HITL does not mean humans are involved in every step. It means humans are involved in the steps where their involvement provides the most value: reviewing outputs that are difficult to verify automatically, making judgment calls on ambiguous situations, and approving irreversible actions before they execute.
The design of HITL interventions matters as much as their presence. If humans are shown insufficient context at review points, or if review points fire so frequently that reviewers develop approval fatigue, the HITL mechanism provides less real oversight than it appears to. Effective HITL design surfaces precisely the information needed for the specific decision being made, at a frequency calibrated to the risk level of the workflow.
The economic argument for HITL is that it allows automation to handle the high-volume, routine cases (where humans add little incremental value) while reserving human attention for the edge cases and consequential decisions (where human judgment is the most valuable input). Getting this balance right is the central challenge of HITL system design.