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Managing in the Age of AI: A Practical Guide for Team Managers

Trends & Future ·LeadWise ·7 min read ·April 2026

AI is no longer something your organisation is experimenting with. It is being used in your team right now — sometimes with your knowledge, sometimes without it. The question for managers in 2026 is not whether to engage with AI, but how to lead a team through it thoughtfully. This guide sets out the most important things managers need to understand, and the concrete actions that follow from each.

1 Understand what is actually happening on your team

The first thing many managers discover when they look closely is that AI adoption in their team is already further along than they realised — and less organised than they would like. Research tracking employee behaviour found that around 27% of workers admit to using AI tools at work without their employer's knowledge or explicit approval, with the most common reasons being unclear guidelines or uncertainty about how it would be perceived, not deliberate policy violations. This is what is increasingly called shadow AI, and it represents a real risk: sensitive data flowing into systems with no oversight, inconsistent outputs being used without critical review, and no shared standard for what good looks like.

The starting point for any manager is therefore an honest audit. Not to police or punish, but to understand the actual landscape: what tools are people already using, for which tasks, and with what level of judgment applied to the outputs. That understanding is the foundation for everything that follows.

Practical tip

Run a brief, blame-free team conversation — in a one-to-one or a team meeting — specifically about AI. Ask what tools people are already using, what they find helpful, and where they feel uncertain about whether something is appropriate. Frame it as curiosity rather than audit. The conversation surfaces reality, reduces the secrecy that makes shadow AI a risk, and signals that you see AI as a team topic, not an individual one.

2 Your support for AI is the strongest predictor of your team's success with it

Gallup's 2025 State of the Global Workplace report identified a striking finding: employees who believe their manager actively supports their team's use of AI are 8.7 times more likely to say AI has genuinely transformed how much work gets done in their organisation. The manager's posture — engaged, curious, and willing to model AI use themselves — is a more powerful determinant of team adoption than almost any other factor, including the quality of the tools themselves.

This matters because many managers are still on the sidelines. They may be waiting for clearer guidance from above, or quietly uncertain about how to engage with tools they do not fully understand. But the research is consistent: an indifferent manager actively undermines the investment an organisation is making in AI. You do not need to become a technical expert to lead well here. You do need to demonstrate genuine engagement.

Practical tip

Pick one task you do regularly — drafting a status update, preparing talking points for a meeting, summarising notes from a team retrospective — and use an AI tool to do a first draft. Then edit it, apply your own judgment, and notice where the output was useful and where it needed significant correction. Share that experience with your team, including what surprised you and what you had to fix. The act of doing this openly is worth more than any policy document.

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3 Set clear norms before your team needs them

One of the most common management failures around AI is waiting until something goes wrong before establishing any shared expectations. By that point, bad habits are already embedded, and the conversation about norms becomes a reactive one tied to a specific incident rather than a constructive one tied to shared principles.

MIT Sloan research on AI in enterprise settings recommends that leaders assemble a cross-functional view of acceptable use, provide hands-on guidance for identifying appropriate use cases, and offer a limited set of approved tools so employees can make informed choices. For most managers, the practical version of this is much simpler: a one-page team guide that covers which tools are approved for what purposes, what kinds of data should never be input into external AI systems, and how outputs should be verified before they are used or shared. The specifics matter less than the fact that they are explicit and shared.

Practical tip

Draft a short team AI guide — one page is enough — and co-create it with your team rather than issuing it top-down. Include three things: which tools are approved for use in your team's work; what categories of information should never be entered into an external AI system (client data, personal information, confidential financials); and how outputs should be treated (as drafts that require human review, not final deliverables). Revisiting this guide quarterly keeps it current as both the tools and your team's use evolve.

4 Use AI to become a better manager — not just a more efficient one

The most obvious applications of AI for managers are efficiency gains: faster meeting summaries, quicker first drafts, less time on administrative tasks. These are real and worth pursuing. But the more significant opportunity is using AI to become a more effective people manager — more prepared for difficult conversations, more consistent in giving feedback, more deliberate in developing your team.

AI tools can help managers think through how to approach a sensitive one-to-one, identify questions to ask in a development conversation, or prepare for a performance review. The AI does not replace the human judgment required in those conversations — that remains entirely with the manager. But it can reduce the cognitive load of preparation, which in practice means those conversations happen more often and are better structured when they do.

Practical tip

Before your next difficult one-to-one — a performance conversation, a piece of critical feedback, a conversation about someone's development — use an AI tool to prepare. Describe the situation (without identifying information) and ask the tool to help you think through how to open the conversation, what the employee's perspective might be, and what outcomes you are aiming for. The preparation process itself is valuable: it forces clarity about your own thinking before you are in the room. The conversation remains human; the preparation is simply better.

5 Address the anxiety in your team directly

Not everyone on your team is enthusiastic about AI, and some of that scepticism is well-founded. McKinsey's 2025 workplace AI report found that while a slim majority of employees are AI optimists, a significant minority — around 41% — are more apprehensive and will need active support to engage productively. Concerns about job security, about inaccuracy, and about the ethics of AI outputs are all legitimate and deserve to be taken seriously rather than dismissed.

A 2025 study from researchers at Harvard, Hebrew University, and the University of Texas found that people consistently rate the same responses as more empathetic when they believe a human wrote them rather than an AI — even when the text is identical. This points to something important: the perceived authenticity and human connection in management matters deeply to employees, and that perception can be damaged if AI is felt to be replacing rather than supporting genuine human judgment. Managers who are transparent about how and why they use AI — and who remain visibly present and human in their leadership — protect against this.

Practical tip

Invite the concerns directly. In a team meeting or one-to-ones, name the topic: "I know AI is changing a lot about how we work, and I want to make space to talk about what that's bringing up for people." Listen without immediately reassuring. Some concerns will surface things worth acting on — tasks that genuinely are changing, skills that need developing, or fears about job security that deserve honest answers. Others will reduce simply by being heard. The manager who avoids this conversation cedes the narrative to rumour; the one who opens it becomes the person people trust to navigate it.

6 Redefine what good work looks like in your team

As AI absorbs more of the routine and structural elements of knowledge work — first drafts, data summaries, scheduling, status reporting — the definition of high-quality work in most teams is shifting. The question is no longer just "did this get done?" but "what did the human add?" Judgment, context, ethical consideration, the knowledge of a specific client relationship or organisational history that no AI system has access to — these are the things that remain distinctively human and that are growing in value.

Asana's experience, shared publicly, describes the shift managers face: moving from encouraging AI adoption to actively redesigning how workflows are structured around AI as an integral component — reconsidering job scopes, redefining quality standards, and identifying which human skills become more valuable. This is genuinely managerial work, and it requires deliberate attention rather than drifting into it by default.

Practical tip

For each major type of work your team produces, ask: if an AI handled the structural elements of this, what would excellent human contribution look like on top of that? The answers will vary — it might be domain expertise, stakeholder relationship knowledge, creative interpretation, or quality judgment. Once you are clear on the answer, make it explicit with your team. People work better when they understand what they are being asked to bring, and that clarity becomes more important, not less, as AI takes on more of the scaffolding.

7 Keep humans in the loop on decisions that affect people

As AI tools are increasingly used in performance management, feedback synthesis, and workload tracking, a critical line needs to be maintained: AI should inform managerial judgment, not replace it. The risk is not that AI makes wrong decisions — it is that managers delegate consequential decisions to AI outputs without applying the human context, relationship knowledge, and ethical consideration that those decisions require.

Research on AI in performance management is clear on this point: AI can aggregate inputs, identify patterns, and surface summaries — but managers must retain final judgment on anything that affects a person's role, development, or standing in the organisation. Employees who feel assessed by an algorithm rather than by a manager who knows them experience a significant erosion of trust that is hard to rebuild. The efficiency gain from AI-assisted performance processes is only real if the human judgment layer is visibly and genuinely present.

Practical tip

Establish a personal rule: any AI output that will influence how you manage or assess a specific person gets reviewed with a simple question — "What does my direct knowledge of this person tell me that this output does not capture?" If the answer is "nothing," that is worth pausing on. Your knowledge of the individual — their context, their circumstances, their trajectory — is exactly what makes your judgment valuable. AI can support that judgment, but it cannot replicate it, and treating its outputs as verdicts rather than hypotheses is where things go wrong.

The bottom line

Managing in the age of AI does not require becoming a technologist. It requires the same things that have always made management effective — clarity, genuine engagement with your people, the willingness to model the behaviour you want to see — applied in a context where the tools are more powerful and the pace of change is faster. The managers who navigate this well are not those who wait for a comprehensive framework to arrive from the top. They are those who engage with their team honestly, set clear shared expectations, and keep their own human judgment firmly in the decisions that matter most.

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