How Is Your Team Spending the Time Saved by Gen AI?

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Illustration Credit:  Michał Bednarski    link

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Summary.

Tools like ChatGPT and Copilot are helping employees complete tasks much faster—cutting the time it takes to do them by up to 56%. But a new study shows that many people aren’t putting that newfound time to good use. Here’s what managers

Generative AI is changing how we work. Tools like ChatGPT and Copilot help people write everything from emails to blog posts to plans for internal analyses 40% faster than they used to, according to a 2023 MIT study. The new technologies are transforming technical jobs in particular. A study by MIT Sloan, Microsoft Research, and GitHub determined that gen AI coding tools can cut programming time by 56%, for instance.

How should workers use such time windfalls? Experts have been debating that ever since OpenAI introduced ChatGPT, in November 2022. Boston Consulting Group, for example, found that many people devote their extra hours to problem-solving, interacting with others, or learning new things. Christopher Pissarides, a Nobel Prize–winning economist, has different ideas: He believes that we should leverage this new free time to improve our well-being and even to move to a four-day workweek.

The popular view is that people will use AI-generated time savings to enhance their personal lives, develop innovations, or increase productivity. However, two surveys of 302 AI users and 57 managers from around the world, conducted by the University of Lausanne, Switzerland, in early 2024, challenge that thinking. The surveys asked questions like, Do you save time using gen AI? Do you feel you have more time for other things? Do you reallocate time for personal or work-related tasks? How frequently do you waste the time you saved?

The researchers found that gen AI saved the managers about two hours and 50 minutes a week, on average. Eighty-two percent of them said that the technology helped them do their jobs faster. But many in that group failed to fully capitalize on their freed-up time: Thirty-six percent of them admitted to wasting more than half of it. Similarly, 83% of people in the gen AI user group who saved time admitted to wasting at least a quarter of it. When asked how they did use their extra time productively, more than half of the managers said they just did more of the same work they’d always done. Few managers said they used it to connect with others, enjoy their families, learn new skills, or improve their physical and emotional health.

“Reallocating time savings requires people to track when they’re saving time,” says Isabelle Engeler, an associate professor in the marketing department at the University of Lausanne who is the lead author of the study. Only once they have a good idea of how much they’ve gained can they decide how to benefit from it, she argues. “Unfortunately,” she notes, “many people don’t immediately notice it.” That was true for 37% of the managers in the study who said that AI had saved them time.

To optimize AI-related time savings, Engeler suggests, managers should take these four steps:

Be strategic.

Focus on gathering information on how much time gets shaved off the tasks for which the most significant benefits are expected. But don’t start doing that with too large a group of people; begin with a small pilot.

“If your goal is simply to get an estimate of AI-related time savings, you don’t need many people in your pilot,” says Engeler. “But if your objective is to monitor the impact of saved time on your team or the organization as a whole, you need a larger sample.”

Ask people to log their time.

Once you’ve decided what and whom to track, get the chosen employees to record the minutes they save each day. There are several ways to do this. Employees can self-report by reflecting on their daily activities and estimating how much time AI saved them, perhaps noting it in diary entries. Or they can simply jot down the minutes it takes to perform a task without gen AI and then how long it takes to do it with AI.

Productivity-tracking software like Harvest and ActivTrak, which allow managers to observe and log how long tasks take, can provide numbers for the time savings that are more precise and objective than those generated by self-reporting. Regardless of the method, any form of tracking should give you a good sense of how much time you have freed up.

Asking employees to track time requires that they have the bandwidth to engage in this process in the first place. If they are already overwhelmed with tasks, they are more likely to move straight to the next item on their list and tracking time gains may feel like just another burden.

Develop a blueprint for reallocating time.

Once you have a handle on how many hours your team will save with gen AI, design a plan to use them in a meaningful way—for instance, in activities that promote employee well-being, productivity, and personal growth. Ask your people how they’ve traditionally spent time savings and where investing more time would benefit them most. But keep in mind that as the manager, you are responsible for setting the direction—whether by urging employees to recharge or prompting them to tackle new challenges.

“What employees do with the extra time ultimately depends on how managers encourage them to use it,” Engeler says. “Employees could plan to use it for stretching, getting a coffee, interacting with colleagues, or working on a strategic project. Whatever it is, it’s important to allocate this time purposefully in advance. Without guidance and preplanned activities, the saved time might easily slip away unused.”

Monitor how the time is redirected.

Regular monitoring and feedback are crucial to help employees make the most of their newfound time. Managers should stay engaged, observing what their reports do with time windfalls and promoting effective uses.

“Generative AI tools can boost productivity, and they can help employees improve work-life balance. But time reallocation requires a deliberate, intentional, and ongoing approach,” says Engeler. “By helping employees notice and reallocate their saved time, companies can ensure that AI-driven efficiency leads to meaningful changes in the workplace and beyond.”

About the research: “What Do You Do with the Time Saved by Generative AI Tools? Many Waste It, Managers Included,” by Isabelle Engeler et al. (working paper, 2024)

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