How Generative AI Changes Strategy

Strategy is about making the future happen, not just reacting to
it, according to author Gary Hamel. And with generative artificial
intelligence, senior leaders suddenly wield an awesome new tool to
change the fortunes of their organizations. The promise of
generative AI is more than just a sweet hack to boost productivity
and streamline operations. Its deeper potential lies in companies
that rethink what they do and conjure brand-new, AI-first products
and services. Simply put, generative AI is blasting open new
strategic paths to create novel business opportunities, even as it
brings serious risks and heightened competition. In this episode,
How Generative AI Changes Strategy, HBR editor in chief Adi
Ignatius speaks to Microsoft’s head of strategy Chris Young and
Harvard Business School professor Andy Wu. They lay out the
technology, its emerging value chains, and its main providers. They
also break down the key choices and tradeoffs that large and small
companies alike will be making in this fast-changing market. This
is the fourth and final episode in the special series How
Generative AI Changes Everything. Each week, HBR editor in chief
Adi Ignatius and HBR editor Amy Bernstein have been hosting
conversations with experts and business leaders about the impact of
generative AI. Find those episodes on the impact on productivity,
creativity, and organizational culture in the HBR IdeaCast feed.
And for more on ethics in the age of AI, check out HBR’s Big Idea
on implementing the new technology responsibly.