Bot Building Part 5: AI & Automation—Powerful for Scaling & Not Taking Over (Yet)

AI and automation have changed how businesses scale, improve efficiency, and streamline decision-making. Despite the hype, AI isn’t replacing business leaders, strategic thinking, or the complexity of human intuition—at least, not yet.

From my own deep dive as a complete newbie into building AI-powered bots for automation, I’ve seen firsthand where AI accelerates efficiency—and where it falls apart without human oversight.

AI as an Accelerator, Not a Standalone Solution

Over the past few months, I’ve been refining automation workflows to streamline business valuation, operational insights, and process efficiency. AI was supposed to make things faster, smarter, and scalable. But here’s what really happened:

?? The first bot worked well. I fed it structured data, and it followed the format accurately.

?? The second and third bot needed adjustments. I had to guide it, tweak responses, and ensure it was generating the right recommendations.

?? The fourth bot derailed for a moment. The outputs were off, the logic fell apart, and I had to step in manually to course-correct.? All looks great now - expensive to run and not currently scalable - but works great.

This experience was a wake-up call—AI doesn’t automatically understand context, and it doesn’t self-correct when it misinterprets data. Hallucinations as we all call it.

The Mathler Story: Why AI Can’t “Think”

A perfect example of AI's limitations comes from a simple game I play with my daughter weekly —Mathler.

Mathler is a numbers game you can do online where you’re given an answer and have to figure out what equation gets you there. It requires a mix of logic, deduction, and pattern recognition.

One day, I decided to test AI’s ability to solve Mathler puzzles.

I gave the bot the answer and the available numbers, expecting it to reason through the possibilities like I would. Instead, it failed completely.

It couldn’t adjust its approach based on previous guesses, didn’t recognize the constraints of the game, and had no ability to develop a strategy. It was simply brute-forcing calculations, but without context or intuition.

This was a powerful reminder: AI can process data, but it doesn’t think.

It can’t pause, reconsider, or recognize subtle patterns the way a human brain does.

This same flaw shows up in business automation. AI can execute tasks, but without human oversight, it will blindly follow patterns—even if they’re wrong.

Where AI Works Well

AI is an incredible tool when applied strategically. Here are the areas where it’s been a massive time-saver in my business:

? Speeding Up Document Creation – Instead of writing from scratch, AI can generate structured drafts, cutting time in half.

? Summarizing and Extracting Key Insights – AI helps process transcripts from meetings, pulling out the most relevant data.

? Refining Messaging & Formatting – I use AI to tighten up writing, ensure clarity, and enhance readability.

For example, I’ve used AI-driven automation to generate business valuation reports, pulling from structured inputs and predefined benchmarks. While the first draft sometimes needs adjustments, it dramatically reduces manual workload in report generation.

Where AI Falls Short

?? AI Misunderstands Complex Workflows – The bot I built in Relevance AI burned through hundreds of credits running the various actions. I thought one action = one credit, but I quickly learned that multiple background steps meant costs escalated fast.

?? AI Can’t Handle Nuance Without Human Input – When I tried to let AI handle SOP creation, it worked fine for the first draft but quickly lost context and needed human intervention for the final product.

?? AI Can Be Expensive if Not Optimized – I migrated later bots off an AI model to Google App Scripts because it was costing too much for tasks that didn’t require machine learning.

This is why automation without strategy is just expensive inefficiency. AI is an amplifier of expertise, not a replacement for decision-making.

The Future: AI as a Partner, Not a Boss

One of the biggest misconceptions is that AI is a magical solution that will replace decision-makers. The reality?

AI can’t trust a gut feeling. It won’t spot hidden connections. It won’t step back and ask if it's even looking at the right picture.

Automation can be amazing — until it isn’t. Take my experience with Bot 2, for example. I lost two hours trying to figure out why in the google sandbox I could get it to create a single dynamic tab in Google Sheet. The answer is it can’t do that inside the sandbox as I’m not giving it the right input.? AI didn’t flag the issue. It didn’t suggest a fix. It just kept running the troubleshooting instructions. Sometimes, human oversight is still essential.

AI is a powerful assistant, but it requires a business leader to guide it, refine its outputs, and optimize its processes. The companies that win with AI won’t be the ones that try to replace thinking with automation—they’ll be the ones that integrate AI to accelerate, not replace, their decision-making.

What This Means for Growing Businesses

?? Use AI to enhance efficiency, not to replace human insight.

?? Invest in automation where it makes sense—but monitor costs carefully.

?? Refine workflows continuously, balancing AI with strategic oversight.

AI isn’t taking over the world (yet). Businesses that learn how to use it strategically will have a serious competitive advantage.

?? How are you integrating AI in your business?

??Drop your thoughts in the comments or DM me, and let’s put a strategy together that leverages the best of technology to maximize your operational efficiency.

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As a CEO or business owner of a $3M+ company, are you:

?? Looking to streamline operations for smoother scaling?

?? Frustrated with profit leak, bottlenecks & constant firefighting in your business?

? Interested in a fresh perspective on maximizing your business value?

DM me—I’d be happy to share a clear solution to any operational or efficiency challenge you’re facing right now. Let’s connect and discuss how to drive impactful results for you, your business and your team.

Visit our website to learn more: www.scalinggrp.com