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C-suite leaders grapple with conflict, silos amid AI adoption

By CIO Dive by By CIO Dive
March 18, 2025
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Dive Brief:

  • Most executives say generative AI adoption is creating conflict and friction within their organization, according to a Writer report published Tuesday. The AI vendor partnered with research group Workplace Intelligence to survey 800 C-suite leaders and 800 employees.
  • Around two-thirds of business leaders say the technology has led to division between IT teams and other lines of business, as well as between executives and employees. More than 1 in 3 execs characterized generative AI adoption as a massive disappointment so far. 
  • Some employees admitted to “sabotaging” their company’s AI strategy, including 41% of Gen Z and Millennial workers, the report said. Around 1 in 3 employees on average are pushing back, refusing to use AI tools or ditching AI-related training. 

Dive Insight:

Generative AI adoption has been disruptive to the enterprise. 

Executives have had to find the best path forward for implementation and decide what to prioritize. Employees have grappled with job security anxiety and worries about needed upskilling.

In some cases, the changes caused rifts. 

“These challenges are not trivial; they demand robust change management, improved vendor quality and enhanced collaboration between IT and other departments,” Kevin Chung, chief strategy officer at Writer, said in an email. “Internal misalignment and power struggles are particularly impactful, as they can further complicate the adoption process.”

Business leaders admit to feeling overwhelmed and exhausted by the onslaught of AI, with more than half of senior leaders saying they feel like they’re failing amid the technology’s rapid growth, according to an EY report published in December. 

Technology leaders face pressure to move AI projects along without addressing problems that arise, underlining the disconnect between ambition and reality. 

Workers also have reservations about relying on the technology. More than 1 in 3 employees said AI-produced work is not on par with their own, a Pegasystems report found.

“Employees may feel that they are being left behind or that their concerns are not being heard,” Chung said. “This lack of support has real consequences. Those who are resistant to change or feel threatened by AI’s capabilities are pushing back, leading to a fractured corporate culture.”

Even with AI fatigue and apprehension, businesses are determined to find value. Nearly all enterprises say they are ramping up AI investments this year amid persisting struggles and roadblocks.

“Collaboration is the key to overcoming these challenges,” Chung said. “When IT and business leaders build together, they ensure that AI initiatives are not only technologically sound but also aligned with the broader business goals.”



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