Creative destruction, Thanos, and the truth about AI hype
I love the digital transformation and the disruption of industries. I'm a bit of a Thanos — for you Marvel nerds. Firsthand, I have witnessed how Global Distribution Systems (GDS) have changed the way consumers access and book travel, eliminating the need for travel agencies overnight. I was there when the iPhone coupled with high speed internet (WIFI) dawned a new age of commerce and direct to consumer models, toppling traditional retail brick by brick. I wasn't there when Henry Ford launched his first Model T, but if I were, I would have been cheering on the end of the horse and buggy industry, all while promoting new business opportunities in the production of engine parts, tires, road paving equipment, etc.
Every industry transformation leaves a wake of destruction in its path. But it also leaves a bay of opportunity for those who embrace the change. AI is no different.
I love AI and what it will do for business and society, but I HATE how it has consumed every conversation. Every tradeshow, conference, and talking head - regurgitating the same soundbyte: “AI will change everything! We will be so much more productive!” We get it…vendors have shamelessly incorporated AI into their products and services. Workflow automation in your company does not make you an AI solution. Embedding generative doesn't either. Is ‘spell check’ in my Gmail or Google Docs AI? I didn't think so.
"If you don’t like what is being said, change the conversation"
Don Draper
Mad Men
This post is a summary of insights gleaned at the Future of Work conference, which was heavily focused on, drumroll please, AI.
However, I made a promise to only report on ideas that were truly refreshing, provocative, or even somewhat controversial. There wasn't much, but here is what I deemed to be worth your time:
The Hollywood Model: A new way to work
One of the most intriguing concepts discussed was the Hollywood model of work. Imagine assembling a team of experts for a specific project, much like casting a film, and disbanding once the project is complete. This fluidity allows for agility and innovation, breaking away from the rigid structures that have dominated corporate culture for decades. AI will facilitate this model by providing the necessary intelligence and support, enabling teams to collaborate seamlessly across geographies and disciplines.
This model challenges the traditional organizational chart, which often stifles innovation with its hierarchical and siloed approach. By adopting a project-based structure, organizations can become more responsive to market demands and technological advancements. AI agents can be deployed as needed, acting as specialized consultants that enhance the team's capabilities without the overhead of permanent staff. This approach not only fosters innovation but also allows for a more dynamic allocation of resources, aligning talent with the most pressing business needs.
The Human-Agent Partnership
The notion of AI as a digital colleague is not just futuristic; it is happening now. The conference emphasized the importance of treating AI as a partner rather than a tool. This shift in mindset requires us to rethink our organizational structures and processes. We must embrace the idea of AI as a co-pilot, guiding us through complex decisions and providing insights that were previously unimaginable.
This partnership is about leveraging AI's strengths in data processing and pattern recognition while allowing humans to focus on tasks that require empathy, judgment, and creativity. For instance, AI can handle data analysis and generate insights, but it is up to humans to interpret these insights and make strategic decisions. This collaboration enhances decision-making processes, leading to more informed and effective outcomes.
As AI becomes more integrated into our daily operations, we must reconsider the roles and responsibilities within our organizations. The traditional hierarchy is being challenged, and we must adapt to a new reality where AI plays a significant role in decision-making. This requires a cultural shift, where employees are empowered to work alongside AI, leveraging its capabilities to drive innovation and growth.
The integration of AI into the workforce necessitates a reevaluation of skill sets. As AI takes over routine tasks, the demand for "power skills" such as judgment, relationship building, and curiosity will increase. These skills are inherently human and cannot be replicated by AI. Organizations must invest in developing these capabilities, ensuring that their workforce is equipped to thrive in an AI-enhanced environment.
The Controversial Truth: Embrace or be left behind
The conference made it clear that AI is not a choice; it is an inevitability. Organizations that fail to embrace this transformation risk being left behind, much like those who clung to the horse and buggy in the face of the automobile. This is not just about adopting new technology; it is about reimagining the way we work and redefining our value propositions.
The reluctance to adopt AI often stems from fear of the unknown and concerns about job displacement. It will displace large portions of our employment population, make no mistake about it. However, the reality is that AI will create new opportunities and roles that we have yet to envision. By embracing AI, organizations can position themselves at the forefront of innovation, gaining a competitive edge in an increasingly digital world.
