Where AI Projects Go Wrong: A Reality Check for Decision Makers

Where AI Projects Go Wrong: A Reality Check for Decision Makers

Despite AI being one of the most invested-in technologies in recent years, business outcomes don’t always match the hype. Many AI initiatives either stall after a pilot or fail to scale. The question isn't whether AI is capable—it is. The question is whether businesses are asking the right things from it. Here’s where things go wrong:

  • Undefined Use Cases & Misaligned Objectives: Most failures start with unclear business goals. AI initiatives often begin with "we need AI" rather than "we need to solve this specific problem." Without a focused use case, teams end up building tools no one uses. According to Boston Consulting Group (BCG) 74% of Companies, they struggle to generate tangible value from AI adoption. 

  • Poor Data Quality & Infrastructure Readiness: According to Gartner 85% of all AI models or projects fail because of poor data quality. AI doesn't fix broken data. If input data is fragmented, unstructured, or outdated, even the most sophisticated models will struggle. Incomplete pipelines, manual data handling, and security blind spots further complicate deployment. 

  • Lack of Post-Deployment Ownership: A working model isn’t the finish line. Many projects stall post-launch due to no monitoring, no iteration strategy, and no ownership beyond the tech team, leaving models idle and outcomes unrealized.

AI success requires more than technical capability. It demands alignment between product, business, and engineering with a disciplined focus on value, not just the model.

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