For business leaders, especially those in smaller companies, the idea of applying Generational AI to strategic planning is appealing. This article explores the potential and limitations of AI to help such companies develop their strategies. Through two case studies, the authors show how Generational AI can help overcome human biases and identify challenges and opportunities that managers overlooked, but also missed potential rooted in the company’s unique capabilities. And while Generational AI was less able to imagine future scenarios because its predictions were based entirely on historical data, with skillful promotion it was able to highlight problems and questions that human managers had ignored. The authors conclude that by knowing Generational AI’s weaknesses, managers can capitalize on its strengths. It’s important to view Generational AI as a tool that enhances, rather than replaces, strategic thinking and decision-making.
