Why AI Is a Priority on Paper—But a Struggle in Practice

June 25, 2025
min read
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83% of companies say AI is a top strategic priority. But here’s what that statistic doesn’t tell you: 74% of companies struggle to scale real value from AI, and only 26% have built the operational muscle to move beyond pilots into production.

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The truth is, AI success isn’t about whether your exec team mentions it in board meetings—it’s about whether your organization can actually ship working AI systems that drive measurable business outcomes.

At Magnetiz, we work with teams on the front lines of AI adoption, not just strategy decks. The pattern is familiar: big ambitions, proof-of-concept wins, and then… months of stalled momentum, unclear next steps, and growing frustration.

The hidden cost? Companies dilute their impact by chasing too many AI initiatives at once. High-performing teams take the opposite approach—fewer, more focused use cases. Research shows they prioritize an average of 3.5 use cases vs. 6.1 for less successful companies.

Why “AI-First” Strategies Keep Breaking Down

AI adoption isn’t failing because of the tech—it’s failing because companies treat it like a software procurement project instead of what it actually is: an organizational change effort.

Here’s how the disconnect shows up:

  • At the Top: 83% of executives believe they understand how to adopt generative AI securely—yet only 29% of individual contributors agree. That gap is a breeding ground for misalignment.

  • On the Ground: 70% of AI implementation failures are people and process-related. Just 10% are algorithm issues—yet model performance eats up the majority of time and budget.

  • In the Data: 83% of business leaders say their AI rollout is slowed by weak data infrastructure. And 67% admit it’s actively blocking them.

This isn’t a tooling problem. It’s an execution problem rooted in how decisions are made, how teams collaborate, and how work gets done.

A Reality Check for AI Execution

High-functioning teams don’t start with, “How do we use AI?” They start with, “What process is slowing us down—and could AI improve it better than our current tools?”

The best teams reframe how they invest in AI:

  • 10% of the effort goes into models

  • 20% into data and tooling

  • 70% into workflow integration, team alignment, and adoption

But most companies flip that equation—and get stuck.

If you want working AI, not just impressive demos, here’s where to begin:

  1. Start with Process: Where are your teams making repetitive decisions based on data? That’s your AI opportunity—not a model, but a broken workflow.

  2. Measure Integration, Not Accuracy: A 95% accurate model that nobody uses is worthless. An 80% accurate model that saves your ops team 10 hours a week is gold.

  3. Design Around Humans: If AI doesn’t fit how your team works, it won’t get used. The best AI tools feel invisible—like a workflow upgrade, not a platform switch.

A Structured Path from Strategy to Working Solution

Most AI failures happen before a single line of code is written—because the problem wasn’t clearly defined, the workflow wasn’t mapped, or the team wasn’t aligned.

That’s why we love the AI Design Sprint™, a structured process that helps organizations confidently answer: Is this AI solution worth building?

Unlike traditional design sprints, this isn’t about building fast—it’s about reducing risk by aligning on business value, usability, feasibility, and viability before a prototype ever hits your backlog.

Here’s how it works:

  • Opportunity Mapping
    Identify the highest-ROI use case by tying AI to business outcomes that move the needle.

  • Process Mapping
    Visualize current workflows, uncover inefficiencies, and pinpoint where AI can deliver meaningful leverage.

  • Concept Development
    Design the high-level user journey and interaction flow so that the solution fits how your team actually works.

  • Tech Assessment
    Evaluate data readiness, integration complexity, and technical feasibility using what you already have.

  • Rapid Prototyping
    Simulate core functionality in a test environment to validate real-world fit before heavy investment.

By the end, you won’t just have an idea—you’ll have a validated concept, a working demo, and a go/no-go decision based on impact, not hype.

From Demos to Deployment

Top performers aren’t obsessed with flashy capabilities—they’re focused on transformation. 80%+ of their AI investments are allocated to reshaping processes and building new revenue opportunities. The rest of the market stays stuck running pilots.

Patterns we’ve seen in companies that move from pilot to production:

  • They measure ROI, not model stats: Think “fewer delays, higher throughput,” not “lower MAE.”

  • They design for AI-native workflows: Not bolt-ons. They rebuild around the strengths (and limits) of AI.

  • They empower teams, not replace them: 66% of companies say they’ll keep team sizes flat. The best AI makes people better—not obsolete.
The Tough Question Every Leader Has to Answer

If your team hasn’t been able to test or scale an AI solution, the problem isn’t capability—it’s structure.

Most companies aren’t failing because they lack good ideas. They’re failing because they don’t have a repeatable way to evaluate, prioritize, and prototype high-ROI AI use cases.

That’s exactly where Magnetiz comes in. The companies breaking through the 83% gap all share one mindset: they treat AI as an organizational capability—not just a one-off project.

So here’s the real question:
Is your organization set up to consistently identify and deliver AI that drives results?
If not, you don’t need another vendor pitch. You need a structured path from strategy to working solution.

Want Help?

The AI Ops Lab helps operations managers identify and capture high-value AI opportunities. Through process mapping, value analysis, and solution design, you'll discover efficiency gains worth $100,000 or more annually.

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