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The Middle Manager Didn’t See It Coming

  • Dell D.C. Carvalho
  • 7 days ago
  • 2 min read

In 2023, IBM quietly paused hiring for 7,800 back-office roles. CEO Arvind Krishna said these jobs could be replaced by AI in the next five years. Many of those roles weren’t data entry. They were middle managers who reviewed documents, approved workflows, or coordinated teams. These are the kinds of repeatable tasks that generative AI now handles faster and cheaper¹.


Krishna wasn’t alone. Dropbox, Meta, and banks like JPMorgan began trimming middle-layer roles while investing in internal AI platforms. The pattern is clear: AI is automating the coordination, not just the execution¹.


A three-panel digital comic strip in a cyberpunk style. Panel 1 shows Dave, a tired middle manager, sitting alone in a dim office with cubicles. A glowing AI hologram labeled “Meeting Summary” floats in front of him. The caption above reads, “After the AI reorg, Dave became the last middle manager standing.” Panel 2 shows Dave looking confused as he says, “Did I just get outvoted by Excel?” The AI displays a message: “Next slide: your quarterly self-review.” In Panel 3, Dave sits slumped with a coffee mug, saying, “Great. I’m managing myself now.” The watermark “DailecticsLab.com” is in the bottom-right corner.

Why Middle Managers Are at Risk

Middle managers often spend their day in meetings, relaying information, and updating spreadsheets. These tasks are easy to digitize. Generative AI now:

  • Writes status reports

  • Summarizes meetings

  • Flags performance issues

  • Approves budget items using rules


A McKinsey study found that up to 30 percent of managerial tasks could be automated with today’s technology². Unlike factory jobs, AI can replace decisions, not just labor.


What Happens Next

Companies are not eliminating managers entirely. But they are flattening structures. One manager may now supervise 30 reports instead of 10. This is already happening at Amazon and Walmart³.


That means future managers will need to focus less on control and more on judgment, coaching, and cross-functional problem solving. AI handles the routine work. People handle exceptions.


The shift has started. Quietly, but quickly.



References

  1. Vincent, J. (2023, May 1). IBM says it will pause hiring for jobs that AI could do. The Verge. https://www.theverge.com/2023/5/1/23706484/ibm-ai-job-replacement-hiring-pause

  2. Chui, M., Manyika, J., & Miremadi, M. (2016, July). Where machines could replace humans—and where they can’t (yet). McKinsey & Company. https://www.mckinsey.com/business-functions/mckinsey-digital/our-insights/where-machines-could-replace-humans-and-where-they-cant-yet

  3. Weise, K. (2021, May 13). Amazon cuts middle managers to boost warehouse productivity. The New York Times. https://www.nytimes.com/2021/05/13/technology/amazon-warehouse-productivity.html

 
 
 

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