The worst thing a CEO can do with AI
Kacy Webster is the CEO and Founder of Profit Quiver. This Consulting Rainmakers episode, hosted by Mikulas Zach, is about one idea, in Kacy's words: The worst thing a CEO can do with AI.
What is the worst thing a CEO can do when adopting AI?
Kacy Webster: Take a weekend workshop on ChatGPT or Claude and announce AI to the staff with excitement. People start to fear for their roles, so leaders need a strategic approach to the conversation and culture change.
In this conversation, Kacy explains why leaders should never lead with the technology, what a CEO gets wrong when they come back from a weekend of learning ChatGPT, and how she runs her own business with a team of AI agents.
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About Kacy Webster
Kacy Webster has spent thirty years in higher education, workforce development and business transformation. She led Kaplan University's Davenport and Des Moines campuses as Area Campus President and Iowa Market President, served as Iowa Market Strategy Leader for Purdue University Global, and spent several years at ACT as a Lead Business Strategist and then Senior Director of Market Strategy and Insights. After years of consulting on the side, she went all in on it with Profit Quiver, where she helps colleges, nonprofits and employers build AI governance and adoption that hold up, and she co-founded The PrecisionX System to bring her 12 domains of human-centered adoption to employers.
Expect to learn what goes into an AI governance workshop and charter for the C-suite, why shadow AI means your people are probably using it already, why psychological safety decides whether AI gets adopted, how her AI agents Ava, James, Claire and Fletcher run an action desk in her inbox every day, why every agent needs a human in the loop, what AI will never replace, and why faculty need to shift from subject matter experts to meaning makers, and much more…
Kacy Webster: LinkedIn · Website
Chapters
- 0:00Cold open
- 0:33Welcome
- 1:37What Leaders Miss About AI Governance
- 2:50The Worst Thing A CEO Can Do With AI
- 5:14Start With An AI Governance Workshop
- 6:56Shadow AI And Psychological Safety
- 9:06Her Team Of AI Agents
- 10:55Why Every Agent Needs A Human In The Loop
- 14:14What AI Will Never Replace
- 21:19From Subject Matter Expert To Meaning Maker
- 23:07Where To Find Kacy Webster
Transcript
Today I'm joined by Casey Webster, the CEO and founder at Profit Quiver. Casey, thank you for coming on today.
Yeah, thanks for having me.
So we could go on a long story about your background, but could you tell me kind of your elevator background?
Yeah. Yeah. So thirty years of higher education background. I've always worked within a college setting, measurement and assessment company as a strategist for about six or seven years. And most recently the last few years, decided to go full time in my consulting. I've always done consulting on the side, but decided to, you know, go all in on that. you're probably gonna ask me why I didn't did that. but I I felt like I wanted to be able to scale my impact in this later journey that I'm on professionally. So when I do retire, I can look back and realize that I had a lot of influence and impact to helping people.
What Leaders Miss About AI Governance
No, that's amazing. And this episode will be a lot about diff decision making and governance and how do you actually make paradigm shifts. so let's start with kind of the obvious one. What do most people not understand about governance and AI?
Yeah. Yeah. I think now's an interesting time in globally, right? We've we've really been forced to recognize that we've we've existed in a world of intelligence scarcity in the past. And all of a sudden we are living in a world of abundance of intelligence. And so I would say most leaders are struggling with their own paradigm shifts and leadership evolution. one of the things that that I often tell people is you know, you don't have objectivity when you're in the middle of a crisis in your company. And some of the best, you know, impact that I can have is is coming in and really helping them tease out, you know, let's talk about what are the targets you're trying to hit. And you never want to leave, leave people behind. We cannot lead with the new technology that AI is bringing. We have to think about the the human AI, human advantage. And that's really what's gonna create competitive moats and advantage for companies. but if you the worst thing I say the worst thing a CEO can do is go and learn, take a workshop and learn how to use ChatGPT or Claude over the weekend. Come back and tell all their their staff I'm so excited. We're moving forward with AI. Because what happens is people start to question and make assumptions about what it is that means for them and their role. And you know that fear can can set in. And so a leader really needs to understand there's a a very strategic approach to having the conversation and moving your culture through the social adoption, you know, reaction curve, if you will.
The Worst Thing A CEO Can Do With AI
Hm. I think Casey this this gets me to my next question, which is your human readiness framework, which is something that you use when it comes to using AI.
Yeah, you know, put a put a lot of thought and energy. I I work with, you know, several sectors. obviously within my my company. I work with higher education and obviously academia is is, you know, faced with the challenge right now of navigating this this great conflict between academia and AI. And should students use AI and faculty are using AI, but they don't want their students to use AI. And so there's a lot in that space. I work with nonprofits. And a lot of the nonprofits I work with are in that, you know, education to workforce ecosystem and then business and industry. And across all those sectors, what I realized is it doesn't matter what anybody does as a job professionally, as humans, each and every one of us, you included, need to recognize what are the seven human capabilities that AI cannot replace and how are we going to navigate, you know, the the technology that is available to us. And so obviously, Joey list those, I can list those. so how detailed did you want to go into this? That framework's pretty exciting. Everybody needs to to learn it.
Start With An AI Governance Workshop
Right, right. what do you think that most CEOs get wrong when you start working with them? What's kind of the the misconception that people have?
Yep. First thing that they do is they start listening to their teams when they come to the their their teams will come and say, We need to get a license for CLOD we need to get a license for, you know, co-pilot or whatever the tool of the day is. And the big mistake there is that the very first thing that a leadership team should be doing, and a CEO needs to really be the sponsor and the leader on this, is, you know, I'll if I was to go into an organization and ask their C-suite. How do you see AI impacting your success? Everyone's going to have a different answer. So the first step is to have an AI governance workshop. And that's something I facilitate. It takes about a day and a half. We work with the C-suite. And we we frame around what's our philosophy statement about how we believe and where are we showing up with our own core values around using AI. And then we talk about boundaries and guardrails and the risk tiers that are specific to that industry. And make sure that everybody has alignment and is on the same page. And we actually formalize and publish a AI governance charter. It keeps everybody honest as we start making the decisions. Who gets to own the decision? Because there's numerous considerations and you never want to not go through that process and have that foundation in place first. Never lead with the technology.
Shadow AI And Psychological Safety
Yeah, and I think what you said earlier about the CEO that says, you know, now we're using Clot, the the main issue there is that you have to get people on boarded on the idea of using AI. I think there is some kind of recent study that shows like like ten percent of the of the company, even if they have AI, they they use it actively. And the ninety percent kind of have the tool installed in their browser, but they never have it in their workflow.
Yeah. I I would say that statistically that's actually, I think that's understated because it's human nature. If you're not safe, there's this in my 12 domains of of AI adoption, one of them is psychological safety and readiness, human readiness. And so if you're not psychologically safe in an in a culture, you're not going to Raise your hand or put yourself out there for experimentation because A, you don't want to look inept. B, you don't know if your job might be eliminated or not. So you're just, you're, you're, you're probably experimenting. There's this thing in the United States here we call shadow AI. And shadow AI is it's what aren't you seeing? People may say that they're not using it, but really, are they? And in most cases, they probably are. And they might be using it on their phone, a free version at home. They're probably learning behind the scenes. And what leaders need to understand is they need to model, a CEO needs to model a culture of learning and learning transparently to be able to say, we're all going to learn together. We're all going to experiment together. Here's the guardrails that we're going in to experiment within. And give people that psychological safety so they don't have to leave room for the assumptions that can cause them to have some head games with themselves.
Her Team Of AI Agents
Casey, as someone that is certified with AI, how do you use it and what's your kind of favorite use case that you could share?
Yeah. So yeah, I would say as a solo entrepreneur, I have AI agent employees that I orchestrate on a day to day basis. I've given them names. I have an Ava, a James, a Claire, a Fletcher. And I would say that, you know, I've I've got a gentleman on my team who is fantastic with. building the agentics system and and organization and then all I have to do is is human AI human it right I would say my use case my one of my favorite use cases is I have an action desk and so my my model that I'm using is trained in my voice and my knowledge. It took many, many many months of building that brain if you will around what I know and It is literally scouring the internet for speaking engagement opportunities, thought leadership articles, RFPs, proposals, conferences, you know, things that I need to be kept up on. And I get an action desk in my inbox each day with things that are a fit for me to focus on. What are the things that are I might not want to overlook? Because I would never be able to keep up. with all the opportunities and potentials that exist. And then I can click on that link and source. So maybe I want to submit a proposal to speak at a conference somewhere. Maybe I don't, but it waves that in my face so I can see it.
Why Every Agent Needs A Human In The Loop
D do you have any agent that kind of misbehaves or is it just mine?
All agents will misbehave. That's why you have to have human in the loop. you're, you know, the these are not people, these are this is data. And the reality is that you know, there is data drift, there are biases, and there is hallucinations. And you cannot trust, you always have to keep your eye on what is happening with your, you know, your technology. People make that mistake. I've actually helped clients that have called me, people have called me freaked out because they tried to use AI to wrangle their data, qualitative data. It's like, nope, you ha humans have to annotate and label data. You cannot give that to an AI. you can use AI to synthesize it after it's labeled and annotated, but there's there's I I like to say AI is not going to steal our humanity unless we allow it. And the reality is it can amplify us because with AI, we've just ten times our potential and we've really truly given ourselves a a human advantage.
Yeah, as a one man shop, which you are also, I find it really, really interesting how you can duplicate yourself basically and have basically have these small employees and it's still kind of a crazy concept in my head that there are agents that can do work on your behalf that you would normally have to do, but now you don't have to do them. And you can just kind of overview them, oversee what they're doing. And as you're saying, you know, sometimes they misbehave or there is a hallucination drift. but it's getting much, much, much better. And the idea of not having them, I'm I think I'm okay with sometimes being upset about hallucinations, when the ninety percent of the time You know, it's going great.
Yeah, it just can't replace judgment. And and I think the one thing that I try to tell my clients and students that I work with and people that I coach, you need to understand your your own human distinctiveness. You know, if it we were created with our own unique gifts. Not a single one of us is identically the same. AI is pretty much you're gonna, you're gonna get what you get. And the human the human nature, we are amazing human beings with so much to contribute. And we cannot get lazy and let technology take over. So we have to be a c we have to be focused on what's called collaborative intelligence. And that means that we're thinking you know, you're we're thinking without outsourcing the judgment.
What AI Will Never Replace
I think this this kind of brought me another question which is what do you think AI won't replace?
Yeah, it's not going to replace the the judgment, of course, the the creativity that the artistic ability. it can it can help us, you know, with problem solving, but we are are the only ones who are gonna be able to really sit back and say, hmm, from a, you know, an align in alignment with my core values, is this the right thing to do or not? Or Is this is this authentically in my voice? Is this authentically, you know, something that I should or shouldn't do? Just because you can use AI doesn't mean you should. And, you know, I I I often like to say, you would never kill a fly with a bazooka. Right? Just go get a fly swatter. The reality is sometimes people try to overcomplicate and and they get lazy and they think, I need to draft that. You know, I need to send a thank you card or I need to draft a a letter to somebody, and they immediately go to their AI. Just write the note. Just write the note. It's gonna take you two seconds. You know what you wanna say from your heart. Just write the note. Like, why are we why are we trying to over AI things? so it's that judgment. And you know, working with I'm gonna be speaking at a STEM summit here in a few weeks to K-12 educators here in the United States. And I'm leading a session on still human. how educators can teach AI s without losing, you know, losing the skills that AI is gonna replace, isn't gonna replace. So it's it's all about I'll give you an example. A teacher may in the past may have written an article, research, you know, clean energy models, right? And write a paper. Well in nine seconds, that student can have that paper. produced and handed in. But what happens if you start with that AI as instead of making the what's going to be the output the artifact, if you ask yourselves, what can AI replace? Can AI do this submission? Make it use your AI to research renewable clean energy and cr critique and summarize what were three things that AI got wrong or couldn't Clearly. And or read look at your your local geography in your in your area, in your county. what are the trends in your county for renewable energy? Because then they have to have that subjective, subjective approach and lens. Where do I live? What are the agencies around me? and then the third the third one from a durable human skill would be debate and discuss this with a classmate. Do they agree or disagree with your philosophy on whether or not your government should be pursuing those models? Those are the human skills. And AI is not going to replace that. But if we're not making space for that in our classrooms, in our day-to-day with people, we're we're truly going to put ourselves at a disadvantage and get lazy. I think that I think that AI is great. I'm a little biased, right? I'm in I'm in the AI industry. But it's because it should be making more time to go deeper on our subject and it should be really giving us more time to be able to engage with people more. Cause we're not stuck behind the computer doing redundant data entry and and things that our agents can do for us.
Yeah. This really resonated with me because as a still a university student being in the education space, I you know I find myself sometimes quite surprised that the education didn't actually catch up this trend. and that we're basically going the r the other route which is Let's ignore AI and let's ban it and let's say, you know, no, don't use AI. it's harmful for your brain. But you know, the reality is that with the an improvement of AI, if I take the example of the the first AI image that got generated, like the guy eating the spaghetti, you know, and if you look at current images it can produce, it's just so
Yeah, it's silly. Yeah.
So the improvement is so huge, and so I don't really understand why we not focus on the important stuff, as you were saying, critical thinking and really using your brain for the parts that AI cannot replace, which is the judgment, and also you know your early earlier piece about using AI for the sake of AI, and I see a I see that a lot. And you know, even sometimes with myself, I I get a bit lazy. And so I I use AI and you can especially you can see it here on like social media if you open up LinkedIn, it's everywhere. Like you can just spot, I would say sixty percent of my LinkedIn posts are made by AI and are not read by the original
Yeah, it's human nature. Yeah.
author of the post, which is I think really sad. Social media forgot to be social.
But what's crazy about it is you can build your content engine in a way that your eyes see everything and that it's in your own voice. I'll tell you, when I started using AI at first, you got slop because the model wasn't trained on me yet, wasn't trained on my voice and who I am and how I think and talk and speak. But over time, it improves. And it If you're correcting it properly, it's going to learn what not to do. It's like a teenager or kid, right? You're not going to do this. But if you let it get away with it, it's just going to continue to give you problems. so you you've got to know how to do that. I I would say that it's sad because people are only scratching the surface of its capacity and what it's capable of doing. and You know, one of the things that I I do, I've I do a lot of speaking and leading faculty development academies and workshops for universities. And oftentimes university leaders will bring me in to to have the conversation with their faculty about okay, we're going to love and embrace, you know, changing our curriculum and and instructing and letting students use AI, but we've got to change our assessment. And I feel for academia. I feel for faculty because let's face it, a lot of these they went to college for a long time to become subject matter experts. You're in the classroom, and they're proud and their value and their identity is anchored in. I'm a subject matter expert. I've got knowledge that people need, right? And all of a sudden, AIs come along and do do do people can pull up what they've known and worked hard to acquire. But The one thing that I tell Academia is this, you need to make your paradigm shift from no longer subject matter expert to meaning maker. Because without you as a faculty member, if not you, then who is going to be the meaning maker to translate and to really help these graduates enter the world of work that quite frankly isn't the same world of work that you came through. It's different now. So you've got to be changing your assessment and you've got to be be really leaning into those human skills. Because if you don't, you're doing our our graduates a disservice. So they don't always like like the message, but at the end of the day, they know I'm right.
From Subject Matter Expert To Meaning Maker
Where To Find Kacy Webster
Casey, what's the best place for people to continue the conversation and follow you?
Yeah. Sure. Well, definitely my website is profitquiver.com. and I have lots of information out there. look me up on LinkedIn. my I'm I have all my phone number, my email, all that good stuff out there on my LinkedIn page. I believe in, you know, people picking up the phone and just calling me and having a conversation. the the other thing that I would say is If you if you hear of anybody who has rolled out AI and they're realizing that their adoption isn't sticking, I love going into organizations and just helping clean things up. And what I mean by that is giving the leaders clarity, kind of taking a step back and saying, okay, let's look at your culture, let's look at what's happening with your technology, and let's maybe do a little bit of a do-over and fix that. and I think the next thing I would say is I, you know, I'm always up for doing more podcasts and more speaking. So I like to stay busy. This has been great.
Amazing. So links are down below. Casey thank you for coming on and guys thank you for sharing.
Yeah. Thank you for having me.