Research Report: The $56B Cost of Generational Conflict — and How AI Can Fix It
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About the study
In theory, employees in revenue-generating roles should be one of the biggest beneficiaries of AI. Their jobs are workflow-heavy, data-rich, and under constant pressure to do more with less. Yet industry analysis shows that while functions like engineering and marketing are already capturing measurable productivity gains from AI, revenue organizations are still in the earliest stages. Most teams are experimenting in pockets — not fundamentally changing how work gets done.
A major reason is the human layer. AI can redesign processes and automate low-value work, but real impact still depends on frontline adoption shaped by deeply ingrained habits, incentives, and attitudes toward technology.
In today’s organizations, those attitudes span four generations — Baby Boomers (ages 61+), Gen X (ages 45-60), Millennials (ages 29-44), and Gen Z (ages 22-28) — who often disagree on how much to trust AI, how selling should work, and what “hard work” even means.
We launched this study to understand how those generational dynamics are shaping AI’s impact inside revenue organizations. Where is AI already improving revenue performance? Where are underuse and resistance leaving real revenue on the table? And how much risk is created when age-diverse teams clash over tools, communication styles, and work-life expectations?
Our survey of 2,000 U.S. employees in revenue-generating roles uncovered a $56 billion productivity loss driven by generational conflict. It also revealed where AI can play a transformative role — from codifying best practices and leveling skill gaps to supporting the transition into an AI-powered future that meaningfully increases revenue per employee.
Key findings at a glance
- AI is delivering value, but most employees in revenue-generating roles are leaving it on the table. 85% of survey respondents say AI boosts their performance. Yet nearly two-thirds (64%) aren’t fully using the tools available to them — including 75% of Baby Boomers — signaling a major adoption gap.
- Technology is tearing revenue teams apart. 60% of Baby Boomers say Gen Z’s tech-first approach is destroying customer relationships. But Gen Z says Boomers’ tech resistance is killing innovation (64%) and costing them deals (63%).
- Communication clashes are draining revenue. More than 8 out of 10 survey respondents have seen other generations lose deals because their communication style was out of sync with the customer. Many admit they don’t always adjust their approach.
- Work-life balance has become a fault line. 71% of Gen Z believes Boomers care more about hours logged than actual results. Most Boomers (64%) think Gen Z prioritizes work-life balance over business needs — yet younger generations, empowered by AI, report hitting their revenue targets more often.
- Generational tension is eroding productivity at a massive scale. 70% of survey respondents on age-diverse teams say generational conflict hurts their productivity, reporting a loss of 5.3 hours each week.
This adds up to nearly $56 Billion in lost productivity per year for U.S. employers.
- The fallout goes far beyond lost revenue. Both the youngest (54%) and oldest (36%) age groups say generational friction makes them more stressed and burned out. Nearly 40% of Gen Z reps would rather be managed by AI than a Baby Boomer.
- The clash between generations is driving some employees to quit. Gen Z employees are so frustrated that 28% are looking for a new job where they can avoid Boomers. Meanwhile, 19% of Baby Boomers plan to retire early because they’re tired of dealing with Gen Z.
- AI can be a unifying force if used intentionally. While technology fuels many of these generational tensions, employees of all ages see AI as a way to improve knowledge sharing (86%), bridge experience gaps (80%), and strengthen communication (79%).
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