Business Transformation in the Age of AI

By Niru Satgunananthan, Johnson Controls on September 24, 2025 |
Niru Satgunananthan, ESS Business Development Manager and Consultant, Johnson Controls
Niru Satgunananthan, a member of the SIA AI Advisory Board, is ESS business development manager and consultant at Johnson Controls.

When people talk about artificial intelligence in business transformation, the focus tends to circle around solutions and products. New models, automation tools, intelligent assistants—you’ve heard it all. But what often gets missed in these conversations is the real driver: How do these AI solutions actually fit into the enterprise business operating system?

It’s not enough to admire a shiny new product from the outside. The critical question is: Can this work effectively within my organization’s infrastructure, processes, compliance framework and long-term strategy?

The Hidden Layers of AI Deployment

  • Legal reviews and compliance: From privacy law to regional AI regulations, each rollout encounters governance checks
  • Cost and budgeting: Beyond acquisition, the legal fees, IT integration costs, and operational overhead must be factored in
  • Roadmap and life cycles: AI adoption means aligning product timelines with existing IT infrastructure, business processes, and strategy cycles
  • Integration: The AI solution must become part of the business operating system, not a siloed tool

Miss these steps, and you risk adding to the large percentage of AI projects that fail in enterprises today. The most powerful algorithms mean little if they aren’t embedded into an organization’s core workflows.

What Transformation Really Demands

  • Assessment of your operating system: What’s your enterprise’s readiness layer?
  • Life cycle planning: From proof of concept to maintenance and retirement
  • Regulatory alignment: Compliance across state, national, global and industry frameworks
  • Business value measurement: Can adoption improve cost-to-operation and deliver measurable ROI?

The Plumbing Phase of AI

Today, AI systems are powerful, but most still operate in their own domains, disconnected from the larger enterprise fabric. That’s why we call this the plumbing phase: the hard, essential work of building the pipes that connect these systems together.

It’s not just about deploying AI. It’s about wiring decision-making processes across tools, teams and functions, so they flow seamlessly through the business operating system. Without this integration, AI remains a collection of isolated applications rather than a driver of true enterprise transformation.

The Next Phase: Collaborative and Agentic AI

  • AI won’t just support humans; it will coordinate actions across agents and teams
  • Agentic AI—systems that can autonomously pursue goals—will drive enterprises forward; agent-to-agent communication will unlock new levels of automation, adaptability and innovation

AI transformation isn’t just a technology upgrade—it’s a business operating shift. Done right, you don’t just add AI—you evolve how your enterprise works.

Before you say yes to the next AI product, ask: How does this become part of my organization’s operating system? That’s where real transformation begins.

The views and opinions expressed in guest posts and/or profiles are those of the authors or sources and do not necessarily reflect the official policy or position of the Security Industry Association.

This article originally appeared in All Things AI, a newsletter presented by the SIA AI Advisory Board.