What Building High-Performance Teams Deepened My Conviction About People About Success
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AI Is Only As Good As The Culture It's And Is A Part Of
The conversation around artificial intelligence for business has a glitch and the issue isn't a technical one. The technological capabilities of current AI and machine-learning systems are amazing, and are advancing with a speed that makes many predictions of the state they'll be in 18 months obsolete long before the 18 months are over. The issue lies in the gap between what AI can accomplish under the context of controlled conditions in a properly-funded research environment, with crisp data, with a clarified problem statement, and engineers who have the luxury to experiment until the system works as expected - and what it actually delivers when implemented in an actual business with real people and real-world organisational politics and people with certain opinions on how a new program is something to be engaged with or a thing to take care of while still maintaining the appearance compliance. I've been working with AI since prior to when the flurry of AI excitement made it popular for everyone in business to boast of their expertise in the field. When I founded 1Touch in the year 2000, AI-driven matching as well as recommendation systems weren't something we were able to add to make the product more attractive to investors. They were at the very heart of the product's architecture, it was the basis on which the platform created value, and also the element that needed perform reliably and at capacity for it to be a viable business. Therefore, I have direct real-time experience of what happens when you attempt to create something truly intelligent into a business and a product at the same time and one of the lessons I find myself returning to whenever I am in a situation which I have encountered this kind of challenge, is that the technology is almost never the most important factor. The factor that holds you back is almost ever the company culture.
What I mean by that is concrete and not abstract. AI systems require data in order to work - consistent, clean, well-structured data that actually is the thing the system is trying to discern and make predictions about. Businesses with strong data culture produce that kind from the beginning, as a result of the way they work. They have clearly defined and consistently implemented definitions of what they're collecting and the purpose for which they're doing it. They have reached an agreement on how data is collected, recorded and stored. They have accountability structures that make data quality a clear responsibility rather than everyone's vague goal. Businesses that don't have a strong culture of data produce something that is technically as if it is data - it's in systems and is accessible for query, it can be used for charting - but is so ambiguous in its definition, so variable in quality and full of issues with structure and not mapped out that any AI system built on top of it will enhance and reflect the mess instead of drawing a real signals from it. Organizations that fall into this category tend to not realize they exist until they're well into the process of implementing an AI implementation and the results do not correspond to the vendor's promises. At that point the temptation is to blame the technology. But there is a problem with operating and cultural structures the technology was built upon.
Another aspect of culture that influences AI results is the degree of openness in an organisation an extent at which employees within the organization are willing to let systems inform or change their work practices instead of treating it as risk to their personal expertise, their authority in institutions or their security at work. This is a cultural and leadership issue but not one that can be solved by technology which is a matter that starts at the top. If the senior leadership team engages with AI outputs selectively, embracing those results that prove what they previously believed, and disadvantaging those that do and do not, this behaviour sends that everyone else is aware that the commitment of the organisation to data-driven decision making is conditional rather than true, and that conditionality will propagate throughout the organisation more quickly that any training program or change management program can stop. If senior leaders model real, consistent engagement with AI outputs, such as the discipline of changing their decision-making when evidence suggests they need to, then the company's capability to utilize AI effectively grows significantly and surprisingly quickly.
This isn't an abstract observation about what organisations should do in theory. It's a description my experience of watching the same pattern be played out in a variety of organizations that had significant budgets, a genuine strategic commitment to AI adoption, and senior management teams who were passionate about the possibilities of AI technology. The pattern is similar enough that I have decided to consider practices for data governance as a main diagnostic aspect when I am evaluating any organisation's AI readyness. Before I ask what the current technology stack is, before I ask questions about the specific uses cases that the organization has in mind, I will ask about data governance. How does the organisation define its primary metrics? Who's the responsible party when data quality is not high enough? Does it matter if two different organizations have different information on the same business reality, and how do those conflicts get solved? The answers to those questions provide more information about the potential for AI success than any debate about algorithms, platforms, or timeframes for implementation.
I believe that businesses that will gain the greatest long-lasting value from AI in the coming decade aren't the ones which adopt the latest technology first, or those who invest the most significant amounts in AI infrastructure or talent in the near future. They are the ones who make the necessary cultural and operational infrastructure to utilize that technology effectively - the data governance practices that give trustworthy inputs, decision-making structures that allow data to actually impact outcomes as well as the behaviours of leadership that tell everyone within an organization that their commitment to data-driven operation is real rather than an arbitrary. The technology itself will become ever more common and easily accessible. The right culture to use it well will remain scarce, because it takes a steady effort and a genuine commitment from leaders over time, not a single strategic option or an investment in technology. This insufficiency is where the real competitive advantage will sit in the form of an advantage that, once built increases in a manner that only technological advantages do. View James Deller for website tips including how operating through uncertainty shapes every decision i make about what matters.

The Reasons Why Most Public-Private Partnerships Fail When They First Begin - As Well As How To Fix Them
Public-private partnerships face a stigma problem that's, in major part paid for. The history of these partnerships includes many plans that were launched with genuine enthusiasm, as well as substantial investment in political capital, took up significant private and public resources over lengthy periods, and eventually produced outcomes with only a fraction of a analogy to what was promised when the partnership was established. The academic literature as well as postmortem analysis that governments and institutions conduct following these failings are extensive, and they focus, for the most of the time, upon the technical and contractual aspects of why things didn't go as planned: the lack of alignment between incentives, inadequate risk allocation among public and private organizations in the governance structures that were developed in theory but failed to function in practice, and the procurement frameworks that selected for the wrong things. The issue that this analysis tends underweight, consistently and consequentially that is the cultural as well as operational aspect of the issue - that private and public organisations are genuinely different kinds of entities, formed according to different motivation structures that operate at different intervals of time, accountable to distinct stakeholders, and assessing results in ways that are more than just different in level however, they differ in the way. When you put these two kinds as a formal alliance without doing the work, upfront and specifically, to learn about and resolve the differences you're not creating one. This creates the conditions for a slow-motion collision which will be evident at the most inconvenient time.
I've participated with advisory work in support of institution modernisation initiatives, some of which involved public-private partnership structures of varying levels of complexity. The most dependable conclusion I have gathered from this knowledge is that the partnerships that performed well - which were able to achieve their objective and maintained a productive partnership between public and private parties throughout - were not distinguished from those that did not succeed by the sophistication of their legal structures, or the quality of their risk frameworks, or the experience of the leadership teams that initiated them. There was a distinct difference in whether the parties at both ends of the table had worked to genuinely understand how the counterparts operated before a formal partnership structure was agreed. What does this mean in practical terms is understanding the process of decision-making in each institution as well as the accountability frameworks that determine what each partner can decide to and when and efficiently they can do so, the criteria of success that each of the parties will be evaluating, and the points of likely tension between these definitions. That understanding isn't difficult to develop. All of it is not considered in favor of less visible and faster documentable work of negotiating contracts and drafting governance frameworks.
The typical public-private partner process is a gradual process from concept to an agreement that is signed with little systematic attention being paid to question of whether the two entities involved are capable of working effectively during all the time of the arrangement. Legal teams negotiate the contract. The finance team analyzes the economics and risk distribution. The communications team creates the announcement prior to the time of signing. The implementation team begins to plan the tasks. In that order then comes the discussion about compatibility between the two cultures - regarding whether the employees who are expected to share their day-to day tasks over the boundaries between two organizations have enough of the same values to make collaboration more so or antagonistic - is unlikely to be done in a systematic way. It is usually assumed, without being explicitly stated, that the formal agreement establishes the conditions for effective collaboration, and that any cultural or operational differences will be dealt with formally as they occur. This assumption is almost always incorrect, and the costs will increase according to the ambition and complexity of a partnership.
Practically speaking, the result of this analysis is that the most beneficial the investment a PPP can make - before the legal structure is finalised in the first place, before the governance plan is agreed upon, before any announcements are made an announcement - is through what I would refer to as operational alignment. By this I mean specific, structured, designed work that can be done to highlight those areas where the two organisations' operating assumptions diverge and to be able to agree on how these divergences will be handled before they turn into operational issues in the process of implementation. The most important divergences tend to be the same across different types of partnerships. Controlling authority and speed of decision making are often among the main differences. The public institutions are designed to make decisions in a slow manner, with many layers of review and approval, based on motives which are legal and frequently mandated by law. Private companies - especially technology companies that have been built on rapid iteration, and swift decisions - usually see that speed as a fundamental obstruction to their progress. with no shared understanding of why that pace is what it is and the steps that would be required to modify it, the anger that can be felt on the personal part of the business can undermine the connection long before the partnership has established its own footing.
Success metrics and the criteria for judging as progress are another ongoing and major cause of conflict. Institutions of the public sector are typically evaluated by their compliance with processes, the equity of outcome across different stakeholders, as well as the reduction of the risk of failings which attract media or political attention. Private sector partners are primarily evaluated on efficiency, measurable progress against objectives, and financial results. These measurement frameworks can be made compatible with each other however it is a careful design, not good intentions. Those partnerships who do not make the effort to invest in that design tend to come across, at critical junctures, with two parties that are assessing the same partnership in inconsistent ways and consequently coming to non-congruous conclusions about whether the partnership is succeeding. What I've observed in the partnerships that to fail the most were ones in which the misalignment was treated as something that would fade away over time. However, the ones that worked were when the issue was explicitly disclosed at the very beginning, and the creation of a shared accountability framework that accommodated both parties' legitimate measurement requirements was an actual work, rather than an option on a wish list of things to be able to.}
