Why even your best employees work around AI systems that function well

Summary

According to the author, companies are deploying AI systems faster than they are redesigning the governance around them. Many AI systems remain permanent advisers rather than true decision-makers, because organisations do not transfer authority along with responsibility. When employees remain personally accountable for outcomes, bypassing the system is a rational act of self-protection, even if the AI outperforms humans. The author draws parallels with earlier precedents seen with ERP systems, credit scoring and revenue management tools. The issue is becoming more significant with the rise of agentic AI capable of acting autonomously. The author argues that executives need to redesign roles, decision rights, incentives and governance so that responsibility follows authority.

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