Stop Isolating Your AI Strategy And Make It Part Of Your Business Strategy

By Sophia Velastegui: C200 member, Former Microsoft Chief AI Technology Officer and General Manager, AI Product; AI advisor for the National Science Foundation; formerly at tech giants Google/Alphabet & Apple; Board Director at Blackline (NASDAQ). Read more on LinkedIn.

As we move into 2025, AI resolutions should top every executive’s list. By January 17th, most New Year’s resolutions are already forgotten—research shows that over 80% are abandoned by this point. However, some resolutions are worth sticking with, especially for leaders focused on integrating artificial intelligence into their organizations.

2024 was a year of intense learning and adaptation for boards and C-suite leaders, as many embarked on their journey to utilize AI tools to drive efficiency and enhance human collaboration within their organizations. Despite the strides made, many leaders are still grappling with how to fully harness AI’s potential, particularly when it comes to balancing innovation with risk, and the human touch with automation.

In 2025, the opportunity is ripe for leaders to embrace a few critical AI resolutions—ones that will position their organizations for success and showcase their vision in shaping the future of business. Here are a few resolutions corporate boards and executives should be keeping:

Foster an Experimental Culture Around AI

Too often, executives prioritize short-term financial returns and rigidly defined, narrow applications of AI rather than exploring broader, innovative opportunities. Leaders must move beyond traditional management practices and create an environment where experimentation is encouraged, and failure is viewed as a learning opportunity.

Cigdem Oktem, Regional Leader at EY’s Center for Board Matters, shares insights from her work with corporate boards: “I am seeing a real shift in thinking among leading directors in boardrooms as they increasingly recognize they and their fellow directors may be inadvertently limiting the potential and experimentation with AI because they have been solely focused on ROI and strict use cases. By setting the tone and expectations to encourage learning and embrace a certain level of failure with this emerging technology, boards will ultimately enable longer-term growth and increase in value.”

For AI to succeed, leaders must embrace it as a continuous learning process that involves risk and iteration. By developing AI infrastructure and nurturing a trial-and-error culture, companies can unlock new opportunities and drive transformative change. AI is not a one-time investment but an ongoing journey, and leaders who foster creative thinking will position their organizations for long-term growth.

Avoid the Risk of Moving too Slow

Hesitation can lead to missed opportunities and significant competitive disadvantages. However, the real danger is not doing enough or not moving fast enough, rather than taking measured steps to embrace AI. Success depends on cultivating a growth mindset—viewing AI as an ongoing process that drives innovation and transformation across the organization.

To mitigate risks, organizations must build competency. By investing in both productivity gains and AI-driven opportunities, these efforts can complement each other, fostering continuous improvement. As leadership teams become more familiar with AI, they can take on larger, more complex initiatives with confidence, navigating challenges and seizing opportunities without fear of failure.

Stop Talking About Your AI Strategy and Start Talking About Your Business Strategy

There must be clear ownership of AI-related discussions within the leadership team. Defining which executives and board members are responsible for overseeing AI risks and opportunities ensures that AI is integrated into the broader strategy, rather than being treated as a series of isolated projects. Instead of viewing AI merely as a technological tool, leaders should focus on how it can enhance and seamlessly integrate into the entire business strategy.

As Cigdem Oktem explains: “Boards are focused on longer-term strategy and growth by the nature of their oversight role. The most effective boards always start with ‘what is our vision and strategy,’ then move to ‘how will this new technology help achieve it.’ Corporate directors have the opportunity to ask questions and challenge management to ensure AI is in service of the longer-term vision.”

AI should be seen as a catalyst for optimizing processes across the enterprise, creating synergies between departments and driving broader, transformative change. This approach ensures that AI isn’t just improving efficiency in one area, but is contributing to overall organizational growth.

Choose the Right Leader for AI

One of the biggest challenges organizations face as they integrate AI into their operations is choosing the right leader to spearhead these initiatives. This decision is critical, as the right leader will not only drive AI adoption but also ensure it aligns with the broader business goals.

For many organizations, the question becomes whether AI leadership should rest with the CIO, CFO, or another business leader. Each role brings a different set of strengths, and the answer depends largely on the company’s specific goals and AI strategy. Some companies may find that the CIO, with their deep technical knowledge, is best positioned to drive AI from a systems perspective, while others might determine that a CFO or chief strategy officer is better suited to guide AI initiatives, particularly when AI’s business implications need to be closely aligned with financial and strategic goals.

This year also marked the rise of the Chief AI Officer role, with one-third of organizations in a survey of Fortune 1000 and global business leaders reporting they have already appointed one. Additionally, 43.9% of respondents believe a Chief AI Officer should be appointed to lead AI initiatives within their company.

One thing is clear: AI-native talent should be at the helm—leaders who have a deep understanding of AI as a way of thinking, rather than just a technology. The key is to align AI strategy with the business strategy. AI should not be treated as a siloed technology initiative within IT. Its potential impact on the bottom line makes it essential to weave AI leadership into the fabric of the business.

Whether the leader of AI sits within a business unit or at the corporate level will depend on the organization’s goals and how AI is integrated into the strategy. For example, chief strategy officers may be more effective in driving AI initiatives because of their focus on long-term growth, while IT leaders may still play a vital role in managing technical execution.

Leaders Must Stick to Their AI Resolutions

The landscape for businesses in 2025 is one of uncertainty and change, from geopolitical shifts to evolving regulatory and technological environments. As AI continues to accelerate, leaders must lean into these changes and not shy away from embracing AI. It’s no longer a question of whether AI will impact your organization—it already is, and the faster you lean into it, the more competitive advantage you will gain.

Leaders must make—and stick—to their AI resolutions for the year ahead. AI is not a passing trend; it is the future of business. The sooner leaders make AI a central part of their strategy, the better positioned they will be to harness its potential and shape the future of their organizations.

Here’s a Top 5 To-Do List for Leaders in 2025 to ensure AI becomes a driver of your success:

1. Foster a culture of experimentation around AI: Encourage a mindset of learning and growth, where experimentation is not only allowed but encouraged.
2. Focus on AI opportunities alongside risk management: AI should be seen as an opportunity for growth, not just as a risk to be mitigated.
3. Align AI with business strategy for transformative impact: Make AI a core component of the business strategy, driving long-term value and growth.
4. Appoint the right leader for AI based on business needs: Ensure AI leadership aligns with business goals, whether through the CIO, CFO, or a business leader.
5. Stay vigilant and monitor emerging AI-powered competitors: Be proactive in tracking AI-driven changes in both your industry and adjacent sectors to stay ahead of the competition.

Many thanks to Cigdem Oktem for her insights and expertise, which have contributed to the perspectives shared in this article.