How AI is Reshaping Work While Reinforcing the Need for Leadership, Empathy, and Creativity The adoption of AI is not just a technological shift, it requires a cultural transformation—many organisations struggle with how to integrate AI tools while preserving human skills and creativity

While AI can process vast amounts of data and automate repetitive tasks, leadership and decision-making still rely heavily on human intuition, ethics, and emotional intelligence.

However, Milind Korgaonkar, CIO & CDO Bajaj Electricals believes that AI is not here to replace leadership but to enhance it. "AI is augmenting leadership rather than replacing it. You still need core leadership skills, but AI can assist by analysing data, identifying patterns, and providing insights. However, the human connection—especially in leadership and emotional intelligence—remains irreplaceable," he said.

Adding to this, Priyank Kapadia, Field CTO, Data & AI, Bounteous x Accolite suggested executives and managers must evolve their skill sets to effectively integrate AI into decision-making processes while maintaining a strong human touch. "At the end of the day, good design leads to good business," he emphasised.

Empathy: the human edge over AI

Saikat Guha, researcher, Microsoft Research India explained why AI will struggle to replicate authentic human interactions: "We've all had frustrating customer service experiences where we feel like we're talking to a machine. Soon, we actually will be talking to AI-powered agents. While AI can simulate empathy, real human connection—built on shared experiences and emotions—remains irreplaceable."

The balance between AI and human skills

The adoption of AI is not just a technological shift—it requires a cultural transformation. Many organisations struggle with how to integrate AI tools while preserving human skills and creativity.

Korgaonkar shared insights into how the company is upskilling employees to work alongside AI: "We have undergone a digital transformation in recent years. While technology and strategy were relatively easy to implement, the real challenge was cultural change. Training and upskilling our workforce has been crucial. For instance, our sales teams now use AI-driven insights to enhance their interactions with retailers. However, human judgment and relationship-building remain central to success."

Similarly, in AI-first organisations, productivity gains are evident. Kapadia noted that AI is transforming workflows by reducing time-to-market for new products. "AI is making product development cycles more efficient, what used to take months can now be accomplished in weeks," he said.

The ethical challenges of AI

With the increasing use of AI in decision-making, ethical concerns around bias, transparency, and data privacy are gaining prominence. Milind Korgaonkar addressed the issue of bias in AI-driven recruitment, "AI can introduce biases if not designed carefully. For instance, when we use AI for resume screening, we ensure that the system ignores factors like gender, age, and location—attributes that can introduce unconscious bias. Ethical AI means making intentional efforts to ensure fairness and inclusivity," he noted.

Beyond hiring, AI also presents challenges related to misinformation and hallucinations. Kapadia urged for the strong AI guardrails,"AI models can sometimes generate misleading or incorrect outputs. We need to establish strict ethical guidelines to prevent AI from hallucinating information. Setting up responsible AI frameworks within organizations is not just about compliance—it's about building trust," he added.

Another critical issue raised was attribution and intellectual property. Guha explained,"When students used Wikipedia for research, they could cite their sources. But with AI-generated content, there's no clear way to credit the original creators. If we don't address this, we risk devaluing human-generated knowledge while training AI on AI-generated data, creating a dangerous feedback loop."

The future of human-machine collaboration

Kapadia predicted a future where employees will bring their own AI agents to work, necessitating new organisational structures,"Companies are shifting towards agent-based ecosystems, where AI agents handle specific workflows. Soon, employees might have personal AI agents integrated into their daily tasks, making workplaces more efficient and intelligent," he believes.

On the other hand, Saiket Guha emphasised the need for intuitive AI interfaces to facilitate seamless human-AI collaboration,"Just as the invention of the mouse enabled graphical user interfaces, we need intuitive tools that allow humans to interact with AI effectively. The challenge is designing AI interfaces that foster collaboration rather than automation-driven isolation," he noted.

Speakers shared insights at the BIZ Experiences Tech & Innovation summit 2025.