The Inevitable AI Revolution
All right, artificial intelligence is approaching whether you embrace it or not. This represents a perspective on AI from a very high-level corporate officer that’s quite concerning, but it’s worth paying attention to. Whether you own a company, whether you’re a manager, even if you’re an employee, you should pay attention to this. This is a CEO of a company called Lemonade. And you may not have heard of them. They are a very specific insurance industry leader in the area of what’s called Fintech financial services that have to do with technology and they write insurance that has to do with cyber attacks. But that doesn’t really matter. What they’re talking about is artificial intelligence.
Industry-Wide AI Transformation Warning
What he’s saying is most insurance companies will fail the AI test. But don’t focus on the word insurance. He’s just talking to the insurance industry. This same suggestion, advice, prediction could apply to any type of industry. And we’re going to take a look at why this is not just a canary in the coal mine for insurance, but for any industry.
The Longevity Versus Immortality Lesson
If you notice, the subtitle for this article is longevity should not be confused with immortality. What does that mean? It means just because you’ve been around for a long time doesn’t mean you’re not going to die. and he’s talking about companies. Very good story that’s a metaphor analogy for this is Kodak. For a hundred years, Kodak was the leader in photography and film and cameras. And some point in the 1980s, an employee at Kodak invented the digital camera, the digital photography. And he went to the boss and said, “Look, I invented this digital thing. We could do this.” and Kodak says, “Shh, don’t tell anybody because it’ll ruin our business and we won’t be able to sell film. We won’t be able to sell cameras and photography and the production of new development techniques.
The Kodak Digital Photography Mistake
Well, they didn’t do it, but now Kodak is out of business because everything is digital photography now. If they had transitioned to the new way that photographs are being taken, they would still be in business. The same thing is happening all across the board. And it’s not always because they don’t adopt technology. Part of it’s because their mindset.
The DNA Match and Organ Rejection Problem
Here’s the quote. I think many companies will fail the AI test. They’ll fail at it for the same reason that most acquisitions fail. On paper, it makes sense, but there isn’t a DNA match and there’s organ rejection. That’s a metaphor. What that means is you have to adopt AI. The only way for AI to be successful beyond being a tool is if you prepare for it.
Training AI Like Training People
AI like people needs to be trained. It needs feedback. If you build that platform, AI adoption will come. So what you have to do as a company is embrace this. Don’t fight against it like they did at Kodak. Don’t say it’s not something we want to do because you’re afraid of it or you don’t agree with it. It’s going to happen, right? You have to make it part of your ecosystem.
Starting Small with AI Implementation
Now, how do you do that now? Well, you may not be able to transition your company or your workflow to AI today. But what you can do is start to include it in even just practice. Try it in one little area. What’ll happen is you will find out things you didn’t know before. It’s that old saying, you don’t know what you don’t know.
AI Beyond the IT Department
Also, you want to include it in areas other than IT. Many insurance leaders assume AI management is solely the IT department’s responsibility. That’s a big mistake. AI can infiltrate many other areas. So, this is early on. Watch our channel for more discussions of AI because it’s going to be something that changes the world in the next 5 to 10 years. And companies who not only adopt it, but are familiar with it will be way ahead of the game from other competitors.
