#384: AI, The Secret Weapon for Effective Leadership
It seems to be everywhere and will be soon enough! Can it help or hurt our leadership methods? Here are some of the top reasons to embrace this technology.
"The future is already here — it's just not very evenly distributed." - William Gibson
You’ve been poring over spreadsheets for two hours now and can’t see the answer. You’ve asked your VPs for more information to substantiate this next decision, but the data does not clearly show a course. You’ll have to use your gut again and hope for the best; a decision must be made.
Sound familiar?
As Artificial Intelligence (AI) gains in intelligence and popularity, how will it help you as a leader? AI has the potential to significantly enhance leadership methods in various ways; today, I’m only going to talk about a few of the obvious ways and provide some real-life examples.
Data-Driven Decision Making:
AI can analyze vast amounts of data quickly and accurately, providing leaders with actionable insights. This enables informed decisions based on real-time data, trends, and predictive analytics.
As I have written many times, if you can’t measure it, you can’t improve it. The ability to gather and analyze data from multiple sources at the snap of a finger will provide the much-needed data to make better decisions.
For instance, you are in a manufacturing setting, and your operations director states you are nearing capacity. If you have been collecting data on your maintenance, operations, and quality statistics, you could ask AI to rank the types of machines by manufacturer in your factory by analyzing those three factors. You may find one that is not quite as fast as the others but has significantly better downtime and quality. With these data points, you may make a different decision than your gut may have led you to. Your instinct may have pushed you towards the faster machine thinking about productivity, but in the end quality and downtime provide you a higher yield. AI may recommend allocating different products to different machines, so you do not need a new machine.
Using AI for this example will help improve the decision-making processes using data. AI can provide leaders with various scenarios and outcomes, helping them to evaluate different options and choose the best course of action.
Enhanced Communication:
AI-powered tools can facilitate better communication within organizations. For example, natural language processing (NLP) can analyze communication patterns and provide insights into improving team interactions and resolving conflicts.
Let’s say you tend to be straightforward and not use as much tact as you could. You may ask the AI assistant to rewrite an email with a softer, gentler tone. As a DISC consultant, my recommendation when you aren’t sure what personality profile the receiver will have is to target an S. AI can do that for you.
For example, you want to write a company-wide memo providing negative information. As a High D (DISC), you want to write:
“Employees, as you know we have lost money in Department D for three quarters in a row. It is up to all of you to get this straightened out, or many of you will lose your job.”
This is an actual ChatGPT re-write of that statement:
"Dear Team,
We understand that Department D has faced some financial challenges over the past three quarters. Your dedication and teamwork are crucial as we work together to improve this situation. We deeply value each one of you and believe that, with our collective effort, we can turn things around and secure a positive future for everyone.
Thank you for your continued hard work and commitment."
Was this re-write worth the 18 seconds it took to copy, paste, and ask ChatGPT to re-write it? The D’s that are reading this will say no, but the 97% of you that aren’t D’s will say absolutely.
If you don’t know what DISC is, connect with me in a quick meetup on ZOOM.
Predictive Analytics:
AI can forecast potential challenges and opportunities, helping leaders to anticipate and prepare for future scenarios. This proactive approach can lead to better strategic planning and risk management.
Imagine a major retail chain using AI to manage its business. The AI would dive into a wealth of data—from sales numbers and customer reviews to social media trends and economic forecasts—and use this information to spot patterns and predict future scenarios.
For example, the AI might foresee an upcoming shortage of popular products because it detects a surge in demand. This means the management team gets a heads-up to boost inventory and tweak supply chain plans ahead of time. It might also notice that customers are shifting towards more sustainable products, and it suggests phasing out less eco-friendly items to align with this trend.
On the flip side, AI can uncover new opportunities, too. It could identify emerging markets where consumers are starting to spend more, giving the company a nudge to consider expanding into those areas. Analyzing past promotional efforts and current shopping behaviors can recommend which types of discounts and advertising will likely hit the mark in the next season.
By tapping into AI’s predictive powers, the retail chain can stay ahead of potential challenges and seize new opportunities, leading to smarter strategic planning and better risk management.
Automating Routine Tasks:
By automating repetitive administrative tasks, AI allows leaders to focus more on strategic and creative aspects of their roles. This can lead to increased efficiency and productivity within the organization.
For instance, imagine a CEO who no longer has to spend hours sorting emails and managing calendar invites. With those tasks automated, they can channel their energy into crafting innovative strategies and leading high-impact projects. The result? The organization runs smoother and achieves more, thanks to its leaders' extra focus and creativity.
Enhancing Employee Engagement:
AI can monitor employee sentiment and engagement levels through analysis of communication and feedback. Leaders can use this information to address concerns promptly and create a more positive work environment.
Imagine a company using AI to monitor employee moods and engagement. The AI would analyze data from various sources, such as emails, chat messages, and employee surveys, to gauge overall sentiment.
For example, let’s say the AI picks up on a trend where employees in one department frequently express frustration or dissatisfaction in their messages. The system alerts the HR team or managers about these signals. With this early warning, leaders can investigate the situation more closely—perhaps discovering that there’s been a communication breakdown or a recent change in team structure that's causing frustration.
Armed with this information, the company can proactively address the issues. They might organize a team meeting to discuss concerns, improve communication channels, or offer additional support and resources. By promptly addressing these concerns, the company can create a more positive work environment, helping employees feel valued and engaged.
Artificial Intelligence has the potential to transform leadership by enhancing decision-making, improving communication, and boosting organizational efficiency. By leveraging AI’s capabilities in data analysis, predictive analytics, and automation, leaders can make more informed choices, address employee concerns proactively, and focus on strategic initiatives. As AI continues to evolve, its ability to provide actionable insights and streamline administrative tasks will become increasingly valuable, enabling leaders to navigate challenges more precisely and foster a more engaged and productive workforce. Embracing these advancements will refine leadership practices and drive organizations' overall success and growth.
I would love to hear how you are using AI today. Feel free to comment below!