Transition to an 'AI-first company'

Pitfalls where AI strategies fail

90 percent of companies plan to increase their spending on AI tools next year. As of today, only six percent of respondents have not yet used artificial intelligence in some form.

Published
Auf dem Weg zur „AI-First-Company“ liegen einige Fallstricke, die den nachhaltigen Erfolg von KI-Strategien gefährden.
On the way to becoming an 'AI-first company,' there are some pitfalls that jeopardize the sustainable success of AI strategies.

On the path to becoming an "AI-first company," there are some pitfalls that threaten the sustainable success of AI strategies. (Image: Anon - stock.adobe.com)

Automating existing processes can make them more efficient. However, it can also exacerbate the limitations of current processes. It's better to use the momentum and ask: What would this task look like if AI tools were available? AI is not a cost-cutting program; it is an investment. It is dangerous to see it merely as a means to produce current value creation more cheaply, as this ignores its potential for innovation and expansion into new market segments. There are various metrics to evaluate the success of AI initiatives. Sixty-four percent of companies in the state-of-AI report measure time savings, 51 percent measure productivity gains. But customer satisfaction (28 percent) or developing new offerings (19 percent) can also be a success factor.

Data and structures are not ready

To get the most out of AI, structured data is needed. Low data quality, isolated content silos, and inconsistent tagging can significantly limit AI performance. Companies should therefore invest early in metadata, permissions, versioning, and access control to ensure an AI-capable infrastructure. Data is the starting point, not the stopover.

Clear strategic alignment as a common thread

One of the biggest dangers in AI transformation, especially in large companies, is that many individual projects arise in silos that do not integrate with each other. A clear strategic alignment as a common thread for the entire company is essential if synergies and coherent processes are to be achieved in the end. It is therefore advisable to establish clear responsibilities to implement a common plan.

Usually more change management needed than expected

The best ideas can fail if they do not consider the employees. The change is enormous for them and is often initially seen as a threat. To ensure the entire company thinks and acts "AI first," employees must be brought along. Clear communication, targeted training, personal support, and showcasing successes are a must.

Stringent process and clear sequence of maturity levels necessary

The task of developing a company towards AI can seem overwhelming. However, it follows a stringent process and a clear sequence of maturity levels. With the right approach and full focus, the chances of success increase significantly. To help with this, Box has summarized its insights and experiences as an AI specialist in a freely available guidebook "Becoming an AI-First Company".

Box is a provider of intelligent content management

The platform enables companies to promote collaboration, manage the entire content lifecycle, secure important content, and transform business processes with AI. Founded in 2005, Box simplifies work for global companies like AstraZeneca, JLL, Morgan Stanley, and Nationwide. Box is headquartered in Redwood City, California, with offices in the USA, Europe, and Asia. Visit box.com or box.org to learn more.

Source: Box

FAQs about pitfalls in AI strategies

1. Why are so many companies planning to increase their AI spending?

More and more companies recognize the potential of artificial intelligence as a driver of innovation. 90 percent of companies want to increase their spending because AI not only makes existing processes more efficient but also opens up new business areas and value creation opportunities.

2. Why is AI not a cost-cutting program but an investment?

AI should not be used solely for cost reduction. Those who only use AI to make existing processes cheaper miss opportunities for innovation and expansion. AI is an investment in future growth and competitiveness.

3. What metrics are suitable for evaluating AI success?

Companies measure the success of their AI projects primarily by time savings (64 percent) and productivity gains (51 percent). Other important factors are customer satisfaction (28 percent) and the development of new offerings (19 percent).

4. Why is structured data crucial for AI success?

The quality of the data significantly determines the performance of AI systems. Poor data quality, content silos, or lack of tagging hinder results. Investments in metadata, versioning, and access control are therefore essential.

5. How does the transition to an 'AI-first' company succeed?

Successful AI transformation requires a clear strategy, defined responsibilities, and an open corporate culture. Employees must be brought along through communication, training, and visible successes. The guidebook 'Becoming an AI-First Company' by Box offers support.

Powered by Labrador CMS