How is Artificial Intelligence Impacting Independent Work?

By MBO Partners • October 10, 2024
time 4 MIN
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Key points
  • Generative artificial intelligence (Gen AI) is changing the way work is being done.
  • 65 percent of independent workers say they used Gen AI in 2024.
  • Most independents say they have had a positive experience with AI tools.

Artificial intelligence (AI) has quickly become a common presence in the lives of both independent professionals as well as the clients and enterprises that engage them. The rise of generative artificial intelligence (Gen AI) is changing the way work is being done, becoming a powerful tool for small business marketing and automation. Our research finds that 65% of independent workers say they used Gen AI in 2024—an increase from only 37% last year.

The Majority of Independent Workers are Embracing AI

The large majority of independents have had positive experiences with AI. Most say that it compliments their work and that they find it extremely or very helpful. Gen AI can help small business owners increase throughput and productivity—85% of independents say Gen AI has made them more competitive and 66% said that has increased their productivity and efficiency.

One big conversation around AI is whether or not it is replacing jobs. Very few independents agree with this sentiment—only 7%—while 13% said that AI has the potential to replace their work entirely. Most independents say they are using Gen AI for writing, research, or other creative tasks.

Dig deeper: Artificial Intelligence: MBO Senior Leadership Perspectives  

Three Ways AI is Changing the Independent Workforce

1. Enterprises are using AI to bolster their contingent labor programs

While Gen AI has many uses for small business owners, enterprises are finding use for these tools as well. AI-based software can help hiring managers craft a role description with the right keywords to attract better talent, scan resumes and sites like LinkedIn to identify potential candidates, or even assist with initial outreach emails.

While these various uses of Gen-AI can be helpful, it is worth noting that these are relatively new uses of AI and should be monitored closely. Throwing AI tools into the mix of a contingent labor program that is in the beginning stages might not add the most value. Think of AI tools as assistants lending a hand rather than the be-all-end-all of decision-making.

2. Independents are using Gen AI to streamline their businesses

Most independents find that Gen AI enhances their businesses rather than threatens them. Four in ten independent workers say they use Gen AI tools to help them research topics, generate article outlines and drafts, and format deliverables. About one-third of independents say they use these tools for creative purposes such as creating original images, designs, graphics, and presentations. Others use Gen AI for coding assistance, marketing, and administrative tasks.

Running a small business is hard work as one person and AI seems to be an option that helps independents boost productivity and save time. AI tools are a cost-effective solution that have a lower cost of investment and risk than finding help by hiring another person or purchasing expensive software. Over the next two years, 73% of independents plan to use or continue to use Gen AI tools.

3. Talent and client management is evolving with AI

Independent professionals value good communication, regular feedback, and onboarding guidance when working with a client. Gen AI can lend a hand to enterprises in this area by helping to monitor performance, analyze data, and provide feedback. Monitoring tools can help managers identify areas for improvement and get notifications when goals are met. AI data can be used as a way to prompt conversations about performance.

For independents, AI can assist with better client communication. For basic questions, AI-powered chatbots can provide clients with quick answers, help them schedule a meeting, or assist with troubleshooting. Project management AI tools can help with file sharing, progress tracking, and task collaboration, enabling independents to stay organized and easily report on project status.

Looking to learn more about Gen AI and its impact on independent work? Check out our report: Exploring New Frontiers: How Independent Workers View and Use Generative AI

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