We once ran a pricing test using a new AI-driven optimization tool.
The system worked fast. Clear interface. Clean logic. The dashboards looked perfect.
It recommended cutting prices on one of our top-selling products by 18 percent.
The reason?
“Competitor prices dropped. Match them to maintain volume.”
On the surface, it made sense.
The math looked right. The logic felt familiar.
But something was off.
A product manager called it out.
“The competitors did drop their price. But they also dropped their quality. We didn’t.”
She was right.
We were still selling the original-grade version. Most others had cut corners.
Customers were not leaving us for cheaper options.
They were choosing us because we had not compromised.
The AI caught a pattern.
It just missed the context.
We ignored the recommendation.
Kept our price.
Sales went up the next two weeks.
Smart Systems Still Need Smart Judgment
This was not a crisis.
No losses. No damage. No chaos.
But that is exactly what makes it dangerous.
When the output looks good enough, it is easy to go with it.
Especially when the math adds up and the dashboard is impressive.
What saved us was not a better model.
It was a human who paid attention.
Someone with real market knowledge and the confidence to speak up.
The Problem Is Not AI. It Is What We Assume Without Checking.
That pricing model was not wrong.
It was just based on the idea that everyone was playing the same game.
Same inputs. Same quality. Same customer base.
But real-world decisions are not that simple.
AI learns from patterns.
But it cannot see what the data does not show.
It misses trust
It misses product integrity
It misses brand loyalty
It misses gut instinct
Unless someone steps in and says, “This does not feel right,”
You risk making the wrong call for the right technical reasons.
Final Thought
I still use that pricing tool.
It helps.
But it cannot replace judgment.
You do not need to throw out the tech.
You just need to keep your eyes open.
Because the most dangerous AI is not the one that crashes.
It is the one that slowly leads you just a little off course
Until you realize too late that you were solving the wrong problem.
Regards,
Rupesh
P.S.
Have you ever had a moment where AI missed the point and someone on your team caught it just in time? Share it in the comments. I will feature some of the best examples on my profile. Let us help each other stay sharp.
