AI is often portrayed as a sentient, safe, and wise “Genie of the Lamp” — something you can simply point at your corporation to conjure instant, transformative impact. In some narratives, especially around Agentic AI, these systems are depicted as cheaper, smarter, tireless versions of human agents destined to take over front- or back-office tasks.

And yet, despite massive investments, esp. in Generative and Agentic AI, meaningful bottom-line impact has remained elusive for the most part. As with previous hype cycles, initial excitement is already fading into disillusionment. The core issue is a profound misunderstanding of both the capabilities and limitations of AI, esp. in its newer forms. In order to drive effectiveness (and not just efficiency), you need a deep, holistic grasp of your own business; the ability to reimagine and transform it through enhanced mathematical modelling; robust governance of data and models; rigorous, feedback-driven measurement of impact; and, last but not least, agile change management. Otherwise, you are merely generating polished nonsense at considerable cost and risk.