Airbnb founder Brian Chesky says that traditional “people managers” could become unnecessary in the age of AI.
Airbnb CEO Brian Chesky says so-called “people managers” could become unnecessary in the age of artificial intelligence. He joins a growing group of tech managers who warn of the loss of importance of traditional management roles. On Tuesday, Coinbase announced it would eliminate all so-called “pure manager” positions at the company.
Chesky joins a growing number of tech executives who consider the role of pure managers to be outdated. In an environment of AI disruption, restructuring and job cuts, middle management in particular is coming under increasing pressure.
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“Pure managers” are disappearing from companies
Airbnb last carried out major layoffs during the pandemic in May 2020. A spokesman said no further layoffs were currently planned. The quarterly figures are due to be published on Thursday.
Coinbase CEO Brian Armstrong said on Tuesday that there would no longer be any “pure managers” at the company in the future. At the same time, Coinbase announced job cuts of 14 percent. The organizational structure will be reduced to a maximum of five levels under CEO/COO.
Other tech companies are also relying on flatter hierarchies. Block boss Jack Dorsey wrote together with Sequoia partner Roelof Botha in March that a permanent middle management level was no longer necessary. Meta CEO Mark Zuckerberg has taken this approach for years.
Chesky said managers will need to be more involved in actual work in the future to survive in the AI era.
“You no longer manage people, you manage work,” said Chesky. Anyone who works as a lawyer, for example, must actively deal with case law and be deeply involved in the content.
As Coinbase CEO Brian Armstrong put it, managers in the AI age should become more like “player coaches” – i.e. managers who themselves work operationally.
Read the original article on Business Insider US.
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