The Human-in-the-Loop: Why AI Needs Your Expertise to Thrive in Your Business

Is AI Replacing Human Workers?

There’s a common misconception that AI is replacing human workers, which results in the fear of AI job displacement. The truth is more nuanced. AI can process data at lightning speed, but it still requires human judgment, creativity, and contextual understanding to make the right decisions.

As McKinsey highlights, " [1]only 5% of occupations can be fully automated, while nearly 60% can have 30% of their activities automated." That means AI isn’t about replacement—it’s about AI and Human collaboration.

What Human-in-the-Loop Really Means

The term Human-in-the-Loop (HITL) refers to AI systems that rely on human input at critical stages. For SMEs, this could look like:

• Reviewing AI-generated marketing campaigns to ensure cultural relevance.
  

• Validating AI-driven sales predictions with on-the-ground knowledge.
  
  According to a study, up to 70%[2] of sales tasks still require human intervention.
  

• Guiding customer service bots when queries become too complex.

  A study found that 70%[3] sales leaders believe that human salespeople are still better at handling complex sales situations.
  

The result? Perfect Human-AI Partnership. AI handles the repetitive tasks, while humans bring expertise, empathy, and strategy.

Why Your Expertise Matters

AI doesn’t understand your customers’ lived experiences—but you do. Research shows that " [4]companies combining human expertise with AI tools reported a 76% increase in win rates, 78% shorter deal cycles, and a 70% increase in deal sizes, making it an essential tool for sales teams.” 

In Malaysia, SMEs stand to gain significantly. A recent study notes, “ [5]85% of enterprises will use AI agents in 2025,” highlighting the growing importance of AI in sales and the need for robust measurement and evaluation frameworks.”

How to Build Human-AI Collaboration in Your SME

1. Start with Training – Teach your staff how AI tools work and where their role is crucial.
   

2. Define Clear Boundaries – Let AI handle tasks like data entry or scheduling, while your team makes final decisions.
   

3. Create Feedback Loops – Continuously monitor and adjust AI systems with human oversight.

Practical Takeaway: AI + Human = Competitive Edge

Instead of worrying about replacement, SMEs should focus on how AI frees up time and resources for higher-value work. When humans stay in the loop, AI becomes an amplifier of expertise — making employees more effective, not obsolete.

AI is your co-pilot, not your competitor. By keeping humans in the loop, Malaysian SMEs can unlock the best of both worlds: automation that enhances sales growth, and human expertise that drives trust and strategy.

👉 Contact us to get started with your perfect AI-Human Collaboration:

References:

1 McKinsey Global Institute, November 28, 2017, "Jobs lost, jobs gained: What the future of work will mean for jobs, skills, and wages"

2, 3, 4  SuperAGI, June 29, 2025, “AI vs Human: A Comparative Analysis of Sales Performance and Efficiency in AI-Driven Pipelines”

5 Gartner.com, 2025