AI Monthly: Creating and Destroying Value with Generative AI

Dear AI Enthusiasts,? ?

As generative AI continues its meteoric rise, how can companies take advantage of its potential while avoiding its pitfalls? This question is at the heart of an intriguing new study from BCG Henderson Institute.? ?

By conducting a first-of-its kind experiment with over 750 consultants and scholars from Harvard Business School, ?MIT Sloan School of Management, The Wharton School, and the University of Warwick, they uncovered a paradoxical finding: people tend to mistrust AI where it excels, yet trust it too much where it falters. Specifically, participants struggled to improve on GPT-4's creative outputs, hurting performance when they tried to edit its work. However, many accepted the tool's misleading suggestions for complex business problems.? ?

The takeaway is clear: generative AI requires careful change management. Leaders must continually reassess where humans can add value as AI's capabilities expand. They need to build robust data pipelines, experiment relentlessly, and evolve roles, training and culture accordingly.? ?

The future will likely see AI automating certain tasks completely while complementing people on others. But organizations must keep pace with AI's breakneck progress to maximize the benefits. The companies that embrace this adaptive approach will gain an unbeatable competitive edge.? ?

I highly recommend reading BCG's fascinating study on the promise and perils of generative AI and let me know your key takeaways!? ?

Until next time,?

Sylvain Duranton?

This Month's Top Reads:

What’s Dividing the C-Suite on Generative AI? - Boston Consulting Group??

A new study from BCG surveyed 2,000 global executives found that over 50% still discourage GenAI adoption. Find out the top concerns and challenges dividing the boardroom, and how we can accelerate the path to GenAI maturity.??

The Generative AI Throwdown: Open Source vs. Proprietary Models – Forbes ?

The generative AI revolution is here, and a key question has arisen: should GenAI be open source, or reserved for proprietary models? I explore the fascinating road ahead in my latest Forbes article. ?

Generative AI will ‘no doubt’ affect all jobs — including HR, says Indeed - HR Dive?

New research from Indeed explores how GenAI will transform various jobs and impact HR departments, diving into which professions are most and least exposed to automation or augmentation by AI and why certain human skills remain irreplaceable. ?

How to harness the power of generative AI for better jobs? Experts share their views - World Economic Forum?

Top experts provide their views on how organizations can best manage AI disruption in the workplace and take advantage of the technology's full benefits through strategies like investing in re-skilling workers for in-demand skills and increasingly valuable "people skills."?

Study gauges how people perceive AI-created content - MIT Sloan?

MIT explored how people perceive work created by GenAI vs. Humans. The results? People showed no aversion to AI-generated content and even prefer it when a work's origins are unknown - however, revealing AI as the creator does elicit a bias favoring human creators. ??

Bonus Stream:

Season 8 of Me, Myself, and AI is Back!

The first episode of season 8 features an engaging conversation with Volvo’s Senior Technical Leader Anders Sj?gren on how the automaker applies data, analytics, and artificial intelligence to support innovative automotive engineering. ?