A new generation of AI-powered tools is emerging to bridge the gap between traditional coaching and real-time, personalized support.
Unlike static tools or generic training programs, these intelligent agents continuously monitor workplace interactions, look for situations to provide actionable insights and deliver context-sensitive nudges to both managers and employees.
The tools provide more regular feedback without replacing the indispensable human element of coaching. These AI agents could transform workplace culture and provide more regular improvement while preserving the personal touch required for effective leadership and growth. So what does it really offer organizations now?
The Promise of AI Coaching ...
“From my perspective, AI-powered experience agents represent one of the most exciting and nuanced advancements in the future of leadership and employee development," Rhett Power, CEO and co-founder at coaching firm Accountability, told Reworked. “I believe they have the potential to make coaching more consistent, personalized and scalable, which is something every fast-moving organization needs. But let's be clear — these tools should never replace the human connection that makes coaching powerful in the first place.”
These intelligent tools fill the "in-between moments" — the time between coaching sessions, team check-ins or performance reviews — with personalized, real-time nudges that reinforce key coaching principles, Power said. They keep development top of mind and support accountability for the behaviors people are working to build.
... and the Problems of AI Coaching
However, there are problems. If not handled carefully, overreliance on AI tools can feel like micromanagement at scale, or worse, surveillance, Power said. Employees need to know that these systems are in place to support their growth, not to judge or penalize them. Transparency, opt-in features and clear boundaries are critical. AI should feel like a coach in your corner, not a robot in your inbox. “When implemented with empathy and respect, these tools can boost engagement. When implemented carelessly, they can erode it fast,” he said.
“If not implemented transparently, AI can feel intrusive or even manipulative,” said Albert Orbinati, chair of the business program at Champlain College. Employees must be informed, he emphasized: “Employees need to understand why they’re being nudged, what data is being used and how it benefits them.” Trust, “comes from clear boundaries, ethical use of data and keeping employees and managers in the loop,” he said.
There is also an issue between the delineation between human and AI-driven roles. The key to balancing automation with authentic coaching is clarity around roles, Power said. AI should support, not substitute. Organizations must intentionally design their systems so that AI handles scalable insights, reminders and pattern recognition, while the deeper emotional, trust-building conversations remain human-led.
“The best results come when AI amplifies the coach's voice or the manager's intent, not when it replaces them,” Power said. “Coaching is, at its core, about belief and relationship. Tech can guide behavior, but humans build trust. That balance has to be preserved.”
Keeping the Human Element in Performance Management
While there is fear that AI will replace the human element in performance management, in reality, it actually helps managers become more human, said Jamie Aitken, VP of HR Transformation at Betterworks. When AI handles the busywork, managers can focus on what truly matters: conversations that support growth.
“This is where AI-powered performance management makes a real impact by enabling the kinds of conversations that lead to skill-building and career development,” Aitken said. Instead, AI tools help managers provide timelier, personalized discussions and more actionable feedback, making it easier to focus on growth rather than just performance, he said.
Skills and career development doesn’t begin with a plan — it begins with meaningful conversations, Aitken said. "AI helps managers show up for those conversations better prepared and more present.”
How Experience Agents Work
AI-powered “experience agents” are a valuable tool for modern employee development, particularly when it comes to the overlooked, day-to-day moments that shape how people grow at work, Orbinati said.
“Experience agents are designed to excel at bridging the gaps in employee development — those day-to-day interactions and micro-decisions that often go unnoticed by people,” Orbinati explained. These agents are especially effective at nudging behavior change by identifying learning opportunities in real time, which is the key to their impact, he said
Still, this technology is not meant to replace human leadership, Orbinati said. “The key is positioning AI not as a replacement, but as an amplifier.” While AI can deliver tailored feedback and surface team dynamics at scale, “human coaches provide the empathy, context, and deeper connection that AI still can’t replicate,” he added
Experience agents depend on high-quality, role-specific data to work well. “It is a blend of quantitative and qualitative data: things like calendar data, communication tone analysis, engagement surveys, performance metrics and even passive collaboration patterns,” Orbinati said. However, context is everything, he warned. “Without real-time, role-specific and relational data, these agents risk becoming just another notification engine.”
When done right, experience agents integrate smoothly into platforms employees already use, such as Slack, Teams or learning management systems. “The best-designed experience agents plug into platforms that employees already use … so they feel less like a tool and more like a natural part of the workflow,” Orbinati said. "On the back end, integration with HRIS and performance management tools helps create consistency across leadership."
Early Signs of Promise
Early adopters are seeing measurable benefits. “From what I can find, early adopters are reporting improvements in areas like manager responsiveness, employee engagement scores and even retention,” Orbinati said. For example, in some cases, tools have identified burnout risks weeks before a manager would have noticed. “The real value lies in nudging better habits — like regular feedback, recognition or goal alignment — which compound over time.”
AI will reshape how managers lead, Orbinati predicted. “Managers will increasingly shift from being task-checkers to culture-shapers and meaning-makers.” While AI may handle the operational tasks, “it’s up to the manager to translate those insights into trust, motivation and purpose.” For those willing to embrace this shift, the tools are there, Orbinati said. “The best leaders will treat experience agents like a copilot — smart, fast and always on — but never flying solo.”
Adoption may vary, Orbinati conceded. “I do see some of this coming down to generational differences and comfort with technology in general. If I were to generalize, the younger and more tech-savvy the manager, the more likely they are to adopt and integrate experience agents successfully.”
Scalable Employee Coaching
“From my perspective, AI-powered experience agents represent one of the most exciting and nuanced advancements in the future of leadership and employee development,” Powers concluded. “I believe they have the potential to make coaching more consistent, personalized and scalable, which is something every fast-moving organization needs. But let's be clear. These tools should never replace the human connection that makes coaching powerful in the first place.”
The real magic happens when we use AI to enhance awareness and accountability while allowing leaders to show up with emotional intelligence, empathy and presence, Power added. If we get the balance right, we won't lose the heart of leadership, we will strengthen it. AI should make managers better humans, not less human.
Editor's Note: Read more about the intersection of AI and employee development:
- First-Time Managers Need Help. Is AI the Answer? — The CCL reports 60% of new managers never receive training. Unsurprisingly, generative AI solutions are popping up to solve the problem. Are they the answer?
- One Place AI Can Help With Performance Reviews: Data Collection — With a growing number of use cases for AI, we looked into how the technology can help streamline a time-consuming part of the performance review process.
- 3 Business Cases for Using AI Within Talent Management — The application of AI in talent management can deliver real business value, provided it is effectively implemented and the risks are proactively managed.