a gradual increase in AI adoption across industries, only 6.6% of businesses adopted AI in the fall of 2024. While adoption is higher in larger and younger firms, challenges remain, including the perceived inapplicability of AI to certain businesses and the costs of organizational adjustments.
We work with organizations to shape the “future of work” while overcoming common barriers to change implementation. As organizations set out major transformations, we both encourage and caution. Leaders beware — adopting AI is not a smooth, one-size-fits-all process. As history has shown with previous industrial and technological revolutions, resistance to change from employees can easily stymie even well-planned implementations. AI adoption requires more than just investment in technology; it demands careful attention to how it will be embedded into organizational cultures and work practices. Without proper guidance, businesses can quickly face roadblocks that undermine their efforts. We, like you, are excited about AI but only if the visions can be executed. Leaders must be prepared to address the challenges of change management to successfully integrate AI.
We’ve developed a guide for the implementers and five barrier busters. As managers implement needed technological change, there are five “I’s” managers must remember when trying to drive AI adoption successfully, adapted from Bruce Temkin’s work on employee engagement:
1. INFORM Early and Often: Employees are more likely to resist change when they don’t understand the reasons behind it. Managers should communicate early and regularly about why AI is being introduced, its expected benefits, and how it will impact the business. Clear and transparent communication builds trust and reduces confusion. According to the Washington Post, less than half of employees feel well-informed about major decisions at their companies, but at top-rated workplaces that number jumps to 80%. When employees understand the goals of AI initiatives, they are more likely to engage organically and trust the implementation process.
2. INCENTIVIZE and Show the “WIFM” (What’s In It for Me) and Reassure Job Continuity: Employees need to see clear personal benefits in adopting AI. To mitigate fears about job loss, reassure employees that AI is a tool to enhance, not replace, their roles. This sense of security fosters acceptance. When the CEO of 3M assured employees of job security, it ended up enhancing innovation and creativity. If employees are assured of their position, they will apply their full selves to the adoption of new tools. Incentives, such as upskilling or job security, can motivate employees to embrace the change. For example, managers could point to AI’s capacity for improving employee recognition and tracking KPI milestones, making it easier for employees to demonstrate their value.
3. INCLUDE and Enable Agency: Resistance often arises when employees fear losing control or feel marginalized. Managers should involve employees in the visioning, development, and integration of AI. Whether through task forces, surveys, or project management, involving employees creates goodwill, enhances understanding, and provides the psychological benefit of agency in shaping their own futures.
4. INSPIRE and Role Model: Employees are more likely to adopt AI if they see it as an opportunity for growth. Managers should inspire their teams by painting a vision of a more efficient, client-focused workplace. Leading by example — actively using AI themselves — helps normalize the change. Managers should emphasize how AI can foster new ways of working, just as Zoom reshaped work-life balance and human connections during the pandemic.
5. INSTRUCT and Provide Ongoing Training: Employees often resist AI because they feel unprepared. Managers should provide comprehensive, ongoing training to ensure employees feel confident using new tools. A reverse mentoring program can also help employees learn from each other, building a positive group mentality. Comprehensive training programs can help to create company identity and help employees feel valued and included. Unilever, for example, frames its staff training as skill-based training meant to holistically offer a new skill set to employees that they could carry beyond their work at Unilever. AI training should be seen as an investment in skills that benefit employees throughout their careers.
With investment flowing into AI from every direction, the urgency for businesses to embrace AI has never been greater. Now is the time for leaders to ensure their teams are ready, not just technologically, but culturally. By focusing on the human side of AI adoption — through clear communication, incentives, involvement, inspiration, and ongoing training — businesses can unlock AI’s full potential. The opportunities are vast, and those who act strategically will be the ones driving this next wave of innovation.
Stephan Meier is currently the chair of the Management Division and the James P. Gorman Professor of Business at Columbia Business School.
Todd Jick is a leading expert in Leadership and Organizational Change, and a Senior Lecturer in Discipline in Business, Management Division, and Reuben Mark Faculty Director of Organizational Character and Leadership, Bernstein Center for Leadership and Ethics at Columbia Business School.
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