Human-AI collaboration is becoming increasingly prevalent at work. The present study aims to explore how collaborating with conversational AI could augment employee’s capabilities under the new human-AI relational pattern. Drawing on the self-expansion theory, we propose that inclusion-of-AI-in-the-self is a crucial process augmenting employees’ capabilities and release their potential. We analyze the factors affecting inclusion-of-AI-in-the-self from both cognitive and affective paths, as well as the outcomes after employees incorporate conversational AI into their self-concept. Specifically, task variety and enjoyment in collaborating with conversational AI positively influence the level of inclusion-of-AI-in-the-self, adopting conversational AI’s knowledge, resources, and characteristics as their own. This integration enhances employee’s workplace thriving and creativity, as well as their relational commitment to the conversational AI. Findings from a multi-wave study and a vignette-based experiment provide support for these hypotheses. Theoretical and practical implications for human-AI collaboration are discussed.