From Silos to Systems: The Shift That’s Coming

“AI lowers the cost of prediction. What remains is judgment.”

— Ajay Agrawal, Prediction Machines

We’re at a turning point.

The last decade was dominated by software (applications/tools) and data. Teams bought point solutions, stitched together automation platforms, and deployed standalone data analytics and AI apps. But despite all the innovation, most companies still struggle to move fast, align decisions, and deliver cohesive experiences and value. Silos persist in data, in models, in workflows.

So...what’s next isn’t more tools.

We need a systems shift (of epic proportions) starting with a rearchitecture of how intelligence flows across the enterprise.

Why It Matters Now

In Prediction Machines, Agrawal et al. explain that AI lowers the cost of prediction. But prediction alone doesn’t transform a business. The real value emerges when predictions are embedded into decision systems—systems that align with how work gets done.

In my consulting days, we used value stream mapping to bring agility to complex organizations. We’d break down how value moved from idea to impact, then redesign the workflows to deliver faster, with fewer handoffs and higher quality.

The same logic applies now.

If you want AI that drives impact, it must live inside the value streams. That means embedding intelligence into how you onboard, underwrite, engage, service, and renew customers. Not optimizing a model here or a dashboard there, but transforming the actual system of execution.

That’s why I talk about building intelligent workflows that go beyond an AI model. Value happens when predictions, policies, people, and platforms (tech/tools) are aligned and connected.

AI should enhance our judgment, speed, and our collective intelligence.

So, to be abundantly clear, building intelligent systems doesn’t mean removing humans. It means giving humans the technology to navigate complexity, act faster, and shape better outcomes. Especially in regulated, high-stakes domains like financial services and healthcare, where our lives literally depend on it.

This Is the Shift

The shift isn’t about more models (LLMs or not). It’s about designing business systems that:

• Route intelligence to the right place, at the right time
• Learn continuously from feedback
• Are aligned with how humans actually work
• Compound value with every workflow run

And most importantly, the shift is already underway. The question is whether your company is still optimizing in silos and software or redesigning for systems.

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