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Chapter 4

AI changes work. People make the change work.

Technology alone will never create adaptability. Every AI investment ultimately succeeds or fails through the people expected to work differently.


Change generates anxiety, and trust is what makes adaptation possible. Psychological safety and resilience are becoming operating requirements rather than cultural aspirations.

Organisations are recruiting for potential rather than history, and treating wellbeing as a performance lever rather than a benefit.

No single lever improves productivity on its own

Changes made in the past 24 months to improve productivity

Increased AI and automation
53%
Redesigned workflows
45%
Introduced new performance metrics
42%
Launched new employee wellbeing initiatives
41%
Added new compensation or bonuses
41%
Shifted to outcomes-based KPIs
40%
Reduced management layers
37%
Changes made in the past 24 months to improve productivity
ItemShare of executives
Increased AI and automation53%
Redesigned workflows45%
Introduced new performance metrics42%
Launched new employee wellbeing initiatives41%
Added new compensation or bonuses41%
Shifted to outcomes-based KPIs40%
Reduced management layers37%

Increasing AI and automation is the most common change at 53%. Every other lever sits between 37% and 45%, which suggests organisations are combining multiple initiatives rather than relying on a single one.


What the Workforce Adaptability Leaders do differently

The Leaders are taking a more proactive approach to helping people adapt. They focus more on employees' wellbeing and development.

What the Leaders do differently on people

Workforce Adaptability Leaders compared with everyone else

Everyone elseWorkforce Adaptability Leaders
Launched new employee wellbeing initiatives39%60%
Introduced new performance metrics41%53%
Workforce Adaptability Leaders compared with everyone else
MeasureEveryone elseLeadersDifference
Launched new employee wellbeing initiatives39%60%+21
Introduced new performance metrics41%53%+12

60% of Workforce Adaptability Leaders have launched new employee wellbeing initiatives, against 39% of everyone else — the widest gap in the study. 53% have introduced new performance metrics, against 41%.


Turn adaptability into performance

What needs to change for workforce adaptability to translate into sustainable business performance?

Executive perspectives · 1:25


What to do now

  1. Recruit and promote for potential, learning agility and comfort with complexity, not just past experience.

  2. Build trust by communicating clearly how roles are changing and how people will be supported to adapt.

  3. Create career pathways that support lateral movement, reskilling and internal mobility, not only promotion.

  4. Equip managers to lead through uncertainty, building psychological safety and confidence in change.