Why Most AI and Strategic Initiatives Fail Before They Begin and How to Fix That
- Iwona Wilson
- Oct 15
- 5 min read
Organizations across every industry are racing to implement AI, digitize processes, or roll out new strategic initiatives. Yet, studies show that over 95% of AI projects fail (Forbes) to deliver the expected results.
The problem isn’t the technology - it’s the lack of alignment, clarity, and governance before execution even starts.
The Common Mistakes
Jumping Straight to Execution Teams often start coding, automating, or piloting before defining what success actually looks like. Without shared understanding of the problem, stakeholders pull in different directions.
Fuzzy Value Proposition Many initiatives start under a vague goal like “innovation” or “efficiency.” But unless the value proposition is clearly defined - how it will save money, create advantage, or reduce risk - there’s no way to measure success or justify the next investment.
No Clear Governance or Decision Points Projects drag on because nobody defined what needs to be completed to move forward, or who approves each stage. Without milestones, progress turns into motion.
The Real Challenge
Strategic initiatives can start from many directions -
a strategic planning cycle,
a CEO or board directive,
market pressure to innovate faster,
government regulations driving compliance or sustainability,
or competitive disruptions demanding a rapid response.
The issue? By the time these initiatives reach execution, the intent is often clear but the frame is not.
Across industries, leaders are facing similar struggles:
Competing initiatives with overlapping objectives
Unclear ownership and inconsistent reporting
Lack of measurable outcomes or value realization
No shared language between strategy, IT, and operations
This is especially visible in AI implementations, ESG programs, and company-wide digital transformations, where enthusiasm is high but direction is unclear.
A Better Way - Treat Strategic Initiatives Like Projects
Even if it’s not building a plant or pipeline, every strategic initiative deserves the same rigor as a capital project.
The Decision Gate Process (DGP) and Opportunity Framing (OF) provide a structured way to create clarity, manage uncertainty, and guide investments step by step.
Below is a simplified overview of how it works.
The Decision Gate Framework
Stage 1 – Screen the Opportunity (Assess)
Purpose: Identify potential initiatives and assess whether they are worth exploring. This is where ideas from strategy sessions, CEOs, or market pressures are captured and quickly screened for value and alignment.
Gate 1 – Assess Gate Decision-makers ask:
Does this opportunity align with our strategy?
Is it big enough to matter?
Should we allocate resources to investigate further?
What is the value proposition?
What is a high - level roadmap?
If yes, the initiative moves to full framing and concept development.
Stage 2 – Frame and Select the Concept
Purpose: Understand the problem, frame the opportunity, and explore solution options. Here, teams use Opportunity Framing workshops to align stakeholders, define success, identify uncertainties, and decide which options should be developed.
Gate 2 – Concept Gate Decision-makers ask:
Have we clearly defined the problem and objective?
Have we compared alternative approaches or technologies?
Do we have confidence in the preferred path forward?
This gate ensures the organization is investing in the right idea and the right solution before development begins.
Stage 3 – Develop the Concept
Purpose: Turn the selected concept into a viable plan. This stage includes detailed design, business case development, risk assessments, and stakeholder engagement. It’s where assumptions from framing are tested and refined.
Gate 3 – Develop Gate Decision-makers ask:
Is the business case sound and supported by data?
Are risks understood and mitigated?
Are we ready to commit to full execution?
Passing this gate often unlocks significant investment or pilot implementation.
Stage 4 – Execute
Purpose: Deliver the solution or implement the system, guided by clear scope, schedule, and KPIs. For AI or digital initiatives, this means coding, testing, integrating, and validating outcomes against the framed objectives.
Gate 4 – Execution Gate Decision-makers ask:
Is implementation meeting quality, cost, and schedule expectations?
Are benefits being realized as planned?
Are we ready to move to operational handover?
Stage 5 – Operate and Optimize
Purpose: Embed, measure, and improve. This is where the initiative becomes part of daily operations, and lessons learned are captured to improve future decisions.
Gate 5 – Operate Gate Decision-makers ask:
Are the expected benefits being achieved?
Are there opportunities to optimize or scale further?
What lessons can be applied to the next cycle?
Examples of How It Works
Example 1: AI Implementation
A global company rushed to deploy AI tools across departments. Six months later, there was no adoption and no measurable improvement. After reframing the initiative, they realized each team had a different definition of “success.” By applying the Decision Gate Process, they:
Re-defined the business problem (“improve customer service response time by 50%”)
Clarified value metrics and governance
Set up staged gates: Assess → Concept → Develop→ Execute → Operate. The result? Clear accountability, measurable impact, and stakeholder confidence.
Example 2: Company-Wide Reporting Tool
An organization wanted to integrate a single reporting system across all business units. Initially, each department had its own tools, data definitions, and priorities — chaos. Through Opportunity Framing, the team:
Agreed on the value proposition: “One source of truth for decision-making.”
Identified integration risks and data dependencies.
Defined phased delivery: Assess → Concept (Requirements )→ Develop → Execute (Pilot Sites) → Operate (Rollout)→ Optimization. At each gate, they checked data readiness, user adoption, and business impact. What started as a messy IT rollout became a structured transformation with clarity and buy-in from every unit.
Example 3: Sustainability Roadmap
A manufacturer committed to cutting emissions by 40% by 2030. Through framing and the Decision Gate Process, they:
Broke down the goal into specific, achievable phases
Prioritized high-impact opportunities first
Set gates for review, validation, and assurance This turned a bold statement into a practical, fundable strategy.
Inside Each Phase - Use the Right Methods
Each stage of the Decision Gate Process can use methodologies that best fit the work:
Design Thinking for innovation and ideation
Lean and Agile for rapid validation
Management System
Risk and Assurance Reviews for confidence before major investments
The methods may vary but the process of aligning, framing, deciding, and governing stays consistent.
The Opportunity Ahead
When applied to strategic initiatives, the Decision Gate Process and Opportunity Framing:
Turn uncertainty into structured progress
Engage leaders and teams early to prevent rework
Create a shared language for governance and decision-making
Deliver clarity and accountability from idea to execution
This is how the most effective organizations turn bold ideas into lasting impact.
Building the Capability
Our training program helps teams and leaders:
Learn a shared language for governance and decisions
Apply the stage gate process to strategic, digital, and AI initiatives
Use framing tools to align stakeholders and clarify value
Build clear roadmaps that connect strategy to execution
Because no matter how advanced the technology, success starts with clarity, alignment, and governance.
So, don’t rush into AI or digital transformation.
Frame it first.
Decide with clarity.
Deliver with confidence.