by Michael R. Wade Published July 16, 2026 in Brain Circuits • 3 min read
While younger employees may be “digitally native,” leadership has the advantage of understanding the context of the implementation of technology within the organization. This was borne out by a recent study we conducted with pharmaceutical giant Novo Nordisk, which showed that senior members of the organization derived greater benefit from their use of AI than their junior colleagues.
AI – particularly GenAI – enables businesses to improve the quality of output at all organizational levels. Senior leaders have the experience and honed judgment to evaluate AI-generated suggestions and to direct the implementation of the strongest ones.
Personalized coaching and support is another AI-enabled opportunity for executives. AI can elevate learning and development support to new levels; for example, by giving executives AI “sidekicks” to act as a personal, always-available (and never-complaining!) assistant.
AI can also help deliver value in the HR domain. HR departments are already using AI to streamline recruitment processes, but this can be extended to help optimize talent management throughout the business.
There is much to be excited about, but increased executive use of AI also exposes organizations to new risks. “Cognitive offloading” – whereby humans lose foundational skills when they repeatedly let technology take over – is a major concern. Even when AI is available, executives must preserve and exercise their analytical skills, their ability to innovate, and their capacity to work empathetically with colleagues.
GenAI is far from a perfect solution. Problems around bias and hallucination are well-documented. GenAI applications tend to try to please their masters – to the point of inventing answers where none exist. Senior leaders must work with IT teams to ensure that GenAI challenges prejudices and conventional thinking, rather than reinforcing them.
Like other senior leaders, CHROs must pay close attention to the regulatory environment evolving around AI. At the global level, the landscape is highly fragmented. The EU’s AI Act, for example, designates the use of AI for hiring and promotion as “high-risk.” Organizations operating in the European market should be aware of such sensitivities to avoid falling foul of regulatory divergence.
While senior AI users might need some support in keeping up with the technical expertise of their younger colleagues, they have the priceless assets of experience and perspective. These will help them envision how these exciting new tools can best be implemented to transform the business.
Introducing AI to the C-suite: Three opportunities, three risks
AI and the CIO: From Chief Information Officer to Chief Intelligence Officer
Tool up: How to use AI as your personal thought-leadership partner
What senior leaders want to know about AI
Professor of Strategy and Digital
Michael R Wade is Professor of Strategy and Digital at IMD and Director of the Global Center for Digital and AI Transformation. He directs a number of open programs such as Leading Digital and AI Transformation, Digital Transformation for Boards, Leading Digital Execution, Digital Transformation Sprint, Digital Transformation in Practice, Business Creativity and Innovation Sprint. He has written 10 books, hundreds of articles, and hosted popular management podcasts including Mike & Amit Talk Tech. In 2021, he was inducted into the Swiss Digital Shapers Hall of Fame.
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