Change is no longer just constant. It’s accelerating.
The good news? AI shouldn’t replace the human side of transformation. It’s here to amplify it. Picture a workplace where:
- change fatigue is identified before it turns into burnout.
- training dynamically adjusts to everyone’s learning style.
- leaders gain real-time insights into how their teams are feeling, not just how they are performing.
The pressure for businesses to evolve is unrelenting, driven by the speed of digital disruption, competition, shifting employee expectations and economic uncertainty. And within this environment, AI is a powerful collaborator—scanning the horizon, surfacing insights, and supporting leaders.
Gate One’s Silvia Barrero recently caught up with Chris Harvey, Head of Change Management at Tesco, and together they’ve explored how AI is reshaping change management, what it means for organisations and their people, and how leaders can move forward with empathy, agility and purpose.
The AI-augmented workforce: your new reality
Across all industries, AI is now embedded in daily workflows, analysing data, generating insights and automating routine tasks. But this shift isn’t about replacing people—it’s about empowering them. We’ve entered an era of hybrid teams, where humans and AI are collaborating to unlock new levels of performance, creativity and impact.
Goldman Sachs estimates that generative AI could boost labour productivity in developed markets by around 15%1, while OECD research suggests annual gains of 0.4 to 0.9% over the next decade (depending on adoption and sector exposure).2
In the context of change management, this translates into faster diagnostics, personalised support and continuous adaptation. AI can instantly assess organisational readiness, identify resistance hotspots and surface hidden patterns in employee sentiment. It can tailor communications, engagement and training, making change feel more like a conversation than a command. And it enables real-time course correction, so strategies can evolve as the business does.
What does this mean? Our recent research on successful transformations found that over 50% of C-suite leaders define transformation as continuous improvement at scale or incremental change to enhance performance. Transformation is no longer a one-off event… it’s constant, intelligent and human.
Leading through change
AI is a digital tool. Yet the most significant shifts it brings are actually cultural. It’s redefining what it means to lead.
From command to co-creation
Leaders are now orchestrators of human and machine intelligence. Their role is to foster collaboration between people and AI, aligning both towards shared goals.
From control to curiosity
AI delivers insights, but it’s up to leaders to ask the right questions. The most effective leaders will be curious, data-literate and open to challenging their assumptions.
From efficiency to empathy
AI spots stress and burnout—human leaders respond with empathy. Emotional intelligence is just as critical as technical fluency.
What can you gain? Precision, empathy and agility at scale
1. Precision at scale
AI uncovers patterns and insights that traditional methods often miss. It enables targeted interventions and faster, data-driven decisions. Tools like WalkMe and AI-driven content engines personalise learning experiences based on roles, learning styles and progress, making change intuitive and meaningful. AI can also power micro-targeted, omni-channel campaigns that deliver the right message to the right person at the right time, supporting engagement across diverse employee groups.
2. Empathy at scale
Change is personal. AI tools, especially those using natural language processing, analyse employee feedback to detect sentiment, stress and engagement. This gives leaders a real-time pulse on how people are feeling, enabling compassionate responses quickly. Generative AI enhances communication further with interactive, visual content, and real-time sentiment analysis ensures messaging is emotionally intelligent, inclusive and aligned.
3. Agility at scale
AI supports organisations to adapt with confidence and energy. With real-time scenario modelling, predictive analytics and ongoing feedback loops, change becomes a dynamic journey rather than a slow, uncertain process. Whether exploring the impact of a new hybrid work policy or uncovering where teams need extra support during major rollouts, AI gives leaders the clarity to act swiftly and thoughtfully. Intuitive dashboards offer live insights into adoption, sentiment and communication effectiveness, making it easier than ever to encourage engagement, celebrate progress and adjust course together as needs evolve.
AI-powered change management isn’t just faster, it’s smarter. By combining analytical precision, emotional intelligence and operational agility, organisations can lead change with confidence and turn disruption into a strategic advantage.
As Forbes puts it, “AI is enabling a more agile, responsive, and human-centred approach to transformation.”3
Human skills are needed to thrive
As AI becomes deeply embedded in daily workflows, the skills needed to succeed are evolving quickly. This transformation isn’t just about technical expertise. It’s about building a workforce that can collaborate with intelligent systems, adapt continuously and lead with empathy.
1. Digital fluency for all
According to Gartner, 85% of business leaders believe the demand for skills development will surge as AI and digital technologies reshape work.4 Digital upskilling is no longer the domain of IT teams. Every employee, from frontline staff to senior executives, must build AI and data literacy and develop proficiency with digital tools to remain competitive.
2. Human-AI collaboration
The World Economic Forum highlights a growing need for skills in managing AI agents or “digital workers.5 This includes prompting AI effectively, interpreting outputs and coordinating multi-agent systems. Leaders will be measured not just on team performance, but on how well they manage hybrid human-AI teams.
3. Curiosity and critical thinking
AI provides insights, but humans must ask the right questions. Skills like analytical thinking, problem-solving and intellectual curiosity are essential to challenge assumptions and guide AI-driven decisions.
4. Emotional intelligence and empathy
As AI detects stress and disengagement, human leaders must respond with compassion. Soft skills, like empathy, active listening and inclusive communication, are more important than ever in building trust and psychological safety in your teams.6
5. Adaptability and continuous learning
As digital and AI trends continue to disrupt work, 93% of business leaders agree their role is to ensure the workforce has the time and resources to learn continuously. Learning produces the skills critical for adapting to change and executing a competitive strategy.4
In summary, this new era with AI front and centre demands a blend of technical fluency, human insight and adaptability. Organisations that invest in these skills will not only future-proof their workforce, but they will also unlock the full potential of human-AI collaboration.
”How you deploy change needs to be at least as innovative as what you are deploying. The more cutting-edge and innovative your change, the greater the opportunity to push the limits of the art of possible change management. Too often we limit ourselves to a templated version of ‘how we did it last time.’ I encourage you to step back before putting pen to paper on plans. Start with true blue sky thinking; on one side of the fence, you have your change objective(s) and on the other, you have your audience.
Ask yourself, what levers and technology do you have at your disposal across all areas of your change impact assessment remediation requirements? Assess your learning, engagement, readiness, cultural and Organisation Design needs, and ask yourself, how would a user experience (UX) designer approach this challenge? How might the user interface appear?
As a change manager, you are the UX designer for your audience’s experience of this change. Put the user, not the change, at the centre of your planning. Start thinking more like a UX designer and less like a change manager and your design and interaction of digital products will drastically open up.
Chris HarveyHead of Change Management at Tesco
The human opportunity to redefine leadership and culture
Despite the hype, AI is not a silver bullet. It reflects the values of those who design and deploy it. So, what does a successful change programme prioritise?
- Put people first: technology should serve human needs, not the other way around.
- Build trust: transparency, explainability and ethical use of AI are essential.
- Empower leaders: tools are only as effective as the leaders who use them.
You must invest not only in AI tools, but in leadership development, digital fluency and cultural readiness. The future belongs to organisations that can blend the best of human and machine.
A more human future
The AI revolution in change management is not optional, it’s already happening. But it doesn’t mean losing the human touch. It’s an opportunity to lead with more empathy, insight and impact.
For leaders, this is a call to action.
- Embrace AI not just as a tool, but as a partner.
- Lead change not just with strategy, but with heart.
- Build organisations where people and AI thrive, together.
Because in the end, the future of work isn’t just about technology. It’s about people. And the best change leaders will be those who never forget that.
Head of Change Management, Tesco
Are you ready to ensure your people are set up thrive in an AI-powered world?
Get in touch to find out how we can help you shape a more human future.
