I Just Saved a Fortune 500 Company $3.2M By Asking These 7 Questions

Last week, I sat in a boardroom with the CTO of a Fortune 500 company as he canceled a multi-million dollar AI implementation mid-contract.

The vendor was stunned.

The purchasing team was relieved.

And all it took was a 15-minute conversation using my AI BS Detector framework.

While most of my frameworks stay locked in my paid consulting vault, I've decided to share this one publicly. Why? Because I'm tired of watching good companies burn money on AI theater.

The 7 Questions That Expose AI Snake Oil

Here's the exact script I use when evaluating AI vendors:

1. "What specific problem are you solving that couldn't be addressed with simple rules-based automation?"

This question immediately separates actual AI applications from rebranded if/then statements.

In this case, the vendor's "predictive intelligence platform" turned out to be basic regression analysis wrapped in buzzwords.

2. "Show me examples of edge cases where your system fails."

Real AI systems have limitations. Vendors who claim 99% accuracy across all scenarios are selling fantasy.

This vendor couldn't provide examples because they'd never tested edge cases. Red flag.

3. "What percentage of your clients achieve the results shown in your case studies within the first 6 months?"

Here's where things got interesting. After some uncomfortable shifting, the answer was "about 15%."

The case studies represented outliers, not typical outcomes.

4. "What's required from our team to make this work?"

The glossy brochure said "minimal implementation effort." The reality? They needed:

• 3 dedicated data engineers for 6+ months

• Complete reorganization of existing data pipelines

• Manual review of 20% of all outputs

These hidden costs would have doubled the effective price.

5. "Walk me through how your system would handle [specific business scenario]."

I described a common but messy scenario their system would encounter. Their response: "We'd need to discuss customizations for that specific use case."

Translation: Their out-of-the-box solution couldn't handle real-world complexity.

6. "What would a simpler, non-AI approach to this problem look like?"

The most revealing question. After some prodding, they admitted a rules-based system could deliver 80% of the value at 20% of the cost.

7. "What specific metrics should we use to evaluate success, and how quickly will we see them?"

They couldn't define concrete success metrics beyond vague "efficiency improvements."

The $3.2 Million Decision

After this conversation, the CTO paused the implementation and requested a smaller pilot with clear success metrics.

The vendor's unwillingness to agree to performance-based payment terms told us everything we needed to know.

Final outcome: Contract canceled, alternative solution implemented at 15% of the original cost, with 90% of the functionality.

The Bigger Problem

This isn't an isolated case. I've used this framework with dozens of companies and consistently found:

• 60% of "AI solutions" are basic automation with inflated price tags

• 25% are genuinely using AI but can't demonstrate clear ROI

• 10% are solid technical solutions solving the wrong business problems

• Only 5% deliver genuine AI-driven value worth their cost

Why I'm Sharing This

Most consultants guard their frameworks like state secrets. I'm taking a different approach.

The free content I share demonstrates how I think and work. If you find value in it, you'll understand why clients pay for my deeper expertise.

And if this framework helps you avoid even one bad AI investment, it's worth sharing.

What's Coming Next

While this framework is free, my paid subscribers receive:

• The complete AI Pitch Deck Decoder with annotated examples

• My Tech Simplification Calculator for identifying overspending

• The AI Implementation Tracker with real-world benchmarks

• Weekly case studies of real AI implementations gone right and wrong

But even if you never subscribe, keep using this free framework. It might save your company millions too.

Your Turn

Have you encountered AI snake oil in your organization? Reply with your experience, and I'll analyze one case study in a future post.

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