Friday, March 28, 2025

28 Mar 2025

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Hi, it’s Chad. Every Friday, I serve as your AI guide to help you navigate a rapidly evolving landscape, discern signals from noise and transform cutting-edge insights into practical leadership wisdom. Here’s what you need to know:

1. Paper Trail: AI Research Decoded

AI-Driven Logistics: Optimizing Supply Chains for Sustainability and Efficiency

AI-powered logistics optimization offers middle market companies a dual advantage: improved operational efficiency and significant environmental benefits. Key takeaways include:

Machine learning models can predict and reduce carbon emissions with over 99% accuracy, focusing on fuel consumption and vehicle selection
Strategic matching of transport modes with appropriate fuel types can dramatically reduce environmental impact while maintaining operational efficiency
Clustering delivery routes enables targeted logistics strategies, potentially improving efficiency by 15-25% while reducing costs

Read our full analysis of each of these research papers at AI for the C Suite

2. Sound Waves: Podcast Highlights

Our newest episode releases this coming Monday, March 31, 2025 featuring my chat with Richard Pierle from Pier Digital. Subscribe for free today on your listening platform of choice to ensure you never miss a beat.

Apple | Spotify | iHeart

Amazon / Audible | YouTube

New episodes release every two weeks.

3. AI Buzz: Fresh Bytes

Here are a few interesting articles that caught my eye this week.

4. Algorithmic Musings. How Human-AI Interaction Has Evolved Since 2023

Since AI exploded into the collective conscious several years ago there’s been a similar rise in “experts” teaching you how to prompt. At this point you may already be saying to yourself “Wait. Isn’t Chad one of those so-called experts?” Fair point. Yet from the very start I have never held myself out as a so-called “prompt engineer” or claimed to have magic verbiage that will turn you into an expert AI wrangler. Instead, I always focus on understanding which tool is best for the job at hand based upon the result we wish to achieve. I then work backwards. Understanding this approach has never been more critical to your success because these systems have evolved significantly and anyone selling you anything even remotely resembling “prompt engineering” or canned prompts is not only selling snake oil – they’re hawking an expired product. Here’s why.

From Basic Commands to Orchestrating Intelligence

Think back to early 2023. Back then, most of us were typing simple questions into ChatGPT and marveling at the responses. We were like toddlers discovering language — “AI, write me a sonnet about blockchain!” Remember those days?

The evolution since then has been nothing short of remarkable. We’ve moved from those basic prompts to more sophisticated approaches like Chain-of-Thought reasoning, where AI can now “think aloud” by working through complex problems step-by-step, much like a human would scribble out their thought process on scratch paper. This isn’t just a technical advancement but a fundamental shift in how we conceptualize these systems — no longer simple tools but reasoning partners.

The Three Waves of AI Interaction

If you’re playing catch-up, here’s what you’ve missed:

Wave 1: Basic Prompting (Early 2023)

Remember those long, complex prompts that “gurus” were selling for $49.99? The ones with weird formatting, ALL CAPS sections, and bizarre rituals of “Now think step by step…” as if you were conjuring a digital spirit? Yeah, those barely work anymore.

Why? Because AI systems have evolved. By February 2025, Google was actually advising that “the most successful prompts average around 21 words.” That’s a far cry from the 500-word magic spells being hawked online. Simple and clear beats convoluted and mysterious.

Wave 2: RAG Systems (Mid-2023 to Mid-2024)

The next big shift came with Retrieval Augmented Generation (RAG), which sounds like something from a sci-fi novel but is actually quite straightforward. These systems combine the AI’s generative capabilities with external knowledge sources. Instead of the AI just riffing based on its training, it can now retrieve specific information from databases and documents, making it more accurate and useful.

This changed our approach entirely. Instead of crafting the perfect prompt, effective users focused on providing the right context and information sources. The skill became less about wordsmithing and more about curation.

Wave 3: Agentic AI (Late 2024 to Present)

Now we’re in the era of agentic AI — systems that can perform sequences of tasks with minimal oversight. The latest frontier involves orchestrating multiple specialized AI agents to accomplish complex goals. Think of it less like giving commands to a digital assistant and more like managing a team of specialists.

This requires an entirely different skill set. The “driver’s seat” approach lets you specifically direct which AI agents to use, while the “passenger’s seat” approach lets you describe your overall goal and the AI decides which agents to deploy.

What This Means For You

The implications are clear: those static prompt templates some are still peddling are as useful as a fax machine at a cryptocurrency convention. Today’s AI interaction requires:

Clear communication over clever prompts — Both Google and OpenAI emphasize clarity and specificity over length and complexity
A focus on outcomes rather than inputs — Starting with what you want to accomplish and working backwards, just as I’ve always advocated
Understanding context and systems thinking — Seeing AI as part of a workflow rather than a magical oracle
Adaptability — Being willing to adjust your approach as these systems continue to evolve at breakneck speed

Beyond the Buzz: Practical Steps Forward

So where does this leave us? How do you stay ahead in this rapidly changing landscape? Here are some practical recommendations:

Develop a learning mindset — The half-life of AI interaction knowledge is measured in months, not years
Understand the fundamentals — Focus on clear communication principles rather than memorizing magical prompt formulas
Experiment regularly — The best way to learn is by doing; try different approaches and see what works
Join communities of practice — Connect with others who are working through similar challenges
Be skeptical of anyone selling templates or “prompt engineering courses” — By the time they package and sell it, it’s likely outdated

The Path Forward

The relationship between humans and AI continues to evolve rapidly. What works today may be obsolete tomorrow. The most valuable skill isn’t knowing the perfect prompt formula — it’s understanding how to adapt to these changing systems and maintain a clear focus on the outcomes you want to achieve.

Remember when I said to focus on the result and work backwards? That approach has never been more relevant. As the specific techniques change, the core principle remains: clarity of purpose trumps cleverness of method every time.

So the next time someone tries to sell you a “secret prompt formula” or claims to be a “prompt engineering expert,” ask yourself: Are they helping you understand these evolving systems, or are they simply repackaging yesterday’s approach for tomorrow’s problems?

What questions do you have about effectively working with today’s AI systems? Drop me a line and let’s figure out how to navigate this rapidly changing landscape together.

5. Elevate Your Leadership with AI for the C Suite

Subscribe today because your organization deserves the competitive edge that only cutting-edge AI insights can provide.

Don’t let your organization fall behind in the AI race. AI for the C Suite’s insights and tools are designed to keep you ahead of the curve.

Questions or need personalized guidance? Reply to this email – we’re here to help.

As we navigate this unprecedented fusion of human and machine intelligence, remember: the best leaders aren’t just adapting to change – they’re actively shaping it. Until next week, keep pushing boundaries.

Chad