Most People Use AI Like Software. That's the Problem - E66

Dusty goes solo to challenge one of the biggest misconceptions leaders have about AI: that it should be managed like software rather than led like a person. Building on the themes of recent episodes about identifying opportunities and revealing hidden insights, he argues that the disappointing results many leaders experience with AI have less to do with the technology and more to do with the leadership posture they bring into the interaction. Drawing from conversations with experienced executives and his own evolution from “prompting” to effectively managing a team of AI assistants, Dusty introduces the distinction between “software mode” and “people mode.” He explains how the same leadership practices used to develop high-performing employees—setting expectations, defining success, coaching through iterations, creating accountability, and asking thoughtful questions—are precisely the skills required to unlock better outcomes from AI. Through practical examples and a simple shift from issuing commands to asking “What would you propose?” he demonstrates how leaders can move beyond treating AI like a vending machine and start leveraging it as a capable collaborator. The result is a powerful reframing: leaders do not need to learn an entirely new skillset for the age of AI—they need to apply the leadership skills they already possess to a new kind of team member, allowing AI to amplify judgment, capability, and execution rather than simply automate tasks.

Key Timestamps:

(00:00) – Manage AI Like You Manage People

(01:15) – Why AI Isn’t Working for You

(02:00) – What Should I Ask AI?

(04:42) – Spend the Time Teaching the Tool

(06:13) – AI Is NOT a Vending Machine

(08:19) – Run AI in “People Mode”

(09:23) – Software Mode vs. People Mode

(13:20) – What Would You Propose?

(15:58) – Hand AI Problems, Not Prompts

(18:05) – Conclusion

Key Topics Discussed:

Leadership Unlocked, Leadership Insights, Dusty Holcomb, Servant Leadership Principles, Self-Leadership Strategies, Growth Mindset in Leadership, Integrity and Leadership, Leadership Development Resources, Effective Leadership Habits, Empowering Leadership Techniques, Senior Executive Insights, Leadership Quotes and Reflections, Leadership Podcast, Executive Coaching, CEO Podcast, Business Leadership, Leadership Growth, Leadership Journey, Stories From Leaders, Leadership Tools, High-Performing Teams, Leadership Mindset, Decision Making, Personal Growth, Leadership Coaching, Organizational Leadership

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• (00:00) - Manage AI Like You Manage People
• (01:15) - Why AI Isn't Working for You
• (02:00) - What Should I Be Asking AI?
• (04:42) - Spend the Time Teaching the Tool
• (06:13) - AI Is NOT a Vending Machine
• (08:19) - Run AI in "People Mode"
• (09:23) - Software Mode vs. People Mode
• (13:20) - What Would You Propose?
• (15:58) - Hand AI Problems, Not Prompts
• (18:04) - Conclusion