Every company dreams of finding that one breakthrough solution when the walls start closing in and things go south – a lifeline strong enough to reverse decline and set them back on course. In the modern era, that lifeline often comes dressed in the form of automation, AI and sweeping digital transformation projects, and it’s easy to see why.
From the outside, technology seems to promise a quick fix. It’s all about faster processes, cleaner data and leaner operations – being as efficient as possible. Of course, the allure of pressing a proverbial “reset button” through a tech overhaul is powerful, especially when the alternative is gradual collapse.
Yet, there’s a darker side to this optimism. When applied without precision, automation can act less like a rescue plan and more like a magnifying glass, amplifying the very cracks that caused instability in the first place. What was meant to save can instead accelerate decline.
This paradox – that the same tools capable of brilliance can also multiply mistakes – lies at the heart of the debate on whether companies can automate their way back to success.
Scaling Success Or Scaling Failure?
To understand this paradox, it helps to picture automation not as a hero, but as a force multiplier. In the right environment, it sharpens efficiency, enhances decision-making and strengthens a company’s competitive position.
But, in the wrong one, it spreads chaos at scale. Imagine a poorly designed customer service process. Naturally, adding AI chatbots won’t solve the problem, it will simply replicate bad service faster, frustrating more customers in less time.
What this reveals is that automation can’t just carry the burden of vision. It can execute, streamline and scale, but it can’t decide what’s worth scaling in the first place. That responsibility still lies with leadership. That is, the people setting direction, culture and priorities. Without clarity at the top, technology is like fuel poured onto a fire – it might warm and illuminate, but it can just as easily consume.
This is why conversations around tech revamps need to shift away from “What can we automate?” to “What should we automate, and why?” It’s in that distinction, between blind adoption and thoughtful deployment, that the future of struggling businesses will be determined.
Our Experts
- Santiago Nestares: CoFounder at DualEntry
- Dan Herbatschek: CEO and Founder of Ramsey Theory Group
- Dr. John Bates: CEO of SER Group
- Ramnish Singh: SVP of Solutions Engineering at Onix
- Zeel Jadia: CEO at ReachifyAI
- Nizel Adams: CEO and Principal Engineer at Nizel Co.
- David Morel: Founder and CEO of Tiger Recruitment
- Laurent Charpentier: CEO of Yooz
For any questions, comments or features, please contact us directly.
Santiago Nestares, Co-Founder at DualEntry
“Tech revamps aren’t a golden ticket—they’re a crutch when companies don’t want to confront the harder problem: leadership and focus. Swapping high-level employees for software is a false economy. You cut the people who know how the business actually runs, then expect an AI dashboard to replace that judgment. It never does.
“At DualEntry, we see the opposite strategy pay off. The companies that thrive are the ones that use AI to take work off the plate of their best people – drafting journals, chasing collections, categorising transactions – so those people can focus on the decisions that actually move the business. AI is leverage, not leadership.
“If you think AI will save you after you hollow out your talent bench, you’re already sunk. The companies that win are the ones that use technology to amplify their people, not replace them.”
Dan Herbatschek, CEO and Founder of Ramsey Theory Group
“Is this last-ditch effort a viable solution?
“Although AI and automation can reduce costs and improve efficiency, they cannot replace vision, leadership, and completely reverse the structural decline of a business. Companies in decline often face misalignments in strategy, not just inefficiencies in their processes. Without addressing the primary issues like outdated products, or poor market fit, investments in tech and AI are risky efforts.
“Are companies putting too much hope in tech and AI to solve all their problems, shooting themselves in the foot in the process?
“Many companies are placing too much hope in tech and AI. Replacing high-level staff with automation removes institutional knowledge and strategic insight. AI needs proper inputs from leadership to generate value. AI amplifies existing strengths; it does not invent them. When businesses get rid of expertise and rely just on technology, they often speed up decline instead of reversing it.”
Dr. John Bates, CEO of SER Group
“As we all know, an MIT report found that 95% of enterprise AI projects have failed, or, more accurately, have so far failed to demonstrate a solid return on investment. This raises the question, especially in an already skeptical context: is AI really all it’s cracked up to be?
“Yes and no. I think the balanced view is that we need to be a bit more patient. AI is costly, requiring massive data centers and expensive model training and testing, so it’s no wonder investors get frustrated. Plus, much of today’s use is trivial, like children using it for homework, which doesn’t amount to real business value.
“So yes, we may soon hit the Gartner ‘trough of disillusionment.’ But this doesn’t mean businesses are shooting themselves in the foot. AI remains fundamental and astonishing, even if it’s far from sentient. Clearly, the real killer app of AI is time-saving. Whether in business processes, information retrieval, or document management, it helps people work faster and uncover insights. I suspect that’s where we will soon ‘land’—understanding what AI is ultimately for, at least for now.”
Ramnish Singh, SVP of Solutions Engineering at Onix
“Many companies facing declining profits and rising IT costs see a major tech overhaul, especially AI, as a sort of lifeline. Modernizing legacy systems and introducing automation can indeed deliver big wins: cost cuts and noticeable improvements in speed and performance. Automating routine tasks can free employees to focus on higher-value work and boost productivity.
“But treating AI like a liferaft is risky. Success doesn’t come from just by swapping out people for technology without a plan. It requires a clear strategy for how AI and automation fit into the business, then careful integration of complex tools like AI agents and finally pilots to test implementation. Just as important, companies need to evolve their workforce alongside these upgrades. AI needs to be PART of the revamp plan, not a reliance on the technology alone. That’s where Onix puts its focus, not just on implementing AI tools, but on guiding the broader transformation around them.
“And here is the huge caveat: when implementing AI into any modernization strategy the data MUST be usable. Without clean, well-labeled, and privacy-compliant data, even the most advanced AI will fail. Data readiness is non-negotiable.”
For any questions, comments or features, please contact us directly.
Zeel Jadia, CEO at ReachifyAI
“The first question is always what’s driving the decline. If it’s an economic slowdown or seasonal slump, AI’s scalable and cost-effective nature can help companies ride out the turbulence and emerge stronger. This is exactly where AI shines. Staffing for unpredictable demand is expensive and frustrating, and AI can ease that pain. Most solutions still keep humans in the loop, but with smarter support from AI, whether that’s customer-facing chatbots or developer co-pilots. The smartest companies will still hold onto their top talent.
“But if the decline stems from a broken business model, AI is just a temporary patch. It might stretch the runway, but it won’t fix the underlying problem of product-market fit.”
Nizel Adams, CEO and Principal Engineer at Nizel Co.
“When it comes to AI solving problems it truly depends on the issue at hand. AI doesn’t magically solve bad management/company culture that slowly degraded a company over the years nor does it bring about the innovation a company would need to revitalize itself and regain positions it once had. That innovation comes from passionate individuals that are able to see things in something they truly love.
If a company’s woes are due to finances, then sure AI can relieve that especially as we start to delve into fully automated workforces in the coming years which can upend entire departments including multimedia and project management. Companies would trade physical personnel along with various software licenses, support contracts, etc. to license a sophisticated AI system that includes tools the AI uses to mimic those departments.
Are a lot of companies hurting themselves? Definitely. Likewise the vast majority of individuals capitalizing on the jump to AI by inundating the market with new AI companies will not meet their goals and fail.”
David Morel, Founder and CEO of Tiger Recruitment
“AI and advanced technology can help support a business’s processes, but they cannot completely replace humans. Relying too much on AI could be risky. If companies cut back on hiring and lose talented and experienced employees in favour of AI, then they will lose creativity, leadership and expertise, which are essential for overcoming challenges.
Companies that rely exclusively on AI may struggle to achieve their business objectives, as it requires humans who understand market shifts and can respond quickly with intuition and EQ, which AI can’t always replicate. The most resilient companies will be those that use AI to help strengthen their employees’ skills.”
Laurent Charpentier, CEO of Yooz
“Companies cannot automate their way out of decline if they see AI as a silver bullet. Technology alone will not save a broken business model. What AI can do is remove the waste and busywork that slow teams down, giving people the capacity to focus on strategy and growth. The companies that succeed use AI to elevate human work, not replace it.”
Haider Al-Seaidy, Chief Customer Officer at Cyferd Inc
“Can companies automate their way out of decline? The short answer is no. Automation isn’t a strategy, it’s a tool. You can’t take broken processes, add AI, and expect things to magically improve. In many cases, automating bad processes only makes things worse, speeding up the very decline companies are trying to avoid.
“Too often, and I say this as someone who works for a business orchestration and automation technology vendor, businesses treat automation like a silver bullet. Some even cut valuable people in the process, which is a dangerous mistake. Experienced employees bring judgment, creativity, and adaptability – qualities no system can replicate. In moments of crisis, those are exactly the qualities that help an organization survive and adapt.
“AI and automation have a role to play, but only as part of a wider recovery plan. When used well, they free people to focus on higher-value work and can unlock real transformation. Technology alone will never save a company. Use automation to amplify what’s already good, not to paper over what isn’t.”
