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AI in the Workplace: A Psycho-Economic Approach to Leadership

AI in the Workplace: A Psycho-Economic Approach to Leadership
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Author(s): Bolum Isikwei (Lagos Business School, Pan Atlantic University, Nigeria)and Bilikis Adesola Olagunju (Lagos Business School, Pan Atlantic University, Nigeria)
Copyright: 2026
Pages: 26
Source title: Reinventing Corporate Strategy for Competitive Advantage
Source Author(s)/Editor(s): Ricardo Marcao (NECE-UBI, ISLA Santarem, Polytechnic University, Portugal), Vasco Santos (IPT, NECE-UBI, GOVCOOP, CiTUR, IPL, ISLA Santarém, Polytechnic University, Portugal)and Ruben Pinhal (GOVCOPP, ISCA, University of Aveiro, Portugal & ISCET, Portugal)
DOI: 10.4018/979-8-3373-5428-6.ch001

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Abstract

Successful AI integration is a leadership challenge, not merely a technical one. This chapter presents a psychoeconomic model, which posits that the failure of many AI initiatives stems from a neglect of human behavioral dynamics. The framework combines psychology and economics to explore employee resistance rooted in fears of job loss and threats to professional identity. By addressing these cognitive and emotional barriers, leaders can cultivate a culture of human-AI synergy, fostering a more productive and ethical workplace.

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