Clarity

The vital role of executive sponsorship

Cross-functional leadership—from the board and the CEO through to people managers and team leaders—acts as a compass guiding the organization through AI transformation. Leaders must set the direction and stay on the course to realize the benefits AI offers. Unlike traditional technology projects, where the drive often originates from the IT department, the pervasive impact AI will have across all business functions necessitates a top-down approach led by the C-suite. It’s important to understand the pivotal role executive sponsorship plays in AI adoption and how leaders can effectively champion this change.

AI is not just another piece of technology but a transformative force that will significantly impact every person and process involved in an organization’s operations. For many organizations, Copilot will be the first step in AI adoption at scale. Given its strategic importance, it is essential that the leadership team, including the CEO, CFO, CTO, and other department leaders, are active and visible sponsors of AI initiatives. This group of leaders is responsible for aligning the AI adoption goals with the organization’s overall strategy and objectives. They don’t necessarily need deep technical knowledge about how AI works, but they do need to be able to articulate why AI solutions will help the organization hit its targets. An Ipsos study found that all organizations that are realizing value from their AI investments had leader-driven AI strategies, with clear vision and commitment from senior leaders. By contrast, only 1 percent of organizations that were at the earliest stages of creating value with AI had buy-in from senior leaders.³ When leaders are seen as the drivers of change, it reinforces the importance of AI and the strategic role it can play in achieving business targets.

A clear example of this is Lumen Technologies. When President and CEO Kate Johnson set a vision to evolve the company from a traditional telecom into a technology leader, she placed AI adoption at the heart of that strategy. Through the Microsoft 365 Copilot Early Access Program, Lumen deployed Copilot across several departments. Sales people saved an average of four hours a week in meeting preparation, unlocking an estimated $50 million in annual value through increased customer engagement and productivity. Strong leadership and a clear vision for AI turned early adoption into real business outcomes.⁴

Trust is critical to the change process. A clear vision for AI, mapped to strategic goals, inspires trust in why it is being used. Employees also need to trust that the leadership has their best interests at heart and that AI is being used in a trustworthy manner. If they feel that AI is being brought in to increase surveillance or to extract more work from employees instead of increasing efficiency and creativity, it will erode trust and hinder adoption. Leaders inspire trust by communicating transparently about the purpose and benefits of AI, addressing any concerns, and demonstrating its positive impact on the organization.

Executive sponsors must be visible and active

Leaders who sponsor AI initiatives and actively model the use of generative AI tools have an outsized impact on their successful use across the organization. This involves integrating AI tools like Copilot into their daily workflows and demonstrating their practical applications, such as ensuring Copilot transcription is turned on for meetings when appropriate. Using Copilot live in board meetings and executive sessions to run data analysis to inform decision-making and aid with strategic planning is another way to be visible and active. By acquiring their own applied knowledge of how Copilot can assist in tasks throughout the workday, leaders will build belief and credibility, which will flow through to their communications about the vision for Copilot across the organization. As they lead by example, executives can inspire confidence and encourage wider adoption across the organization.

Given the impact executive sponsors have on the success or failure of Copilot adoption, a tailored training approach will help build their confidence and proficiency with AI tools. This may involve a white glove service with dedicated coaches who can provide personalized training sessions, practical advice for how executives would use Copilot, and ongoing support.

The goal of this training program is to turn executive sponsors into Copilot power users because doing so means their vocal endorsement will carry more weight. Alongside the executive rollout, it’s a good idea to empower executive assistants and other business support roles to leverage AI effectively, enhancing their productivity and enabling them to better support the team. If they believe in Copilot, it will be easier to encourage widespread adoption among most employees.

For AI to be truly effective, it must be integrated into the organization’s strategic operational framework. AI initiatives should not only support existing strategic objectives but also have the potential to reshape them. Leaders must continuously evaluate how AI can drive innovation, improve efficiency, and create new opportunities. To do that, they need to be using it daily so that they are making strategic decisions based on a practical, hands-on understanding of how generative AI works. Copilot improves constantly with advanced capabilities like Researcher and Analyst agents to help leaders make strategic data-driven decisions. Leaders can ensure that Copilot delivers maximum value by aligning AI with the organization’s strategic goals.

Chapter 3, “Commitment,” highlights the ongoing role leaders can play as drivers of change when it comes to reimagining their organization for an AI-powered future.