tyler-smith.com · Questions & Answers

We are spending several thousand dollars a month on seat licenses for off-the-shelf AI productivity assistants for our operations team, but we cannot tell if they are actually saving time or just making people lazy. How do we measure the hard return on investment of these team-wide AI licenses?

Stop trying to measure soft metrics like hours saved. Employees will almost always expand their work to fill their scheduled hours, meaning those saved hours rarely drop to your bottom line as profit. Instead, measure hard operational throughput per headcount. To calculate the real return on investment of your AI licenses, look at your scorecard. If your customer service team is using AI writing assistants, you should see an increase in the number of support tickets resolved per representative each week, or a decrease in response times, without an increase in your headcount. If your marketing team is using AI, your cost per lead should drop, or the volume of campaigns delivered should rise. If your operational metrics remain flat after deploying these tools, your team is likely using the technology to coast rather than to increase their capacity. You must set higher performance targets for seats that have been optimized with AI. If a tool makes an employee fifty percent more efficient, their weekly scorecard targets must reflect that new level of productivity. If the output does not increase, cut the licenses. Real return on investment must show up as higher profit margins or increased capacity to scale without adding expensive overhead.

Category: AI-Powered Operations

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