The Surprising Equation that Reveals Why 88% of AI Initiatives Fail to Scale with James Kaplan

Jeff Keyes chats with James Kaplan, a partner at McKinsey & Company, about the surprising equation that explains why 88% of AI initiatives fail to scale. They delve into the complexities of AI-driven development, the disconnection between investment in technology and tangible business outcomes, and the often-overlooked factors like deadweight loss that hinder success.

James shares insights on the evolving landscape of software engineering, emphasizing the need for a shift in mindset beyond productivity gains to a more strategic approach that aligns AI with business goals.

Tune in as they explore how organizations can effectively navigate these challenges and drive meaningful change in their engineering practices.

February 25, 2026

40 min

Jeff Keyes

The Surprising Equation that Reveals Why 88% of AI Initiatives Fail to Scale with James Kaplan