Who owns AI? Discover the future of organisation design

Everywhere we turn, executives are asking a simple but difficult question: “Who should own AI in the organisation?” Some delegate the responsibility to IT, others expect HR to drive, while others leave each portfolio to decide for itself.

The truth is, none of these approaches works on its own. AI is not just about technology, and it is not only about people. It is about how organisations are designed.

At 21st Century, we see this challenge up close. When clients experiment with AI, they quickly discover that the real questions are about decision rights, accountability and structure. Do we centralise or decentralise? How do we govern ethically?

How do we reskill our people as jobs evolve? These are classic organisation design questions, simply viewed through the lens of a new powerful phenomenon.

Why ownership is key

If AI sits in IT, some say it risks becoming a technology project, disconnected from business outcomes. If however, it sits in HR, it may be viewed to focus too narrowly on workforce issues, ignoring integration and platforms. Lastly, if it is decentralised, the organisation risks chaos, duplication and reputational risk.

The best model – it may be argued – is a hybrid: an AI Centre of Excellence that sets standards and ensures governance, paired with business-led teams that deliver real use cases close to their customers. HR certainly plays a critical role as co-owner, shaping job redesign, reskilling and culture.

Lessons from the real world

We have seen both success and failure. A global energy business built an AI-powered talent marketplace that unlocked mobility and skills development. A telco used AI to create a skills intelligence platform that transformed its workforce planning.

There have also been some not-so-fortunate cases: An e-commerce AI recruitment tool was abandoned after gender bias was uncovered, while a recruitment platform had to discontinue facial recognition in interviews due to ethical concerns.

The difference was not the technology itself – it was the organisation design choices behind it.

The future of organisation design

Organisation design has always been about aligning people, structure and strategy. AI adds a new dimension, deciding what work humans should do, what machines should do and how they should interact. The future belongs to organisations that design themselves to be human and machine systems, with clear decision rights, ethical guardrails and a culture of learning.

This is not an IT project. It is an enterprise design challenge, and organisation design leaders should be at the centre of the conversation.