ManagementSecurity & Business Resilience

Mid-market organizations say AI can replace workers, expert disagrees

A recent report from Avanade shows five out of six mid-market decision makers believe AI can replace human workers. The report reveals that many mid-market organizations see AI as an investment with a fourfold return within just 12 months.

With only one-third of respondents feeling very confident their leaders could distinguish between AI-generated work and human work, 78% of respondents express concern that AI may overshadow human contributions. This devaluation of human input could potentially lower morale among workers and create a rift between employees and leaders.

Florin Rotar, Chief AI Officer at Avanade, offers another perspective to mid-market organizations.

“AI presents incredible opportunities for organizations but it’s more than a tech upgrade; it’s a transformative shift in workplace dynamics and raises vital questions about the future of work and the role of the workforce,” states Rotar. “Our data shows that the mid-market must confront these questions directly or risk alienating the very employees who drive their success. AI should enhance, not replace, human potential — employees should be seen as collaborators with AI, not mere tool users. Integrating AI thoughtfully, with people at the center, will be crucial for sustainable business value and will set the standard for success in the AI era.”

Key findings from the report include:

Only 40% of respondents express confidence in their leaders’ abilities to address the social impacts of AI.
84% view AI as a cost-saving tool.
85% are concerned about whether or not employees are sufficiently informed and involved with AI-driven decisions.

KEYWORDS: artificial intelligence (AI)