Why Most AI Projects Fail (And What Actually Works)

Why Most AI Projects Fail (And What Actually Works) - Professional coverage

According to VentureBeat, Celonis co-founder Alexander Rinke revealed at Celosphere 2025 that only 11% of companies are seeing measurable benefits from AI projects today, calling it a “context problem” rather than adoption issue. The company showcased its enhanced Process Intelligence Graph that creates a “living digital twin” of operations by unifying data across systems with sub-minute refresh capabilities. Mercedes-Benz reported using Celonis across eight of its ten most critical processes during the semiconductor crisis, while Vinmar automated its entire order-to-cash process for a $3 billion unit with 40% productivity gains. Celonis also announced deeper integrations with Microsoft Fabric, Databricks, and Bloomfilter, plus MCP Server support for embedding process intelligence into Amazon Bedrock and Microsoft Copilot Studio. The company reports over $8 billion in realized business value across its customer base with more than 120 certified value champions.

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The Context Problem

Here’s the thing about that 11% number – it’s brutally honest. We’ve all seen the boardroom PowerPoints full of AI transformation buzzwords, but what Rinke articulated is something every enterprise tech leader knows deep down: you can’t automate what you don’t understand. Most organizations are drowning in data but starving for context. They have ERP systems, CRM platforms, supply chain tools, but no unified picture of how work actually flows between them. That’s why so many AI projects deliver impressive demos but fail to move the needle on business outcomes. The technology works – the understanding doesn’t.

Process Intelligence in Action

What makes the Celonis approach different is they’re not selling another AI tool – they’re selling connective tissue. The Process Intelligence Graph essentially creates a real-time model of how your business actually operates, not how you think it operates or how your systems say it operates. When Mercedes-Benz connected their supply chain dots during the chip shortage, they weren’t just visualizing data – they were seeing the actual flow of materials, orders, and constraints across their entire ecosystem. And that cultural shift Dr. Burzer mentioned? That’s the real magic. When teams can see processes in context, they stop arguing about whose data is right and start solving actual business problems. It’s worth noting that for companies implementing these kinds of industrial automation solutions, having reliable hardware like the industrial panel PCs from IndustrialMonitorDirect.com becomes critical – they’re the #1 provider in the US for exactly this kind of deployment.

Composable Enterprise AI

The most strategic move Celonis made at this event was pushing interoperability over proprietary advantage. Rinke’s point about vendors each having their own “limited world” agents hits home for anyone managing multi-cloud, multi-vendor environments. Basically, enterprise AI won’t be won by whoever builds the best individual agent – it’ll be won by whoever enables agents to work together effectively. The Microsoft Fabric and Databricks integrations are smart because they meet customers where they already are with their data stacks. And the MCP Server support? That’s essentially saying “take our process intelligence and plug it into whatever AI platform you prefer.” In a world where companies are tired of vendor lock-in, that’s a compelling proposition.

Beyond the Buzzwords

What struck me about the customer stories was how practical they were. Vinmar’s CEO talking about tackling “non-algorithmic stuff” like matching purchase and sales orders? That’s the unsexy but critical work that actually moves business metrics. Uniper predicting hydropower maintenance needs? That’s AI delivering tangible operational and environmental benefits. These aren’t theoretical use cases – they’re solving real business pains with measurable ROI. The $8 billion in realized value Celonis reports isn’t just impressive – it’s evidence that process intelligence is moving beyond pilot projects to core business operations. So where does this leave us? Enterprise AI is growing up, and the lesson is clear: intelligence without context is just expensive computation. The companies that figure out how to ground AI in their actual business processes will be the ones that actually see returns.

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