Why 95% of Companies Fail at AI (And How to Be the 5%) with Derek Crager (#82) episode artwork

EPISODE · Jul 2, 2026 · 27 MIN

Why 95% of Companies Fail at AI (And How to Be the 5%) with Derek Crager (#82)

from Exit Algorithms · host Peter Vera

Do you own a transportation or 3PL business doing $3M or more in revenue? Visit www.bizexitgrow.com to find out how we can help you grow, scale, and exit at maximum value.95% of corporate AI implementations fail because companies try to replace workers instead of empowering them. In this episode, we break down how to use AI to train and amplify your people, why human knowledge is your most valuable asset, and how to protect that knowledge before an exit, with Derek Crager.Derek built the highest-rated employee training program in Amazon's history and is now the founder of Practical AI and creator of Pocket Mentor, a voice-based AI mentor that captures decades of expertise and delivers it through a simple phone call.We cover:– How Derek went from building factories to leading training at Amazon.– How a late-stage autism, ADHD, and dyslexia diagnosis shaped how he builds products.– Why the biggest training mistake is not giving new hires enough time to learn.– How Pocket Mentor cuts downtime by delivering answers through a voice call.– The "Human First AI" philosophy and why AI should augment, not replace, people.– Why 95% of corporate AI projects fail, and how to be in the 5% that succeed.– A practical change management framework for rolling out AI to your team.– Why documenting your SOPs protects company value when the founder exits.– Derek's tip: understand the problem deeply before reaching for an AI solution.Connect with Derek on LinkedIn (www.linkedin.com/in/amazonleadership/), at humanfirstai.net, or practicalai.app. Ready to grow and plan your exit? Visit www.BizExitGrow.com.Related episodes:– Ep. 81: How to Prepare Your Finances for a Business Sale with Robert Checchia– Ep. 80: How to Fix Google Ads with AI (And Why Most Agencies Fail) with David Porquiry00:00 Intro: Meet Derek Crager of Practical AI01:21 From industrial trades to training at Amazon04:59 How his neurodivergent diagnosis shaped his products06:12 Lessons from Amazon's "embrace failure" culture08:22 The biggest mistake companies make when training people10:00 How Pocket Mentor works through a simple phone call15:45 The "Human First AI" philosophy explained18:26 Why 95% of corporate AI implementations fail24:20 A change management framework for rolling out AI26:21 Protecting company knowledge before an exit22:08 Derek's tip: Understand the problem before the solution#AI #EmployeeTraining #ChangeManagement #HumanFirstAI #WorkforceDevelopment #SOPs #ExitPlanning #ArtificialIntelligence #ScaleSmarter #SellStronger #ExitAlgorithms #BusinessGrowth #Leadership #Entrepreneurship

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Why 95% of Companies Fail at AI (And How to Be the 5%) with Derek Crager (#82)

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