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Artificial intelligence is increasingly being adopted by organizations seeking to enhance efficiency, improve decision-making, and manage operational complexity. While the technical benefits of AI adoption are widely documented, less attention has been paid to its human and behavioural implications, particularly in traditional, labour-intensive industries. This teaching case examines AI adoption at VBuilders, a mid-sized construction company operating in India. The case explores how the introduction of AI-enabled project management and analytics systems altered work practices, leadership interactions, and employee perceptions of psychological safety. Despite early gains in efficiency and transparency, employees became increasingly reluctant to voice concerns or challenge AI-generated recommendations. Drawing on established research on technology adoption, psychological safety, and employee voice, the case highlights the tension between algorithmic decision-making and human judgement. The case culminates in a managerial dilemma faced by senior leaders as they attempt to balance technological advancement with employee engagement and long-term organizational sustainability.
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Raghu et al. (2026) studied this question.
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