AI Evolution... Where do you stack up?

As business leaders, we’re constantly surrounded by news about the transformative power of AI. It feels like every day I hear new examples of how companies are leveraging it, and I often find myself thinking, That’s incredible—I didn’t even know that was possible. It makes me wonder: where do we, as a company, stand in our AI journey? I know we’re doing some exciting work, and there’s a strong focus at DXD on integrating AI to improve and innovate, but how do we stack up?

It’s hard to truly gauge whether we're in the front, back, or middle of the back.  I came across the following description of where companies stand in their AI adoption. For those of us who don’t live and breathe AI every moment of the day, I think you’ll find this a helpful framework for understanding where you are on your AI journey.

Level 1:
AI as a replacement for Google

At this stage, AI is utilized to provide answers to questions that would otherwise require diving down a rabbit hole with Google, scanning through five different websites just to piece together a partial answer. My issue with Google is that by the time I reach question four, I’m often reading something completely unrelated to my original topic, and before I know it, I’m watching a YouTube video about forging swords or smoking brisket. Using an AI tool solves this problem and gives quicker answers

Level 2:
Training for AI

In this step, employees begin experimenting with AI solutions and collaborating with other employees on them. Perhaps there is even some very high-level corporate training, but it is more about what not to do with AI than what to do. This is the first step in recognition that AI is enormously valuable, but it still leaves most people lost on where to start. 

Level 3:
AI has tangible benefits

Here, AI tools are applied to real business scenarios, streamlining tasks and saving time. These include straightforward use cases, such as extracting key details from a lease agreement or summarizing a limited partnership agreement. They are wins for AI, might be small wins, but wins nonetheless. This step starts opening eyes to the value of AI.

Level 4:
Getting serious with AI

At this stage, companies are dedicating human resources to developing specialized tools and combining various AI tasks into cohesive systems. It reflects an organization’s recognition that AI is here to stay and that its value is evident to the bottom line. This investment demonstrates an understanding of how transformative AI can be.

Level 5:
AI-first mindset

Level 5 companies adopt an AI-first mindset. They default to considering how AI can accelerate response times and improve efficiency, instead of immediately hiring new staff or seeking external help. These organizations are restructuring complex workflows to be predominantly AI-driven, with humans supervising outcomes rather than creating them. This is where significant cost savings for a company begin to materialize.

Level 6:
Autonomous AI Operations

Level 6 companies have developed fully AI-driven, end-to-end solutions. These systems address numerous complex problems—potentially hundreds or thousands—where the resolution of one problem informs the next. Everything is seamlessly integrated, delivering a unified and cohesive result. At this stage, AI handles intricate problems that were once thought to require the expertise and decision-making capabilities of highly skilled professionals. The crucial factor here is the continuous learning that occurs throughout the process, enabling the tool to improve progressively.

In the AI level outline I received, there wasn't a level 7, but I'm sure it's out there. Most companies are hovering at level 2 or 3, so level 7 seems impossible to grasp. This is part 1 of a 2-part series on AI in commercial real estate companies. Next week, I'll dive into some of the real AI tools we are using to improve our processes and make them more efficient.