On January 22nd, local time, January 20th, according to Fortune magazine, at the annual World Economic Forum in Davos, SwitzerlandMicrosoft CEO NADRA ENGAGED IN A DIALOGUE WITH THE INTERIM CO-CHAIRPERSON OF THE FORUM, BELET CEO LARRY FINKLE. NADRA SAID IF AI GrowthFull relianceCapitalStack, without real productivity improvement, the market is likely to be developingFoam.
Nadra says: “A clear sign of the bubble is whether all the discussions are about technology companies. If people talk only about what happens on the technology side, not about demand and application, it is essentially a supply side self-cycle.”
THE ANSWER TO THE QUESTION WHETHER AI IS REALLY INCREASING PRODUCTIVITY IS NOT TO CONTINUE TO INCREASE INVESTMENT, BUT TO CHANGE THE WAY IT WORKS. HE CALLED ON BUSINESS LEADERS TO ADJUST THE PROCESS OF KNOWLEDGE-BASED WORK TO MATCH THE WAY THE ORGANIZATION OPERATES WITH THE STRUCTURAL CHARACTERISTICS OF AI. “WHAT LEADERS REALLY NEED TO DOReshaping work processes as technology changes, instead of simply supersizing new technologies into old systems. "
NADRA BELIEVES THAT THE CURRENT AI WAVES ARE COMPARED TO THE COMPUTER REVOLUTION OF THE 1980S. AT THE TIME, THE COMPUTER CHANGED THE WAY IT WORKED. IT WAS BORNThe whole new form of “knowledge work”AND HAS SIGNIFICANTLY INCREASED PRODUCTIVITY. SIMILAR STRUCTURAL CHANGES WILL OCCUR AGAIN IN THE CONTEXT OF AI。
HE FURTHER STATED THAT AI WAS RADICALLY CHANGING THE INFORMATION FLOW LOGIC WITHIN THE ENTERPRISE. WHILE TRADITIONAL ORGANIZATIONS RELY ON SECTORAL DIVISION OF LABOUR AND REPORTING AT THE HIERARCHICAL LEVEL, AI FORCES ENTERPRISES TO RE-ENGINEER THEIR ORGANIZATIONAL STRUCTURES BY MAKING THE FLOW OF INFORMATION HIGHLY FLAT. ONCE THE FLOW OF INFORMATION IS FLATTENED, THE ORIGINAL STRUCTURE BECOMES UNSUSTAINABLE AND STRUCTURAL RECONSTRUCTION IS INEVITABLE。
AT THE SAME TIME, NADRA BELIEVES THAT SMALLER AND MORE STRUCTURED ENTERPRISES ARE MORE LIKELY TO QUICKLY REMODEL THE PROCESS AROUND AI, AND THAT LARGE ENTERPRISES OFTEN NEED LONGER ADAPTATION CYCLES。
NADRA CONCLUDED THAT IF ENTERPRISES WERE UNABLE TO TRULY RELEASE THE VALUE OF THESE RESOURCES THROUGH NEW PRODUCTION METHODS, IT WOULD BE VERY LIKELY THAT THEY WOULD MOVE FORWARD IN THE AI ERA。