Having Lots of Employees No Longer Makes a Business Look Successful

 Soaring headcount numbers are no longer a sign of the health of a business and its sustained growth. 

In fact, as The Wall Street Journal documents, it can signal you're not looped into Generative AI. Integrating that powerhouse technology into every aspect of the business, from strategy to processes, should facilitate a significant downsizing of the need for human employees and contractors. 

Obviously, what used to be and maybe still is in some sectors a brand enhancer can soon enough raise questions about what's keeping the business stuck in the pre-Gen AI era. This can even be true in the more tradition-bound legal sector.

For example, recently The New York Law Journal published data on what New York law firms had the largest number of lawyers. I have a hunch that was intended to be positive coverage for those firms.

Here are some of the stats:

Kirkland & Ellis 969

Paul Weiss 925

David Polk 865

Simpson 789

Will clients balk about indirectly supporting such a labor-intensive infrastructure when Gen AI can do more and more of even the heavy lifting? US Supreme Court Justice Elena Kagan praised the capability of AI bot Claude on constitutional issues. Law firm pitches for new business could be made by prospects to require detailed information on what AI applications will be used, how and projected results.

It is already buzzed around that boutiques are ideally positioned because Gen AI allows them to get along without lots of junior lawyers. The technology facilitates the lion's share of the routine tasks in review, research and simple contracts. As a result, the fee structure can be more attractive than what's typically available at large firms. Also, there's the competitive advantage of speed. Gen AI has been proven out to spit out results fast.

In my intuitive coaching, I feel the pain of professionals who are having this Ah-Ha realization: They, as "human capital," may no longer be the key asset of the organization. Unless they are a top "star" they could have morphed into "expendable." Microsoft CEO Satya Nadella essentially said he feels bad about the layoffs. In the near future leaders could halt that kind of apology for RIFs. 

Rattled, maybe the first time since you started working? Faith-based Coaching. Special expertise with transitions, reskilling and aging. Psychic/tarot readings, upon request. Complimentary consultation with Jane Genova (Text 203-468-8579, janegenova374@gmail.com). Yes, test out the chemistry.