5 Brutal Truths About AI Adoption (Why Your AI Works... But Your Business Doesn’t)

Read time: 2.5 minutes

How AI Truly Breaks Down Between Business Founders and Investors

1. “Model Performs” is not equal to “Business Model Adjusted.”
• ~95% of GenAI pilot initiatives have shown no profit/loss impact on the actual business of a company.
• This is leading to no integration of AI into our real functioning jobs.
Solution:
Ask yourself, “Where does this allow for a change in a decision?”

2. Tools Will Not Drive Behavioral Change- SYSTEMS Will
• Up to 29% of employees resist implementing an AI-based solution.
• AI will be an alternative and not the accepted business process.
Solution:
• Redesign jobs.
• AI should eliminate function and not add function.

3. Scale AI = Scale Chaos (if you're not prepared to grow)
• Success in a pilot program does NOT mean success as a company at a business level.
• The majority of companies have failed to convert their business model from 50 users to 50,000 users.
Solution:
• Build your company to grow in the future: Governance, Workflows, Ownership.

4. Buying AI Does Not Create Your Company's Capability
• Hundreds of billions have been spent on tools, but very little change to the operational workflow of actual workers.
• The tools themselves do not provide a competitive advantage.
Solution:
• Invest in:
• Your Long-Term Internal Data System
• Integration of new tools into the current workflow
• New Operating Model

5. AI Theatre is Everywhere!
• Even though many have experimented with different AI technologies, a vast majority of companies are still “paralyzed” to take action.
• They appear to be using AI but are not impacting their business with its use.
Solution:
• Focus on one workflow, one decision, one measurable result.

💡Key Takeaway: 

If your AI requires people to “go use it”… it’s already dead.