3 Must’s for Executives and Leaders to Avoid AI Psychosis
Here are the 3 most important things to remember as executives and leaders when it comes to AI and avoiding big and costly mistakes.
We’ve all heard of AI hallucinations and, to be honest, this term has perplexed me since the first time I heard it.
You’re telling me AI products are so bad that they had to create a name for their excessively high failure rate?
“It’s not “not working” - it’s just “hallucinating”.”
AI users also have a name for the garbage outputs from AI: “AI Slop”. And that’s exactly what it is. What’s even more perplexing to me is that this ongoing failure is part of their product user experience. AND that clients are expected to pay (use tokens) for incorrect and untrue outputs?
When did this level of garbage become acceptable?
I’m all for efficiency and automation - I built my career on it and thrive on making improvements that will take businesses to the next level but what’s happening in the corporate world with AI is absolutely madness.
The success of their grossly over costing product is reliant on humans giving up their ability to think. Period. That’s their success model - creating so much brain atrophy in humans that they can then sell us back– thoughts, ideas, and most horrifically, decisions.
Here are the 3 most important things to remember as executives and leaders when it comes to AI and avoiding big and costly mistakes:
1) AI is a tool, not a strategy nor business plan. If your profits and business growth relies on the use of AI then I’ll hold you hand when I say this but it needs to be said: you need a new business plan. AI is a tool, and may even be a Strategic Priority on the corporate roadmap, but if it’s any more than that you’re creating more risk than reward.
2) Most AI products are garbage. The release of AI has also created many new vibe coders who don’t understand coding, functions, and requirements (including legal and security) - leaving many companies with major risks if launched into their businesses. AT BEST, AI will (one day) replace entry-level repetitive tasks – AT BEST. However, AI is not even close to being “AT BEST”. The field is in its infancy and grossly overpromising what’s possible. Understand your business and needs and select the appropriate automation tool, don’t just jump to AI. It may be all the buzz but if you’re paying attention a lot of the buzz is what a flop it’s been and that the costs are far outweighing anything that was promised. There’s a time and place for AI and using the right tool for the right task should be the focus over using AI because they’re afraid of being left behind.
3) Change Management is your key to successful implementation of AI tools. As a Change Management expert I’m shocked at the lack of air-time this piece gets when we talk about AI. Everyone’s happy to talk about how AI is the next Industrial Revolution; completely changing the way we do business and the way people do and think of their work. However, I’ve missed any conversation around change management. We’re talking about massive changes impacting multiple stakeholders and quite frankly – I haven’t seen one company ( including AI companies ) even consider change management in any real sense. Why would it not be a massive undertaking to completely transform the way you run and execute your business? You’re looking to change the way people think, communicate, and ultimately act. It’s insane to ignore proper Change Management when it comes to AI implementation. Anyone who sells you a different story isn’t being genuine.
What can you do? AI can’t compensate for a lack of solid strategy or business principles. Staying grounded in sound business practices, using AI as a tool and part of your strategy (not the whole strategy), while giving it the proper “Change Management” respect it deserves will set you up for success when it comes to AI.
Read more about what’s really holding companies back from successful AI implementation here.