AI Isn’t Just a Shiny Object

The incredible hype surrounding AI’s promise means too many organizations rush into an implementation unprepared. Here’s what you need to know before investing.

Written by Matt Caiola
Published on Aug. 06, 2025
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Summary: Many CEOs rush into AI without strategic alignment, risking inefficiency and brand damage. Real impact comes from embedding AI across operations with clear goals, internal fluency and cross-functional coordination, as seen at companies like Unilever and Airbnb.

AI is not a marketing gimmick, and it is certainly not a shortcut to innovation. Yet in boardrooms across industries, CEOs are racing to adopt artificial intelligence with the urgency of a trend-chasing sprint. The allure is obvious. AI promises automation, efficiency and insights at scale. But too often, companies treat it as a shiny object rather than a strategic imperative. For AI to deliver real value, it must be deeply aligned with a company’s core objectives, culture and long-term growth plan.

A recurring pattern has emerged: Companies invest in AI tools before they are truly ready. They license a chatbot or experiment with content generators without asking how those tools fit into customer experience, brand voice or competitive positioning. As a result, they end up with disjointed workflows, wasted resources, and confusion among internal teams. The problem is not AI itself. The problem is treating AI like an accessory rather than infrastructure.

What Is a CEO-Led AI Strategy?

A CEO-led AI strategy aligns artificial intelligence initiatives with a company’s core business goals, culture and long-term growth. Rather than chasing trends, it prioritizes cross-functional planning, ethical implementation and internal readiness to ensure AI delivers measurable value and supports brand credibility.

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Strategy First, Technology Second

Before adopting any AI solution, CEOs should ask what problem they’re solving. Is it customer engagement? Operational efficiency? Personalization at scale? Until you can answer those questions, AI adoption is unlikely to yield a sustainable impact. Technology should be in service to strategy, not the other way around.

AI Implementation at Unilever

Look at Unilever as an example. The company does not treat AI as a standalone initiative; it is embedded across functions with clear strategic intent. In product development, Unilever uses machine learning to analyze consumer trends and ingredient efficacy, accelerating the R&D cycle and aligning new products with brand positioning. In supply chain planning, AI models forecast demand fluctuations and optimize inventory levels, directly supporting operational efficiency and sustainability goals. Marketing teams use AI to analyze sentiment and personalize campaigns, driving both brand relevance and revenue growth.

These investments are not siloed; they’re coordinated across business units with clear KPIs tied to Unilever’s broader priorities. That is what elevates AI from a tool into a growth multiplier. According to Unilever, AI is integrated across its operations to support faster, smarter and more efficient decision-making.

On the other hand, companies that rush to adopt AI because competitors are doing it often overlook what makes their own business distinct. Instead of enhancing their unique value, they risk introducing tools that create noise or confusion. An AI-powered chatbot that cannot answer basic customer questions is worse than no chatbot at all. A generative AI engine that creates inconsistent messaging across brand channels can dilute hard-earned equity. Strategic intent must always come before technical execution.

 

Understanding True AI Readiness

AI readiness begins with leadership clarity. CEOs need a clear understanding of what AI can and cannot do. It’s not magic. It’s math. AI models are trained on data, and their effectiveness depends on data quality, organizational alignment and implementation discipline.

One of the most overlooked aspects of AI readiness is internal communication. Has the C-suite aligned on AI’s purpose? Do department heads understand how it will support their teams? Are marketers trained to work alongside machine learning outputs rather than be replaced by them?

Culture and change management are just as important as tools and talent. Effective change management starts with a cross-functional AI task force, bringing together stakeholders from IT, legal, HR and business units to co-design use cases, identify risks and set expectations. Upskilling programs, such as AI literacy workshops or prompt engineering tutorials, can reduce friction and build trust. Leaders also need to model transparency around AI limitations and proactively address ethical concerns, which builds a foundation for long-term adoption.

AI Implementation at Airbnb

Consider Airbnb. The company has embedded AI across its ecosystem, but not through technology alone. Since launching Airbnb’s Data University in 2016, more than 500 employees have taken at least one course, and weekly active use of data tools rose from 30 to 45 percent within months. Team-specific “Data U Intensive” sessions across functions like Experiences and Public Policy helped democratize skills in SQL, dashboards and machine learning, building data fluency at scale.

When rolling out AI-driven features like smart pricing or search-ranking models, Airbnb forms cross-functional review teams, spanning product, UX, legal and support, to assess fairness, interpretability and user impact before launch. This approach aligns with their public emphasis on collaboration and ethical oversight.

CEO Brian Chesky embodies a leadership culture he calls “founder mode,” advocating for visible, detail-oriented leadership and startup-like agility in the age of AI. Chesky insists that real leadership is “presence, not absence,” and argues that culture and organization must support rapid adaptation through engaged leadership, not just delegation.

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Branding and Communications in AI Strategy

AI doesn’t exist in a vacuum. How a company uses AI becomes part of its brand. That means PR and marketing teams must be at the table from day one. A customer-facing AI application isn’t just a technical product. It’s a brand experience. If it fails, your reputation is on the line.

When Salesforce launched its AI Cloud, the announcement emphasized how the product was shaped by the company’s belief in trust, security and ethics. This alignment was intentional. Customers and investors want to know that AI tools are reliable, safe, and governed responsibly. Messaging matters. CEOs must empower communications teams to shape how AI investments are explained to the public, employees and regulators.

This is where public relations becomes a differentiator. Companies that articulate a clear, responsible AI narrative are more likely to build trust. Those that deploy AI in secret or downplay its limitations risk losing credibility. Transparency isn’t just good ethics. It’s good business.

 

The Cost of Moving Too Fast

The pressure to embrace AI is real. Investors ask about it. Boards expect it. Media covers it daily. But the cost of moving without intention can be steep. AI implementation requires infrastructure, governance, testing and continuous oversight. It also requires a level of internal fluency that most companies do not develop overnight.

When IBM partnered with MD Anderson Cancer Center to deploy Watson for oncology, early promise gave way to a costly failure. The project struggled due to shifting scope from a leukemia pilot project to application on multiple cancer types, which created confusion and misaligned expectations among stakeholders. IBM’s marketing positioned Watson as a revolutionary clinical decision maker, but this hype outpaced the system’s readiness, undermining trust with clinicians who saw it more as a decision support tool. Integration challenges compounded the problem as Watson could not reliably process MD Anderson’s evolving electronic medical records nor fully align with existing clinical workflows. Furthermore, limited involvement of frontline doctors and nurses during development meant usability issues went unaddressed.

According to Fierce Healthcare, the project’s flaws trace back to data collection and interoperability challenges, and as Becker’s Hospital Review highlights, Watson was over-marketed and ultimately underwhelmed hospitals and oncologists. Better results could have come from clearer scope management, realistic communication about capabilities, tighter clinical integration from the start and stronger collaboration with end users. This case underscores how AI implementations demand not only advanced technology but also disciplined strategy, transparent messaging, and cross-functional partnership.

CEOs should avoid framing AI as a box to check or a feature to showcase. It is a capability that touches every corner of the business. That means it deserves the same scrutiny, strategic planning and cross-functional alignment as any other enterprise investment.

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What Comes Next for CEO-Led AI Strategy

Smart CEOs will ask better questions before signing off on the next AI tool. What data are we training on? How will this change our customer journey? How will our teams work with or around this system? What are the risks if it fails in public?

AI success is not about speed. It is about alignment. When technology supports long-term business goals, reinforces brand credibility, and empowers teams, the results can be transformative. But when AI is adopted as a gimmick, it becomes a liability. Now is the time for leaders to move from curiosity to clarity. AI isn’t a shiny object. It’s a strategic decision. Treat it like one.

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