GenAI cuts work time by 50%—but at what cost?

What is the impact of generative AI on the workplace? GenAI can make cognitive work processes more efficient, increase productivity, and more. Using GenAI in a people-oriented manner can yield more advantages, making the work more varied and boosting employees' autonomy.

This is one of the main conclusions of the TNO (the Netherlands Organization for Applied Scientific Research) analysis on the impact of GenAI on the workplace.  The study examines how GenAI is changing the nature of work, shifting focus from routine to more complex, creative, and supervisory responsibilities. Key challenges include reskilling employees, managing the impact on work quality, and involving staff in the implementation process to ensure a positive outcome.

TNO's analysis includes case studies of three organizations that are pioneering the use of GenAI. Insurance fund a.s.r.'s healthcare division is using GenAI to automate administrative processes and improve workflow insights. Consultancy Deloitte Legal is leveraging GenAI to optimize legal research and document drafting. Design company CLEVER°FRANKE is experimenting with GenAI to develop creative products and services. These case studies provide valuable insights into the practical applications of GenAI and its impact on different industries.

Productivity boost

GenAI can significantly boost productivity, with organizations reporting 40-50% time savings in tasks such as legal research and contract analysis. Deloitte Legal, for instance, has reported time savings of 40-50% in contract analysis through automation. CLEVER°FRANKE also benefits from time efficiencies in data-driven product design.

These gains stem from GenAI's ability to execute routine tasks more efficiently, freeing up employees for more complex and creative work, TNO underlines. At a.s.r., customer contact can be handled with 20% less personnel, while customer satisfaction has increased.

GenAI calls for new tasks and skills

However, the impact on employment is more nuanced, as GenAI automates certain roles while also creating new tasks and skills requirements. Simpler tasks are disappearing, and new ones are emerging, focusing on monitoring, data validation, and developing innovative products and services.

Deloitte Legal's junior staff are transitioning from research to oversight roles, while a.s.r. employees are taking on additional back-office responsibilities. This shift necessitates new skills, including prompt engineering, critical thinking, and collaboration within multidisciplinary teams. Analytical and creative abilities remain highly valued as well.

Impact on well-being and work quality

The integration of GenAI brings both positive and negative effects on work quality. While tasks become more varied and complex, the elimination of simpler tasks can increase mental workload. To ensure a positive impact, employers should consider the effects of GenAI on work quality, focusing on factors such as cognitive difficulty, task variation, autonomy, social contact, mental workload, and physical workload. Involving employees in the implementation process is crucial, as their insights can help maximize the technology's value and maintain a healthy work environment.

The keys to successfully implementing GenAI

To successfully implement GenAI, organizations should adopt a structured approach that includes pilot projects, employee ambassadors, and comprehensive training programs. Investing in training and workshops is essential to ensure that employees can effectively use GenAI applications and understand their capabilities and limitations.

Organizations should also focus on redesigning tasks and job profiles to align with the new skill requirements and involve employees and works councils in the implementation process. According to TNO, companies need to stay technologically up to date and work systematically on knowledge sharing, retraining, strategy, and human resources policy.