Innovation Management Watch Summary: “AI Through the Rear View Mirror” by John Bessant

John Bessant’s article, “AI Through the Rear View Mirror,” draws on historical parallels to help organizations and policymakers navigate the current surge in AI development. Drawing lessons from past technological revolutions — particularly the microelectronics wave of the 1980s — John Bessant highlights how previous moments of technological upheaval can inform today’s AI strategy, avoiding panic and promoting thoughtful action. 

 Despite the current urgency and headlines surrounding AI, Bessant argues that major technological changes are rarely as immediate or linear as they appear. Their impact unfolds slowly, often requiring not just adoption, but deep adaptation within industries, skillsets, and social systems. Citing researchers like Carlota Perez and Chris Freeman, Bessant emphasizes that true revolutions involve reframing both the technology and its context — not just automating tasks but reshaping how we work and innovate. 

The article outlines five key insights drawn from previous innovation waves: 

1.   Revolutions take time. Game-changing technologies have long development cycles and require extensive learning before real impact occurs. 
2.   They shift paradigms. Major shifts demand a rethinking of strategy, structures, and social systems — not just better tools. 
3.   They have limits. Media hype often overlooks practical constraints and underestimates the complexity of implementation. 
4.   Progress is non-linear. Early-stage AI is mainly about automation, but long-term value lies in augmentation and reimagining how work is done. 
5.   Strategy beats tactics. Organizations need long-term thinking, restructured business models, and experimentation beyond short-term wins. 

The article also calls for responsible innovation, a framework built on four principles: anticipation, reflexivity, inclusion, and responsiveness. Bessant argues that this approach is essential to shape AI’s development in ethical and socially constructive ways — especially given AI’s generative nature and capacity to evolve independently. 

 Importantly, the piece warns against the temptation to rush adoption or chase hype cycles. Bessant points to past failures, such as GM’s overinvestment in automation in the 1980s, as cautionary tales of tech-first strategies without cultural or structural readiness. Instead, the recommendation is clear: use AI not as a plug-and-play solution but as a prompt to rethink how value is created, delivered, and governed. 

 In conclusion, Bessant advocates for learning from past revolutions to avoid being overwhelmed by the current AI wave. While AI’s potential is real, so are the risks of misaligned strategy, underdeveloped skills, and superficial adoption. Strategic, responsible innovation is the only way to turn AI from a tidal wave into a sustainable advantage. 

To explore the full article and its insights, read it on John Bessant’s Substack here. 

This summary is based on the original article published by John Bessant. All rights to the original content remain with the respective copyright holders.