How do you determine the level of value needed for an investment in AI to be worthwhile? Or are you allowing the value to develop organically and then evaluating it afterwards?

We look for a return on investment that grows over time. If we invest a dollar in new technology, we expect to get $0.90 back initially, then eventually $1.00 or more. For AI, the returns are currently more about productivity gains, which are difficult to measure. We don’t have KPIs to track the impact, such as time saved per employee, and it’s unclear how that translates into dollars. The benefits are often intangible, like improved employee experience.

My answer is both. For some AI investments, we expect tangible value, such as productivity improvements that delay the need to hire additional staff. That’s a clear metric. For other areas, especially where AI may transform business processes or product development, the value is more organic and harder to predict. AI is a technology that can be applied across many areas, making it difficult to foresee its full impact.