AI IN PROCUREMENT
Redefining what due diligence looks like in an AI world When it comes to the adoption of AI, confusing capability with readiness is one of the biggest blind spots corporate leaders have when buying AI software.
“ All hat, no cattle, as they say in Texas,” says Andrew,“ leaders see a compelling demo, they see the benchmark numbers, and they buy on the promise of what the AI can do. But they have not assessed whether their organisation is prepared to operationalise it.”
While perhaps less glamorous than the shiny new software, Andrew explains that data quality, change management, process standardisation and governance are what separate AI that delivers from AI that disappoints.
Eric adds:“ Leaders often evaluate AI for capability, but not for consequence.”
Most buying decisions still focus on what the software can do: automate faster, generate better insights and improve efficiency, and while those are important questions, they are incomplete.
“ The more important questions are often left unexamined,” says Eric. Organisations should also be asking the questions: What does the system have access to, what does it retain, what does it learn from, and how accountable is it when something goes wrong?
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