AI is about to commoditize intelligence. Better decisions will be the next competitive advantage

AI is about to commoditize intelligence. Better decisions will be the next competitive advantage

Source: Fortune

Summary

Artificial intelligence is becoming a standard tool for prediction, but companies still struggle with making coordinated decisions across departments. The article argues that the next competitive advantage lies in enterprise decision-making, not just prediction. It introduces the concept of “Enterprise Decision Computing,” which aims to optimize complex business decisions. The author emphasizes that quantum computing will play a role, but only after companies build robust decision models. The piece highlights the need for companies to understand their decision-making processes before investing in advanced technologies.


Our Reading

The announcement sounds familiar.

Companies are still struggling with internal coordination.

AI helps predict, but not decide.

Enterprise Decision Computing is the new buzzword.

Quantum computing is not the answer yet.

The real problem is how companies make decisions, not just how they predict.


Author: Evan Null

The Problem No System Was Built to Solve

The article highlights a growing issue in large companies: the inability to make coordinated decisions across departments. Each team operates with its own goals, leading to suboptimal outcomes for the enterprise as a whole. For example, the finance team might delay payments to protect liquidity, while the sales team pushes for early revenue recognition. These local decisions don’t always align with the company’s broader strategy.

The Real Bottleneck

The article identifies a key challenge in implementing advanced decision-making tools: the lack of a clear, enterprise-wide representation of decisions. Without this, even the most powerful technologies like quantum computing can’t deliver meaningful results. Companies must first understand their decision-making processes before they can optimize them.

A New Enterprise Category

The article introduces “Enterprise Decision Computing” as a new category of technology designed to handle complex, interconnected business decisions. Unlike traditional systems that focus on process execution or data analysis, this approach aims to model and optimize decisions as a whole. It combines mathematical optimization, simulation, and AI to support more informed and coordinated actions.

Where Quantum Earns Its Place

Quantum computing is often seen as the next big thing, but the article argues that it’s not the solution to every problem. It will only become valuable when companies have already built robust decision models. Quantum’s role is to enhance these models, not replace them. The real opportunity lies in improving decision-making today, not waiting for future technological breakthroughs.

The Decision Every C-Suite Faces Now

CEOs and boards must act now to address decision-making gaps. The article suggests identifying high-impact areas where departments currently operate in silos. By running baseline models and measuring the benefits of coordinated decisions, companies can gain a competitive edge. The cost of inaction is higher than the cost of early investment in decision architecture.