“Think more AI experiments equals more value? Not if they're scattered and aimless.” A new MIT Media Lab report shows 95% of generative-AI investments deliver zero returns. Avoid repeating digital-transformation mistakes: focus AI pilots on core customer needs, keep them low-cost and scalable, and empower agile “ninja” teams. How can your next AI initiative drive real value? #AIExperimentation #DigitalTransformation #SmartInnovation Read more: https://lnkd.in/epKfqcjH
MIT Media Lab report: 95% of AI investments fail. How to succeed with AI pilots.
More Relevant Posts
-
We're experiencing, as MIT puts it, the great "GenAI Divide." 95% of companies waste millions adding AI onto broken processes, making things worse. Why do the majority of GenAI pilots fail while a lucky few crush it? "The 5% club" does these things right: ✅ Use AI inside real workflows not as an add-on ✅ Focus on tough processes where automation pays off ✅ Measure success by real business results not just usage ✅ Start with clean organized data that works It's never about fancy tools. It’s all about how you integrate them. Inbenta's done this for over 20 years. Our AI hits 99% accuracy because we know what it takes to be part of the 5%. Read the full article here: https://hubs.ly/Q03H5kYy0 #AI #AIIntegration #thefivepercent #Inbenta
To view or add a comment, sign in
-
Many AI experiments fail because they repeat the same mistakes from the early digital transformation era: lots of hype, many pilots, little that scales. Check out “Beware the AI Experimentation Trap” where the authors warn that 95% of generative AI investments produce no measurable returns. They argue that much of current experimentation is diffuse, disconnected from what customers really need, and overly focused on flashy or peripheral tests instead of core capabilities. Key lesson: anchor AI experiments in solving real customer problems. “The takeaway is not that AI experimentation is broken, but that it must be disciplined — focused on solving core customer problems; chosen with frameworks like intensity, frequency, and density; run at low cost to enable iteration; and designed with scaling in mind through empowered ‘ninja’ teams.” For product designers & PMs, that means: before building or approving yet another pilot, ask: • What customer-pain does this address, and how often? • How intense is the need vs how visible is the opportunity? • Can we test cheaply, learn fast, and scale if successful? It’s tempting to chase novelty with AI. But without customer-centric discipline, we risk repeating the digital transformation cycles where many firms experimented a lot—and few really delivered. If you want strategies to escape this trap, this article is well worth your time. 🔗 https://lnkd.in/e4BFZNGG #productdesign #AI #PM #experimentation #customersuccess Thanks Dimitri Samutin for sharing this article initially.
To view or add a comment, sign in
-
🤖 Welcome to what we're calling the GenAI Divide—a growing chasm between those who are quietly transforming their business with AI, and the vast majority who are stuck in pilot purgatory. 👉 The Harsh Reality Our latest research across 300 GenAI implementations paints a stark picture: Over 80% of companies have tested tools like ChatGPT or Copilot. Nearly 40% have moved to deploy. But here’s the catch: these tools often boost individual productivity, not business performance. https://lnkd.in/grv-jyRV #ai #technology #smallbusiness
To view or add a comment, sign in
-
The real AI challenges are more "people & process" than technology. IME AI experiments "fail" because they're designed around existing hierarchical structures, and executive sponsors are (understandably) generally unwilling to rock the corporate boat; once you've got a "10x process improvement quick win," the logical next step is to zoom out and reengineer the organization's fundamental CX/organizational structure/workers' economic incentives—legacy implementations, which include entire departments with specialized bureaucratic functions, are rarely fit for purpose in this new context. Until there's enough pain to drive fundamental organizational change, we'll keep seeing expensive AI theater instead of transformation. The technology demands flatter, more agile structures between executive decision-making and customer interaction; most (but not all!) enterprises are not quite ready to confront the particulars that get you from here to there. (Above is my $0.02; Harvard Business Review article, linked, resonated with my own firsthand experience—and with what I've heard from other credible applied AI practitioners—and is worth reading in its entirety.) https://lnkd.in/eke28jMC
To view or add a comment, sign in
-
This would measure the maturity of IT governance, organizational culture, innovation appetite and if IT is a strategic partner or just service delivery.
AI Adoption Expert | Fmr. MIT AI Co-Chair | Helping Leaders Execute 10x Faster | ex-Red Bull, -Arterys (acq. by Tempus AI, NASDAQ:TEM), -ARPA-H AI Advisor
The real AI challenges are more "people & process" than technology. IME AI experiments "fail" because they're designed around existing hierarchical structures, and executive sponsors are (understandably) generally unwilling to rock the corporate boat; once you've got a "10x process improvement quick win," the logical next step is to zoom out and reengineer the organization's fundamental CX/organizational structure/workers' economic incentives—legacy implementations, which include entire departments with specialized bureaucratic functions, are rarely fit for purpose in this new context. Until there's enough pain to drive fundamental organizational change, we'll keep seeing expensive AI theater instead of transformation. The technology demands flatter, more agile structures between executive decision-making and customer interaction; most (but not all!) enterprises are not quite ready to confront the particulars that get you from here to there. (Above is my $0.02; Harvard Business Review article, linked, resonated with my own firsthand experience—and with what I've heard from other credible applied AI practitioners—and is worth reading in its entirety.) https://lnkd.in/eke28jMC
To view or add a comment, sign in
-
Great snippet: “The real opportunity—the one that will actually generate returns—is to look carefully at your internal operations and the external customer journey and start with how you can create real value, in the near term, using AI tools.”
AI Adoption Expert | Fmr. MIT AI Co-Chair | Helping Leaders Execute 10x Faster | ex-Red Bull, -Arterys (acq. by Tempus AI, NASDAQ:TEM), -ARPA-H AI Advisor
The real AI challenges are more "people & process" than technology. IME AI experiments "fail" because they're designed around existing hierarchical structures, and executive sponsors are (understandably) generally unwilling to rock the corporate boat; once you've got a "10x process improvement quick win," the logical next step is to zoom out and reengineer the organization's fundamental CX/organizational structure/workers' economic incentives—legacy implementations, which include entire departments with specialized bureaucratic functions, are rarely fit for purpose in this new context. Until there's enough pain to drive fundamental organizational change, we'll keep seeing expensive AI theater instead of transformation. The technology demands flatter, more agile structures between executive decision-making and customer interaction; most (but not all!) enterprises are not quite ready to confront the particulars that get you from here to there. (Above is my $0.02; Harvard Business Review article, linked, resonated with my own firsthand experience—and with what I've heard from other credible applied AI practitioners—and is worth reading in its entirety.) https://lnkd.in/eke28jMC
To view or add a comment, sign in
-
“…The technology demands flatter, more agile structures between executive decision-making and customer interaction; most (but not all!) enterprises are not quite ready to confront the particulars that get you from here to there…” Christian Ulstrup #ai #management #digitaltransformation
AI Adoption Expert | Fmr. MIT AI Co-Chair | Helping Leaders Execute 10x Faster | ex-Red Bull, -Arterys (acq. by Tempus AI, NASDAQ:TEM), -ARPA-H AI Advisor
The real AI challenges are more "people & process" than technology. IME AI experiments "fail" because they're designed around existing hierarchical structures, and executive sponsors are (understandably) generally unwilling to rock the corporate boat; once you've got a "10x process improvement quick win," the logical next step is to zoom out and reengineer the organization's fundamental CX/organizational structure/workers' economic incentives—legacy implementations, which include entire departments with specialized bureaucratic functions, are rarely fit for purpose in this new context. Until there's enough pain to drive fundamental organizational change, we'll keep seeing expensive AI theater instead of transformation. The technology demands flatter, more agile structures between executive decision-making and customer interaction; most (but not all!) enterprises are not quite ready to confront the particulars that get you from here to there. (Above is my $0.02; Harvard Business Review article, linked, resonated with my own firsthand experience—and with what I've heard from other credible applied AI practitioners—and is worth reading in its entirety.) https://lnkd.in/eke28jMC
To view or add a comment, sign in
-
Many enterprises stall in the proof-of-concept trap - experimenting with AI but failing to scale. The organisations achieving transformative results are those that: ✅ Integrate AI into core operational systems ✅ Measure ROI on both efficiency and innovation ✅ Establish governance frameworks early In 2024, global #GenAI spend hit $13.8B, and 2025 is the year it moves from sandbox to production at scale. Calab.ai’s #NeuralOps framework is designed to accelerate this transition - ensuring AI delivers measurable, sustainable value across the enterprise. Learn more about our NeuralOps solution here - https://lnkd.in/d6XfG7gV #AIatScale #EnterpriseInnovation #OperationalTransformation
To view or add a comment, sign in
-
MIT’s latest research shows 95% of gen AI investments haven’t produced measurable returns. Sound familiar? A decade ago, digital transformation went through the same cycle: lots of hype, scattered pilots, and disappointing ROI. The real lesson: transformation doesn’t come from “10,000 experiments.” It comes from focused experiments connected to core business problems. Generative AI is just one tool in a larger shift toward organizations built around digital workflows and customer journeys. Leaders who understand this bigger picture, and link AI to real customer value, will be the ones who turn today’s hype into tomorrow’s results.
To view or add a comment, sign in
Business Manager at Felco Int. Supplies
3wThank you Elle for always getting important information out to us.