The rapid progress of Artificial Intelligence (AI) is reshaping the workplace and altering conventional employee responsibilities, establishing AI as a notable influence in the field of management. Although current research has largely concentrated on the partnership between humans and AI, stressing AI’s role as a helpful assistant in areas like making choices, resolving issues, and fostering innovation, the possibility of AI taking on more commanding positions has been underexplored. Nevertheless, as AI’s abilities continue to advance quickly, its function is progressing past that of a simple aide, prompting inquiries into whether AI could also operate as a capable leader. Given the significant real-world and academic relevance of this topic, it is important to examine the effects of AI-driven leadership. Through a field study and two experimental studies, this research investigated how AI leadership affects the attitudes (such as personal capability and mental exhaustion) and behaviors (including work quality and self-assessed health) of individuals. Utilizing the job demands-resources (JD-R) theory and studies on human-AI teamwork, the study delved into specific circumstances, such as a dislike of AI, that could either intensify or lessen the impact of instructional communication from an AI. This study added to the growing conversation about AI in management by carefully examining individual reactions to AI in leadership roles, thereby broadening leadership principles to include non-human agents and providing useful advice for companies thinking about using AI in supervisory capacities.