HR leaders need to make room for failure in the age of AI adoption in workplaces, as fear impedes employees’ ability to leverage AI tools, according to a new global study from Infosys and MIT Technology Review Insights.
The study, which polled 500 business leaders, discovered that fear has a “foothold” in the AI adoption process, preventing employees from fully experimenting with the technology.
“Psychological safety is mandatory in this new era of AI,” said Rafee Tarafdar, executive vice president and chief technology officer at Infosys.
“The tech itself is evolving so fast – companies have to experiment, and some things will fail. There needs to be a safety net.”
Employees’ fear of failure
Psychological safety is defined in the report as the workplace environment where individuals feel safe to take risks, express ideas, admit mistakes, and ask questions without fear of embarrassment, punishment, or professional harm.
The good news is 73% of the respondents feel safe to provide honest feedback and express opinions freely at work.
However, 22% of business leaders admit that they had hesitations about leading an AI initiative due to fear of failure or internal backlash.
Another 39% of business leaders cited the fear of failure as a barrier preventing them from embracing AI in their roles.
These fears come as many organisations enter an experimental phase with AI, where the technology is tested out in different functions to see where it can be used to improve efficiency in the workplace.
According to the study, eight in 10 leaders said their workplace culture encourages AI experimentation. But there seems to be a disconnect in how it translates to employees.
“In some workplaces, messaging regarding risk-taking may come across as ‘only take the right risks, and only if you are sure they will work,'” the report read.
It pointed out that while failure in some AI experiments may not be formally punished, they can still be costly in terms of reputation.
“When promotions, high-visibility projects, and leadership opportunities only go to those with a record of wins, employees may think twice before proposing untested ideas,” it added.
Making room for failure
Melanie Subin, managing director at Future Today Strategy Group, stressed that a corporate culture that rewards certainty and punishes iteration can suffocate innovation.
“The organisations that thrive through transformation are the ones that make room for failure, for asking questions,” Subin said in the report. “They make room for disciplined risk and reflection and course correction.”
The study underscored that learning from failure is a core competency, even in AI adoption.
“Maintaining open channels for feedback, addressing fears or misconceptions quickly, and reinforcing norms for safe, responsible use help ensure these tools work not only as designed, but in ways that people actually want to engage with them,” the report added.
Fostering a workplace where employees feel psychologically safe to experiment with AI will need more than blanket HR policies, according to the study.
“It requires explicit messaging about AI’s realistic capabilities, limits, and approved use cases,” it added. “Clear communication and ongoing dialogue help companies to prioritise transparency, ethics, and stakeholder engagement.”
Source – https://www.hcamag.com/asia/news/general/fear-of-failure-holding-back-ai-innovation/560559



















