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Chris Barry is the president of Microsoft Canada

Artificial intelligence is rapidly transforming the workplace, offering businesses unprecedented opportunities to boost productivity and foster innovation. In Canada, AI adoption is accelerating, with nearly one in four workers in certain industries already incorporating AI into their daily tasks, according to Statistics Canada. To unlock the full potential of this technology, leaders need to champion a company culture that supports upskilling and responsible AI adoption. The organizations that thrive in this AI-driven era will be those that prioritize trust, engagement and adaptability, empowering their people to grow alongside these new technologies.

Why company culture is key to AI success

AI is quickly becoming integral to how work gets done. According to Microsoft’s 2024 Work Trend Index, 90 per cent of knowledge workers say AI helps them save time, focus on their most important work (85 per cent), be more creative (84 per cent) and over all enjoy work more (83 per cent). Yet, many employees still feel unprepared for AI’s impact, highlighting a skills gap. As companies integrate AI, the challenge will be ensuring employees have the skills and confidence to use it effectively. This is where company culture plays a pivotal role.

It’s not just about the technology; it’s about how people interact with it. Our recent study conducted by Accenture found that Generative AI could save workers 125 hours per year, which equals a half-hour saved each workday. But simply offering AI tools isn’t enough – employees must feel empowered to explore their potential. Leaders who foster a culture of trust, transparency and continuous learning will be better positioned to unlock AI’s benefits.

Evolving leadership to meet AI’s challenges

Navigating these changes requires an evolution in leadership. It’s clear AI presents a transformative opportunity to enhance productivity; but it also challenges leaders to rethink how they support and guide their teams.

The federal government recognizes both the challenges and opportunities presented by AI. Earlier this year, the Government of Canada announced a $2.4-billion funding package designed to boost jobs in Canada’s AI sector, one of the first AI-focused national strategies in the world. This level of investment creates a strong foundation for leaders to champion AI and empower their teams to embrace it. Leaders must create environments that encourage experimentation and collaboration. When teams feel empowered to explore AI’s possibilities, they are more likely to innovate.

Building trust and engagement around AI

For organizations to thrive in the AI era, trust and engagement are key. Microsoft’s research shows that companies fostering a culture of learning and openness are more likely to see productivity gains from AI. That said, our research also revealed that nearly 60 per cent of business leaders worry their organizations lack a clear vision for AI implementation. Without a well-communicated implementation strategy, businesses risk underutilizing AI’s potential. A culture of trust, where employees feel informed and involved in AI decisions, is key to overcoming this.

Preparing for the future with a people-first AI strategy

The future of AI in the workplace is not just about implementing new technologies. It’s about creating the right environment for them to succeed. To capitalize on AI’s $4.4-trillion global opportunity, organizations must adopt a people-first approach. At Microsoft, we’ve seen firsthand that companies which thrive in this space have integrated AI into their culture and prioritize continuous learning and open communication. The organizations that will lead in the AI era will empower their employees through upskilling, collaboration and experimentation, bringing their people along for the journey.

This column is part of Globe Careers’ Leadership Lab series, where executives and experts share their views and advice about the world of work. Find all Leadership Lab stories at tgam.ca/leadershiplab and guidelines for how to contribute to the column here.

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