Money grows through compound interest, while AI’s influence and benefits multiply exponentially over time, creating a compound impact. Compound interest works by increasing the value of money as earned interest generates additional interest. Similarly, as AI adoption scales, its effects—such as improved efficiency, innovation, and productivity—intensify and build upon themselves, leading to a compound impact...

AI plays a similarly critical role in enhancing and optimizing human talent as standardized processes do in manufacturing. Structured processes are essential for efficiency, consistency, and productivity in manufacturing. They ensure systematic task completion, minimizing errors and maximizing output. AI acts in a comparable way for human capital by streamlining and optimizing how human skills...

AI’s most valuable feature is its ability to provide actionable guidance. Rather than just offering data, analysis, or automation, its true potential lies in delivering clear, practical instructions—telling users what steps to take and how to take them. Increasingly, AI will even execute these tasks on behalf of the user. In this way, AI’s most...

AI has powerful and transformative effects on organizations: 1.Irrigates growth: AI fosters and accelerates growth, much like irrigation nourishes crops. It provides the necessary tools, insights, and efficiencies that allow businesses to expand and thrive. 2.Dehydrates waste: AI reduces and eliminates inefficiencies and unnecessary processes (“waste”) by optimizing operations, automating tasks, and improving decision-making. It...

Inertia is a significant barrier to adopting and advancing AI within businesses, driven by resistance to change and a tendency to maintain the status quo. Organizations must overcome internal obstacles and entrenched mindsets to drive innovation and progress.Business inertia is evident in attitudes like “Things are working just fine” and “If it ain’t broke, don’t...

Information technology systems and infrastructure developed before the widespread adoption of AI come with both challenges and opportunities: 1.Risk: Pre-AI IT systems are increasingly outdated and vulnerable, leading to security threats, performance inefficiencies, and the inability to keep up with modern technological demands. 2.Technical Debt: These systems often carry “technical debt,” requiring ongoing maintenance, upgrades...

AI should not be viewed simply as a tool for incremental change or improvement, as IT and digital technologies often are when transforming processes, systems, or organizations. AI is much more profound. It doesn’t just enhance existing processes; it redefines and regenerates them, fundamentally changing how things are done and opening up new possibilities and...