No Fences? Dealers Examine Philosophical Limits for AI Usage

Two things are clearly obvious when it comes to the use of artificial intelligence (AI) by businesses. One, few areas within an operation wouldn’t benefit from some flavor of AI application. Two, there are a few areas within an operation where a company absolutely will not allow AI to roam free. It is what’s known as the “Aw, hell no!” doctrine.

The balancing act of how much AI is too much AI is the kickoff topic for this month’s State of the Industry report on the ballyhooed tech. We polled our cast of dealer executives to see which areas, if any, are absolutely off limits when it comes to where and how it’s used. As expected, some dealers are more guarded while others have no immediate intentions to rope off certain segments.

Some dealers are loath to take a hard-line stance on keeping business departments/applications off limits. Jake Elliott, the vice president and CRO for Spectrum Technologies of El Paso, Texas, feels that can be a mistake. For one, he believes there’s a perception that AI’s usefulness is relegated to repetitive, entry-level or administrative tasks. On the contrary; Elliott wouldn’t be surprised to see it deliver value to the more complex areas of business, including strategy, leadership decision making, forecasting, customer experience and operational planning.

Game-changing technology has set a precedence. “To me, saying certain areas are permanently off limits would be like saying 30 years ago that the internet should only be used for email and basic research, but never for sales, customer service, banking, education, or running major parts of a business,” Elliott noted. “At the time, that might have sounded cautious. Looking back, it would have been incredibly limiting.”

One dealer that has green-lighted widespread usage is Eakes Office Solutions of Grand Island, Nebraska. Chief Technology Officer Nate Schaf notes the company philosophy is to continuously evaluate where AI can remove friction or improve efficiency, particularly in repetitive or low-value tasks. There is fine print involved with the viewpoint.

“We remain deliberate about where and how AI is applied, especially when outputs influence pricing decisions, customer experience or operational execution,” Schaf said. “AI is a decision support tool, not a replacement for accountability.”

Situational Limits

For Sam Stone, president of Stone’s Office Equipment in Richmond, Virginia, there are limitations surrounding AI use. With relationships and trust core to the firm’s business model, the customer experience must remain a human one. Areas that are verboten for AI include:

• Final customer relationship decisions
• Difficult conversations
• Strategic negotiations
• Hiring and culture decisions
• Conflict resolution
• High-level consultative sales discussions

While Stone likes AI’s ability to assist communications, it cannot deliver or replace discernment, empathy or accountability. “We also believe there’s danger in allowing AI to create artificial authenticity — especially in sales and marketing,” he said. “Customers can eventually tell when every message feels polished but hollow. Our goal is to use AI to amplify our voice, not replace it.”

Other dealers take a more deliberate stroll down the AI path, a group that includes Erik Braden, CEO and managing partner for Braden Business Systems in Fishers, Indiana. Braden outlined three areas in which he believes a more prudent stance is necessary. One is decision-making on a client’s security posture or risk profile. While AI can spot patterns, flag anomalies and accelerate analysis, he believes risk analysis should fall to a human who can be accountable for it.

Hiring decisions and personnel matters require a human touch as well. AI can offer assistance on logistics, scheduling, and the mechanical parts of a recruiting process. But making a call on hires, evaluating performance or professional advancement needs a more personal touch, and Braden believes the company owes that much to the team and prospective staff additions.

A third area is sensitive client conversation, anything ranging from a service issue that impacted their business to a problematic renewal or even a breach. The technology can help prep the conversation, but in this case the client needs to be looked in the eyes.

“Relationships in this channel are built over years, and trust is earned in the moments that are hardest to script,” Braden noted. “Those moments belong to people. I would say that to any dealer principal: do not let AI in the room when you are sitting across from a client whose business depends on what you say next.”

In the end, it’s all about accountability. “Wherever the answer to ‘who is responsible if this goes wrong’ needs to be a person, the decision-making needs to stay with a person,” he added.

Keeping it Real

Houston-based Stargel Office Solutions is another dealer unwilling to let AI intercede in affairs that would optimally be addressed by real team members. Relationship building, decision making, customer trust and technical expertise are a few examples, notes T.J. DeBello, vice president of sales.

“In our industry, customers still value human experience, responsiveness and accountability,” he noted. “AI can help draft a message, organize a proposal, or identify opportunities, but it should not replace the judgment of experienced salespeople, service leaders, technicians, or executives.

“We are also cautious with confidential information, customer-specific data, pricing decisions, legal language, HR matters, and anything that requires verified technical accuracy, DeBello added. Those areas require human oversight and, when appropriate, expert review.”