That 800lb Gorilla Is Waiting

“Whenever you find yourself on the side of the majority, it is time to reform (or pause and reflect).”― Mark Twain

Personal Log: Pause and Reflection

Last weekend, I sat and listened to a 35-minute podcast. I skipped through a lot because the person speaking was dramatizing things too much, and what they really wanted to say was in the last two minutes. And the main point was about how AI was going to eliminate jobs. This isn't the first podcast or news item I have come across to say the same. I am not saying AI will not impact jobs. It will. But the doomsday scenarios are overly exaggerated. What we should be asking ourselves is how do we prepare for this rather than look for cover? I can tell you that no guru has the answers. Instead, I went to the source and have shared it privately with many. The data comes from none other than OpenAI . Yes, the information and data can be a little frightening and overwhelming. Join those who are informed. "An Early Look at the Labor Market Impact Potential of Large Language Models"

This is not the end of work; it may be the end of redundant (dead-end) jobs and the beginning of new ones. As I have said, get reskilled and retrained. Smart executives work hard to stay ahead of the curve; they are not victims. So read the document and then pause and reflect.

Are Grocers Retailers or Food Supply Depots?

The grocery sector, often perceived as a conventional retail industry, warrants a deeper examination of its economic and social role. Especially when they are an oligopoly and control so many brands. My argument is that grocery goes beyond the normal boundaries of retailing. They sell the essentials of life - food! Therefore, grocers should see themselves as having a greater responsibility to society. I am not suggesting control of the industry or price controls. However, I believe that they are missing their social responsibility. They do bring fresh and prepared foods from farms and manufacturers to market. However, consumer distrust is not going well.

Grocers are not benign retailers; they do try to entice consumers with products. But service is not what it used to be. All grocers look alike. Most meat and fish departments have some staffing. But they are not a journey of discovery. They serve as a replenishment of essential supplies; they all know that, and there is no incentive to change the model; it works, it has always worked. Aside from technology that has sped up service and sustained quality, we have been going in with grocery carts or bags for over one hundred years.

Grocers have a social responsibility and a major economic impact on the lives of consumers; without them, we may be paying more, and who knows what shopping would be like? However, these large grocers argue they have a great deal of competition, and they do; the majority of that competition is between five companies in Canada, controlling 76% of the market with 40 retail brands. In the 19th and beginning of the 20th centuries, companies with this much power were called "Trusts.". They were conglomerates with control and influence. And while some 70% of consumers have little brand loyalty and swing from grocer to grocer with the intent to save money. Share of the market may switch negligibly, which means there really is less competition than we think.

I am not advocating for the break up of these grocers; I am merely pointing out that we should recognize that they collectively have control over how and where consumers with few choices can shop to sustain their lives. Offering a discount price in one of their own brands and not in the other brands they own begs to raise eyebrows. Competition, as they see it, is self-imposed. Perhaps they are not retailers. In traditional retailing, consumers get to choose from a variety of choices when it comes to fashion, electronics, and services. Those retailers face the consequences of having the wrong products and pricing. Grocers don't seem to. Are they retailers or food supply depots? It doesn't really matter. They provide the supplies we need.

800LB AI Gorilla "Is Lack of Prediction"

Don't confuse the capabilities of AI to predict with crystal balls and fortune-teller-like capabilities. AI will use the data they have been trained on to analyze trends and statistical likelihoods rather than mystical and supernatural powers, also known as guessing.

Almost every business has an 800-pound Gorilla in the waiting area or one that has already ravaged the company. Today, the proverbial 800-pounder is about the inability to collect data and create fuel for AI...and, for that matter, whether you will ever get to that level.

One of my goals in this write-up is as follows. I don't want any of you to sit in a presentation with someone telling you that AI is the new electricity and that data is the new oil; they want you to marvel and be impressed, even worry, as they play the doom card. We shouldn't be because AI has been around for twenty years and Data since we started recording history. Innovation has been changing workplaces since humans discovered the wheel. Nothing new here!

Businesses and their leaders seek solutions that offer insights beyond what is immediately obvious. The secret to AI is Predictions for businesses and their leaders to know what their customers want and need before they realize they want and need it.

Every day, I am surprised by how many companies claim to be now leading with AI. In about a year, we will discover how many are not using AI. There are far too many moving parts to becoming an AI-driven brand. Some may be using ChatGPT for ideas. This does not make you a data-driven AI organization, not even close!

AI will become an appendage of humans, not our replacement, if done right. And as long as we focus on that, the most intelligent, courageous and creative will be running companies.

However, the 800lb AI Gorilla is waiting in business, government, education and healthcare corridors. This is the biggest risk of all. Leaders need to understand their business landscape and how well-positioned they are to become AI-Factory Engines—simply becoming a technology company with a brand and products. That's what the 800-pound Gorilla is waiting for us to fail at this.

Economy - Society - Politics

Economy - Real Estate agents are mad at you. How dare you still expect higher prices and not allow them to sell your homes at lower prices? Toronto Star

Economy- Interest rates are they coming down, staying flat or destined to go up? Or are we now in a War Economy, and this could change everything? Financial Times. The Globe and Mail, however, central banks know that a war also costs money so rates may stay higher longer. In addition, wars cost the labour market manpower in those countries that are engaged in battles. And lead to a slower global economy, along with inflation. We have the full gambit underway.

Society - The Prime Minister weighed in on antisemitic and Islamaphobic threats. CBC News Canadians attacking Canadians is plain wrong. Anyone inciting hate and violence within Canada as a solution to a conflict so far away is also wrong. I understand the hurt and concern, but attacking other Canadians is like bringing the war here. I suggest we all choose "I Am Canadian First" policy and be more rational.

Politics -The right immigration policies work for everyone. The wrong policies lead to housing shortages and unemployment. Here is how the numbers are broken down in Canada Global News. In the US, on the other hand, Donald Trump, if reelected, has other ideas. Politico

The Future of Malls

Malls are ready for transformation, and a major player in this evolution is Artificial Intelligence. Consumers are increasingly seeking unique and personalized experiences, and AI presents an opportunity to revolutionize the traditional mall visit. Even older malls, which may lack modern appeal, can significantly enhance customer experiences through AI integration.

A recent mid-week issue of The Business Brief highlighted the impending impact of Personal AI Assistants (PAIAs) on retail. These assistants, which are currently in development, promise to redefine how we shop.

Imagine entering a mall and your smartphone app, specific to that mall, activates. It welcomes you and, with your permission, accesses your shopping preferences and history. You allow for voice interaction, letting it know what you're shopping for that day. The app then curates a personalized journey through the mall, directing you to deals, new styles, and unfamiliar brands. This scenario simplifies the technology's potential, but it captures the essence of how AI can enhance both the shopping experience and retailer-consumer engagement.

For retailers, this technology isn't just about attracting new customers; it's also about reconnecting with past customers by offering them tailored experiences. Consumers have the choice to engage with the mall's PAIA or use their own to navigate and personalize their shopping journey.

As we move forward, the integration of AI in malls is not just an option but a necessity. Investing in this technology proactively positions malls at the forefront of retail innovation. It's time for malls to stop chasing the future and to lead it, especially in a rapidly evolving retail landscape where experience and personalization are becoming paramount.