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   The AI rollout trap
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   Plus: The math problem 97% of AI users got wrong.
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              Monday, August 10, 2026
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               AI rollouts help the strongest employees and quietly harm the weakest ones
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               When researchers from UC Berkeley, Harvard, and Columbia gave small business owners in Kenya access to a GPT-4-powered AI adviser on WhatsApp for six months, the strongest entrepreneurs, those who had already done well for themselves, benefited most. Their profits rose by roughly 15% compared with the half of owners who received no AI assistance. Those with serious revenue issues before the experiment saw theirs fall by nearly 10%. AI did more harm to them than 
good.
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               The tool was identical, and the advice was similar in volume and type. What differed was what people did with it. High-performing entrepreneurs used AI to find ideas specific to their situation. One cybercafe owner began renting out gaming accessories. A car-wash operator added a popular detergent and started selling cold drinks to people waiting for their vehicles. Another entrepreneur found backup power sources to keep operating during electricity blackouts.
Low performers gravitated toward generic suggestions, such as cutting prices or spending more on advertising. Those moves eroded margins without bringing in enough new revenue to compensate.
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               Earlier research focused on the workplace benefits of using AI to draft emails and write marketing copy, lifts-all-boats use cases that helped the weakest performers most. Running a business, though, isn't as narrow of a task. It requires industry knowledge, sound 
decision-making, and customer satisfaction. Deciding which AI suggestions fit a specific context and which to ignore depends on judgment the tool can't supply.
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               Eight months of data from 1.4 million AI interactions at KPMG tell a consistent story. About 90% of the workforce used AI regularly, but only around 5% used it in ways that researchers from the University of Texas at Austin classified as sophisticated.
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              <br/>
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               The difference wasn't technical fluency or frequency. Sophisticated users framed their problems before handing them to AI. They directed the model's reasoning rather than accepting its first output. They delegated complex, open-ended tasks with clear objectives, then evaluated what came back. The other 95% mostly used AI for routine acceleration — drafting, summarizing, reformatting — and accepted outputs without scrutiny.
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               The 5% who got meaningfully better results used it at similar rates as the rest of the company but asked harder questions, provided more context, and pushed back on the first answer. What separated them from everyone else was whether they treated AI as a reasoning partner or a vending machine.
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                      Sponsored
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                       Orlando is where inspiration goes to work
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                       When you want your team to think bigger, where you meet matters. Orlando blends luxury accommodations, Michelin-recognized dining, unique experiences and world-class entertainment to 
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                   Kinja Deals by The 
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               Employees who follow bad AI advice also do worse than peers working alone. In experiments at Dickinson College and Stevens Institute of Technology, ChatGPT gave participants the wrong answer to a basic algebra problem. Ninety-seven percent of them submitted the same wrong answer. Participants without AI assistance got the question right more often.
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               Participants didn't lack the skill to solve the 
problem. They just stopped trying. Those who saw ChatGPT's answer reported higher confidence and spent significantly less time on it. They skipped past the reasoning steps entirely, even though those steps contained enough correct information to reach the right answer. When a separate group was asked to find the mistake in AI's answer, the correct-response rate jumped to 31%, more than double the rate among participants working without AI.
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               A simple intervention 
changed the outcome. Participants who received an instruction to use ChatGPT "mindfully, taking the time to analyze ChatGPT's output before responding" scored 24% correct, compared with 10% for those who received no reminder. One sentence of instruction doubled performance.
              </span>
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              The research from Kenya, KPMG, and the Dickinson-Stevens experiments suggests that adoption isn't the metric that matters. Whether employees apply judgment to what AI gives them predicts outcomes better than whether they use it at all. 
Evaluations that focus only on average effects can hide meaningful harm to specific groups. An AI rollout that lifts average productivity by a few percentage points can still make employees who are already struggling worse at their jobs.
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              Experienced employees with strong judgment can benefit from broad, unconstrained AI access. Junior or weaker performers need tighter guardrails, including more structured prompts, more situational context fed into the tool, and clearer escalation paths when advice doesn't fit. A single 
rollout design treats a 20-year veteran and a first-year hire as if they'll filter AI advice the same way. The Kenya experiment's data says they won't.
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              Employees can learn to filter results better. KPMG built programs around the habits of its top 5% — framing problems clearly, directing AI's reasoning, pushing back on first outputs — and found those lessons to be transferable across the rest of the workforce. Training here matters more than the technology itself. Without it, strong performers pull ahead and struggling 
ones get worse.
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                   When you want your team to think bigger, where you meet matters. Orlando blends luxury accommodations, Michelin-recognized dining, unique experiences and world-class entertainment to 
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