At Block, the most surprising impact of AI hasn't been on engineers, but on non-technical staff. Teams like enterprise risk management now use AI agents to build their own software tools, compressing weeks of work into hours and bypassing the need to wait for internal engineering teams.

Related Insights

Block's CTO quantifies the impact of their internal AI agent, Goose. AI-forward engineering teams save 8-10 hours weekly, a figure he considers the absolute baseline. He notes, "this is the worst it will ever be," suggesting exponential gains are coming.

Block's CTO reveals a counterintuitive lesson: reorganizing from a GM-based structure to a functional one (where all engineers report to one org) was the key to their AI transformation. This structural change had a greater productivity impact than any specific AI tool they implemented.

The most significant productivity gains come from applying AI to every stage of development, including research, planning, product marketing, and status updates. Limiting AI to just code generation misses the larger opportunity to automate the entire engineering process.

The next frontier for AI in product is automating time-consuming but cognitively simple tasks. An AI agent can connect CRM data, customer feedback, and product specs to instantly generate a qualified list of beta testers, compressing a multi-week process into days.

Instead of focusing on foundational models, software engineers should target the creation of AI "agents." These are automated workflows designed to handle specific, repetitive business chores within departments like customer support, sales, or HR. This is where companies see immediate value and are willing to invest.

AI reverses the long-standing trend of professional hyper-specialization. By providing instant access to specialist knowledge (e.g., coding in an unfamiliar language), AI tools empower individuals to operate as effective generalists. This allows small, agile teams to achieve more without hiring a dedicated expert for every function.

The paradigm shift with AI agents is from "tools to click buttons in" (like CRMs) to autonomous systems that work for you in the background. This is a new form of productivity, akin to delegating tasks to a team member rather than just using a better tool yourself.

The employees who discover clever AI shortcuts to be 'lazy' are your biggest innovation assets. Instead of letting them hide their methods, companies should find them, make them heroes, and systematically scale their bottom-up productivity hacks across the organization.

Historically, developer tools adapted to a company's codebase. The productivity gains from AI agents are so significant that the dynamic has flipped: for the first time, companies are proactively changing their code, logging, and tooling to be more 'agent-friendly,' rather than the other way around.

Contrary to the belief that PMs are the earliest tech adopters, go-to-market functions (sales, marketing, support) are leading agent adoption. Their work involves frequently recurring, pattern-based tasks that are a perfect fit for automation, putting them ahead of the curve.