AI Coach: The new transformation is coming
In the summer of 2015, the Dutch banking group ING initiated a transformative journey, shifting its traditional organizational structure to an Agile model inspired by tech giants such as Google, Netflix, and Spotify. This transformation aimed at increasing flexibility, reducing bureaucracy, and empowering employees to adapt quickly to changes, and I’ve witnessed these in my 8-year experience with ING Hubs Romania, as I and my teams are working Agile.
Over the years, the concept of agility has evolved, leading to a new frontier: the integration of Generative AI (Gen AI) into organizational frameworks, promising to redefine the landscape of business operations. I am excited to see what this will bring to organizations and their professionals.
Defining the new agility
Agility in the corporate world is about more than just being quick; it’s about creating an environment where teams can pivot seamlessly in response to changing market conditions.
Traditional agile practices emphasized minimizing handovers and streamlining processes to enhance efficiency and responsiveness.
The next step in this evolutionary process involves integrating Generative AI, which promises to further reduce bottlenecks and enhance the capabilities of employees by automating routine tasks and providing intelligent insights.
Generative AI represents a significant leap forward in technology. It involves creating applications that utilize machine learning models trained on vast datasets to generate content that is often indistinguishable from that produced by humans. These applications can process natural language inputs and generate responses in various formats, including text, images, code, and audio, thereby enhancing productivity and creativity.
The impact of Generative AI on business
According to a 2024 report by PwC, sectors that are more exposed to AI are experiencing nearly five times greater labor productivity growth. The demand for AI-related jobs is also skyrocketing, growing 3.5 times faster than for other occupations. Moreover, jobs requiring AI skills often command a wage premium of up to 25%, reflecting the high value placed on these competencies in the job market.
AI is not only reshaping job markets but also altering the skills required by employers. Workers in AI-intensive occupations need to continuously update their skill sets to stay relevant. This dynamic shift underscores the importance of lifelong learning and adaptability in the workforce.
Chief executives are optimistic about the potential of Generative AI. Two-thirds of U.S. CEOs believe that Gen AI will significantly enhance employee productivity over the next year. Additionally, 44% of CEOs expect AI to drive a net increase in profits, illustrating the economic benefits anticipated from AI integration.
What’s next in the transformation journey?
The ongoing transformation towards AI-driven agility requires companies to think big and embrace change proactively. This new phase of transformation parallels the shift to agile methodologies seen in the past, but with a focus on leveraging AI to innovate and improve efficiency.
In my opinion, the new future ING transformation will have at least 3 pillars like:
1. Focus on people: Engaging experienced professionals in the AI transformation process is crucial. Organizations should encourage innovation and provide incentives to unleash the full potential of their talent.
2. Set priorities: Identifying key areas where AI can be integrated to create Minimum Viable Products (MVPs) will help in gradually embedding AI into daily operations. Establishing a dedicated workforce or “Guild” to spearhead AI projects can facilitate this transition.
3. Redefine Leadership and Employee Roles: Generative AI will redefine the roles of leaders and employees alike. Leaders need to be prepared to guide their teams through this transformation, while employees should be open to learning and adopting new technologies.
Conclusion
The next wave of agile transformation within organizations will be driven by AI, particularly Generative AI. This evolution will require a collective effort from both leaders and employees to harness the full potential of AI technologies.
As organizations adapt, it is likely that new roles such as AI Coaches (yes, I’m naming them AI Coaches) will emerge to assist in scaling AI capabilities effectively. Embracing this transformation will not only enhance operational efficiency but also spread around a culture of continuous innovation and adaptability.
