Over the past few weeks, I've met several leaders and experts who have expressed a worrying perspective regarding generative AI.
Many organizations are not ready to face the transformations brought by AI... or rather, to seize its opportunities.
Two key reasons seem to explain this.
1. Team Training
At the turn of the millennium, when e-commerce emerged, we faced a similar challenge.
Educating teams about new technologies is a significant issue. First, to demystify the possibilities and then to positively rethink business practices.
I've addressed the need to combine mastery of domain expertise with mastery of AI (See The Impacts of AI on Strategy) to fully leverage AI's potential.
The feedback I've received from my discussions reveals that teams lack the time to learn and master generative AI. But doesn't "lack of time" often equate to "lack of priority"?
An essential skill must be acquired, and quickly!
2. Resistance to Change
As a consequence of the lack of training, when the organization attempts to improve business practices through AI (generative, agentic, agents), there is an outcry within the organization and a strong sense of insecurity.
The reality is evident. The work as we know it and do it will undergo a significant transformation.
This was the case in the 1980s-90s with desktop computers and in the 2000s with the internet and e-business. Now, it's the case with AI.
The question is not "IF" work will transform, but "HOW" to facilitate this transformation. I've addressed the first steps here (See Quickly Adapt To AI Possibilities Or Disappear).
Education is more crucial than ever. Towards the tools, their use, and the possibilities they offer.
Going Beyond Efficiency
A strategic vision of the possibilities is necessary.
Beyond automation, simplification, and efficiency gains, we need to re-evaluate how this technological advancement challenges the organization's "critical capabilities."
This changes the basis of competition and how it is possible to operate.
It is inevitable to rethink value propositions and the key activities necessary to deliver them.
However, there is an important particularity: all organizations have access to this technology.
So, how can it be a factor of differentiation and competitive advantage?
That's where the real challenge lies.
While we focus on tools and prompts, we forget the strategic issue. It's the tree that hides the forest.
Initiating the Reflection
It is imperative to move forward.
Actively involve your teams to ensure the mastery of the basic AI skills and move into exploration mode for possibilities. Don't wait to be forced to react to your competitors' initiatives.
Ask yourself how AI can change the value equation for your customers!
Be proactive and explore the different options. Test and validate hypotheses and their impacts. AI is an advancement that represents an essential condition for the success of your strategy.
AI must be integrated into your strategic reflection and your value chain.
Have a good week,
Eric L'Heureux
PS. We are in the process of migrating our English newsletter to Substack to better integrate it with the English version of our podcast. Stay tuned!
_____
When you are ready to move forward, here are two options to drive your leadership and your organization forward:
- Join our IAE-Pro Community to develop your strategic means of action (in French for now).
- Let's collaborate to conduct your strategic review, explore customer value, and clarify your strategy.