Microsoft's AI Lead Predicts the Org Chart's Demise Amid AI Agent Rise

Microsoft's AI platform product lead, Asha Sharma, believes AI agents could replace the traditional org chart, turning it into a "work chart" that focuses on tasks and throughput rather than hierarchical structure. Sharma predicts that companies might automate tasks and orchestrate workflows, eliminating the need for as many layers of management. This could lead to a shift in how companies are run and how meetings are conducted.

Microsoft's AI platform product lead, Asha Sharma, has predicted that the rise of AI agents could fundamentally transform the way companies are structured and operated. In an interview on "Lenny's Podcast," Sharma suggested that the traditional organizational chart, or org chart, could become obsolete, replaced by a "work chart" that prioritizes tasks and throughput over hierarchical structures [1].

Sharma envisions a future where AI agents automate tasks and orchestrate workflows, eliminating the need for multiple layers of management. This shift could lead to a more efficient and agile work environment, where decisions are made based on task-based opportunities rather than hierarchical communication [1].

The implications of Sharma's predictions are significant. Companies could see a reduction in bureaucracy and an increase in operational efficiency. For instance, Microsoft itself has been reducing layers of management, slashing around 6,000 employees in May to increase managers' "span of control" [1]. Other tech giants like Intel, Amazon, and Google have also been flattening their organizational structures to improve efficiency [1].

Moreover, AI agents could provide more objective feedback and performance assessments, potentially replacing the role of middle managers. This could lead to a more merit-based and data-driven approach to employee evaluation and development [1].

However, the transition to AI-driven organizational structures is not without challenges. Companies will need to address questions such as how to automatically decide where to route tasks, who should take them on, and how to monitor and fine-tune AI agents' performance [1].

Sharma's predictions align with broader trends in AI and IT automation. According to Jun Cyber, AI and IT automation are transforming businesses by automating repetitive tasks, improving customer experiences, and reducing errors. These technologies are empowering teams to focus on high-value work while smart software handles the routine [2].

In conclusion, Asha Sharma's vision of AI agents replacing the traditional org chart represents a significant shift in how companies are run. While this transition poses challenges, it also offers the potential for increased efficiency, reduced bureaucracy, and a more data-driven approach to management.

References:
[1] https://www.businessinsider.com/agents-kill-org-chart-microsoft-ai-product-lead-hierarchy-structure-2025-8
[2] https://juncyber.com/smarter-workflows-with-ai-and-it-automation/