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What your managers need to know about AI

The rise of AI presents an opportunity for managers to lead their teams through significant change — or risk being left behind.

A woman with a short pixie cut and a polka dot top is using her computer in her office.A woman with a short pixie cut and a polka dot top is using her computer in her office.

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Insights from Ellen Raim, Founder of People MatterWe focus more on solving than preventing People problems.

Artificial intelligence (AI) is transforming workplaces. From automating repetitive tasks to enhancing decision-making with predictive insights, AI is changing how work gets done. The rise of AI presents an opportunity for managers to lead their teams through significant change — or risk being left behind.

Here's what managers need to know about AI, how it impacts the workplace and what they can do to guide their teams effectively.

How AI is reshaping the workplace

AI is not just about replacing manual work. It’s enabling more intelligent processes, enhancing customer experiences and unlocking new ways to innovate.

Shifts from the AI transformation include:

  • Automation of routine tasks: AI tools handle time-consuming activities like scheduling, data entry and reporting.
  • Improved decision-making: Advanced analytics and AI-driven insights help managers make informed decisions faster.
  • Collaboration tools: AI-powered platforms streamline communication and project management across teams.
  • Enhanced customer experiences: AI enables personalized interactions, faster response times and better service delivery, improving client satisfaction.
  • Predictive workforce planning: AI helps managers anticipate staffing needs, skill gaps, and workload distribution to optimize team performance.
  • And innovations we can’t imagine yet: As technology and use cases evolve rapidly, AI will continue to unlock opportunities we haven't even considered.

These shifts mean that managers need new skills to align teams with AI-driven workflows and help employees adapt to evolving expectations.

How managers can drive AI adoption without resistance

Managers are pivotal in how teams adapt to AI.

Managers can best guide their teams through innovation effectively by approaching the change with clarity and strategy. Without the right approach, however, managers risk creating resistance and confusion.

To lead AI adoption effectively, managers must:

  • Communicate the "why": Employees must understand how AI benefits their work and the organization. Clear communication reduces fear and builds trust.
  • Embrace adaptability: Managers must model adaptability, showing a willingness to learn new AI tools and methods alongside their teams.
  • Engage employees: Managers should actively involve employees in conversations about AI’s role in their work. Involving employees in these discussions builds ownership and collaboration.

Missteps like lack of transparency or failure to involve employees in AI adoption can undermine trust and slow progress.

What managers need to lead AI-driven change

To lead effectively, managers must develop three key areas of AI readiness:

1. Technical literacy

Managers don’t need to code, but they should understand AI fundamentals — like what AI can and can’t do, how it’s applied and the ethical considerations involved. This knowledge helps them make informed decisions and set realistic expectations.

2. Change management skills

AI adoption is not just a technical shift — it’s a cultural one. Managers need skills to lead through resistance, align teams on shared goals and sustain morale during transitions.

3. Future-focused mindset

AI evolves rapidly. Managers should commit to continuous learning, staying updated on trends and seeking out resources to understand AI’s implications for their industry.

Action steps to boost AI readiness

Boosting AI readiness starts with equipping managers with the knowledge and tools to lead effectively. Provide targeted training, encourage cross-functional collaboration and empower them to pilot AI initiatives.

These steps will help managers model adaptability and guide their teams through change confidently:

1. Invest in AI readiness training

Offer targeted training to help managers understand AI tools and their potential, helping them grasp the technical and interpersonal aspects of AI integration. 

Partner with vendors or learning platforms to provide practical, scenario-based education that addresses real-world challenges. Alongside technical AI training, emphasize interpersonal skills like active listening, conflict resolution and empathy, which are critical for managing employee concerns and fostering collaboration during AI-driven transitions.

2. Create cross-functional AI learning opportunities

Encourage managers to collaborate with tech teams, gaining insights into how AI is implemented across the organization.

3. Support managers as AI change agents

Equip managers with resources like change management frameworks and communication tools to help them lead effectively.

4. Foster a culture of AI experimentation

Empower managers to pilot AI initiatives, test solutions and gather feedback. Celebrating wins and learning from failures creates continuous improvement.

How AI-ready managers drive team success

When managers are AI-ready, they model the behavior needed for a successful transition. Their adaptability and proactive leadership create a ripple effect, boosting the confidence and adaptability of all employees. A manager who embraces AI and leads effectively fosters a culture of learning, collaboration and innovation.

Why AI leadership starts with managers

AI will be a defining force in the workplace. Managers have the responsibility (and opportunity) to guide their teams through this change. By building their own readiness, managers can help their teams become equipped to thrive in an AI-driven future. Investing in the skills and tools managers need today will pay dividends for years to come.

Now is the time to act!

Learn live. Adapt faster.

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