AI in leadership: How technology makes managers more human

AI in leadership – manager having a thoughtful conversation with a digital assistant symbolizing human-centered leadership

In our previous article How AI Makes Personal Development More Human, we explored how AI helps HR become not more technical, but more human — not by replacing people, but by supporting them better.

In this follow-up, we take it a step further: what does that mean for leadership? And can AI actually help managers lead with more attention and empathy? Spoiler: it can.

The Changing Role of Leadership in the Age of AI

Leadership has become increasingly complex. Teams work hybrid, new generations have different expectations, employees have shorter attention spans, and the demand for personal growth is rising fast.

It requires leaders who don’t just direct, but also listen. And that’s exactly where AI in leadership can make a real difference.

Leadership experts Rasmus Hougaard and Jacqueline Carter — authors of More Human — conducted extensive research on the impact of AI-powered leadership. Their conclusion is surprisingly positive: AI can actually make leaders more human.

That does require conscious use. Because the question is not if AI will change leadership, but how.

For their book, Hougaard and Carter interviewed hundreds of CEOs, managers, AI experts, and employees from around the world. They discovered that managers who see AI as an enhancer of human qualities — not a replacement — achieve higher engagement, greater trust, and stronger growth.

The so-called AI-augmented leader doesn’t use technology to create distance, but to get closer.

How AI Gives Leaders More Time for What Really Matters

A key insight from their research: AI can free up time for genuine human attention.

Ellyn Shook, Chief Human Resources Officer at Accenture, uses an AI tool that aggregates all employee feedback, results, and goals in minutes. Previously, she would spend 45 minutes preparing and only have 15 minutes left for the meeting itself. Now she has more time for what truly matters — listening, coaching, and reflecting.

At IBM, AI agents are used to automate administrative tasks so that managers can focus on the moments that matter most — the conversations about growth or motivation.

That shift makes all the difference: AI doesn’t take away the human element — it makes space for it.

Early Signal Detection with AI in Leadership

At IKEA, an AI tool helps managers identify early signs of employee turnover. The tool alerts them when someone may be at risk of leaving.

That gives leaders the opportunity to act in time — and potentially prevent a valuable employee from walking out the door.

It’s a clear example of how AI in HR supports leaders in making more human-centered decisions.

The Convenience Trap in AI-Driven Leadership

The downside of AI? It can make things a little too easy. The speed and persuasive nature of technology make it tempting to act on insights without pausing to consider their impact.

That’s why it’s crucial to stay critical: to ask questions, seek other perspectives, and make conscious choices.

AI models are trained to provide answers that align with what they think you want to hear. Relying on that blindly can lead to a lack of nuance and context — exactly where human leadership makes the difference.

Conscious and Human-Centered Leadership in the AI Era

According to Hougaard and Carter, the key doesn’t lie in the technology itself, but in the mindset of the leader.

AI can aggregate data, recognize patterns, and analyze behavior, but only leaders who pause to reflect on their intentions can turn that into something meaningful.

In More Human, they identify three essential leadership qualities: awareness, wisdom, and compassion.

Awareness to see what’s really happening, wisdom to understand what’s needed, and compassion to act with humanity.

AI can strengthen those qualities — but never replace them. It’s up to leaders to use technology as a mirror, not a steering wheel.

The Role of Nela

At Nela, we believe technology only becomes valuable when it helps managers and employees grow.

Our AI assistant helps make feedback and development a natural part of everyday work.

Nela proactively suggests conversations, goals, or feedback rounds, identifies patterns, and translates signals into concrete actions.

That means insights aren’t just collected — they’re actually used.

For leaders, it creates more space for humanity: less time spent organizing, more time for listening, guiding, and developing.

And for teams, it builds a culture where feedback feels natural and valuable, not forced or formal.

👉 Also read: How AI Makes Personal Development More Human

Frequently Asked Questions about AI in Leadership

Q: What do we mean by ‘AI in leadership’?
A:
AI in leadership refers to the conscious use of technology to support leaders in reflection, feedback, and growth. Not to replace people, but to provide insights, free up time, and enable better conversations.

Q: How can AI make leaders more human?
A:
By simplifying practical tasks, AI creates more room for attention and reflection. Leaders spend less time on administration and more time listening, coaching, and developing their people.

Q: What are the risks of AI in leadership?
A:
The biggest pitfall is convenience. Technology can tempt leaders into quick conclusions or overreliance on data. That’s why it’s essential to keep thinking critically and seek multiple perspectives.

Q: How is AI changing the role of managers and leaders?
A:
Leadership is shifting from control to coaching. With AI, leaders can better identify signals from their teams, have timely conversations, and follow development cycles continuously.

Q: How does Nela support leadership?
A:
Nela is the AI assistant that helps leaders make technology more human. It recognizes signals, continuously gathers feedback, and proactively suggests meaningful conversations and goals.