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From Service to Predictive: How HR Leads AI as Business Strategy
Episode 416th January 2026 • Future Proof HR • Thomas Kunjappu
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In this episode of the Future Proof HR podcast, Thomas Kunjappu sits down with Jessica DeLorenzo, Chief Human Resources Officer at Kimball Electronics, to explore how HR leaders can guide AI adoption as a business transformation, not just a technology rollout. Drawing from her non-traditional path into HR and nearly a decade inside a global, low-margin manufacturing organization, Jessica shares how HR can move from reactive service delivery to predictive, value-adding leadership.

Jessica explains why she pushes back on the idea of having an “AI strategy” in isolation, and instead frames AI as an enabler of broader business strategy, from margin expansion and decision-making to workforce capability and meaningful work. She walks through how Kimball approaches AI adoption thoughtfully and selectively, balancing experimentation with governance, cost discipline, and real-world operational complexity.

This episode offers a grounded look at what it takes to lead AI change inside a complex, regulated manufacturing environment, where processes are imperfect, audits are real, and transformation must deliver value without eroding trust.

Topics Discussed:

  1. Moving HR from service delivery to predictive, strategic leadership
  2. Why AI strategy should be treated as a business strategy
  3. Using AI as a teammate, not a replacement
  4. Protecting the human in the loop during AI adoption
  5. Lowering fear and resistance through play and experimentation
  6. Building AI capability responsibly in low-margin organizations
  7. Selective licensing, early adopters, and managing AI ROI
  8. Safeguarding high-potential talent during experimentation
  9. HR’s evolving role as a predictor, advisor, and change partner

If you’re an HR leader, people strategist, or executive navigating AI adoption inside a complex organization, this episode offers practical insight into how HR can lead transformation while keeping humans, trust, and long-term value at the center.

Additional Resources:

  1. Cleary’s AI-powered HR Chatbot
  2. Future Proof HR Community
  3. Connect with Jessica DeLorenzo on LinkedIn

Transcripts

Jessica DeLorenzo:

The human in the loop, I don't think it's ever going to go away.

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I think the human in the loop is just

going to have heightened expectations

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around strategy, connecting the dots,

critical thinking, curiosity, creativity.

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I think those things are going to be what

sets apart the future skill sets that

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are going to really change organizations.

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Thomas Kunjappu: They keep

telling us that it's all over.

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For HR, the age of AI is upon

us, and that means HR should

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be prepared to be decimated.

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We reject that message.

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The future of HR won't be handed to us.

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Instead, it'll be defined by those

ready to experiment, adopt, and adapt.

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Future Proof HR invites these builders to

share what they're trying, how it's going,

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what they've learned, and what's next.

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We are committed to arming HR

with the AI insights to not

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just survive, but to thrive.

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Hello and welcome to the Future Proof

HR Podcast, where we explore how

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forward-thinking leaders in HR and

across the board are preparing for

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disruption and redefining what it means

to lead people in a changing world.

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I'm your host, Thomas

Kunjappu, CEO of Cleary.

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Now, today's guest is Jessica

DeLorenzo, the Chief Human Resources

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Officer at Kimball Electronics.

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Human-centered and purpose-driven,

Jessica leads global HR to build

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capabilities, sustain a vital talent

pipeline, and create meaningful

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careers across a multi-generational,

globally diverse workforce.

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From executive searches and leadership

development to serving as an internal

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counselor to the C-suite, she's known for

turning values into operational habits,

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flexibility, partnership, and respect

while enabling the business to execute.

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Jessica, welcome to the podcast.

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Jessica DeLorenzo: Thanks.

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Happy to be here.

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Thomas Kunjappu: Before we get into

Kimball Electronics, I'd love to learn a

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little bit about your overall career path.

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I know you've been in Higher Ed and

now into a public company leadership.

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Can you tell us a little bit

about what shaped your path?

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Jessica DeLorenzo: Yeah.

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After college, I started my

career in Higher Education

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on the administration side.

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Just grew up with teaching, learning,

leadership development, human

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development sort of skill set.

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Spent almost a decade in higher education.

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And at the time I hit a plateau, Kimball

Electronics was spinning off of Kimball

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International as its own public company.

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So it was building out the infrastructure.

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And part of that was the HR team.

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And I interviewed for a role, was invited

to join the organization and had no

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idea that I had boarded a rocket ship,

both personally and professionally.

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The company's growth,

my own personal growth.

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So I did that role for a couple

of years and was tapped on the

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shoulder to be the successor for the

vice president of HR at that time.

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And here we are today, been at

the company for almost 10 years

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and it's been quite a ride.

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Thomas Kunjappu: That's so

interesting to hear about.

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It's rarer for folks to be in a role for

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a decade.

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Did I hear that right?

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So actually your transition

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into HR was at Kimball.

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It was.

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You were in administration

in higher education.

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Jessica DeLorenzo: Yeah, absolutely.

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Yeah.

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So it was very much a sort of

experiment, I would say, in transferable

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skills going from higher education

to a public global manufacturer.

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So yeah, I have a very non-traditional

path to this seat, but I think

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it's proof that it can be done in

just the evolution of HR in general.

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It's much less

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transactional and it's much more

consultative and human-centered and

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behaviors-driven and motivation.

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So if you have those skill sets, you

really can be a trusted counselor

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and guider for the organization.

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Thomas Kunjappu: Tell me a little

bit about, yeah, exactly where,

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like some of the tensions that the

function is facing at this time, right?

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One phrase that we hear often is

in HR, let's do more with less.

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There's pressure to make

more things happen, but...

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there's like less budget.

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What do you think of that?

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Do you hear that?

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How do you manage that as an HR leader?

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Jessica DeLorenzo: Yeah,

that's particularly true.

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I think for us here at

Kimball Electronics,

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we're a really low margin

business, doing more with less.

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I won't say it's a mantra, but it is a

theme and a pressure for the organization.

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And doing more with

less really to us means

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continuous improvement and

working smarter, not harder.

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So for us, one of the biggest

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tensions when that comes to my mind in

the terms of doing more with less is the

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evolution we're going through with AI.

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And for us, it's really important

to consider what language we use.

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Being a global company, language

is really important to us.

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So when we're navigating these

tensions, it's really important

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for us to focus on the end.

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Yes, the AI evolution is here.

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So

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the and or the tension is, it's

changed and it's really difficult.

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And there are certain

human emotions about that.

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And there's opportunity and there's

hope to do things a little bit better,

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especially for our business, using

language around AI and that tension that

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there is margin expansion opportunity

here to do more with less because

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of the tools that we have access to.

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And there's ways to really build

out some meaningful work for people.

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So it's not necessarily

replacement, it's and what can I do?

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How can AI be a teammate to

me to make me more than I am?

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Thomas Kunjappu: I love that perspective.

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Do you have examples, either

both in the HR function,

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where you've expanded the and gotten more

things happening, or more broadly at the

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organization in any function, which of

course in HR, we're a lever point, right?

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We're helping leverage through

whether it's being a counselor

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or through L&D efforts to enable

that in the broader organization.

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Jessica DeLorenzo: Yeah.

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So the examples

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that come to my mind is we've been

driving digital, whatever that means,

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in the manufacturing environment.

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And the business students have gotten

really good about dashboarding and now

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layering in AI behind the dashboards

to give them certain trending.

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So it's really interesting to see AI has

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given you access to more

information with trending and

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you're using it to make decisions.

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So from the HR perspective, my concern

is, and what training do you need

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to increase your cognitive thinking

and your strategic thinking to be

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able to have stronger insights based

on the data that it's giving you?

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So it's protecting the human in the loop.

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So we're using a lot of

different technologies and

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predictive analytics, machine learning.

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And we need to make sure people

have the skills to use it, to

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make decisions appropriately using

the information that they have.

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Thomas Kunjappu: So how do

you deal with the change

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management that comes with this?

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I think there's fear often, you

already alluded to that, right?

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With with an employee base in really

any kind of industry at this point.

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And there's a big change

management effort.

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So you're talking about training

being like one aspect of it.

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But yeah, how do you think about

guarding against fear, that fearful

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element when you think about AI

from an employee's perspective?

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Jessica DeLorenzo: I really believe in

the power of play as a way to lower the

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barrier of entry into the world of AI.

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So our change management philosophy

is really about acknowledging

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the human and the emotion and

acknowledge and validating that.

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And to us, it's that equally with the why.

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The why can feel very like business

jargon to the individual who still

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fears their job being replaced.

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So if you can acknowledge the human

aspect of it, invalidate their feelings

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before you go into the business case

for it, I think that can be a really

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powerful way to lowering defenses,

calming the situation, getting people

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a little bit more open to exploring

and playing around with the technology.

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Thomas Kunjappu: I love that play.

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It just activates this different

part of our brain and energies,

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both how we just show up for

ourselves and also with each other.

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So you said something in our prep

call that think that resonated for me.

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I wanted to throw it back to you and

have you expand on it a little bit.

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And having an AI strategy isn't

necessarily a goal in and of itself.

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It's more of a business strategy

where AI is enabling it.

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Tell me about the difference

that you see there.

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Jessica DeLorenzo: So at Kimball,

we have been really diligent and I

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think proactive in that we have a AI

policy, AI use policy as part of our

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information security management system.

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But it really makes me cringe a little bit

when people say, what's our AI strategy?

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Because I think it's, we're

missing an opportunity if we don't

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consider the larger ecosystem

in terms of business strategy.

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And AI is a tool along the

way of our business strategy,

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but it can be transformative.

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How does AI change our business model?

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How do we go to market?

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Who our customers are?

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How we serve our customers?

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What features do we sell?

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What services do we provide?

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So just by saying we need to deploy an

AI strategy is really maybe doing the

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company a disservice by not looking

at how can we use it as a tool to

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increase profit for our stock owners?

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How do we create more

meaningful work in jobs?

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How are we more responsible citizens?

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How are we better partners to

our suppliers and our customers?

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Because we have data that we can

aggregate and have a conversation with.

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And it's

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that sort of consideration of the

whole ecosystem of the company

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that drives more towards, it's

got to be a business strategy.

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It's if we just use AI as a

tool for efficiency, we're not

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going to get as far as we could.

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So really stepping it up and asking

a question of what are some real

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possibilities to transform the business

model, I think is a hard question.

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but I think it's the one we need to be

asking ourselves to stretch our thinking.

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Thomas Kunjappu: Yeah, it's interesting.

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You threw in the concept of an AI

strategy, which if you think about

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it that way, myopically, you tend

to lead to efficiency gains, right?

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So we're doing a bunch of different things

and let's have AI or a human in the loop

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AI somehow make that more efficient,

which is one part of the equation.

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But the other side that tends to

ignore, if you just think about it as

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a starting point is creativity around

margin expansion or new business

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ideas, which can be enabled by AI.

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But often on the HR seat, though,

I will say, I feel that's the hot

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topic in boards and in leadership

teams, we need an AI strategy.

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And let's and part of that is let's make

sure we have an acceptable use policy

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and like an IT policy towards that.

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But I hear you about that.

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You need that.

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But that's just a part of the picture.

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Yeah.

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So going back to your concept

of play, I was really interested

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and wanted to dig in a bit.

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But you personally built,

let me put it this way.

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I think you had an aha

moment as you were going on.

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You try to do something

like off on your own.

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I would say the HR team in

general, it's leverage for

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the whole entire organization.

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And the chief human resource officer is

leveraged for that levered organization.

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And yet you went in and played

around with some AI and I think

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maybe came to some realizations.

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Could you tell us a little bit

about your personal journey?

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Jessica DeLorenzo: Yeah, it started with

some curiosity, just what is this thing?

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a lot of the trends around make

your action figure, I think was

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one of the first things that I did.

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If you remember that is I'm an

HR professional and you give

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the prompt is a few other pieces

of information around you.

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Now make me an action figure.

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And it gives you an image of you in a

box and like you upload your picture and

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all this, it makes you a little action

figure, which was just really fun to do.

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So I then shared that with my team because

there's so much research that shows

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that if you see your manager or a leader

in the organization using AI, you're

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like three times more likely to use it.

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It was important for me to showcase my

failures and my successes and my little

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pieces of joy along the way with my team.

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And it was so interesting because

I'm known for wearing like these

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red heeled shoes and my AI figure

Rain did not have my red shoes on.

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And my team was so quick to point it

out, like, where are your red shoes?

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And it was a really, that was a bit of an

aha because it was like, it can go so far.

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And then you add the human sort of

the emotion and the relationship

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and the context around it makes

it just a little bit better.

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So that was one of the

first things that I did.

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And we've, I've taken a few AI courses

and I've done, I've read a couple books.

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And I finally took a pretty structured

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class as part of my MBA program.

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And it was like exactly what I needed.

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It was like four days immersive.

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Here's rapid fire.

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Here's then this tool.

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So you just build a tool library.

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And out of that, I was

like, I can build a tool.

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Agent.

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Like I now know what an agent

is, so I can build it too.

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So I got into our company platform

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and just had a conversation with

the tool in the agent creator.

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And we now have this little agent that I

built that we're testing and rolling out.

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And it was just as simple

as act as my HR generalist.

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And here's our guiding principles.

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Here's our employee handbook.

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Here's our benefits guide.

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Now create an agent where you

can query these things and answer

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questions as customer service

for employee self-service.

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So it's an agent that I can ask

questions to and we're testing it

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and it's really fun, but I literally

vibe coded it in 10 minutes.

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And here it is.

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And we, so then we rolled it out to

our HR teams and the next sort of

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A step in the journey was

having them then play with it.

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So the task was, here's this agent that

I built in 10 minutes, you can too.

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By the way, here's how you do it.

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But let's create a logo.

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Let's create a mascot for this agent.

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So then they just went wild

in terms of the creativity.

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And we had a contest of who's

the mascot and we voted.

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And now there's a little, there's

a little Kimby the HR helper

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is the name of this agent.

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It unlocked some fun and creativity and

lowered again, a barrier of entry for

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the other HR teams, members to get in

and just play around, find a little joy.

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My journey has been experiment.

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What is this thing all the way to

some real formal education, building

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a library, building understanding,

reading my own education.

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And then now just back to our loop to

let's play around and figure stuff out

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and build it, iterate a little bit.

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Then come back.

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So it's like a circle.

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It's a virtuous circle, I guess I

would say, in terms of a journey.

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It's not over.

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It'll continue.

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Thomas Kunjappu: I love that.

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So we're talking a little bit

about how you're enabling all of

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this throughout the organization.

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There's policies, there's tools, and guess

this encouragement to play and try things.

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And is that what you just described,

we've been talking about the HR team.

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Is that been like a general ethos,

like across, across Kimball, or are

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there, I imagine adoption varies quite

widely, right across the organization.

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So how do you think about this enablement

of, and from an L&D perspective or

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upskilling and reskilling perspective for

the entire organization with regard to AI?

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Jessica DeLorenzo: Yeah, so we were

really intentional about partnering

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with our AI technology supplier.

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They have free courses and they were

more than willing to host webinars that

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we would record and then put into our

HRIS system to really start to build a

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library of Kimball-specific resources

for people, at least for awareness.

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Everybody had to go through the

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training of the AI policy.

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There's a piece of awareness.

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Here's the training and the webinar

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that's available to you.

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There's some awareness.

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In turning into sort of the engagement

and enablement step, we didn't just

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give everybody the same level license

because we're a low margin business.

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So we can't, we being stewards

of cost and expense, we wanted

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to manage the level of licenses.

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So they were given out selectively to

groups we knew were early adopters.

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Like our customer facing organization

really uses it for a lot of market

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research and business intelligence.

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Our manufacturing, our engineering

teams use it a lot for, again,

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industry Ford Auto initiatives and

how do we increase quality, reduce

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scrap and all of those things.

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So early adopters got licenses.

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The executive team got early licenses,

again, top down, the executive team got

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early licenses again, top down, setting

the example, fail hard, fail fast.

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Let's have some fun.

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But so that was really good and

started sharing some early successes.

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And then more people, as last week when

we were talking about this HR, this agent

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that I built, found out 75% of the HR

team didn't have the license to be able

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to access it, which to me was a win.

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Okay.

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Now you all, now we know, let's get them

at licenses so then they can play around.

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But this enablement as was being

really selective about who got the

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license to be able to do more because

there was already an engaged audience.

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It was a captive audience that we then

could build some scaffolding around and

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they could be our champions

in the organization.

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Now, getting a license is very easy.

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You ask for one and you get

one, but it's just creating the

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awareness that you can do more.

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And when you run into a problem,

you just ask and it's automatically

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given to you, basically.

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That's how we've been able to manage

the cost of it with the awareness and

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the enablement so that we have people

who are really going to use it and use

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it well to then become champions and

get that interest and that curiosity

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so more people are asking so that

they can start to experiment and just

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continue to build on that momentum.

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Thomas Kunjappu: Yeah, I like

that way of thinking, maybe

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because I'm personally frugal,

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but I like to make sure that you're, I

don't know, I'm proving to myself that I'm

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running every day for a month before I go

in and get the expensive running shoes.

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You've earned the fact that you've

built the habits and there's

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some value for that in this way.

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And I think this is a smart way to go

about it because there've been some

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news reports about how there isn't ROI

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for AI in many organizations.

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And I think what's happened is the big

guys have been pushing enterprise-wide

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licenses because that's a big rev

stream, of course, for the technology

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companies and go wall to wall.

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And then people will figure it out.

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But, of course, it's hard to enable and

get the right knowledge and the time.

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And actually, there's a bunch of steps

behind just having the technology.

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And so this is a smart

way to get that pull.

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And that's a great example of

these folks on the HR team saying,

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hey, I want to participate in this

project, but I don't have access.

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So now you've proven that,

okay, there's a reason.

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that you need access.

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So it's like a light speed bump

to move you in that direction.

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So that once you get to this concept

of slowly enabling across the board,

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are you also sharing or have you

created like any kind of councils or

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cross-functional collaborations around

these kind of efforts or rituals or

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practices where you're sharing what's

happening across the organization?

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Jessica DeLorenzo: Yeah.

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So we have an established council

structure where at Kimball, essentially

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every functional area has a council

and that manager from the business

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unit in the global environment

is a member of that council.

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And the council structure is meant

to be a forum for best practices,

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:

sharing, standardization initiatives,

solving real business problems.

359

:

So one of our councils is,

we have a digital council.

360

:

So the digital council is building

out a sort of functionality of their

361

:

group to be innovation hunters.

362

:

So they're the ones who are council

members that go out to the business and

363

:

bring back really strong use cases or

really cool or innovative ways that people

364

:

are using the technologies out in the

business and bringing it to the forefront.

365

:

And they've already found that the

business in this location is actually

366

:

doing the same thing as the business

in this location, but their tool

367

:

is just a little bit different.

368

:

How come they weren't

just doing the same thing?

369

:

The council structure is really

helpful for us in identifying those

370

:

best ways of using the technology.

371

:

So that's been something that's

been a structure that's worked

372

:

well at Kimble that we've

373

:

leveraged to continue the enablement

of AI around the organization.

374

:

For HR specifically, what we've done is I

have pretty regular meetings where I bring

375

:

the global HR team together,

the HR managers at least, and

376

:

they've requested as part of this

meeting, can we have some time to

377

:

showcase AI wins or best practices?

378

:

And I said, done.

379

:

Agenda updated.

380

:

I said, but what I need from you is

a commitment that you will come to

381

:

this meeting prepared with an idea.

382

:

I'm not just going to

add it to the agenda.

383

:

We need to have some ownership and some

accountability to bring that to the forum.

384

:

So judging by their, I think,

excitement and enthusiasm, I

385

:

think they will, but that's a

386

:

little, that's a little TBD.

387

:

But yeah, those are ways I think by

just little small tweaks or small

388

:

behavior changes of the already

established rituals of the

389

:

organization are going to continue

to be really strong ways drive

390

:

the adoption around the company.

391

:

We also have each functional unit, each

business unit has continuous improvement

392

:

goals by fiscal year, by dollar amount.

393

:

There's going to be a new sort of

category of AI enabled by savings.

394

:

So we were talking about something.

395

:

I don't remember what the project

was, but one of the HR teams

396

:

was using AI for something.

397

:

They saved a ton of money,

found some efficiencies.

398

:

And I asked them, are you

going to count that as some?

399

:

AI-enabled savings for your CI goal,

and it hadn't even crossed their mind.

400

:

So it's just one of those things about

we just need to become natural in

401

:

terms of how we're thinking about as a

teammate and an enabler of the business.

402

:

This has been a fantastic

conversation so far.

403

:

If you haven't already done so,

make sure to join our community.

404

:

We are building a network of the

most forward-thinking, HR and

405

:

people, operational professionals

who are defining the future.

406

:

I will personally be sharing

news and ideas around how we

407

:

can all thrive in the age of ai.

408

:

You can find it at go cleary.com/cleary

409

:

community.

410

:

Now back to the show.

411

:

Thomas Kunjappu: Yeah.

412

:

So there's, thank you for going

through all of these different

413

:

ways that you're reinforcing how

this is becoming central to the

414

:

way that teams are operating.

415

:

Now, because of this experimental and

not an experimental, but it's starting

416

:

small, and you're slowly expanding the

scope, both in terms of licenses projects,

417

:

revenue and compensation based incentives,

418

:

eventually, you're slowly moving out way.

419

:

One thing that often happens is

your high talent folks, your or high

420

:

potential folks are the ones who get

sucked in early on all these projects

421

:

that could fail, could, and maybe

necessarily could have a high failure

422

:

rate, but that's, it's a point of

experimentation and that could potentially

423

:

lead to, I don't know, burnout, right?

424

:

Or I've heard that kind of like concern.

425

:

How do you think about that?

426

:

So that maybe it's like, is it the

same folks who end up, how do you

427

:

safeguard against disillusionment,

428

:

let's say from high potential folks who

are always in experimentation mode and

429

:

not necessarily getting

to results all the time?

430

:

Jessica DeLorenzo: I think one of

the risks of just, as we would say,

431

:

throw AI at it or throw AI at

it, throw a high potential at it.

432

:

There's a little risk

there, like you pointed out.

433

:

I think about some, let's figure out the

process and insert AI into the pain points

434

:

of the process.

435

:

That means that you have

to map out your process.

436

:

And there's a process on paper.

437

:

And there's a process that

happens not on paper, right?

438

:

And once you start really

understanding the puts and takes

439

:

and the connections between,

440

:

it is messy.

441

:

It is really messy, especially

in a company like ours where

442

:

there are so many audits from

443

:

regulators, from customers.

444

:

We have to have extensive documentation

of a process and what we do and

445

:

when and how, and what are the

inputs and what are the outputs.

446

:

And you put that on a wall and then you

add all the things that happen outside

447

:

of that process to make the process work.

448

:

It's really messy.

449

:

And as I think about AI and high

potentials, that AI does not work

450

:

in a linear way like humans do.

451

:

First of all, by putting a high potential

in the room with that on the wall,

452

:

they're already going to

be completely overwhelmed.

453

:

How am I in the world going to fix

454

:

this mess of a process?

455

:

And you're then going to expect

me to insert AI into that.

456

:

It's just, you're setting them

up for failure right off the bat.

457

:

There's just no practical way to do that

458

:

on time or on budget

or within expectations.

459

:

And if they fail, then that's really

damaging to the high potentials

460

:

confidence, to the reputation of the

organization, to the disillusionment.

461

:

We guys are really not that great anyways.

462

:

We have this sophisticated process.

463

:

We can't even use it.

464

:

So it it can just be really harmful and

really damaging if we're not careful.

465

:

One of the guardrails that I think

really works beyond the safeguards,

466

:

the technical, practical safeguards

in place that IT teams do behind

467

:

the scenes to protect everything.

468

:

I think a guardrail for high potentials

is teaching them good prompting.

469

:

good prompting.

470

:

And I think what I mean by that

is don't expect AI to say, to give

471

:

them the process and then have

them spit out an outcome for you.

472

:

That's just not how it works.

473

:

AI is not linear like a human being.

474

:

So by developing the ability and high

potential talent to sort of investor

475

:

embody this leadership principle

around the end in mind, I think can

476

:

be a safeguard because then you're

teaching the high potential person how

477

:

to use AI to get to the desired state.

478

:

What is the end in mind?

479

:

And using them as a teammate.

480

:

So act as my business strategist.

481

:

Here's what I'm working on.

482

:

Here are the inputs.

483

:

Give me a solution.

484

:

Or here's what I think good looks

like within a few parameters.

485

:

And then go and let it go.

486

:

Don't give it the steps of the

process because you're just really

487

:

limiting, I think, the creativity

and the value of AI by doing that.

488

:

So for high potentials to protect them,

I think, from the disillusionment is to

489

:

protect them, I think, of the messiness

of the linear thinking of humans,

490

:

specifically when we're talking about

AI, but I also think building in them the

491

:

leadership capability around visioning

and being able to describe and articulate

492

:

what good looks like and visioning that

because then you can work backwards.

493

:

So it works with AI, but it also works

outside of AI as you're influencing others

494

:

and you're leading teams and getting

on new projects and new perspectives.

495

:

I think that's our high potential talent

really could benefit in that way, with

496

:

the technology, but even outside of

the technology with this skill set

497

:

and this mindset you're building.

498

:

Thomas Kunjappu: So I think there's

a lot of depth to this here.

499

:

So I want to really

make sure I get it here.

500

:

Are you saying that if someone is

embedded in a role and is excellent

501

:

at it, and it's a complex, messy,

let's say it's a manufacturing process

502

:

that someone's really good at, and

they're being challenged to improve

503

:

it, either for efficiency or whatever

the outcome is, the starting point

504

:

is very messy, very complicated.

505

:

And what's on paper usually doesn't

even accomplish a good job at

506

:

capturing the entire picture.

507

:

A better starting point than that is

to zoom out even further and think

508

:

about the outcome and almost reimagine

the entire process from scratch

509

:

and expect different, completely

different new process potentially on

510

:

the tail end of a successful project

versus taking this:

511

:

with a lot of if else guard rails

and trying to push that in with AI.

512

:

Is that what I'm hearing?

513

:

Jessica DeLorenzo: Yeah.

514

:

I think it's going to be a real

interesting evolution because I would

515

:

advocate that when you prompt it with

the end in mind and a really good

516

:

outcome, like outcomes-based prompting,

the process doesn't even matter because

517

:

AI is doing the process to act as the

teammate and enhance the high potentials

518

:

work product, their performance, right?

519

:

But I think where that falls short is

in an organization like Kimball where

520

:

you have to have a process, right?

521

:

So you've got to be selective, I think, of

where you can use it and where you can't.

522

:

You can't expect just to wrap AI

around the entire supply chain process.

523

:

It's just not feasible if you try

to do that disillusioning because

524

:

I don't even know where to start.

525

:

But I think if you can pick out even

different pieces of the process and then

526

:

use that as a what's the end in mind.

527

:

I think you can get some pretty

creative ways in that how I get here

528

:

can be a million different ways.

529

:

I think that's the way to guard real

high potentials is break it down, but

530

:

then within that breakdown, have them be

able to pan out to see what's possible.

531

:

Thomas Kunjappu: It's about

picking the right projects, right?

532

:

So just being smart about which

kinds of processes AI can really

533

:

be a partner in helping improve it.

534

:

But then once you pick that, and

that might be you want to reduce the

535

:

complexity, the variance a little bit,

or break it down into just like this

536

:

type of machine for this type of market,

537

:

or this type of process for this type

of employee, whatever the thing is,

538

:

you break it down to something

that's manageable and reduce the

539

:

variance a little bit and then

you can go but then once you get

540

:

into that and you understand that

541

:

process pretty well you want to zoom back

out and think about how can you what is

542

:

a goal in this particular sub area right

because it goes back to the comment I

543

:

made earlier about these studies that are

coming up about lack of ROI from projects.

544

:

And part of it's also just thinking

you can apply it everywhere, right?

545

:

You have to be smart about it.

546

:

And I guess there's a difference between

experimentation versus going live.

547

:

Actually, I'm just trying to connect the

dots to like what we talked about earlier,

548

:

Jessica, about the agent that you quickly

built, as an experiment for the HR team.

549

:

There's probably a journey to go from

that to something where there is like

550

:

something you could, I don't know,

introduce in terms of continuous

551

:

improvement, goal realization.

552

:

Right.

553

:

Jessica DeLorenzo: Yeah, absolutely.

554

:

And it's, it'll be a journey.

555

:

And how do you balance that with

feeling hard and feeling fast?

556

:

It's everything within me to

say, let's just put Kimby out

557

:

there and see what happens.

558

:

But you're, but I realized

that's even realized that can

559

:

even create some disillusionment

560

:

because if it's not ready, people

are like, this is terrible.

561

:

Like, why would I ever use this?

562

:

And so it doesn't solve

anything for the HR team.

563

:

So I think that's the balance and

the tension in my own experiences.

564

:

Is when is it ready?

565

:

When is it ready?

566

:

What processes are ready?

567

:

What work is ready for us to put AI in it?

568

:

There's some pretty cool reports and AI

tools out there that you can put your,

569

:

if you don't know where to start,

you can put your job title in and

570

:

it'll give you a breakdown of, based

on assumed job activities, this is

571

:

the potential to insert AI into it.

572

:

So it even gets you a head start in terms

of where should I be thinking about it

573

:

and where shouldn't I be thinking about

increasing using AI in the business.

574

:

This little AI agent that we built

for our handbook search, companies

575

:

are doing this all over the place.

576

:

So I think it's a valid idea.

577

:

It's just a matter of how do

we get it good enough to not

578

:

destroy value when we deploy

579

:

it on a broader scale within the company.

580

:

Thomas Kunjappu: You want it to be

at least as good as what you're doing

581

:

right now in terms of the service

582

:

delivery, right?

583

:

That's the target.

584

:

And how do you know that is established?

585

:

And that's true for any

kind of deployment, right?

586

:

When you think about it.

587

:

So I'd love for you to imagine

the future a little bit with me.

588

:

Sometimes a fool's errand, but you're

on this journey, both in the HR team,

589

:

personally, overall at Kimball, right?

590

:

So what do you think any of

those could look like for the

591

:

organization or an organization of

the future that is future-proof?

592

:

As you look ahead two to

three years down the line.

593

:

How do you imagine processes, skills,

your orgs all evolving as this whole

594

:

structure that we've been talking about

starts getting deeper and more embedded

595

:

into many more parts of the organization?

596

:

Jessica DeLorenzo: Yeah, my hook

particularly for HR is that the

597

:

function, the teams in the near future

598

:

will be seen more as a predictor of

things instead of a service provider.

599

:

We're a support function

and we need to be optimized.

600

:

And I appreciate that.

601

:

But I think in the future with

these tools, how do we move

602

:

from service to predictive

603

:

to adding value, right?

604

:

So we're seen as the ones who

are in really intelligent ways,

605

:

advising certain things around the people

of our organization, instead of being

606

:

the, there's an important piece around

service, but I think that's going to

607

:

go from 80% of the job to 30% of the

job, because the skills of where the HR

608

:

teams are building is accountability.

609

:

So here are the tools that we've built.

610

:

Here are the things, the

technology available to you.

611

:

And you are now employee skilled in how

to interact with the technology that

612

:

you're less reliant on the human service

piece of the HR function, which I think

613

:

enables us then to be really thoughtful

in places where we're going to need

614

:

to be thoughtful over this evolution.

615

:

Change management, behavior theory,

learning theory, a lot of those

616

:

things in helping really be the change

agents and change partners around

617

:

the expertise of how the human being

works and lives and plays, right?

618

:

That's going to be the expertise that I

think is going to be really valuable that

619

:

AI is not going to be able to solve yet.

620

:

So those are the skill sets along

with the strategic acumen of business

621

:

is going to be really important.

622

:

I think AI is going to get pretty good

at business acumen because it learns

623

:

and uses its algorithm and statistics

and the model and here's what you get.

624

:

But the human in the loop, I don't

think it's ever going to go away.

625

:

I think the human in the loop is just

going to have heightened expectations

626

:

around strategy, connecting the dots,

critical thinking, curiosity, creativity.

627

:

I think those things are going to be what

sets apart the future skill sets that

628

:

are going to really change organizations.

629

:

It's pretty cool.

630

:

I'm really

631

:

excited.

632

:

Like I'm here along,

I'm along for the ride.

633

:

So

634

:

Thomas Kunjappu: Yeah, that's

a fascinating like description.

635

:

And you're saying that we're going

to move from services or where the

636

:

HR department is offering a service

637

:

to the stakeholders, right?

638

:

So leadership, employees, boards,

customers, and the community

639

:

in some kind of extended way.

640

:

But moving from that to actually

being more predictive and actually

641

:

being able to intervene so that the

predictions can be tweaked, right?

642

:

When you say services, isn't that

still a service that you're offering?

643

:

Or can you just help me

understand what you mean?

644

:

What's that distinction in your mind?

645

:

Jessica DeLorenzo: Yeah, that's true.

646

:

So maybe the difference

is reaction and proaction.

647

:

How are we reacting and responding?

648

:

And people are coming to us

for information versus us

649

:

pushing information and being at

650

:

the forefront, pulling the organization

along in ways instead of being

651

:

approached for what's this report?

652

:

What's our turnover report?

653

:

What's the handbook say about this?

654

:

What's the handbook?

655

:

What's the business process?

656

:

I need you to recruit for me.

657

:

Those are all services that we provide.

658

:

So I think that's a good point.

659

:

So I think it just changes maybe the

business model within the service.

660

:

It's a different type of

service to the organization.

661

:

It's really about, I'm not

going to do this for you.

662

:

I'm going to do it with you and

I'm going to do it ahead of you.

663

:

And I think that maybe could be,

I think maybe that could be the

664

:

different sort of the brand or

business model within HR in the future.

665

:

Thomas Kunjappu: I love that.

666

:

Yeah.

667

:

So for any one of those examples

you just went through, you

668

:

could probably turn it around,

669

:

right?

670

:

So it's not, hey, can you

hire this person for me?

671

:

Like this kind of role for me.

672

:

It's, hey, based on what we see in your

organizations and your turnover and what

673

:

kind of the strategy that we have, you're

going to need these kind of people.

674

:

And so this is what we're going to recruit

for you in the next organization or in the

675

:

next time period.

676

:

Hey, manager, you have these issues

coming up in your organization.

677

:

Here's some training for

this particular subgroup.

678

:

And maybe some of those reactive use

cases will still be there, but maybe that

679

:

will be taken over with in terms of time.

680

:

So people will still know.

681

:

want to know what the PTO policy is, but

that can be not necessarily something

682

:

that the team is spending a lot of

time helping deliver that service.

683

:

Jessica DeLorenzo: Yeah.

684

:

Yeah.

685

:

And I think it becomes maybe

686

:

more time for it, which is maybe

ironic and I'm contradicting myself

687

:

a little bit here, a little bit more

time for human interaction in the

688

:

prediction versus just a transaction,

689

:

a human transaction versus

a human interaction.

690

:

Maybe that's the difference.

691

:

Thomas Kunjappu: That's a great point.

692

:

Regardless of who starts it,

proactive or reactive, but it's

693

:

getting into an interaction versus

a, yeah, I need this from you.

694

:

It's like very simple and black and white.

695

:

So you're saying you're excited

about where this is all headed.

696

:

So then maybe last question is, I would

love to know if you're talking to someone

697

:

who is, I don't know, foolish enough

to want to get into HR and is just

698

:

going through college and is coming out

into the workforce for the first time.

699

:

What kind of advice would you have

for them, given all these changes that

700

:

you're seeing, both at Kimball and at

a macro level, for what it means to

701

:

be successful and what they should be

investing in themselves in learning?

702

:

Jessica DeLorenzo: I think it's

really going to come down to a couple

703

:

of things in terms of the human

interaction we just talked about.

704

:

It's going to come down to

communication, compassion,

705

:

curiosity, and I think creativity.

706

:

Oh, apparently there are four Cs.

707

:

But this idea of just being a really good

student of the human experience and how

708

:

humans are motivated and how they learn

and how they work and just the potential

709

:

feelings and spectrum of experiences along

the employee life cycle and just being

710

:

really good at navigating relationships

and communication and influence, because

711

:

you can, if you have the cognitive

agility, you can learn HR, you can learn

712

:

the policies and the procedures, you can

learn how to do this, how to do that.

713

:

But you've got to have this sort of

insatiable desire to serve humans and

714

:

people and that selfless curiosity

about what makes the other person tick

715

:

so that you can get them where they

need to be or get them where they want

716

:

to go or help them be, find a little

bit more joy in their work or find

717

:

more meaningful work or find work that

they need to get out of or get into.

718

:

I think maybe the language or the fluency

within HR for tomorrow is going to be

719

:

really about the human experience and

what that means in a digital evolution.

720

:

So that's good luck.

721

:

It's really exciting.

722

:

It's going to be fun, but I

think it really is that simple.

723

:

Humans are humans.

724

:

But we're complicated

animals, I would say.

725

:

Thomas Kunjappu: Yes.

726

:

And so that's why the demand

for HR will be there, but it's

727

:

going to be evolving, right?

728

:

In terms of what you're

going to be doing every day.

729

:

So I think I hear you about you want to be

curious about human beings and how you can

730

:

enable and get the best out

of them and for them to have

731

:

the highest agency and close

732

:

to their owning their

careers and their work.

733

:

But then the way you...

734

:

you're going to be doing that,

to your point, is going to be

735

:

increasingly digital, right?

736

:

There's going to be a lot of fluence going

to be needed and numeracy in enabling that

737

:

if you want to get predictive and have

those interactions versus transactions.

738

:

There's

739

:

a lot to learn, right?

740

:

And a lot that's being figured out.

741

:

So thank you so much for this

wide-ranging conversation.

742

:

And you, I think, exhibit some of the

things that you're espousing, right?

743

:

Curiosity yourself by showcase, by

building your own HR agent, right?

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:

If a CHRO can do it, like everyone in

an HR ops or generalist, or you should

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:

be spending some of your time messing

around with this stuff Kimball has play.

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:

And that's also what we're trying to

enable probably at some level in every

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:

organization across every industry.

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:

And there's a lot of nuances to it,

whether it's about use policy or how

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:

to roll it out, who gets into it,

how to think about it in terms of

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:

prompting and not being disillusioned.

751

:

So thank you for going

through all of that.

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:

This is all lived lessons, right?

753

:

The hard-fought lessons.

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:

Thank you for the conversation.

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:

And for everyone out there, I hope

you got some value out of this as well

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:

as you're future-proofing your own

organizations and your own HR functions.

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:

And with that said, thanks, Jessica.

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:

And to everyone out there, good

luck and see you on the next one.

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:

Thanks for joining us on this

episode of Future Proof HR.

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:

If you like the discussion, make

sure you leave us a five star

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:

review on the platform you're

listening to or watching us on.

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:

Or share this with a friend or colleague

who may find value in the message.

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:

See you next time as we keep our pulse on

how we can all thrive in the age on AI.

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