Lessons from the best companies that are getting AI right

You can’t build great products on gut instinct, and yet, according to IBM’s global study of 1,000 enterprises, 77% of organisations using generative AI aren’t seeing any financial benefit. In this episode on The Product Experience podcast, Lily Smith sits down with Matthew Certner, Digital Product Engineering and Design Partner at IBM, to unpack the four key traits that drive ROI in AI-powered product teams: flexibility, incremental and targeted delivery, data-led decisions, and cross-functional collaboration.

Recorded live at the Industry conference, this conversation offers practical lessons for any product leader navigating the hype and reality of AI adoption.

Key Takeaways

— Behaviour trumps technology. The top 20% of companies seeing ROI from AI succeed because of how their teams work, not just what tools they use.

— Four behaviours define high-performing teams: flexibility, incremental and targeted delivery, data-led decisions, and cross-functional collaboration.

— Value orchestration matters. Successful teams build the right product, build the product right, and make the product successful — with continuous feedback loops.

— Generative AI isn’t a strategy. Treat it as an enabler, not the goal. Success depends on user and business value, not just technical adoption.

— The Golden Thread keeps teams aligned. A living artefact linking vision, value, and execution ensures everyone is building towards measurable outcomes.

— Innovation at enterprise scale needs structure. IBM Garage’s “co-create, co-execute, co-operate” model shows how large organisations can move fast without chaos.

— 95% of new products will fail. The differentiator will be those that combine data discipline, user focus, and purpose-driven innovation.

Chapters

• 00:00 – The danger of building on gut instinct
• 00:37 – IBM’s global study on generative and agentic AI adoption
• 01:00 – Meet Matthew Certner, Digital Product Engineering Partner at IBM
• 02:00 – Why most enterprises aren’t realising ROI from AI
• 04:50 – What the top-performing 20% of companies do differently
• 05:10 – The four key behaviours driving success
• 07:00 – Flexibility: adapting quickly to market feedback
• 08:10 – Incremental and targeted delivery — the “golden thread” principle
• 10:30 – Data-led decision-making versus the HIPPO effect
• 11:45 – Cross-functional collaboration and robust adoption
• 13:10 – Behavioural factors that make or break AI adoption
• 14:20 – Inside IBM’s “value orchestration” framework
• 15:10 – The Golden Thread in practice — a sticky-note story from Dallas
• 17:10 – Transparency and traceability in product development
• 18:00 – How IBM helps teams that aren’t seeing value from AI
• 21:00 – The paradox of moving too fast or too slow with AI
• 24:00 – Making the Golden Thread a living document
• 25:20 – Inside IBM Garage: speed of a startup, scale of an enterprise
• 27:40 – Why productivity savings, not hype, drive AI ROI
• 29:00 – How large organisations structure innovation teams
• 30:00 – The future: 800 million new products by 2026
• 31:00 – Why 95% will fail — and what the 5% will get right
• 33:10 – Final reflections: value, purpose and the human element