Is ROI a red herring?

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This episode reframes how leaders should approach generative AI, with insights from Justin Trombold. Instead of chasing use cases or tools, the focus is on fixing processes, incentives, and operating models. The conversation explores why many AI pilots fail, how ROI thinking can mislead, and why AI should be treated as a new way of working rather than a software upgrade. Practical examples show how small, disciplined changes can unlock productivity, innovation, and meaningful business impact without overinvesting or freezing in fear. 

👉 Full Show Notes
https://www.microsoftinnovationpodcast.com/802   

🎙️ What you’ll learn 

• How to identify AI opportunities by examining business processes, not tools 
• Why most AI pilots stall before delivering real value 
• How incentives and operating models determine AI ROI 
• When ROI metrics help and when they get in the way 
• How productivity gains can unlock business model innovation 

✅ Highlights 

• “Let’s not talk about use cases. Let’s talk about your processes.” 
• “If you don’t have to mow your lawn, why would you do it?” 
• “You’re just going to shift the bottleneck to another place.” 
• “There’s a very high level of maturity in the potential.” 
• “There’s generally a very low level of maturity in the willingness.” 
• “People are talking a lot about the drill.” 
• “Generative AI is transformation.” 
• “It’s a change in the way that you’re working.” 
• “AI gives people permission to innovate.” 

 🧰 Mentioned  

• Start your own value-creating GenAI Journey with our "rapid" diagnostic here: 
  Survey Page | AnteSyn Advisors - https://www.antesynadvisors.com/blank-3  
• "How to Flourish" with guest Daniel Coyle - EconTalk Podcast Archive - Econlib - https://www.econtalk.org/  
• Generative AI - https://www.ibm.com/think/topics/generative-ai 
• MIT study on AI ROI -  https://www.technologyreview.com/2025/10/28/1126693/finding-return-on-ai-investments-across-industries/  
• Proofs of concept (POCs) -  https://www.projectmanager.com/blog/proof-of-concept-definition 
• Design thinking viability and feasibility concepts https://www.uxdesigninstitute.com/blog/desirability-viability-and-feasibility/ 

✅Keywords 
generative ai, ai roi, operating model, business processes, productivity, innovation, incentives, ai pilots, digital transformation, leadership, applied ai, enterprise ai 

Microsoft 365 Copilot Adoption is a Microsoft Press book for leaders and consultants. It shows how to identify high-value use cases, set guardrails, enable champions, and measure impact, so Copilot sticks. Practical frameworks, checklists, and metrics you can use this month. Get the book: https://bit.ly/CopilotAdoption

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Thanks for listening 🚀 - Mark Smith