As the machine-human workforce emerges, it’s time to rethink management

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Steve Boese
Steve Boese
Steve Boese is HR Executive's Inside HR Tech columnist and chair of the HR Tech conference. He also writes a blog and hosts the HR Happy Hour Show, a radio program and podcast.

Picture a possible recruitment intake meeting happening in the very near future. On the call are a recruiter, a hiring manager, a data analyst and an AI agent that can schedule interviews, create structured interview questions, analyze candidate feedback and make recommendations on which candidates should advance to the next step. The AI agent isn’t a passive chatbot waiting for prompts; it’s proactively guiding the discussion, drawing on past hiring patterns and offering evidence-based suggestions. The AI agent may even have a persona and a name. This is not a fantasy, nor is it a scenario in some hazy, distant future. This is the future of work—a machine-human workforce—already starting to take shape in leading organizations.

Welcome to the age of agentic AI in HR and talent management. There is a proliferation of new AI systems that can observe, decide and take action autonomously, collaborating with human teammates. As more companies incorporate these agents into hiring, onboarding, learning and performance workflows, a new challenge is surfacing for HR and business leaders: Are our people prepared to manage and collaborate with AI agents as if they’re part of the team?

It’s a question that goes well beyond deploying the latest in AI and automation technology. This is about organizational structure, leadership capability and redefining what it means to manage a hybrid workforce of people and technology. This will be a workforce where humans and machines don’t just coexist, but actively co-create.

From automation to execution: the emergence of agentic AI

So, what’s the difference between agentic AI and the “traditional” AI and automation technologies HR has used for many years?

Traditional automation is task-specific. It executes clear instructions to speed up repetitive processes. In HR technology, we have seen automation used to send a welcome email, progress a candidate to the next interview stage or route a promotion nomination to management for approval. Agentic AI is more autonomous. It observes and considers context, learns from patterns and takes initiative. It can prioritize, escalate, summarize and even make decisions based on your goals.

AI agents in action

These agents are already making their way into mainstream HR technology platforms. Here are just three examples out of dozens I’ve heard from in 2025:

  • Oracle Applications AI Agents: In February, Oracle announced role-based AI agents embedded throughout Fusion Cloud HCM. They cover career planning, goal setting, onboarding, performance reviews, benefits guidance and more.
  • Workday Illuminate Agents: Workday recently launched a suite of role-based agents for recruiting, payroll, contracts, finance, policy, succession and more, which it manages via its Agent System of Record. These agents autonomously handle tasks like sourcing candidates, processing expenses and auditing documents.
  • Lattice AI Agents: Lattice now offers proactive, meeting-participating agents that answer HR-related queries, detect disengagement and simulate coaching conversations.

In HR tech, we’re seeing intelligent assistants that screen candidates, create onboarding plans, recommend learning pathways and guide managers in real time. These aren’t just disconnected chatbots. These capabilities are being delivered in email inboxes, reporting dashboards, and meeting and collaboration tools as persistent participants in the person’s workflow.

See also: Feeling pressure to apply AI? 3 research-based foundations for success

Much like consumer technology adoption has traditionally influenced the enterprise, we are seeing this in AI technology. Surveys show that 52% of U.S. adults have used AI large language models (LLMs) such as ChatGPT, Microsoft Copilot, Google Gemini, Claude and others for personal use. More and more, employees and managers are experimenting with AI at work.

A recent survey from Resume Builder found that 94% of managers are now using AI to help make decisions on promotions, raises or even terminations. Yet, according to McKinsey, only 13% of employees report fully understanding how AI is being used in their daily work, suggesting a growing gap between adoption and measured, pragmatic implementation. And it’s presenting enhanced risk to the organization.

Leading in the machine-human workforce era

This emerging environment, fueled by the rise of agentic AI, requires organizations to adopt new leadership skills and approaches. Managing AI agents isn’t the same as managing people.

First, managers must adapt their mindset. In a world of intelligent agents, leaders aren’t just delegating tasks to people on the team; increasingly, they will be orchestrating across people and machines. They need to understand what the AI agent is doing, why it’s making certain choices and when to step in to coach and course correct.

Related: What is agentic AI in HR? A simple explainer

Do you trust the agent’s decision? Should you intervene? How do you override an automated action without disrupting the workflow? These are just some of the new dilemmas of AI-enabled management.

Leaders will also be expected to provide feedback to the system. This will manifest by adjusting settings, updating parameters, refining prompts and collaborating with IT or data science teams to fine-tune their AI agents over time.

This shift requires more than tech savviness. It calls for digital fluency, defined as the ability to interpret AI outputs, understand system logic and incorporate intelligent recommendations into team dynamics. Leaders must grow comfortable with agent dashboards, conversational UIs and team performance indicators that include machine activity, not just human performance.

And they must also be prepared to communicate transparently with their teams about the role of these agents. This is especially important if those agents influence decisions related to hiring, compensation or performance, or if these agents are seen as a threat to human job security and career advancement.

Human factors: trust, culture and accountability

The introduction of intelligent agents into everyday work raises key cultural questions. Will employees trust these agents? Are they going to feel empowered or reluctant? Will they see the agents as colleagues or competitors?

Research suggests this is still a concern. In a recent SHRM report, 41% of employees expressed discomfort with AI involvement in workplace decision-making. Trust varies by role, tenure and culture, influenced greatly by how leaders introduce them and communicate about the tech, which will determine whether AI is seen as a tool or a threat.

HR teams must also grapple with accountability. If an agent makes a biased or harmful decision, who is responsible? How do we ensure agents operate within ethical and compliant boundaries? These aren’t just IT questions; they’re central to workforce governance.

Redesigning leadership development

As the line between human and digital contributors continues to blur, HR has an essential role to play in preparing the workforce. HR should begin to modernize leadership development programs to include managing intelligent systems. Just as we train managers on how to lead hybrid or remote teams, we now need new modules on AI collaboration.

Simulations are a promising tactic. Create scenario-based exercises where leaders must navigate common workplace challenges involving AI agents such as reviewing a hiring recommendation, course-correcting a learning agent’s plan or managing an agent’s interaction with a direct report. These can be used to safely develop a manager’s familiarity and capability in managing in a hybrid team of agents and people.

Coaching programs can also include tech-integration skill-building: how to interpret AI feedback, when to seek human support and how to use agents to augment, but not substitute for, human judgment.

Rethinking team structure and job design

Organizations must also start evolving how they define roles and the structure of teams. As agents take over some workflows, HR should update job descriptions. For example, if an onboarding agent now delivers policy training and tool setup, what does the HRBP focus on instead? What higher-value tasks can now be placed on the HRBP agenda?

Forward-thinking companies are already updating org charts to reflect intelligent systems as part of the operating model. While AI agents won’t have employee IDs (yet), their work output, governance and oversight need a clear “owner.”

Finally, HR needs to partner closely with IT, legal and compliance to build internal policies for agent deployment. That includes setting boundaries for autonomy, defining escalation paths and creating audit trails for decisions made or influenced by AI.

McKinsey refers to this as building a “system of superagency,” one where organizations empower people to collaborate with AI, but humans remain in control.

Managing a machine-human workforce: practical next steps

For HR leaders ready to begin this journey, here are five immediate actions to consider:

  1. Inventory your AI agents. What intelligent systems are currently in use or planned across HR and business functions?
  2. Engage with your IT/data teams. Collaborate to define ownership, guardrails and review processes for agents.
  3. Update manager training. Add content on interpreting AI recommendations, feedback loops and override protocols.
  4. Collect employee feedback. How do teams perceive working with agents? Where are the friction points?
  5. Pilot hybrid human–AI teams. Select small groups to test workflows involving persistent agents, with clear metrics and debriefs.

The future of HR leadership starts now

For decades, HR has focused on helping people lead people. Now, we must help people lead people and machines. The rise of AI agents marks a major turning point—not just for HR technology, but for the fundamentals of how we structure work, lead teams and develop talent.

Leadership in the AI era won’t be about man versus machine. It will be about mastering the collaboration and interactions between humans and agents, with each doing what they do best, working toward shared goals.

At the upcoming HR Tech conference in September, expect to see the latest in agentic AI technology for HR. Importantly, you’ll also learn how forward-thinking organizations are incorporating these powerful tools into the design of work—and preparing their organizations and their people to navigate the new world of work—where people and AI agents are working more closely than ever before.

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