This model represents the tradeoff between resource costs and performance benefits in implementing AI within an organization. It simulates how resource investments in terms of water and electricity (captured in the Total Resources stock) contribute to incremental improvements in operational efficiency and effectiveness over time.
The overall goal of this insight maker model is to help stakeholders understand the tradeoffs involved in deploying AI by demonstrating how resource costs translate into tangible efficiency and effectiveness improvements, which in turn yield financial benefits. By comparing the cumulative resource consumption to the performance gains, decision-makers can evaluate whether the benefits justify the costs and make informed choices about scaling or adjusting AI-related resource usage.
