How Not to Talk About AI with Your Shareholders

When you're a CEO or a business leader in today's world, talking about AI is almost inescapable. Almost every industry is being impacted by AI in some way or the other, and companies are having to adapt to stay relevant. However, talking about AI is not always easy, and it can be particularly challenging with shareholders and stakeholders who might not be as familiar with the technology as you are.

Let me illustrate this with a story.

The Story of the CEO Who Got it All Wrong

Not too long ago, a CEO of a large financial services firm was doing a presentation on how his company was incorporating AI into their operations. Everything was going well until he started throwing around technical jargon and using buzzwords that nobody understood. It was clear that he was excited about AI, but it wasn't clear how it was going to benefit the company, or even why they were investing in it in the first place.

The shareholders became nervous and confused and started asking tough questions, such as, "what's the ROI on this investment?", "how will it impact our bottom line?", "what's the timeline for implementation?". Unfortunately, the CEO did not have the answers, and the presentation ended up causing more harm than good. The investors left feeling unconvinced and suspicious of the company's management.

So, what went wrong here? The CEO made some classic mistakes when communicating about AI with his shareholders:

• Mistake #1: Using too much technical jargon and buzzwords that nobody understands
• Mistake #2: Not providing clear examples of how AI is going to benefit the company
• Mistake #3: Not answering tough questions about ROI, timeline, and impact on the bottom line

Without proper communication, AI can appear fuzzy and abstract. It is essential to communicate clearly to your stakeholders what AI can do for your business and how it can provide a competitive advantage.

The Power of Quantifiable Examples

If you want to convince your shareholders that AI is worth investing in, then you need to provide quantifiable examples that show how it will impact your bottom line. Here are three examples:

1. Automate Manual Processes: By using AI-powered bots to do repetitive tasks, we can improve efficiency and reduce operational costs by up to 30%.
2. Predictive Maintenance: By using machine learning algorithms to analyze data from sensors, we can predict equipment failures before they occur, reducing downtime by up to 20%.
3. Personalized Marketing: By using AI to personalize marketing messages to individual customers, we can increase sales by up to 15%.

By providing quantifiable examples, you're not only demonstrating the benefits of AI, but you're also providing concrete evidence that your shareholders can relate to.

Conclusion: Three Key Takeaways

When communicating about AI with your shareholders, keep these three key takeaways in mind:

1. Use Plain Language: Avoid technical jargon and buzzwords. Use plain language that everyone can understand.
2. Provide Concrete Examples: Show how AI can provide a competitive advantage and have a measurable impact on your bottom line.
3. Be Ready to Answer Tough Questions: Prepare answers to tough questions about ROI, timeline, and impact on the bottom line. Don't leave your shareholders guessing.

By following these three takeaways, you'll be able to communicate effectively about AI with your shareholders and stakeholders, and build confidence in your company's future.