The Path for Gen AI

Have you ever heard of Eliza? She was a chatterbot.

Eliza was created in the 1960s by Joseph Weizenbaum and was the first real instance of generative AI.

The most well-known variation of Eliza was one who was taught to respond like a psychotherapist. She "reflects" on questions by turning the questions back at the patient, much like a doctor. Using "'pattern matching" and substitution methodology, Eliza gives canned responses that made early users feel they were talking to someone who understood their input. The program was of course limited by the scripts that had been set.

You can give Eliza a try if you like and sit on a therapist’s couch. Some students did with interesting results..https://web.njit.edu/~ronkowit/eliza.html

Following on from Alan Turing’s question “can machines think” and his subsequent Turing Test as a way to evaluate a machines ability, Frank Rosenblat sought to create machines that could learn from experience and introduced the Perceptron. This can be described as the first operational realization of a neural network, networks which now play a significant part in deep learning.

Combined with the rise of the internet and advancement in computers, machine learning, neural networks, and deep learning became more accessible. This opened up new opportunities to create advanced AI models.

Taken together, these steps formed the pathway to the place we are at today and what we are now experiencing with the explosion of Gen AI.

So, let’s now imagine a company—call it “Any Company”—which, just last year, was facing significant challenges. They were battling operational inefficiencies, struggling with customer engagement, and trying to improve workforce productivity. They’d invested in AI before, but the results were underwhelming. Then, after some hard thinking, they decided to embrace Generative AI—and things started to change.

With a sharp focus on transformation, “Any Company” partnered with the right leadership, updated their governance models, and committed to an “all-in” mindset. They tackled immediate quick wins like automating repetitive tasks and improving analytics capabilities. Fast forward a year, and “Any Company” is now a completely transformed organisation, delivering more efficient workflows, better customer experiences, and a competitive edge in the market. They've turned their AI investments into a true business advantage.

This isn’t just a hypothetical—it's the reality many businesses are facing as they embrace the opportunities Generative AI offers.

Over the past few months, I’ve been having a lot of conversations with our Transformation Trailblazers cohort. These are the senior leaders who are not just talking about digital change but actively driving it—often through the adoption of new technologies like Generative AI. What I’ve heard again and again is how quickly things are changing. Generative AI is shaking up entire sectors, and it’s clear that those who act swiftly and smartly are the ones who will lead the charge.

The key takeaway from my conversations? It’s not enough to just implement AI; it’s about the way you implement it. As a recent Oliver Wyman report highlighted, 70% of companies have either implemented or plan to implement AI technology. But spending vast sums on AI doesn’t guarantee transformational results. It’s the approach—getting the right leadership in place, committing to cross-organisational efforts, and, crucially, embracing the complexity of AI—that makes all the difference.

As AI is becoming a cornerstone of business transformation, I’m sharing five of our Transformation Trailblazers’ (TT for short) insights to ensure your company can truly reap the rewards of Generative AI.

It starts as you would expect with choosing the right leadership. Each of our TT cohort led with this. A successful AI transformation requires leaders who are not just technically savvy, but who can drive change across the whole organisation. Leaders need to be ready to answer tough questions like: How will AI power our growth? and who within my leadership team has the vision and bandwidth to champion this shift? The best transformations are cross-functional, with leaders from all departments fully invested in making AI a business-wide initiative. Of course, they also need the right sponsors, without whom, the leader and the AI is almost certain to fail.

The cohort reaffirmed what we probably already know in that Generative AI is complex and needs to be embraced so requiring organisations to think in new ways. Gone are the days when business units worked in silos. The scale, scope and complexity of AI transformations demand collaboration across teams—bringing new skills, new resources, and a fresh approach to problem-solving.

At the same time, AI might be powerful, but it's not flawless. One of the biggest barriers to successful AI adoption is ensuring that the human element is part of the process. With the right design principles in place, organisations can ensure human oversight where needed while allowing AI to automate repetitive tasks and deliver new insights. Privacy and security concerns are top of mind and addressing these up front is essential.

It is also clear that a successful AI transformation can’t happen without the people behind it. A recent survey showed that 98% of employees will need some form of AI upskilling over the next five years. But here’s the catch: many executives believe only 40% of their workforce needs training, which creates a disconnect. Training must be ongoing and hands-on, with employees learning on real projects, not just theoretical lessons.

Lastly, but interestingly, also almost firstly, is that the key to maintaining momentum is showing quick, tangible results. AI should start with low-hanging fruit—projects that offer clear, measurable outcomes. These initial successes can build confidence and prove the value of AI to the wider organisation. For businesses, aligning AI efforts with broader cost-cutting or efficiency-driven initiatives can deliver impactful results right from the start.

On the back of those discussions, thinking about these strategies and the sheer pace of change happening right now, I’m reminded of how important it is to stay ahead of the curve. Generative AI is a powerful tool, but the businesses that will succeed aren’t those who simply adopt it—they’re the ones who fully commit to using it as a lever for transformation. The journey is never easy, but with the right leadership, an open mindset, and a commitment to innovation, the results can be truly transformative.

I’d love to hear how you’re approaching AI transformation in your organisation. If you’re looking to share insights, discuss your own AI journey, or need help connecting with the right leaders for your transformation efforts, don’t hesitate to get in touch with me here at Malikshaw.

Looking forward to hearing your thoughts!