The essence of leadership remains unchanged

“Artificial Intelligence (AI) is the boogeyman of our era. It induces fear through the realm of imagination without any physical being. One should not succumb to the fear of being an unprepared leader in the era of AI. The true cause for concern lies in the fear itself,” said Manfrad F.R. Kets de Vries, a distinguished professor of Leadership Development and Organizational Change at INSEAD, in an interview with the Dong-A Business Review (DBR) under the theme of “Desirable Leadership in the AI era.” He urged individuals not to become obsessed with AI, emphasizing that the fundamental nature of leadership remains unchanged.

While it may appear unconventional, the reassurance offered by the leadership guru to those leaders troubled by concerns of individuals struggling to adapt to the swift technological evolution in the AI era, potentially having a detrimental impact on organizational competitiveness, presents a refreshing perspective. Unlike more common advice advocating for a complete overhaul of leadership and its role to align with the innovative era, Kets de Vries encourages us to embrace a counterintuitive approach. “Leaders showed profound anxiety and fear during the initial developments of telephones, televisions, the Internet, and mobile devices. The sense of anxiety is a fundamental characteristic of leaders, rather than a newly fashioned product of the AI era.”

As the pace of evolution accelerates, numerous business leaders express that they are instinctively threatened by artificial intelligence, which has progressed to the extent of assuming a significant role that C-level executives traditionally executed at the apex of the corporate power hierarchy. During the CES in January, an executive from a conglomerate marveled at the capabilities of AI in formulating business strategies, stating, “Historically, strategic decisions were decisively made by a top-tier decision-maker who was resolute and determined to assert their leadership. If AI assumes this role, the distinctive human values, such as insight, may soon lose their allure.”

Nevertheless, a consensus among eminent scholars in the AI and leadership domain asserts that leaders ought to regard AI not as a mere “substitute” but as a “colleague” and “assistant.” They argue that AI is a tool that facilitates individuals' more proactive approach to developing strategies.

Leaders should center on optimizing “collective ingenuity” by fostering collaboration between human employees and AI. Professor Linda Hill from Harvard Business School said, “Rather than harboring vague fears or passing judgment on AI, leaders should actively engage with AI, experiencing firsthand the opportunities, limitations, and risks it can present. Through this approach, the collaboration between humans and AI can unleash collective intelligence.”

An additional counterintuitive perspective regarding AI is the recognition that a “foolish human colleague” holds as much importance as a “smart AI colleague” during periods of technological innovation. The AI era demands swift decision-making, aligning with rapid technological advancements, making it conducive to being led by an assertive leadership, which may be authoritative. “nonsensical” ideas can act as a buffer with such authoritative leadership.

“Even if ideas sound foolish and ridiculous in the ears of leaders, such senseless expressions must be considered. This form of healthy ‘rudeness’ is essential for cultivating “good leaders. In the AI era, leaders must have a ‘fool’ by their side,” emphasized Kets de Vries, an expert in the psychoanalytic psychology of CEOs.