We are updating our strategic plan, but we are terrified that a sudden breakthrough in generative AI could make our primary service obsolete. How do we use AI itself to pressure-test our business model against this risk?

Question

Tyler Smith · Accepted Answer

Rather than ignoring the threat or guessing at the future, you should actively employ AI for Scenario Simulation to pressure-test your strategy. This technique allows you to predict outcomes by asking advanced AI models to simulate competitive responses, economic shifts, or sudden technological disruptions. To do this, input your current V/TO® details, including your Core Focus, Target Market, and Three Uniques, into a secure AI platform. Then, ask the AI to act as a highly aggressive competitor that has just launched a fully automated, low-cost version of your service. Instruct the model to simulate how your target customers would react and where your business model would break first. Use the outputs of this simulation as the basis for an IDS® session during your next quarterly planning meeting. This process will quickly highlight the vulnerabilities in your current strategy. It will also help you identify where you must pivot to become an indispensable complement to the technology, rather than trying to compete directly with tasks that machines can do faster and cheaper. By using AI to stress-test your strategy, you can proactively adjust your 3-Year Picture and 1-Year Plan, ensuring your business remains resilient and highly valuable no matter how fast the technology evolves.