It’s time for some Friday Big Ideas.
I want to start with “AI can’t fix what automation already broke” from Blood in the Machine, which begins with call centers. It highlights a case where AI is used to show video montages of call center workers’ families to alleviate stress. However, the article argues that this is just a band-aid solution to problems created by automation in the first place. Interactive voice response (IVR) systems have led to frustrated and angry customers, causing stress for call center workers. The root cause of the frustration is the automation. It also mentions the growing trend of companies offering “AI-free” products and services as a reaction to ethical concerns and the reputation of AI-produced content.
Mentioned on LinkedIn and tagging me, the New York Times with “Can A.I. Answer the Needs of Smaller Businesses? Some Push to Find Out.” While larger companies are finding uses for AI, smaller businesses are just starting to explore its potential. Adoption of AI is rising, but only about 5 percent of companies nationwide are currently using the technology. The article highlights examples, including hospitality, manufacturing, education, and tutoring in the small business space.
In that vein, I was taken with “Latent Expertise: Everyone is in R&D.” The premise is that the value lies in unlocking AI’s latent expertise and how experts utilize AI effectively. It highlights the need for experts to guide AI systems, share their knowledge, and explore specific use cases. The article also emphasizes the potential of AI in various industries and the benefits of starting with expert use rather than centralized solutions. There’s a great example of using it for job descriptions, including the full prompt document, which helps create documents that don’t sound like generic AI-written slop.
The Information with “How the World Plans to Stop American AI Domination.” The article discusses how countries worldwide are working to prevent American domination in the field of artificial intelligence (AI). Startups in Europe and other countries are raising funds and developing their own AI models to ensure their nations’ digital sovereignty and avoid being left behind. The push for homegrown AI is driven by the desire to reflect local language, politics, and culture and avoid being caught in the middle of tensions between the US and China. Governments are investing in AI initiatives, but there is concern that much of the funding may end up benefiting US tech companies.
More automation is not always the answer. The backlash is so strong some companies are going to differentiate by not using AI at all. The focus should be on the customer, and providing better service. I’m leaning into my “augment not replace” argument here. Why not make it easier to do… everything? Better technology for customers, but also better technology to make customer service reps amazing.
Spend some time on that Latent Expertise article. AI’s effectiveness significantly increases when paired with domain expertise. This approach ensures that AI solutions are relevant and accurate and add real value to the business processes they are intended to improve. That’s the key unlock.
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