Robotics, automation and artificial intelligence have the powerto transform the workplace for all those employed, including seniormanagement. Today everyone, especially senior leaders, mustunderstand this challenge, stay ahead of it and create conditionsto benefit from it. This is a sea change comparable to theindustrial and agricultural revolutions in scope and effect. Forthose in the workforce, like past societal transformations, thedigital/tech revolution involves disruption and displacement, andnew ways and types of working.

Using U.S. Bureau of Labor Statistics and OccupationalInformation Network (O*Net) data, McKinsey Global Instituteanalyzed automation's potential workplace effect by examining morethan 2,000 activities performed in more than 800 occupations. MGIquantified the time spent on specific activities and estimated thefeasibility of automating them. Automation potential depends ontechnical feasibility, costs to automate relative to human wages,the availability of the skills that automation may replace, andconsideration of social acceptance and regulation.

MGI's intriguing results tell an important story about thechange that senior management and the employees themselves mustlook for, manage and guide. MGI found that current technologyallows for full automation of less than 5% of jobs, but almostevery occupation faces some automation. The most automatable workinvolves data collection and processing, along with physicalactivities, particularly those found in predictable, highlystructured environments. These types of automatable activitiesrepresent 51% of work time in the U.S., valued at approximately$2.7 trillion in wages. Low-skilled work is clearly affected, butso is work at all pay and skill levels. In fact, for those withannual incomes exceeding $200,000, 31% of their work time involvesautomatable tasks, usually data related.

We should expect continuous advancement rather than an economictsunami, as more human work integrates technology. Obviously,employment costs will decline in many instances. Falling demand forunskilled workers, however, means rising demand for expertiseneeded to implement and manage technology. Many organizations willfind the primary benefit of automation will not be from reducedlabor costs, but from higher quality output and safety.Additionally, increases in productivity could provide more time forimproved interactions with customers and other stakeholders. What'smore, the skill of the labor force in general must increase throughbetter education. Management and education themselves have a lowpotential for automation. Both the organizationand those it serves can benefit, as examples in financial services,retail and healthcare show. MGI estimates that mortgage brokersspend as much as 90% of their time processing applications. Currenttechnology could reduce that time to about 60%, providing moreopportunity for quality interaction with clients. Retail salesclerks' activities have 47% automation potential. However, qualityinteractions that bring value to the customer require judgment, andcognitive and social skills that cannot be automated. Forradiologists, algorithms can improve diagnoses, and technology likeIBM's Watson AI platform is increasingly deployed to help. But,especially with as sensitive an area as oncology, patientinteraction still requires the human touch. People want people whenfaced with health decisions.

As countless other examples show, software, digital assistantsand automation permeate increasing areas of daily work activities.Jobs are redefined, career paths veer from the expected and socialcontracts change, not only within the organization, but in societyas a whole.

To face this sea change requires a high-performingorganizational culture committed to learning. The CEO and theC-suite team need to understand the challenge, set the tone andcommit the resources to manage the change and develop their people.Senior leaders must create alignment on goals and direction, evenwhile incessant change from technology forces evolution in goalsand direction. Learning is key. Moreover, the management and talentdevelopment capability that the organization needs areexceptionally difficult to automate (9% potential).

The individual employees themselves must commit to learning togain a framework to comprehend and prepare for change thattechnology brings, especially related to the consequences forthemselves and their work. Some critical areas for development alsohave low automation potential: Decision-making, planning,creativity and innovation (18%). Learning that integrates thesequalities with specific automation related skills, increasesengagement and proactively prepares the individual and theorganization for change.

We all need to be more flexible. We must continually reinventourselves to stay in the driver's seat or else the unrelentingadvance of technology will surely drive us, possibly to anunwelcome destination. We need courage to step back, self-assess,listen to feedback and be brutally honest about what we need tolearn to face the future for our organizations and ourselves.

Stuart Levine is chairman and CEO, Stuart Levine& Associates, EduLeader LLC. He can be reachedat 516-465-0800 or [email protected].