
What happened
Korn Ferry's Talent Trends 2027 report, published Oct. 22 and based on a survey of more than 1,300 leaders in over 75 countries, found just 6% believe their top executives are fully prepared to lead AI-driven transformation.
Why it matters
With so few leaders seen as ready, the burden of guiding teams through AI change falls to middle managers, who may be left explaining decisions they had little part in, Korn Ferry suggests.
WHO IT HITSMiddle managers are the group most directly affected, as they are expected to absorb AI-related uncertainty and explain leadership decisions to their teams, according to Korn Ferry.
Summaries like this, every morning.
Korn Ferry's survey paints a picture of AI transformation where the top of the organization is seen as underprepared, leaving middle managers to bridge the gap. According to the report, two-thirds of respondents expect managers to spend more time helping their teams through change than overseeing day-to-day work. That shift comes as many managers already oversee larger teams after years of cuts to management layers, Fortune reported in October.
The strain is compounded by communication gaps. Susan De La Vega, a Korn Ferry senior vice president, told Fortune that managers often end up defending AI mandates they had no say in and little context for. When leadership changes course, employees are left redoing work, and poor communication can erode trust and drive away valuable employees, she warned.
Gallup data cited in the report suggests clarity pays off: among organizations that have adopted AI, 43% of employees who said their employer had communicated a clear integration plan were engaged at work, compared with 28% of those whose employers had not or who were unaware of one. De La Vega's prescription is for leaders to go first, learn the tools themselves, and brief managers on the reasoning behind decisions before those decisions reach teams.
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