How Executives Should Lead into the Age of AI

By Alex Slawsby |  December 11, 2023

In this short video, Innosight Managing Director Ned Calder shares advice about AI leadership: how leaders should be approaching opportunities, risks, and organizational change dynamics related to artificial intelligence.

“There are so many different ways that AI can potentially add value to an organization,” Calder says. But “what we often see is a lot of dabbling and spreading of resources way too thin. It’s not quite random activity, but it’s certainly very ad hoc. So the real question companies need to be asking themselves is, what are the highest potential use cases, the ones that if we can make progress can really materially drive the performance of the organization?”

Calder says that many organizations could become paralyzed by efforts to eliminate all risks and uncertainty related to AI. He suggested three ways to avoid that.

  1. Identify the critical uncertainties related to your industry, and figure out how you can monitor or manage them
  2. Consider what the adoption curve for AI will look like in your industry — but recognize that you can’t predict it precisely
  3. Create new capabilities and “rewire” parts of the organization to make it more agile.

Calder concluded by noting that it’s important to “respect the magnitude of the change that we’re talking about here. Sometimes people liken this to the invention of electricity, in terms of its impact on on business and society. With that level of transformational impact, it really needs to be a top item for most leadership teams.”

Innosight is one of InnoLead’s strategic partners; more info here.

(Featured image by Omar Prestwich on Unsplash.)