Earlier quoted context omitted.
"Wow this AI both writes and reads email? That's about 90 percent of my job and -- I presume -- 90 percent of what happens around here!"
AND it can sit meetings all day and not forget any decisions; that's the other 90 percent of a manager's day.
McKinsey wonders how to sell AI apps with no measurable benefits
61–70 of 165 posts
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#62I am curious if the timing have impacted the inability to measure a benefit. AI is rolling out at the same time as widespread return to office campaigns. Remote work was widely studied and touted as improving efficiency, but no one is showing the drop for RTO. Is AI in part just balancing it out? There's also an ongoing massive brain drain. Many companies are either laying off their most tenured and competent employe…
Likely, no. In my industry, I see a fraction of ICs using it well, a fraction of leadership using it for absolute dog shit idea generation, and the remainder using it to make their jobs easier in the short run, while incurring debt in the long run since nobody is "learning" from AI summaries and most people don't seem to be reading the generated "AI notes" sent in emails.
By and large, I think AI is going to hurt my workplace based on the current trajectory, but it won't be realized until we are in a hard hole to dig out of.
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#63> Many software firms trumpet potential use cases for AI, but only 30 percent have published quantifiable return on investment from real customer deployments. "Only" 30%. Interesting framing.
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#64Earlier quoted context omitted.
Maybe 40 years ago or in some cultures, but I've always focused on $ / person. If we have a smaller team that can generate $2M in ARR per developer that's far superior to $200K. The problem is once you have 20 people doing the job nobody thinks it's possible to do it with 10. You're right that "there is an unlimited number of things to do" and there's really obvious things that must be done and must not be done, but…
Exactly, it’s much easier with a new organization. In my previous company, we would speculate about where to use AI and we were never sure. In the new company we use AI for everything and produce more with substantially fewer people
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#65> while quoting an HR executive at a Fortune 100 company griping: "All of these copilots are supposed to make work more efficient with fewer people, but my business leaders are also saying they can't reduce head count yet." I'm surprised McKinsey convinced someone to say the quiet part out loud
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#66I think the general point here is true, but it's also brilliant framing from a company selling consulting services.
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#67First AI came for the artists And I did not speak out Because I was not an artist
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#68McKinsey has pitched my company on projects where their compensation is entirely outcome-based — for example, if a project generates $20 million in incremental revenue, they would earn 10% of that amount. I have to admit, the results they demonstrated — which we validated using our own data — were impressive. The challenge, however, is that outcome-based contracts are hard for companies to manage, since they still ne…
You model it as a fixed %, variable cost and run revenue sensitivities. It either meets your investment criteria or doesn't.
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#69I hadn't ever tried Notion before but I sort of vaguely understood it was a nice way to make some documentation and wiki type content. I had a need for something like a table that I could filter that I would normally just do in Google Sheets. So I go check out Notion and their entire site is focused on AI. Look at what this agent can do, or that. I signed up and the entire signup flow is also focused on AI. Finally I…
It's for investors AFAICT. When Masayoshi Son opens your home page it better say 'AI' in big bold letters. Is your product a search engine? It's AI now. [1][2] Is it a cache? Actually, it's AI. [3] A load balancer? Believe it or not, AI. [4] [1] https://www.elastic.co/ [2] https://vespa.ai/ [3] https://redis.io/ [4] https://www.f5.com/
Re: McKinsey wonders how to sell AI apps with no measurable benefits
#70I definitely find some of the features AI is going into like my PDF reader are useless and troubling