This week SAP SuccessFactors announced the acquisition of SmartRecruiters, one of the fastest-growing talent acquisition platforms. This is much more than a technology deal: it demonstrates the value of talent and the massive redefinition of “applicant tracking systems” taking place today.

While the deal is not final and details are yet to come, I highlight the real implications of this acquisition and why SAP will see a lot of value out of this deal.

Stay tuned for more from us about SAP coming this Fall, and our new “Revolution in Talent Acquisition” research will be launched in September.

Additional Information

Research Shows It’s Time To Reinvent Talent Acquisition

Why Do Companies Hire Too Many People?

The Dynamic Organization: How To Design For Growth

This week the WSJ highlighted the latest trends. CEOs proudly announcing layoffs and hiring freezes, only to see their stock price go up in celebration. The AI Superworker era has arrived, and companies are now plowing ahead with automation-induced workforce reductions.

All this is not as simple as it sounds. AI budgets are skyrocketing (EY survey shows that 21% of large companies are spending more than $10M already on AI agents), well before the productivity benefits have occurred. So while many great AI use-cases exist, a lot of the headcount cuts are just budget-reallocation from labor to capital, with hopes for productivity to come.

I have no concerns that massive Superworker productivity is coming, but the process is spotty, messy, and uneven. So in this podcast I discuss our newest research on AI transformation and give you some perspectives on all these announcements. A few nuggets to think about:

• The economy is slowing, so most headcount freezes are not only AI automation bets, they’re also insurance against a slowdown
• Employees and mid-level managers are fearful, causing friction and complexity in automation
• AI strategies that ask “employees to figure out how to become more productive” have some but limited impact, while strategic projects are working better
• The HR focus on “task analysis” is interesting and useful, but not the optimum approach
• Companies are starting to get real about AI spending, so the “blank checkbook” to buy enterprise AI is slowing
• Companies that lay people off have plenty of other issues to consider, including brand, culture, and long term growth.

Additional Information

The Rise of The Superworker: AI Empowers Workers

The Four “New SoftSkills” We Need To Thrive In The Age of AI

A Revolution in Corporate Learning: Save Millions with AI-Native Learning

Get Galileo®, The AI Agent Exclusively Designed for Everything HR

After many dozens of conversations with companies and AI vendors about AI transforming work, I’m left with one burning question. If we actually succeed in automating all our work tasks, data analysis, coding, and content generation, are these systems truly able to replace humans?

I”m left with a very simple answer: NO. And the reason for this is not that AI won’t keep getting “smarter,” it’s the fact that we, as human organic animals, posses a magical power of intuition, largely fueled by our emotions. And emotions are built on millions of years of adaptation, genetics, and personal experiences – attributes that AI simply does not have.

My argument, as you’ll hear in this podcast, is that these emotions make up our intuitive decision-making power. And this very human part of our intelligence is what makes companies, teams, and individuals succeed. No matter how “superintelligent” the AI becomes, I advocate that human emotions and strong intuition is still the most powerful form of “intelligence” we have.

I look forward to talking with each of you about this idea, because it’s an important part of the AI transformations in our lives, careers, and companies.

Additional Ideas

The Six Major Theories Of Emotion

The Rise of The Superworker

My Fav Website about Happiness, GGSC

The Gene: An Intimate History, by Siddartha Mukhergee