Have you tested your strategy lately?

Ten timeless tests can help you kick the tires on your strategy, and kick up the level of strategic dialogue throughout your company.

 

Test 1: Will your strategy beat the market?

Test 2: Does your strategy tap a true source of advantage?

Test 3: Is your strategy granular about where to compete?

Test 4: Does your strategy put you ahead of trends?

Test 5: Does your strategy rest on privileged insights?

Test 6: Does your strategy embrace uncertainty?

Test 7: Does your strategy balance commitment and flexibility?

Test 8: Is your strategy contaminated by bias?

Test 9: Is there conviction to act on your strategy?

Test 10: Have you translated your strategy into an action plan?

HTH...

A Tech Artist 🎨

So What Really Went Wrong with AI & GenAI Movement ? & How We Can Do Course Correction. (And an opp. to win $100)

 

As soon as MIT report came out few weeks ago suggesting 95% of GenAI pilots fail (The number is close to what Mckinsey suggested as 86% or something a long time ago) or IDC Lenovo report numbers suggesting it as 88%.

So in the world where everyone wants to hop onto the GenAI bandwagon, what really went wrong so far and is AI/GenAI actually a good solution for some specific problems? Let's examine:

Over the last 4 years (since the chat gpt movement in late 2021), I have spent good amount of time learning and practicing AI (perhaps 1000+ hours), beside talking to 1000+ people across industries (IT, Banking, Retail, Aviation etc.)  &  across the roles (Leadership, Mid Management, Employees and even HRs) as part of my market research.

My findings suggest (Of course you may share a different view):

1. Most leadership people have absolutely no clue about what AI can and can't do (They can't even tell the firm differences between AI & Automation beyond generic and over simplified examples). Because no one is keen to dive deep into the topic at hand and pretty much rely on media reports, what partners/OEMs tells them,  60 mins. online courses, what their peers or reportee project them as AI being silver bullet and what not.

Of course sooner or later, the FOMO kicks in very quickly beside getting a push from CEO or board to do something about AI without a clear direction.

2. So most organizations AI strategy is nothing but false narratives and FOMO on steroids. 

90% of employees in those organizations have no real access to AI/GenAI capabilities (because since there is no clear strategy & needs specific trainings available for them to leverage those beside costs comes in to the equation), shadow AI becomes prevalent and it often contributes to AI psychosis without people necessarily noticing it. 

This also put the organisation wide knowledge management at risk and no one is noticing it. Since everyone is told by their seniors - Did you chat gpt it to find the answers?

3. I haven't come across a single real world DS practitioner in my circle who would articulate AI/GenAI as silver bullet or magic. There are some good use cases that AI/GenAI can deliver, but the underlying foundation is build on clear - strategy, automation, cross teams collaboration and data with the firm use cases and roi beside an active innovation mindset. 

I love the way BCG folks articulated it with their basic framework for AI success pillars beside the HBR's Digital Maturity model.

And if you are still not convinced, I'll be giving a $100 to to show me how GenAI is completely transforming the landscape in any context when applied to complex problems. Just drop me a note (anetworkartist@gmail.com) to have a 30 mins. zoom meeting to surprise me. We will follow the BCG's GenAI Success Stairway to have a quick sanity check and determine the business impact.

Further Readings:

1. Overcoming two issues that are sinking gen AI programs

2. 88% of AI pilots fail to reach production — but that’s not all on IT

3. The state of AI: How organizations are rewiring to capture value

4. MIT Report

5. CIOs increasingly dump in-house POCs for commercial AI

6. IDC/Lenovo Report

7. Re-skilling in the Age of AI

8. Why Generative AI Projects Are Failing — And How to Save Them

9. The Illusion of Thinking: Understanding the Strengths and Limitations of Reasoning Models via the Lens of Problem Complexity

10. The Stairway to GenAI Impact

11. How to Be Systematic About Adopting AI at Your Company

12. Your AI Strategy Needs More Than a Single Leader

13. How to stop AI from seeming conscious

HTH...

A Tech Artist 🎨

Strategy - Few Perspectives

• The essence of strategy is choosing what not to do.
• It's about long term consequences of your short term choices.
• Gives you focus where to put your energies and resources.
• Strategy is a "Plan" to create "Value".
• An integrative set of choices that positions you on a playing field of your choice in a way that You win.
• The imagination and logic to choose between specific alternatives; resource control beyond immediate needs; and. the will to forego current benefits in order to invest in the future potential.
• A plan designed to achieve a particular goal.
• The unique value a business provides to the market.
• Strategy is a deliberate and integrated plan or course of action undertaken by an organization to achieve a long-term goal or set of goals, considering its internal capabilities and external environment, and involving resource allocation, competitive positioning, and adaptation to change. It encompasses decisions on where to compete, how to compete, and the means to achieve strategic objectives, with the aim of creating sustainable competitive advantage. Strategy provides a framework for aligning organizational activities and guiding decision-making over an extended time horizon.
• Strategy is the response to the challenges keeping you from reaching your ambitions.
• "The core of strategy work is always the same: discovering the critical factors in a situation and designing a way of coordinating and focusing actions to deal with those factors." This core consists of "a diagnosis, a guiding policy, and coherent action."
• Strategy is a cohesive response to an important challenge.
• The most basic idea of strategy is the application of strength against weakness. Or, if you prefer, strength applied to the most promising opportunity.
• Making choices ahead of time in the face of uncertainty.
• To deploy that capital to drive growth, generate value, and create sustainable competitive advantage.
• A comprehensive process for determining what a business should become and how it can best achieve that goal.

On the flip side, IMHO the strategy often offers an illusion to still many thinking that they got a plan (though strategy and planning are fundamentally two different things) and often miss to examine problems/goals from different lenses. 

Last but not least, execution is what matters the most since just thinking, planning and strategizing doesn't really move anything and 90% IMHO couldn't cross that chasm.  

HTH...

A Tech Artist 🎨