From Stopwatches to AI Copilots, the Story of Work Keeps Evolving
Key Highlights
- In the early 1900s, Frederick Taylor emphasized work standardization and process analysis.
- Lean shifted focus to people, trust and continuous improvement, transforming leadership into coaching and empowering operators as process experts.
- AI brought the augmentation of work. Leadership philosophy determines whether AI will be a tool for control or collaboration within organizations.
In previous columns, I explored how human resources can help lead AI transformation without losing culture, how AI and lean intersect in practical ways, and where organizations should begin that journey.
This article steps back from the tactics to look at the bigger story. How did we arrive at this moment where AI, lean thinking and human-centered leadership converge?
Every once in a while, I go back and skim Frederick Taylor’s Principles of Scientific Management. Each time, two things immediately jump out. First, Taylor truly did set the foundation for industrial engineering. Second, some of his language did not age well and would get you thrown out of a plant today.
It remains an important historical artifact, but parts of it sound like a 1911 factory boss barking orders from behind a handlebar mustache.
Despite that, Taylor introduced a simple but powerful concept: Work should not be random. It is worth studying, improving and standardizing. That idea opened the door to everything that followed. The evolution from Taylor to lean to today’s AI-enabled workplaces traces a clear arc in how we think about people, leadership and the role of technology.
Taylor: The Dawn of “Let’s Stop Doing Things the Hard Way”
Before Taylor, work was driven by tribal knowledge, habit and the mood of whomever did the training. His scientific approach brought order and consistency to a chaotic landscape.
Taylor also operated from a fixed assumption, one that management theorist Douglas McGregor later labeled Theory X: the belief that workers avoid responsibility, lack initiative and require close control to perform well. Taylor’s mindset shaped much of early industrial management thinking and planted the seeds of skepticism that still surface anytime someone mentions “standard work.”
Even so, Taylor made it acceptable, even expected, to study work in a disciplined way. The instinct to analyze processes, understand variation and remove waste shows up today in how organizations use AI to evaluate flow, demand and constraints.
Lean: the Big Human-Centered Pivot
Several decades later, Toyota approached the same challenge from a very different perspective. Toyota’s system quietly rewrote the rulebook by embracing what McGregor called Theory Y. This viewpoint assumes that people want to contribute, learn, solve problems and take pride in their work when they are supported and trusted.
This shift in belief fundamentally changed the conversation. Lean brought with it several key ideas: operators are the true process experts, leaders act as coaches rather than scorekeepers, improvement is continuous rather than fixed and respect for people is central to performance.
Understanding the difference between Theory X and Theory Y makes the progression from Taylor to lean feel less like a gradual evolution and more like a turning of the page. Lean did not simply improve processes. It elevated people. This people-centered philosophy is also central to the argument that culture and engagement determine whether AI succeeds inside an organization.
Today: AI Joins the Story, but It Still Needs Us
AI is entering operations in much the same way personal computers entered office work decades ago. Adoption is uneven, the learning curve is steep and there is a healthy mix of excitement and unease.
Once again, leaders face a choice between a Theory X and a Theory Y view.
Theory X leaders tend to see AI as a way to increase control, enhance monitoring or automate people out of the equation. Theory Y leaders see AI as a thought partner, a co-pilot that extends human capability.
When used well, AI becomes a problem-solving accelerator, a data translator, a pattern detector, a brainstorming partner and a reliable second set of eyes. It can process information at a scale we cannot, but it still requires human judgment, human context and human creativity.
AI can analyze but cannot interpret. It can recommend but cannot decide. It can accelerate thinking but cannot replace wisdom. These lessons mirror the transition from Taylor’s scientific management to lean’s human-centered systems. The pattern now shows up in digital form.
Connect the Dots, and the Arc Is Clear
Stepping back reveals a straightforward storyline.
Taylor provided the science of work.
Lean brought the humanity of work.
AI offers the augmentation of work.
Different eras grapple with the same questions about people, trust and technology. Over time, each generation discovers that tools elevate people rather than replace them. The type of work changes, but the value of people remains constant.
Where We Go From Here
This moment is pivotal, not because AI is coming for jobs, but because organizations will soon reveal which mindset they truly operate from.
A Theory X organization will misuse AI. It becomes top-down, opaque and surveillance-heavy. Ownership and responsibility diminish. A Theory Y organization will thrive with AI because transparency, collaboration, empowerment and skill-building create an environment where technology strengthens people rather than weakening them.
The impact of AI will not be determined by the tool itself. The leadership philosophy behind it will make the difference.
The Real Lesson of the Last 110 Years
Drawing a line from Taylor’s stopwatches to Toyota’s andon cords to today’s AI copilots reveals a consistent truth. The story of industrial excellence is the story of expanding human potential.
- Taylor improved productivity.
- Lean improved culture and capability.
- AI is improving cognition and speed.
Three eras form one clear arc: better science leading to better people and ultimately better systems. The companies that excel in the next decade will be the ones that recognize AI is not replacing the human element. It is making it more important than ever.
About the Author

Eric Lussier
Principal, Next Level Partners
Eric is a hands-on student and practitioner of lean with a passion for building problem-solving cultures built on the pillars of continuous improvement and respect for people. Originally trained by a Japanese sensei as an engineering co-op student, he has over 30 years of experience implementing continuous improvement practices in all aspects of operating companies, in a variety of industries, leading to accelerated operating and financial performance.
Before joining NEXT LEVEL Partners®, LLC, Eric held executive and leadership roles with public and private equity-backed companies including Steel Partners, Sequa Corporation, and Allied Signal.
Eric earned an MS in Industrial and Systems Engineering from the University of Alabama Huntsville, an MS in Industrial Engineering / Engineering Management from the University of Tennessee, and a BS in Industrial Engineering from the University of Tennessee.
