This article is a collaborative effort by Brooke Weddle, Deepak Mahadevan, Richard Steele, and Tom Welchman, with Laura Pineault and Marie Backstrom Twallin, representing views from McKinsey's People & Organization Practice. AI, and agentic AI in particular, demands a fundamentally different operating model. It reshapes how decisions are made, how work is done across functions, how capabilities are developed, and where value is created. As organizations move from experimenting to reinventing work with AI, two questions are critical: Which operating model choices distinguish organizations that successfully create value from AI' And where should leaders focus their efforts to maximize the impact of those choices' McKinsey recently conducted a global survey of AI maturity and readiness for AI transformation. We built on that analysis by surveying more than 700 executives and senior leaders1Respondents were senior organizational leaders ranging from CEOs, presidents, C-suite executives,...
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