Crafting a path to adopt AI for maximum impact while caring for the human 

This adoption has not only transformed the way we work but redefined how companies align organizational objectives and employee well-being. In the age of artificial intelligence (AI), successful integration depends on achieving the right balance between productivity and the human experience. This mutually beneficial relationship must cater to the needs of individuals, organizations and society at large. 

Across industries, AI applications are revolutionizing workflows, streamlining processes and enabling professionals to make data-driven decisions with greater accuracy and speed. For instance, in the healthcare sector, AI-powered diagnostic tools can analyze medical images and patient data to assist healthcare providers in diagnosis and treatment planning. In finance, AI algorithms analyze market trends and consumer behavior to optimize investment strategies and detect fraudulent activities.

In manufacturing, AI-driven automation improves efficiency and quality control, leading to cost savings and enhanced competitiveness. Similarly, in customer service, AI-powered chatbots provide personalized assistance and streamline communication channels, improving customer satisfaction and loyalty. In HR, AI helps by analyzing large volumes of data for insights and enhancing recruitment processes through predictive analytics.

Indeed, these examples only start to scratch the surface of the huge potential of AI. By delegating repetitive tasks to AI systems, employees can redirect their focus toward high-value work. This, in turn, could lead to continuous learning, skill development and greater work satisfaction for employees while optimizing, accelerating and even transforming the way customers interact with services and products.

Since 2023 we have seen the use of generative AI tools grow rapidly, with the latest research showing somewhere between 65%–75% of knowledge workers using AI tools. While investment in AI is the top priority for the C-Suite, and 84% of HR leaders expect a shift toward a more automated and technology-enabled HR function, we don’t see the level of adoption needed by organizations to maximize productivity gains. 

According to Mercer’s 2024 Voice of the CHRO study, most organizations remain in the early stages of the journey with only 30% already planning, piloting or implementing AI strategies. Just 15% of HR executives believe their organizations are ahead of peers. And of those who ranked AI experimentation as a top-three priority at their organizations, more than one-third report achieving little to no progress.

Part of this lag in adoption comes from a broader reluctance to try new technologies. Mercer research on HR Technology’s Impact on the Workforce shows that a few groups in particular feel this way, including workers aged 35-44, executives, managers and new employees.

The rise of AI tools has also triggered mixed reactions, according to 2024 Global Talent Trends. Many employees are optimistic: one-third report (or expect) a positive change in their workload from AI or automation, and 29% hope AI will free up more time to think. Others are having a “techsistential” crisis, believing AI and/or automation could replace their jobs by 2027 (10%), monitor them at work (14%) or increase their workload (20%). The real crisis, however, may come from avoiding AI altogether.

When considering what poses the biggest short-term threat to their business:

^{Source: Mercer’s 2024 Global Talent Trends}

Another factor challenging adoption is the lack of clarity and guidance from the top. To realize AI’s full potential, organizations must embrace it as a tool for everyone and break down silos: The C-suite needs to set the vision and create a governance system that requires HR, IT, operations, risk and legal teams work together to create the environment for the organization to safely leverage generative AI tools. 

It is our responsibility, and our greatest transformation opportunity, to chart a path for AI innovation that results in a net positive impact on the workforce while accelerating sustainable growth for the business.

Adopting AI in a way that makes a positive impact on the workforce and the business requires organizations to design responsibly and with intent, and for employees to approach it with curiosity and a digital mindset. HR has a clear responsibility to play a leadership role in guiding how AI is introduced and experienced to the workforce, and embracing HR’s changing role from stewards of work to stewards of humanity.

^{Source: Mercer’s 2024 Global Talent Trends}

Our research shows that HR is effective at stimulating AI adoption. In fact, 71% of employees tried using AI at work once HR leaders explained how it would impact their roles. HR can also help the workforce bridge AI literacy gaps, from ethics and compliance to experimentation and technical know-how. Given the pace of technological acceleration, all organizations should keep their leaders and workforce up to speed on the latest AI tools and capabilities — not just what they’re using internally, but also the powerful, free and user-friendly tools available outside of work.

True engagement, of course, doesn’t come overnight or from a single training. Successful AI adoption requires time and space for employees to adapt, in addition to comprehensive and ongoing education. These education programs might include a mix of broad concepts and general use cases, hands-on activities and more targeted initiatives that meet the needs of different personas and business groups. AI prompting and output validation, for example, are essential skills for most knowledge workers.

^{Source: Mercer’s 2024 Global Talent Trends}

Before they “buy in” to AI adoption, employees also need to understand what’s in it for them. Workers who think upskilling will lead to a pay increase, for instance, are four times more likely than peers to spend one-third or more of their time learning new skills. To drive adoption, organizations need to make it personal and make it worth it. 

By embracing AI with curiosity, empathy and foresight, organizations can navigate the challenges and opportunities of the digital age.

By embracing a digital mindset and an AI-first approach, HR will be more effective at guiding the organization in adopting AI for maximum impact while caring for the human. 

Mercer works closely with employers to craft a path to help them execute on their AI strategies, preparing businesses and people for the future of work — no matter where they are in their journey. By drawing on our people and technology experience and adopting an evidence-based approach, we can help you apply AI effectively and maximize its benefits.

Whether you want to unlock productivity gains, enhance the employee experience or transform the HR function through AI, contact a Mercer consultant for unparalleled guidance and support.