Technology

Companies still don’t know how to incorporate AI in a holistic way, says Wharton expert

A Wharton expert is sounding the alarm on a surprising roadblock to AI adoption: leadership and organizational change.

According to Wharton professor Eric Bradlow, who serves as the vice dean of AI and analytics, companies are struggling to incorporate AI in a seamless, holistic way. And it’s not because of the technology itself, but rather the challenge of getting human teams to work effectively alongside AI systems.

The Human Factor

Bradlow, a computer scientist and statistician, describes AI as the most consequential innovation of his lifetime. He points out that while AI models have made significant progress, the real bottleneck lies in change management – the ability of leaders to bring people along and make them comfortable with the idea of working with AI as a partner.

“Leaders are still figuring out how to integrate these new tools and technologies into the fabric of their organizations,” Bradlow says. “It’s not just about deploying AI models; it’s about rethinking the way we work, communicate, and make decisions.”

The Limits of Data-Driven Decision Making

Bradlow emphasizes that AI is not a replacement for human judgment, but rather a tool that can augment and support decision-making. However, this requires a fundamental shift in the way organizations approach data analysis and decision-making.

“We’re at a point where we have more data than ever before, but we’re not using it effectively,” Bradlow says. “AI can help us make sense of that data, but only if we’re willing to change the way we think about information and decision-making.”

What this means

In practical terms, this means that companies need to invest in more than just AI technology – they need to invest in change management, training, and organizational development. This involves not only educating employees about AI but also creating a culture that values collaboration between humans and machines.

For organizations looking to successfully integrate AI into their operations, Bradlow’s advice is straightforward: “Start with the people, not just the technology.”

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