As companies invest heavily in AI, employees and shareholders increasingly demand measurable outcomes. Surprisingly, by the end of 2025, only 15% of executives noted profit increases from AI. A model for success emerges from the IRS, which is undergoing AI modernization to enhance taxpayer services and operational efficiency. The IRS adopted a framework to identify urgent pain points, apply AI pragmatically, and measure results.
Successful organizations can derive value from AI through three paths:
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General Purpose AI: Tools like LLMs can boost productivity but require employee training for effective application.
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Domain-Specific Systems: Tailored AI tools in areas like tax and legal work ensure factual accuracy and deliver faster ROI.
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Custom AI: This is reserved for unique challenges where simpler tools fall short, though it demands significant investment.
Ultimately, a dynamic and iterative AI strategy that combines these approaches will yield the greatest benefits. Companies must prioritize purposeful implementation to maximize their AI investments.
