Overview
Discussion: In this discussion, we will examine unintended consequences in product and process.
Founder of IBM Thomas Watson once said "If you want to increase your success rate, double your failure rate!" Discuss some of the more spectacular failures in a product or company that have happened over the years - After Apple Steve Jobs founded NeXT, Thomas Edison created a process for mining iron ore, Richard Branson had several failures with the Virgin Brand (from Virgin Cola to Virgin Music), and the list goes on.
Using examples from your own experience or from independent research, provide some examples of products that were seen as innovative in their time but proved to be failures; or products seen to be failures that came into their own later, perhaps repurposed. Examples would include things like Lucite, Post-it Notes, Teflon, and others.
A substantive post might include answers to the following questions:
- What organizational strategy was the failure supposed to support?
- What, if anything, is unclear?
- Is there another way this failure and/or the organization might be explained?
- Do you see another connection between the example and this week's readings?
Assignment: The objective of this assignment is to explore how organizations deal with uncertainty in seeking to innovate. In the process, we will explore the escalation of commitment and investment in AI and the roots of cognitive dissonance.
When IBM set about commercializing its artificial intelligence-driven Watson AI in the healthcare market, its early successes were widely publicized. Senior managers and the media claimed that their diagnostic features would soon surpass those of the sharpest doctors. The case describes the large gap between what was promised and what happened in practice, offering insider insights into why IBM's projects failed. As the corporate commitment to AI escalated in response to successful lab results, cognitive dissonance arose between managers' expectations and what they could actually deliver. How could that have happened?
You are the CTO of a tech startup called MediAI, a company focused on the deployment of AI in healthcare. Your CEO, a subscriber to Harvard Business Review read the case “Challenges in Commercial Deployment of AI: Insights from The Rise and Fall of IBM Watson's AI Medical System” and is concerned that MediAI is in danger of the same fate. He has asked you for a plan to mitigate the risk and uncertainty involved in deploying MediAI’s products.
To prepare for your effort, read the case Challenges in Commercial Deployment of AI: Insights from The Rise and Fall of IBM Watson's AI Medical System in your Harvard Coursepack. Additional useful resources are:
- Video: O'Reilly Media, Inc. (2024). Generative AI for healthcareLinks to an external site. [Video]. (3 hours)
- Article: Bhide, D. (2024). Future of Healthcare and Artificial Intelligence (AI): Practical Insights and Diverse Perspectives on AI in Healthcare Project Management: The Healers of Healthcare System: AI and Project Management in HealthcareLinks to an external site.. PM World Journal, 13(2), 1–11.
The CEO is most comfortable receiving this kind of report in visual form. Please prepare your report as a PowerPoint or Google Slides presentation with appropriate visuals. You should have 5 - 15 slides with your script and supporting details in the notes or you can submit a voice-overLinks to an external site. or video presentationLinks to an external site. as you prefer. Here is a great resource on How to Create Slides that Suit your SuperiorsLinks to an external site. to review before submitting.
Be sure to address these concerns in your slides:
- Institutional and societal expectations that exceed technical capability.
- Overselling the economic benefits of AI by the sales force.
- Failure to elicit the cooperation of key stakeholders.