Few CEOs have been as forthcoming about the implementation of artificial intelligence within their companies as Sebastian Siemiatkowski, the head of Sweden’s buy-now, pay-later company Klarna. During his recent participation at Charter’s Leading with AI Summit on February 10, he shared insights from Klarna’s forward-thinking AI initiatives.
“I faced backlash for saying that,” Siemiatkowski remarked to Charter editor-in-chief Kevin Delaney, referencing a previous statement that AI could potentially replace all jobs, including his own. “People were quite upset about it.” Since 2022, Klarna has rapidly adopted AI, launching a customer support agent that the company claims performs the work of 850 human employees. As a result, they have seen their workforce shrink by approximately 50% through attrition, as noted by Siemiatkowski.
However, he acknowledged that while the AI assistant is effective for straightforward queries, the human touch remains crucial and is now considered a premium service that customers appreciate. “We are rethinking our approach. We plan to utilize AI to assist human agents and handle the most basic tasks, but offering human interaction will be akin to providing VIP service,” he stated.
Here are some key takeaways from our discussion with Siemiatkowski:
For exceptional service, hire your most enthusiastic customers. Siemiatkowski mentioned that one of their most exciting projects involves bringing on board their most passionate customers as part-time service agents. This Uber-like model allows these customers to work remotely, leveraging their familiarity with Klarna’s service, resulting in an unparalleled customer service experience.
Increased compensation can motivate employees amid rising attrition. Despite a decrease in headcount due to attrition, Siemiatkowski highlighted that revenue has surged, climbing from $300,000 to $1.3 million per employee since 2022. In tandem with this growth, Klarna has also raised average salaries. “My employees are aware that they’re enhancing efficiency and sharing in its benefits,” he explained. “It’s not merely additional work; they are also seeing increased compensation.”
Jobs centered on relationship-building are more secure. Siemiatkowski pointed out that a significant portion of their team focuses on collaborations with partners such as Macy’s, Sephora, and Nike. Those managing these partnerships? “AI will not encroach on their roles,” he asserted.
Business knowledge is becoming more essential than technical skills. Initially, Klarna concentrated on recruiting engineers for its AI strategy, but that focus has shifted. According to Siemiatkowski, individuals with business acumen who can effectively leverage AI tools for coding and feature development are increasingly valuable. “Engineers sometimes ask, ‘I’ve built this feature; what should I do now?’” he remarked.
Setting an example by using AI tools at the executive level is vital. Siemiatkowski humorously suggested to OpenAI’s co-founder Sam Altman that if AI could replicate a CEO’s role, people would cheer for its arrival. However, he noted the importance of leading by example: “It’s crucial to demonstrate what’s achievable and to empower others to use these tools.”
As an instance, he shared a recent presentation where he integrated a Google Sheet into the AI tool Cursor during a meeting, which allowed him to create visualizations and dashboards rapidly. “After 40 minutes, as they were still presenting, I interjected, ‘Stop; let me show you this.’” He encouraged everyone to “download Cursor, invest in a license, initiate a project, and put an idea into it. If you haven’t done that, you won’t fully grasp the changes heading our way.”
To view the complete conversation with Siemiatkowski, check the full interview here. For full coverage of our New York summit, visit this link. Additionally, you can register for the San Francisco Leading with AI Summit online, or apply to attend in person.
