Case in one sentence
A generative-AI chat assistant deployed across roughly 5,000 customer-support agents at a Fortune 500 software firm raised measured productivity by about 15%, but the gain went almost entirely to the least experienced agents while the most experienced gained little and, in the published version, lost a little quality.
Executive summary
Between late 2020 and mid-2021, a Fortune 500 software firm rolled out a conversational assistant built on a GPT-family model to its customer-support organisation. The tool monitored live customer chats and suggested responses in real time; agents stayed responsible for the conversation and were free to ignore it.1 Because the firm deployed it in waves rather than all at once, three economists were able to compare treated and not-yet-treated agents over three million chats and estimate the effect on standard contact-centre metrics.21
Access to the assistant raised issues resolved per hour by about 15% on average.2 The average conceals the finding that matters operationally: novice and lower-skilled agents improved by around 34%, while the most experienced and highest-skilled agents saw minimal gains in the working paper and, in the published version, small gains in speed alongside small declines in quality.12 The authors’ explanation is that the model had been trained on the firm’s own successful conversations, so it carried the tacit practices of its best agents to everyone else.1
Two secondary results matter as much to an operations reader. Agent attrition fell, concentrated among newer workers — in an industry where the paper cites turnover estimates around 60% a year.1 And when the software failed, agents kept part of their gain, which suggests the tool changed what workers knew rather than only what they produced while it was switched on.1
What the record does not contain is the money. Neither version reports the licence, integration, or training cost of the deployment, so this case records a measured productivity effect, not a return on investment.
Research question
When a generative-AI assistant is placed inside a real, continuously measured production workflow, how large is the effect on output, and who captures it?
Organization and operating context
The deploying organisation is a Fortune 500 software firm selling business process software; the study does not name it, and no public statement from the firm was found for this review.1 Its support agents resolve technical problems over text chat, with sessions averaging about 40 minutes, much of it spent diagnosing the underlying fault. Chats are randomly assigned to available agents, which means agents do not systematically get easier or harder problems than one another.1
Most of the workforce studied — 89% — works outside the United States, primarily in the Philippines, across both the firm’s own agents and outsourced agents.1 This is ordinary offshore contact-centre work, with the shift patterns and turnover that come with it, not a pilot staffed by enthusiasts.
The situation before AI
The firm already measured its agents closely, using three metrics standard in the industry: average handle time, resolution rate, and net promoter score.1 A productive agent handles chats quickly while keeping resolution and satisfaction high, and can run several conversations at once.
The operating problem the tool was bought against is the one contact centres have always had. Skill is unevenly distributed, the practices that make a top agent effective are tacit and hard to teach, training is expensive, and attrition is severe — the paper cites industry estimates of roughly 60% annual turnover at a cost of $10,000 to $20,000 per agent.1 Every departure resets the learning curve.
The AI intervention or event
The assistant watched each live conversation and proposed what the agent might say next, drawing on a model trained on the firm’s own history of successful chats. It advised; it did not act. Agents remained accountable for the conversation and could disregard any suggestion.1
Deployment was staggered: agents joined the system after a training session, in waves, with the bulk of adoption between November 2020 and February 2021 and coverage broadly similar across in-house and outsourced agents.1 A small randomised pilot ran in October 2020; its data are included in the main analysis but, the authors state, are not analysed separately because the sample is too small.1 The study therefore rests on the phased rollout, not on that pilot.
In total the researchers observed three million chats by 5,179 agents, of which 1.2 million chats by 1,636 agents came after those agents had the tool.1 The published version of the paper reports the sample as 5,172 agents.2
Outcomes and economics
Issues resolved per hour rose about 15% on average in the published version, 14% in the working paper.21 The effect decomposes into three channels: each chat took less time, agents ran more chats concurrently, and a slightly larger share of chats ended resolved.1
The distribution is the finding. Novice and lower-skilled agents gained roughly 34% in resolutions per hour — 0.29 log points — while the most experienced and highest-skilled agents gained little; the published version reports that this group saw small speed gains and small declines in quality.12 The tool compressed the performance range rather than lifting it evenly.
Alongside output, customer sentiment improved and attrition fell, the latter driven by newer workers staying.12 In an operation with 60%-a-year industry turnover, retention may be worth more than the throughput.
The economics stop there. Neither version discloses what the firm paid for the tool, what integration and training cost, or what happened to headcount, staffing plans, or wages after the study window. The authors state plainly that their results do not capture longer-term effects on skill demand, job design, wages, or customer demand.1 Any figure describing this deployment’s return on investment would be an invention.
Causal assessment and competing explanations
The design is quasi-experimental rather than experimental. Because the firm onboarded agents in waves, the researchers compare agents who had the tool against those not yet onboarded, estimated with the Sun and Abraham interaction-weighted estimator and supported by event studies around each agent’s start date.1 The identifying assumptions are parallel trends, no anticipatory behaviour, and a common dynamic treatment profile.1 Random assignment of chats to agents removes the most obvious confounder, that treated agents drew easier problems.1
What the design does not rule out sits in the timing. Agents were onboarded after training sessions, in an order the firm chose, not by lottery; the randomised pilot that would have settled this is too small to analyse on its own.1 The authors themselves flag that later cohorts may have had smoother onboarding, which would make treatment effects vary by wave for reasons unrelated to the tool. Adherence results carry a further selection caveat the authors raise directly: agents who follow recommendations may be more productive for other reasons, or may be exactly the agents with most to gain.1
The horizon is five months after treatment, where the sample thins.1 Novelty effects, a firm-wide push accompanying the rollout, and the ordinary drift of a workforce over a pandemic year are not separately identified, though firm-year-month controls absorb seasonal and product-cycle shifts.1
On balance the design credibly isolates the deployment’s short-run effect within this firm, which is why this case carries the causal label. That label describes the study’s internal validity. It says nothing about whether the same tool would do the same thing anywhere else.
What a second experiment adds. A randomized field experiment run with Alibaba on Taobao’s after-sales chat operation now speaks to the same proposition from a different direction: 5,940 agents, all with under a year’s tenure, randomly assigned at agent level to a gen-AI assistant that drafts a diagnosis and proposed solution in the opening stage only, over four pretreatment and four treatment weeks in the winter of 2023–24.3 Randomization rather than onboarding order removes the timing threat this case has to reason around.
It agrees on the thing that matters most here. Lower-performing agents gain most on quality, the assistant narrows the spread, and the best agents do not merely fail to gain — they get worse, on customer ratings and on the objective measure of whether a customer comes back.3 The published version of this case’s own study reports small quality declines at the top, and that finding now has independent support from a stronger design.
It disagrees on the shape. On issue-identification speed the Alibaba gradient is an inverted U: the local average treatment effects run 16.8%, 36.2%, 46.2%, 37.8% and 18.3% from lowest to highest pretreatment quintile, so mid-tier agents gain most and both ends gain least.3 “Novices benefit most” is not what that curve says.
And it separates two things this case does not. Average subjective quality improved while objective quality — three-day customer retrials — did not move significantly.3 A satisfaction score going up is not the same event as a problem being solved, and only one of the two studies is positioned to notice.
For the top-performer decline the authors offer a mechanism with evidence behind it and a caveat in front of it: among the highest quintile, using the assistant raises time spent away from the focal chat by 23.8%, raises response time by 8.6%, and raises within-ten-minute customer retrials — a pattern consistent with the assistant freeing attention that then gets spent on other concurrent chats, at the cost of continuity in this one. They state that shift-away behaviour is observational rather than randomly assigned and label the mechanism suggestive.3
Failures, limitations, and governance
- One firm, one period: A single unnamed employer over roughly five months. Nothing establishes that the result travels.
- No independent access: The data are proprietary. No second party has re-analysed them, and the one experiment that speaks to the same proposition uses a different firm’s data and different outcome measures.3
- The firm is anonymous: Its account of the deployment, its costs, and its later staffing decisions cannot be sought or checked.
- Firm-defined metrics: Productivity is measured the way the employer measures it. Resolution rate and net promoter score are operational metrics, not welfare measures.
- A quality cost at the top: The published version reports small declines in quality for the most experienced agents — a real, if small, harm to a subgroup that the headline average hides. The Alibaba experiment finds the same sign on two independent quality measures, and a mechanism for it.3
- Worker-side questions unasked: The study covers an offshore, heavily monitored workforce. Effects on pay, workload intensity, surveillance, and job security are outside its scope, and the authors say so.
- Version drift: The widely repeated figures — 5,179 agents, 14%, 34% for novices — come from the working paper. The peer-reviewed record reports 5,172 and 15%, and characterises the top-skill effect differently.
What this case demonstrates
- A copilot’s value can be distributional rather than uniform: the same tool that transforms a novice’s output may do nothing for an expert.
- Measured productivity moved through three separate channels — handle time, concurrency, and resolution rate — so a single headline percentage hides the operating levers.
- The plausible mechanism is codified tacit knowledge: a model trained on an organisation’s own best conversations can distribute practices that resisted training and documentation.
- Part of the gain survived the tool’s failure, which points to durable change in the worker, not only in the output while the system runs.
- In a high-turnover operation, the retention effect may be the larger prize, and it is the one least likely to appear in a productivity business case.
- A rigorous effect size is not a return on investment. This deployment’s costs were never disclosed, and no responsible reader can derive one.
What this case does not demonstrate
- It does not establish the deployment’s net economics: licence, integration, and training costs are absent from the record.
- It does not show what happened to staffing, wages, or job design after the study window, which the authors explicitly place outside their results.
- It does not generalise to other firms, other vendors, or less structured knowledge work, and the authors make no such claim. A second experiment in a different firm and sector finds a compatible pattern but a differently shaped one, which is a reason to hold the mechanism loosely rather than a licence to generalise.3
- It does not distinguish a satisfied customer from a solved problem. Its productivity measure is resolutions per hour and its quality measure is a satisfaction score; the Alibaba experiment, which measures both separately, finds average gains on the subjective measure and none on the objective one.3
- It does not show that experienced agents are unaffected: the published version reports small quality declines for that group.
- It does not tell us how customers, as opposed to customer-satisfaction scores, fared.
Evidence assessment
Grade B — good evidence with material limitations. The central finding rests on a transparent quasi-experimental design applied to three million chats, peer-reviewed and published in a journal of record, with the full empirical appendix readable in the working-paper version.21 The identification strategy, estimator, and assumptions are stated, the authors raise the main selection threats themselves, and the random assignment of chats removes the most obvious confounder.
The limitations are structural rather than technical. The first two sources are two versions of one study and therefore one evidentiary chain, not two. The data belong to an unnamed firm, cannot be re-analysed by anyone else, and are measured with that firm’s own metrics. The window is about five months. The published full text is paywalled and was unreachable for this review, so the journal record was verified through its bibliographic entry and the working-paper text was read in full — which is also how the discrepancy between the two versions’ headline figures was found.
A second chain now exists and it is worth being exact about its reach. The Alibaba experiment is a genuine replication of the pattern — different firm, different country, different sector, randomized rather than staggered, and it reproduces both the gap-narrowing and the cost to top performers.3 It is not a replication of the result. It never measures issues resolved per hour, so the 15% figure remains unconfirmed by anyone; it studies agents who are all new, where this study’s whole point is variation in experience; and it disagrees on the shape of the gradient. It is also a company-collaborated preprint that has not been peer-reviewed.
So the grade stays at B, and that is an editor’s judgment worth stating. With two source families a mechanical reading of the chain count would permit A. This case declines it on the same principle applied elsewhere in the library: a second chain that corroborates the lesson but cannot touch the headline number is not corroboration of that number. What the second chain does buy is that this case’s most fragile-looking finding — the small quality decline among the most experienced — is no longer resting on one study’s published revision.
Material claims
Each claim carries a controlled label, the evidence behind it, and what would change the label.
| Claim | Label | Evidence | What would change this |
|---|---|---|---|
| Access to the assistant raised issues resolved per hour by about 15% on average. | Supported | Staggered difference-in-differences over three million chats with event studies21 | An independent re-analysis of the chat data, a replication elsewhere, or evidence that onboarding order correlated with agents’ underlying trends |
| The gain was concentrated in novices, at roughly 34% for the least experienced and little for the most experienced. | Supported | The 34% figure and the skill gradient in the working paper1; the published version reports the same direction with small quality declines at the top2. A randomized experiment elsewhere reproduces gap-narrowing but finds an inverted-U gradient on speed, with mid-tier agents gaining most3 | A re-analysis finding the gradient driven by cohort timing rather than skill, or a replication without heterogeneity |
| A gen-AI support assistant narrows the performance spread between agents in at least one other firm and sector. | Supported | Randomized field experiment at Alibaba: 5,940 agents, 2,895 treated, about 2.56 million chats, lower-performing agents gaining most on quality3 | Peer review overturning the result, or a further experiment finding no heterogeneity |
| Using such an assistant makes the highest-performing agents worse. | Supported | The published version of this study reports small quality declines at the top2; the Alibaba experiment finds declines in both subjective and objective quality for the top quintile, with a suggestive workflow-disruption mechanism the authors decline to call causally identified3 | A third study finding no top-end cost, or evidence that the Alibaba top quintile differed systematically in case mix |
| Improvements in customer-satisfaction scores correspond to problems actually being resolved. | Unknown | This study’s quality measure is a satisfaction score; the Alibaba experiment measures both and finds average gains on customer ratings with no significant change in three-day customer retrials3 | A study reporting both measures for the same deployment |
| Attrition fell after deployment, driven by newer workers staying. | Supported | Attrition results in both versions12 | Evidence that the retention shift tracked labour-market conditions or firm policy changes rather than the tool |
| Part of the productivity gain persisted during unexpected software outages. | Supported | Outage analysis comparing treated agents to their pre-AI baseline1 | Evidence that outages were anticipated or non-random, or a re-analysis finding no persistence |
| The published and working-paper versions report different headline figures. | Verified | 5,172 agents and 15% in the journal record2; 5,179 agents and 14% in the working paper1 | A correction to either record |
| The deployment produced a positive return on investment. | Unknown | Neither version reports licence, integration, or training costs, and the firm is unnamed | Cost disclosure by the firm, or a replication that reports net economics |
| The result generalises to other firms, vendors, or less structured work. | Unknown | One firm, one workflow, one five-month window; the authors claim no external validity. A different firm shows a compatible but differently shaped pattern, which is not the same as the result travelling3 | A replication measuring the same outcome — issues resolved per hour — in a different firm or occupation |
Direct quotations
“Using data on software outages—periods in which the AI software fails to provide any suggestions—we show that workers see productivity gains relative to their pre-AI baseline even when recommendations are unavailable.”
— Brynjolfsson, Li, and Raymond1 · locator: introduction, summary of findings
“Most importantly, our results do not capture the potential longer-term impacts of generative AI on skill demand, job design, wages, or customer demand.”
— Brynjolfsson, Li, and Raymond1 · locator: section 7, Conclusion
Revision notes
-
2026-09-13 — Source review. The
single_chain_rationalesaid “no independent replication exists”. One does now, and it is removed. A randomized field experiment run with Alibaba on Taobao’s after-sales chat operation — 5,940 agents, 2,895 treated, about 2.56 million chats, randomized at agent level over four pretreatment and four treatment weeks — is added as a third source and a second source family. It agrees where it counts: lower performers gain most, the spread narrows, and the best agents get worse on customer ratings and on the objective retrial measure alike, which independently supports the small top-end quality decline this case had resting on one study’s published revision. It disagrees on shape, finding an inverted-U gradient on issue-identification speed with mid-tier agents gaining most, and that disagreement is recorded in the claims rather than averaged away. It also separates subjective from objective quality and finds movement in only one, which produced a newUnknownclaim this case did not previously carry. Three claims added, three revised. Grade stays B and the reasoning is stated in the evidence assessment: the second chain replicates the pattern, never measures issues resolved per hour, studies only agents with under a year’s tenure, and is a company-collaborated preprint. A chain that corroborates the lesson but not the headline number does not lift the grade — the same principle applied to AAI-2026-006 in this review. -
2026-09-12 — Initial publication. Recorded the deployment as an economic case with a quasi-experimental causal label, separated the average effect from its distribution, left the net economics unknown rather than inferred, and noted that the widely cited headline figures come from the working paper rather than the peer-reviewed record.
Footnotes
-
Brynjolfsson, Li, and Raymond, “Generative AI at Work”, NBER Working Paper 31161, April 2023, revised November 2023. ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9 ↩10 ↩11 ↩12 ↩13 ↩14 ↩15 ↩16 ↩17 ↩18 ↩19 ↩20 ↩21 ↩22 ↩23 ↩24 ↩25 ↩26 ↩27 ↩28 ↩29 ↩30 ↩31 ↩32 ↩33 ↩34 ↩35
-
Brynjolfsson, Li, and Raymond, “Generative AI at Work”, The Quarterly Journal of Economics 140(2), 2025. ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9 ↩10 ↩11 ↩12 ↩13
-
Ni, Wang, Feng, Lu, Wang, and Zhou, “Generative AI in Action: Field Experimental Evidence from Alibaba’s Customer Service Operations”, arXiv:2603.29888, v1 2026-02-08, v2 2026-07-31 (the version read; its cover page is dated July 2026). A preprint, not peer-reviewed. ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9 ↩10 ↩11 ↩12 ↩13 ↩14 ↩15
Evidence ledger
BWell supported
Credible original evidence supports the central account, but access, corroboration, measurement, completeness, or reproducibility carries a material limitation.
- Material sources
- 3
- Independent chains
- 2
- Archived
- 0 of 3
The 3 sources below trace back to 2 separate origins. Whether those origins corroborate one another on this case's central claims is assessed in the case, not implied by the count. 1 chain carries more than one source; those sources corroborate each other's reporting, not the underlying evidence.
What would strengthen this case
Grade A needs corroboration of this study's own numbers, which does not exist. A randomized field experiment at Alibaba has since replicated the pattern in a different firm, sector, and country, but it measures different outcomes and cannot confirm the 15% figure. What would: an independent re-analysis of the underlying chat data, or the firm's own account of the deployment. Disclosure of the tool's licence, integration, and training costs would let the case state net economics instead of leaving them unknown, and evidence on staffing and wages after the study window would resolve what the authors explicitly leave open.
Chain 1 of 2Origin:
alibaba-taobao-rctGenerative AI in Action: Field Experimental Evidence from Alibaba's Customer Service Operations
Primary investigationAnalysis
- Access
- Platform-side operational data from Taobao: 5,940 after-sales chat agents, all with under a year's tenure, handling about 2.56 million chats and receiving about 0.39 million customer ratings over an eight-week window spanning December 2023 to February 2024. Message-level timestamps allow the authors to measure attention shifting between concurrent chats.
- Method
- A randomized field experiment, not a staggered rollout: 2,895 agents assigned to the assistant and 3,045 to control, randomized at agent level, with four weeks of pretreatment data. The assistant drafts a diagnosis and proposed solution in the opening stage only, and agents may adopt, modify, or ignore it, so the paper reports both intention-to-treat and local average treatment effects. Outcomes are split into service speed, subjective quality (customer ratings, dissatisfaction) and objective quality (three-day customer retrials).
- Conflicts
- Conducted in collaboration with Alibaba, with an author affiliated to Alibaba Group. A preprint, not peer-reviewed. Against that, its headline findings include a quality decline among the company's best agents, which is not what a promotional analysis reports.
- Corroboration
- It is itself the corroboration this case lacked, and only partly. It reproduces the gap-narrowing result and the top-end quality cost in a different firm, sector, and country under a stronger design. It does not measure issues resolved per hour and cannot speak to the 15% figure.
- Accountability
- Named authors with institutional addresses, a stable arXiv identifier with a visible two-version history, full regression tables with significance levels, and an explicit statement that the attention-shifting mechanism is suggestive rather than causally identified.
- Notes
- Read for this case: abstract, experiment setup, and the heterogeneity and mechanism results in full; the appendices were not read line by line. Version 2 of 31 July 2026 was the one read, and its cover page is dated July 2026 while the arXiv record dates the first version to February. It disagrees with the study this case is about on one point worth keeping: on issue-identification speed the gradient is an inverted U, with mid-tier agents gaining most and both the lowest and highest performers gaining least.
Accessed Sep 13, 2026No archive snapshot
Chain 2 of 2Shared origin:
brynjolfsson-li-raymond-studyGenerative AI at Work
Primary investigationAnalysis
- Access
- Proprietary firm records: conversation text and outcomes for three million customer-support chats, covering every agent the firm employed over the study window, supplied by the firm and not publicly released.
- Method
- Staggered difference-in-differences over the tool's phased deployment, estimated with the Sun and Abraham interaction-weighted estimator, supported by event studies and text analysis of chat transcripts. Identification assumes parallel trends, no anticipation, and a common dynamic treatment profile.
- Conflicts
- Funded by the Stanford Digital Economy Lab. The working-paper cover states that at least one co-author disclosed additional relationships of potential relevance. The data firm is unnamed, supplied the data, and defined the productivity metrics used.
- Corroboration
- None available. The deployment has not been replicated and no second party has examined the underlying data.
- Accountability
- Peer-reviewed and published as the version of record, with a named journal, volume, and pagination, and a journal corrections process.
- Notes
- The version of record, reporting 5,172 agents and a 15% average effect. Its full text is paywalled and was unreachable from this review; the abstract and bibliographic record were verified through the RePEc entry for the article.
Accessed Sep 12, 2026No archive snapshot
Generative AI at Work (NBER Working Paper 31161)
Primary investigationAnalysis
- Access
- The same proprietary firm records: three million chats by 5,179 agents, of which 1.2 million chats by 1,636 agents fall after the tool was deployed.
- Method
- Same design as the published version, with the full empirical appendix, event-study figures, deployment timeline, and outage analysis available to read.
- Conflicts
- Same funding and disclosure as the published version. The NBER cover states that working papers are circulated for discussion and have not been peer-reviewed.
- Corroboration
- Superseded rather than corroborated by the published version, which reports slightly different figures.
- Accountability
- Named authors at Stanford and MIT with institutional affiliations, a dated revision, and a public disclosure statement.
- Notes
- Read in full for this case. Reports 5,179 agents and a 14% average effect, against 5,172 and 15% in the published version, and gives the widely cited 34% novice figure that the published abstract states qualitatively.
Accessed Sep 12, 2026No archive snapshot
Cited in the synthesis
- P1Nothing that worked is well evidenced · counter-case to
- P3Organisations measure the proxy they can move, not the outcome they meant · supports
- P4Not one case reports both a measured cost and a measured benefit · supports