Navigating the human impact of generative AI in the workplace
Generative AI (GenAI) has become a cornerstone of workplaces over the past two years, revolutionising industries ranging from banking and retail and healthcare. Despite the obvious opportunities, the human impact of generative AI should not be overlooked, writes Russell Todd from Avanade.
As GenAI reshapes our work environments, we must ask ourselves: What are the real, tangible benefits? Beyond boosting productivity, how is GenAI influencing creativity, communication and workplace culture?
At Avanade, we sought to answer these questions through a seven-week study involving the largest pilot group for Copilot for Microsoft 365 (M365) during the Early Access Program. We explored the tool's impact on communication, creativity, trust, work satisfaction, belongingness, and organisational citizenship behaviour. The findings offer crucial insights for businesses striving to balance technological advancement with a human-centered workplace.
Making room for creativity and innovation
While GenAI has been known for its ability to study vast amounts of data and extract intuitive insights, it can also act as a springboard for idea generation and creative thinking. Our research shows a 5% increase in participants’ ability to develop sustainable plans and schedules for new ideas – pointing to Copilot’s capacity to support structured thinking.
However, it’s essential to recognise the role of human ingenuity alongside AI. Tools like Copilot for M365 can support the articulation and execution of ideas, as well as an effective starting point for topline ideas. With AI, employees’ overall creativity and innovation score increased by 2% to 82% since last year. To add to this, approval for embracing new ways of working increased from 80% to 89%.
While all this paints an optimistic picture, it’s also important to note that there was a reduced preference in the pilot group when it comes to engaging in tasks that required original thinking. It is clear AI can streamline processes and enhance structured creativity. However, businesses must prioritise developing their employees’ capacity for original thinking to foster a truly innovative workplace.
Openness in workplace communication
Thanks to Copilot, every employee, everywhere, can now become a better communicator. Copilot for M365 integrated into applications like Teams and Outlook can help improve clarity and efficiency in employee interactions. Meeting transcripts and action items provide accurate, accessible records, reducing the potential for miscommunication.
But how has this impacted employee perceptions towards the tool?
Avanade research revealed that before the study began, 72% of employees felt cautious about their communications in anticipation of Copilot being used to transcribe meetings. However, after six weeks of usage, 45% of employees felt less cautious about their communications – representing a significant shift towards more open communication as familiarity with the tool increased.
On the flip side, there was a 5% decrease in the rating of information flow within teams – from 74% at week zero to 69% at closeout of the study – signalling a learning curve as teams adapt to a new way of working. The research also uncovered a small decrease of 3% in overall communication and a 17% decrease in the guarded communication category, indicating early signs of a natural transition from caution to increased openness.
This is why business leaders need to cultivate a culture of experimentation and learning around AI, with a strong focus on prompt training. Recent research by Microsoft and LinkedIn found that only 20% of Australian AI power users receive prompt training, compared to 37% globally. With the right guidance, employees can not only enhance their communication skills but also use intuitive prompts to drive innovative solutions.
Reigning in overall workplace culture
Overall, we’ve seen several positive aspects of Copilot in the workplace. But there’s some work to be done in fostering a better sense of belongingness.
The study found that 85% of respondents felt a sense of accomplishment from their work. Technological adaptability increased to 86%, indicating that the tool may facilitate or encourage technical skills and adaptation to new tools.
When it comes to belongingness, while 85% reported that the sense of camaraderie and support from team members remained steady throughout the study, the average belongingness and team collaboration score decreased by 2%. While this shows that there wasn’t a significant disruption to workplace relationships, the slight decrease does point to the need for more consideration and improvement.
As GenAI becomes more embedded into the workplace, organisations need to understand the dynamics of employee relationships as technology is just one piece of the pie. Building a strong sense of belonging and collaboration requires a multifaceted effort, involving leadership, culture, and engagement strategies.
At Avanade, we’ve found that curated experiences with targeted resources and communications can help power a more people-centric approach to AI adoption. Our research findings reinforce the importance of a pragmatic approach to GenAI adoption in the workplace. While innovation at scale is important, the path to successful GenAI adoption lies in striking the right balance between leveraging technology and preserving the human elements that make workplaces vibrant and innovative.
About the author: Russell Todd is Modern Workplace Solution Area Lead at Avanade in Australia.
