The ultimate vision for AI in product isn't just generating specs. It's creating a dynamic knowledge base where shipping a product feeds new data back into the system, continuously updating the company's strategic context and improving all future decisions.

Organizations that default to treating AI as an IT-led initiative risk failure. IT's focus is typically on security and risk mitigation, not growth and innovation. AI strategy must be owned by business leaders who can align its potential with customer needs, talent decisions, and overall company growth.

As AI becomes foundational, the PM role will specialize. A new "AI Platform PM" will emerge to own core infrastructure like embeddings and RAG. They will expose these as services to domain-expert PMs who focus on user-facing features, allowing for deeper expertise in both areas.

Treat AI initiatives as two separate strategic pillars. Create one roadmap focused on internal efficiency gains and cost reduction (productivity). Maintain a separate roadmap for developing new, revenue-generating customer experiences (growth). This prevents conflating internal tools with external products.

While traditionally creating cultural friction, separate innovation teams are now more viable thanks to AI. The ability to go from idea to prototype extremely fast and leanly allows a small team to explore the "next frontier" without derailing the core product org, provided clear handoff rules exist.

The true enterprise value of AI lies not in consuming third-party models, but in building internal capabilities to diffuse intelligence throughout the organization. This means creating proprietary "AI factories" rather than just using external tools and admiring others' success.

Beyond just using AI tools, the fundamental process of product management is evolving. For every new initiative, PMs must now consider the appropriate level of AI, automation, or customization. This question is now as critical as "what problem are we solving?" and addresses rising customer expectations for adaptive products.

While AI-driven efficiency is an obvious first step, it often results in workforce reduction if company growth is flat. True differentiation and sustainable advantage come from using AI for innovation—creating new products, markets, and business models to fuel growth.

To transform a product organization, first provide universal access to AI tools. Second, support teams with training and 'builder days' led by internal champions. Finally, embed AI proficiency into career ladders to create lasting incentives and institutionalize the change.