VIEW POINT

ORGANIZATION CHANGE
MANAGEMENT TO BUILD AN
AI-POWERED ORGANIZATION

Abstract
AI Business adoption is still emerging and lots of questions arise on
how to approach AI & automation programs in terms of governance,
employee engagement, people reskilling, etc.
Onboarding Executives, preparing Managers for tomorrow’s
management practices, developing organizational flexibility and
actively involve employees in building the AI-powered enterprise
will be key to reap the full benefits of AI investment.
 Based on pioneers and our client
Across industries, AI is producing strategic advantages: experience at Infosys, we believe
45% in developing and implementing a
40%
38% 38% holistic AI strategy driven by a strong
31% 31%
Organization Change Management
approach:

Improved process performance Productivity gains related to fewer staff

1. Onboard Executives and prepare
needed to accomplish analogous tasks
Productivity gains due to IT time New or increased market share
Managers for tomorrow’s management
spent on higher-value work
practices
Improved compliance, security and risk Improved employee retention
management
2. Actively involve employees in building
Source: Infosys AI Maturity Index study (November 2016)
the AI-powered enterprise
The AI opportunity is undeniable. By 2020, However, there is a long way to go as only 3. Redefine jobs and develop
companies expect to see AI contributing 10% believe that their organization is
organizational flexibility
to a 39% average increase in revenue, fully maximizing the benefits of AI today.
as highlighted in market research Business adoption is still emerging and For each building block, we have
commissioned by Infosys 1. In this study, a multitude of questions arise on how
developed our views at project level (the
64% respondents also stated that their to approach AI & automation programs
organization’s future growth is dependent in terms of governance, employee AI initiative) and at organization level
on large-scale AI adoption. engagement, people reskilling, etc. (large scale adoption).

1.ONBOARD EXECUTIVES At AI-initiative level: We foresee 2 main challenges for

At the Manager level, creative thinking and Executives:
AND PREPARE MANAGERS experimentation will be key skills. It will be
FOR TOMORROW’S critical to adopt a Design Thinking mindset 1. Understand the specifics of an AI
MANAGEMENT PRACTICES to manage initiatives with AI. We highly transformation and how the machine
to foster “augmented recommend that managers experiment can help amplify human potential by
with Design Thinking for tangible complementing the other’s strengths
leadership” initiatives, so as to embed it into the daily while ensuring the right balance
Impacts of AI on Managers should not be practices of their teams through tools like
between ethics and development.
dismissed. Not only will managers will have user journeys, personas, etc.
2. Anticipate AI impacts along various
to adapt but they will also have to pave the At organization level: dimensions along various dimensions:
way for AI adoption by providing direction, First, leadership needs to become an process, tools, culture, and governance
guidance and ethical arbitrage. advocate for an AI-powered organization. model.
1
Source: AI Maturity Index study polling 1600 IT and Business Decision Makers across seven countries (USA, France, Australia, India, UK, Germany, and China) in November 2016.

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Regarding Managers, many of their control and coordination tasks, which typically take up to 50% of their time, will be automated by AI.
Organizations need to prepare for this change of role, to accompany and train Managers on this path through dedicated training programs
– “Leader Designer” and “Augmented Manager”. Researchers start investigating related new management practices as detailed in below
illustration:

Top 4 new management practices for the “augmented manager”

Managers will rely on AI Managers will need to Managers must develop Managers must be able
to search insights, to develop critical thinking social and networking to bring integrated,
explore scenarios and to and use empathy, ethical skills to bring together workable, and appealing
assess decision reflection for business diverse experience and solutions to life
consequences decisions and practices insights

PRACTICE #1 PRACTICE #2 PRACTICE #3 PRACTICE #4

Treat AI as an assistant Focus on judgment Coach and foster Work like a designer
and adviser work collaboration

Source: inspired from HBR article “How artificial intelligence will redefine management”

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 2.ACTIVELY INVOLVE A scenario-based approach would allow: recast their training approach as a holistic,
continuous and lifelong process of learning.
EMPLOYEES in building the • Investigation into which scenario has
AI-powered enterprise: the greatest benefits, e.g. when human 3.REDEFINE JOBS AND
expertise is absent or when a problem DEVELOP ORGANIZATIONAL
Engaging early with employees is often is too large for human reasoning FLEXIBILITY to enable new
a best practice in Organization Change capabilities
forms of collaboration
Management. This is becoming key in AI • Testing and learning through Proofs of
AI & automation will deeply reshape
and automation initiatives. Indeed the use Concepts and Pilots.
the enterprise architecture, and hence
cases and operating models are still at an At organization level: the operating models. Companies need
early stage and trigger many questions, to develop corporate’s resilience and
Being an actor in one’s future job is another
concerns, and sometimes fears among great way to engage employees in the responsiveness through organizational
employees. AI transformation. Likewise “Fab Labs” flexibility to optimize their AI investments.
have opened so that everybody can test,
At AI-initiative level: At AI-initiative level:
prototype and learn, opening “Work Labs”
in companies can facilitate the transition. Organizational impacts need to be assessed
Adopting a scenario-based approach
where the project team interacts with throughout the initiative. It will notably
employees as soon as the project starts, These ‘Work Lab’ should be widely open help anticipate the roles to be reconfigured
can help build employees’ confidence and include ‘company outsider’, to enable and/or created to manage intelligent
and ease their interaction with machines. employees to pause, brainstorm and reflect technologies. For example, MIT Study
This is especially important in the early on their future roles in an AI-powered identified three new categories of AI-driven
stages, where coordinating work and organization. They should be able to business and technology jobs: trainers,
communications with machines is often build their future job and to define their explainers, and sustainers as detailed in
cited as one of the biggest challenges. own reskilling path. Companies should below illustration.

3 new roles created by AI

TRAINER EXPLAINER SUSTAINER

to teach AI systems how they to bridge the gap between to ensure that AI systems
should perform technologists & business leaders are operating as designed

Source: Illustration based on “The Jobs That Artificial Intelligence Will Create” article from MITSloan Management Review (2017)

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 At organization level:

Towards organizations AI is inherently interdisciplinary:

business analyst frames the business
case, computer scientist understands
machine learning, etc.

Therefore AI-driven architecture

models lead enterprises to rethink
organizational design to develop
non-hierarchical organization. In
Business leader Employees across departments this type of organization, employees
sharing AI volunteering to work on it as a collaborate across functions and are
initiative cross-functional team easily (re)deployed to solve issues,
experiment, iterate, and bring new
EXAMPLE: self-forming teams solutions on the market.

The Way Forward

As the big picture of tomorrow’s workplace is taking shape – organic organization in which employees with cross-functional skills work in
tandem with intelligent machines – it is urgent to build the foundations for this new environment. Start building AI awareness across all
levels of the company, do not wait for the market to overtake you:
• Develop a Vision for AI which makes sense for your Leadership, Managers, Employees and Clients

• Revisit the operating models and define global AI governance

• Appoint a Chief Value Officer and/or committee to take ethical considerations in priority in AI development

• Adapt your HR plan and recruitment strategy to spot internally or externally the Talents you need for your next AI move.

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 About Infosys Ltd
Infosys is a global leader in consulting,
technology, and outsourcing and next-
generation services. We enable clients,
in more than 50 countries, to stay a step
ahead of emerging business trends and
outperform the competition. We help them
transform and thrive in a changing world
by co-creating breakthrough solutions that
combine strategic insights and execution
excellence.

Visit www.infosys.com to see how Infosys

(NYSE: INFY), with US$ 9.2 billion in LTM
revenues and 200,000+ employees, is
helping enterprises renew themselves
while also creating new avenues to
generate value.

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About the Authors

Emmanuelle Blons, nce Practice, Financial Services Domain Consulting Group, Infosys
Associate Vice-President

Emmanuelle is Associate Vice-President in Organization Change Management, based in Paris. She brings
20 years of experience at the forefront Change Management and HR. She specializes in Organizational
Transformation, Transition Management and people challenges linked to outsourcing for large scale programs.
She is the co-author of ‘Best Practice of Consulting’ edited in 2014 (Dunod).
[email protected]

Frédéric Beynel, nce Practice, Financial Services Domain Consulting Group, Infosys
Industry Principal

Frédéric is Industry Principal in Organization Change Management, based in Paris. With 16 years of experience
at the forefront of IT projects, he has proven experience leading large scale ERP implementation and Agile
change management programs.
[email protected]

Emilie Labidoire, nce Practice, Financial Services Domain Consulting Group, Infosys
Principal

Emilie is Principal in Organization Change Management & Open Innovation, based in Paris. She has over 15
years of experience delivering Transformation projects for clients in Europe. She is currently exploring how to
prepare organizations to benefit from AI and automation.
[email protected]

Contributor

Hemang Naik,
Client Solution Head

Hemang heads presales for AI & Automation Services in Infosys, based in Pune, India. He brings close to 19
years of IT experience. And has experience on leading large Data and analytics programs. In his current role
Hemang has gained extensive knowledge in different AI & Automation products.
[email protected]

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For more information, contact [email protected]

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