Why Most AI Strategies Miss the Real Threat: Beyond Efficiency Gains

Most companies are treating AI like a productivity booster instead of the transformational force it could become. While organizations focus on making processes 15% faster or 20% more accurate, they're missing the bigger conversation about radical business model changes.

Strategy consultant Zoe Scaman argues that this narrow focus creates a dangerous blind spot. Companies pour resources into incremental improvements—automating routine tasks, speeding up decision-making, and breaking down silos—while competitors might be inventing entirely new ways of doing business.

The Two-Track Solution

The solution isn't abandoning efficiency projects but running parallel strategies:

• 70% for incremental optimization: Use AI to automate processes, enhance decision-making, and improve customer experience with predictable 1-3 year outcomes
• 30% for radical experimentation: Test fundamental business model changes that are only possible with AI, accepting uncertain but potentially transformational 3-10 year timelines

This approach protects against becoming excellent at approaches that become irrelevant. While you're perfecting current workflows, new entrants could be creating 10x more effective alternatives.

Modeling Extreme Scenarios

Instead of creating separate innovation teams, use existing AI systems to explore radical futures. Feed economic, technological, and cultural inputs into AI models to generate thousands of scenarios about how your industry might transform.

Key questions to explore: What if management hierarchies become obsolete? What if annual planning becomes continuous real-time strategy? What if hiring shifts entirely to judgment and creativity rather than task-based skills?

These aren't science fiction scenarios—they're possibilities AI is already making technically feasible. The window for experimentation is narrowing as competitive landscapes shift faster.

Companies that survive won't be those squeezing out more efficiency. They'll be those bold enough to model futures their competitors can't imagine and build toward them now.

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