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IBM's CFO Jim Kavanaugh and CHRO Nickle LaMoreaux discuss how AI is merging finance and human resources into a new discipline called workforce economics, where talent, digital labor, and technology investment are managed as one system. They cite IBM's internal results: 60% productivity gains, 75% faster cycle times, and 60% improved cash conversion from redesigning workflows like quote-to-cash and hire-to-exit. IBM targets $5.5 billion in annual run-rate productivity savings by end of 2026, up from $4.5 billion in 2025, to fund AI and quantum investments. The IBM Institute for Business Value's global CHRO study, released Sept.
IBM's CFO Jim Kavanaugh and CHRO Nickle LaMoreaux introduced 'workforce economics' to align finance and HR as AI reshapes workflows, citing $4.5B in productivity gains over three years and a target of $5.5B by 2026, with workflow redesigns delivering 60% productivity and 75% cycle time improvements.
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