After several years of experimenting with AI, a new report from growth consultancy Prophet, reveals that it is time for organizations to fully embrace the technology to transform how they operate and how their employees work, grow and thrive. Successful AI strategies require an intentional approach that incorporates culture along with the technical tactics.

These findings come from a series of in-depth interviews from Prophet with CEOs and CHROs of Fortune 500 companies in North America and Europe. “Human-centered AI: Culture as the Catalyst for AI-Enabled Growth” identifies emerging best practices to help leaders harness AI’s full potential, amplifying its impact while transforming the workplace.

The power of AI lies not in replacing humans, but in empowering their capabilities, creating organizations that are smarter, more connected, resilient and human.This requires companies to embrace human-centered change strategies to embed AI with their culture. Deliberate alignment between the growth agenda of the CEO and the people strategy of the CHRO is essential to this approach. 

“True advantage isn’t likely to come from using AI to make what you already do faster or cheaper,” said Paul Teuton, Partner and Organization & Culture, Co-Lead  at Prophet. “The companies pulling ahead are those that see AI as a way to reimagine the future of their businesses, people and culture to unlock greater value. The most impactful leaders aren’t automating yesterday’s model. They’re building adaptive organizations that grow, learn and lead at the speed of change.”

The report found that while AI is catching on at a fevered pace, significant and often self-inflicted speed bumps are slowing organizations down. Siloed AI efforts often focus on upgrading existing processes. But the research revealed real impact comes from alignment—when culture, leadership and talent all move in the same direction. That’s when AI stops being a tool and becomes a growth engine. 

“AI offers a generational opportunity to elevate human potential—fueling innovation, enhancing well-being, and creating organizations that grow not just faster, but better,” said Jonathan Chajet, Partner and Organization & Culture, Co-Lead at Prophet. “This is about more than adapting to change—it’s about creating more value than ever before by designing an organizational ecosystem where humans and AI thrive together to drive uncommon growth.”

METHODOLOGY

Prophet interviewed CEOs and CHROs of F500 companies in North America and Europe across healthcare, financial services, logistics, tech, media and retail to understand how AI is impacting their organization’s culture. In addition, the report includes insights drawn from Prophet’s recent “The Rise of the AI-Powered Consumer” study, based on a survey of more than 2,400 people.