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Once upon a time, due to an incredible tornado, a young girl and her Cairn Terrier dog became lost in a land she could barely recognise. The scared little girl needed to find a way to get to the comfort of home. A friendly lady and some of her little mates kindly intervened to inform the young girl that she needed to visit an influential figure renowned for his remarkable and magical abilities. She was even given the directions to a colour-coded path she needed to follow to find this almighty magician. As the girl embarked on the trip along the path, she made a few friends who joined her on the long journey.

Once upon a time, due to an incredible tornado, a young girl and her Cairn Terrier dog became lost in a land she could barely recognise. The scared little girl needed to find a way to get to the comfort of home. A friendly lady and some of her little mates kindly intervened to inform the young girl that she needed to visit an influential figure renowned for his remarkable and magical abilities. She was even given the directions to a colour-coded path she needed to follow to find this almighty magician. As the girl embarked on the trip along the path, she made a few friends who joined her on the long journey.

Her newfound eclectic group of friends each had unique challenges they sought assistance to overcome. One felt he lacked the brains to make intelligent decisions. Another thought he didn’t have the heart to show empathy to others. And the last believed he was too cowardly to face life’s challenges. They were all convinced that the mysterious figure they would see held the key to solving their woes.

Once they arrived at the magical kingdom, thanks to the curiosity of the girl’s little dog, they realised the figure they were seeking wasn’t an almighty powerful superbeing after all. Instead, he was an ordinary mortal using clever tools and tricks to create the illusion of magic. However, ironically, this revelation didn’t diminish his ability to help the diverse group of travellers. Instead, the lesson was that sometimes, what seems like it requires magic is simply a matter of perspective and the effective use of available resources.

If you haven’t worked it already, the tale above is a spoiler for the story of Wizard of Oz, originally a children’s novel published in 1900 and then famously adapted into a musical fantasy film of the same name in 1939. At first blush, it might seem like there is little we can learn from this enchanted tale scripted at the beginning of the previous century when discussing the modern-day cutting-edge high-tech world of Artificial Intelligence (AI). But you’d be surprised.
Just as the little girl (Dorothy) and her friends initially believed in the mystical powers of the figure they sought; many people view AI as a kind of magic that can solve all their problems. However, the reality is that AI is built on data, algorithms, and computational power. Just as in The Wizard of Oz, many things we call AI are often just mechanical Turk sitting behind a curtain. However, while AI is not magic, it can achieve seemingly magical results when used correctly. By understanding the basics of AI, leaders can demystify it and make informed decisions about its implementation and capabilities.

In The Wizard of Oz, Dorothy and her friends believed the Wizard had magical powers that could solve their problems. They later discovered he was just an ordinary man using clever tools. Similarly, many see AI as magic; however, in reality, it’s a powerful tool built on data, algorithms, and technology. When used effectively, it can create seemingly magical results without the illusion.
In The Wizard of Oz, the headline song “We are off to see the Wizard”, famously repeats the line, “because, because, because, because, becaaaauuuussseee… Because of the wonderful things he does…” This highlights that Dorothy and her friends weren’t chasing after the Wizard for his magic per se—they had real problems and believed he could solve them. Similarly, AI shouldn’t be pursued for its novelty or complexity; it’s a tool to solve real business challenges, drive innovation, and create customer value. AI can revolutionize business models, improve products, and boost efficiency, but only when applied with a clear, strategic purpose. Too often, teams get caught up in “doing AI” without first asking if it’s the right tool for the problem. Like the Wizard, we may not possess magic, but AI can deliver transformative results—if leaders focus on practical outcomes rather than the illusion of progress.