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The Real Measure of AI Returns

AI Saves You 10 Hours. So What? The Real Measure of AI Returns

How should we measure the returns from AI?

Not merely by the hours saved, manpower reduced, or costs eliminated.

But by what new value we create with the time, talent and resources AI releases.

Today, companies proudly announce that AI has improved productivity by 30%, reduced manpower requirements by 20%, or saved thousands of working hours.

Impressive numbers!

But let me ask a simple question:

What happened to the time saved?

Suppose AI helps 100 employees save two hours every day. That is 200 hours daily, or approximately 50,000 hours annually.

Sounds fantastic!

But what if those employees simply produce more reports, attend more meetings, or spend more time checking AI-generated work?

Where is the real value?

Worse, what if the company retrenches 20 employees because AI can now do their jobs? 

The company may improve its profits. But if those employees remain unemployed, society loses their purchasing power, productive potential and contributions.

Cost savings are real. But they are not necessarily the same as sustainable value creation.

The Real AI Return on Investment

1. What new revenue have we created?

Have we entered new markets, developed new products, attracted new customers or created businesses that were previously impossible?

2. What meaningful problems have we solved?

Have we improved healthcare, reduced waiting times, made education more accessible, helped ageing populations or developed solutions to declining fertility rates?

3. How much more valuable have our people become?

Are employees developing better judgment, stronger relationships, greater creativity and new capabilities?

Or are they simply becoming more efficient at tasks that AI will eventually perform without them?

This is where Love Intelligence (LQ) becomes increasingly important.

AI provides speed and capability.

But LQ provides the human qualities needed to turn capability into meaningful value:

  • Care: Understand what people genuinely need.

  • Courage: Challenge old business models and pursue new opportunities.

  • Connection: Build trust, relationships and markets.

Consider two companies.

Company A uses AI to eliminate 100 jobs and save $5 million.

Company B uses AI to release the equivalent of 100 employees' working capacity, retrains its people, enters two new markets and generates $20 million in additional revenue.

Both may achieve productivity gains.

But which company is creating a stronger future?

For CEOs, HR leaders and boards, the question should no longer be merely:

"How much can AI save us?"

It should be:

"What can we now achieve that we could never achieve before?"

That is the difference between efficiency and transformation.

And that is how I believe we should measure the true returns from AI.

AI should not simply make humans cheaper.

AI should make humans more valuable.

Andy Ng, CA, MBA
Financial Governance & Strategy Advisor
Author of The Board Advantage in the AI Era and Love Intelligence (LQ)

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