Four sources of AI value

Four sources of AI value: Faster, Better, More Capable, and Feasible / New. AI can reduce effort, improve quality, broaden functional roles and create entirely new value.

Hours saved are a useful starting point for an AI business case. It should also consider better results, broader roles and new offerings.

At Second Order, we use four sources of AI value to examine those opportunities.

1. Faster

Less effort for the same work.

AI can reduce the effort needed to research, draft and process information. Capturing the benefit means deciding how to use the capacity released: clear a backlog, serve more customers or redirect effort to other priorities.

2. Better

Higher-quality thinking and outputs.

AI can help a team explore alternatives, challenge assumptions or test a proposal from several stakeholder perspectives. Human judgment and review remain part of producing a better result.

3. More Capable

Broader functional roles.

AI can expand the range of work an individual or team can undertake. A marketing strategist might also produce social content or analyse data that previously required specialist support.

That creates choices about organizational design: which responsibilities sit together, where specialist support is needed and how teams are structured.

4. Feasible / New

Make impractical work worthwhile, or create entirely new value.

There are two opportunities here: work that becomes worthwhile because AI changes its economics, and activities or offerings whose value is created through AI. Analysing every customer comment illustrates the first; turning a static guide into an interactive adviser illustrates the second.

These sources can reinforce one another. To build the business case, examine how the workflow and responsibilities would change, and define the outcome that would justify the investment.

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