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The AI Economics System

One chain from AI cost to an investment decision

Most AI programmes stop at usage reporting. This system follows the whole chain, from what AI fully costs to what should happen next. The four phases are this site's proposal for how to work, not a standard.

In brief

  • Measure the full cost, not just the model invoice.
  • Prove what changed, and label how strongly it is known.
  • Decide to scale, hold, redesign or stop.
  • Operate it as a monthly and quarterly routine with named owners.
Four columns: Measure, Prove, Decide and Operate. Each shows the question it answers, the templates it uses and what it hands to the next phase. A dashed loop runs from Operate back to Measure.
Each phase ends in something the next one uses. Open a phase for its templates and guides.
Four columns: Measure, Prove, Decide and Operate. Each shows the question it answers, the templates it uses and what it hands to the next phase. A dashed loop runs from Operate back to Measure.

Each phase ends in something the next one uses. Open a phase for its templates and guides.

Four phases

Each phase answers one question and ends in something a reader can use.

Phase 1

Measure

What does AI fully cost, where is it consumed, and who owns it?

See the phase

Phase 2

Prove

What changed because AI was used, and how strong is the evidence?

See the phase

Phase 3

Decide

Given the economics and the evidence, what should be scaled, held, redesigned or stopped?

See the phase

Phase 4

Operate

Who owns each part, how often is it reviewed, and what reaches the board?

See the phase

Start with a working artefact

Tools you can use today with your own numbers. More are in development.

Tool

Attribution coverage calculator

What share of your AI spend is connected to a measured outcome. Runs in your browser.

Open the tool

Template

The AI Value Ledger

One record per material AI workflow, with a worked example and an Excel template.

Use the template

Worksheet

Seven-sheet AI TCO worksheet

The cost side of the same workflow, as an Excel download with a guide.

Use the template

The wider map

Where the system sits among the standards and the full set of models.

Six layers from physical inputs to decision, each with the standard or discipline that covers it.
The full system map, showing where external standards stop and decisions begin.
Six layers from physical inputs to decision, each with the standard or discipline that covers it.

The full system map, showing where external standards stop and decisions begin.

Map

The AI economics map

One map from compute to business value to capital allocation.

Read the piece

Proposal

The AI value lifecycle

Seven stages from funding to decision, each with an owner and a gate.

Read the piece

Index

All frameworks and tools

Every model on the site, grouped by the job it does and labelled by origin.

Explore