Abstract: Organizations are moving past the binary debate of whether artificial intelligence (AI) will replace or augment workers and into a more pressing question: how should humans and AI systems be configured as teams so that the combination outperforms either alone? Drawing on management scholarship, behavioral research, and emerging evidence from generative AI deployments, this article maps the human–AI teaming landscape, examines its consequences for organizational performance and worker wellbeing, and synthesizes evidence-based responses across communication, governance, capability building, work design, and trust calibration. Five forward-looking pillars—psychological contract recalibration, distributed AI literacy, purpose and belonging, model and data stewardship, and continuous learning systems—are proposed as foundations for durable hybrid capability. Industry narratives from software, financial services, healthcare, customer service, and life sciences illustrate practical implementation. The article concludes that hybrid performance is less a function of model sophistication than of the deliberate organizational design surrounding the human–AI relationship.


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